# Increasing beef production: What it means for cattle prices

> FAPRI's baseline update projects U.S. beef production plateauing at 28.32 billion pounds in 2021 before declining to 28.01 billion in 2023. Feeder steer prices are forecast to fall to $141.06 in 2020 before recovering to $162.14 by 2023. Peak beef cow numbers are expected in 2019 at 31.8 million head.

- Date: 2018-09-25 · published 2018-09-25T12:00:00.000Z
- Category: report · region US · magnitude low
- Page: https://feedsoft.ai/events/63190-increasing-beef-production-what-it-means-for-cattle-prices
- Commodities: [Live Cattle](https://feedsoft.ai/c/LCATTLE.md), [Feeder Cattle](https://feedsoft.ai/c/FCATTLE.md)

## Why it matters

Rising beef output through the early 2020s points to cyclical pressure on cattle prices, which weakens demand for feed grains and byproducts from the cattle sector over time. Strong quality demand should limit the size of the decline.

## Read by commodity

- FCATTLE: bearish ▼
- LCATTLE: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| LCATTLE | 2023-12-04 | [USDA increases beef production forecasts - Grainews](https://feedsoft.ai/events/32852-usda-increases-beef-production-forecasts-grainews.md) | -1.8% | -0.5% |
| LCATTLE | 2018-06-08 | [Projecting feeder cattle prices in 2018](https://feedsoft.ai/events/64683-projecting-feeder-cattle-prices-in-2018.md) | +0.8% | -2.6% |
| LCATTLE | 2022-04-25 | [Beef production continues to be down in 2022 - Progressive Cattle \| Ag Proud](https://feedsoft.ai/events/41788-beef-production-continues-to-be-down-in-2022-progressive-cattle-ag-proud.md) | +0.5% | -3.4% |
| LCATTLE | 2017-02-25 | [2016 beef production bolstered by increased slaughter, higher dressed weights - Progressive Cattle \| Ag Proud](https://feedsoft.ai/events/72625-2016-beef-production-bolstered-by-increased-slaughter-higher-dressed-weights.md) | -1.3% | +3.0% |
| LCATTLE | 2017-09-27 | [U.S. prepared for expanding beef production - Morning Ag Clips](https://feedsoft.ai/events/68905-u-s-prepared-for-expanding-beef-production-morning-ag-clips.md) | +0.2% | +3.6% |
| FCATTLE | 2023-12-04 | [USDA increases beef production forecasts - Grainews](https://feedsoft.ai/events/32852-usda-increases-beef-production-forecasts-grainews.md) | +0.4% | +5.1% |
| FCATTLE | 2018-06-08 | [Projecting feeder cattle prices in 2018](https://feedsoft.ai/events/64683-projecting-feeder-cattle-prices-in-2018.md) | -1.6% | +4.2% |
| FCATTLE | 2020-07-30 | [Cattle futures look for price direction](https://feedsoft.ai/events/52236-cattle-futures-look-for-price-direction.md) | +2.0% | +0.4% |

## Sources

- beefmagazine.com: https://www.beefmagazine.com/farm-business-management/increasing-beef-production-what-it-means-for-cattle-prices

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.