Business
Tyson Expects Pressure on Cattle Herds for Foreseeable Future
U.S. cattle herds may be smaller for the foreseeable future as ranchers show few signs of building up the nation’s livestock supply, said executives from Tyson Foods, America’s largest meat supplier.
Officials at the Arkansas-based company said the shortage of cattle on U.S. pastures is expected to last through at least 2026 and 2027. Last week the U.S. Agriculture Department said the cattle herd was at its lowest level since 1951. The tighter supply is driving up cattle costs and squeezing meatpackers like Tyson.
“The data that we see indicates an ultimately smaller herd,” Tyson Chief Operating Officer Devin Cole said on a call with analysts. “Cattle are going to remain extremely tight.”