Smallest U.S. cattle herd in decades sees further 1% decline

The latest U.S. Department of Agriculture Cattle Inventory Report confirms what many in the livestock industry have anticipated: The U.S. cattle herd continues to shrink. Even last year after reaching its lowest level since 1951, the industry continued downward. 

As of January 1, 2025, the total cattle and calf inventory stood at 86.7 million head, reflecting the ongoing contraction of the national herd.

Key findings from the report include:

• All cows and heifers that have calved totaled 37.2 million.
• The beef cow population declined by 1% to 27.9 million head.
• The number of milk cows saw a slight increase to 9.35 million head.
• The estimated U.S. calf crop for 2024 was 33.5 million head, slightly down from the previous year.
• Cattle on feed inventories were reported at 14.3 million head, a 1% decrease from 2024.

With no strong signs of herd rebuilding, agricultural economists suggest that the U.S. cattle inventory could continue to tighten. Strong heifer prices have provided little incentive for producers to retain breeding stock, further slowing the recovery process.

The National Agricultural Statistics Service compiled the report by surveying approximately 36,100 producers across the country during early January. Respondents provided inventory figures for their cattle as of January 1, 2025, and calf crop data for the entirety of 2024. This comprehensive data collection effort ensures an accurate assessment of the current state of the U.S. cattle industry.

While the January report remains a crucial tool for industry analysis, the USDA’s decision last year to discontinue the July Cattle Inventory Report has drawn criticism. The department cited budget constraints as the reason for the move, but organizations such as the National Cattlemen’s Beef Association have labeled the decision as misguided. Agricultural economist Dr. Darrell Peel has expressed concerns that the absence of the midyear report will create a significant information gap for producers and analysts who rely on timely inventory data to make informed decisions.

As the cattle industry grapples with ongoing supply challenges, stakeholders will continue to monitor inventory trends closely. The full USDA Cattle report and other NASS publications can be accessed online here.