The detection of New World screwworm in Mexico has greatly impacted the U.S. cattle industry.
USDA is currently in the process of creating a program that would allow live cattle imports to resume from our neighbors to the south.
“Establishing what’s called a pre-clearance program so that we will inspect cattle that are destined to be imported to the United States from Mexico. It will be kept in holding pens. Our inspectors will inspect the holding pens and the cattle in that prior to moving to the United States, so they are developing that system there is a strong commitment from both governments to try to reopen trade as soon as possible in a very safe way,” according to Jennifer Moffitt, Under Secretary for Marketing and Regulatory Programs.
However, until put in place, that pause on imports is expected to have a major impact on the United States’ beef cattle production.
“For the purpose of our forecasts, we have to assume those restrictions remain in place until they’re lifted and we have no idea when they’re going to be listed. Beef production for 2025, we reduced by 20,000,000 lbs, and that would be down about 1.3 or almost 1.4 billion pounds year-over-year,” Mark Jekanowski with the World Agriculture Outlook Board explains.
Tighter supplies also mean higher prices, as reflected in the markets.
USDA anticipates steer prices to increase $3 compared to last month.
