When history looks back on 2024, it may remember less chaos than in recent years. In fact, the beef industry had some notably positive milestones, even as it faced its own set of challenges. Here’s a brief overview from the editors at Progressive Cattle on the year's biggest news stories.
HPAI hits U.S. dairies
In late winter/early spring this year, dairy farms in Texas, Kansas and New Mexico reported flu-like symptoms affecting older midlactation cows.
On March 25, the USDA confirmed samples from dairy cows tested positive for highly pathogenic avian influenza (HPAI or H5N1), which appeared to be introduced by wild birds on the farms.
A total of 334 cases of H5N1 were confirmed in dairy herds in 14 states. The most affected states were Colorado (64), Idaho (34), Michigan (29) and Texas (26). However, as detections were dwindling across most of the country, California reported its first case in late August and positive cases swelled to 134 by late fall.
Seventeen dairy workers also contracted the illness this year, suggesting animal-to-human contact. Most experienced mild symptoms, including eye redness or discharge (conjunctivitis).
The USDA provided resources to affected farms, including funding for enhanced biosecurity measures, animal testing compensation and reimbursement for lost milk. It is also supporting the development of a vaccine.
The safety of the commercial milk supply was maintained as milk from sick cows was diverted from the food supply chain and pasteurization was found to be effective at inactivating the H5N1 virus.
Record prices and cow inventory drops
Producers have been experiencing record prices in 2024 as cattle inventory is at an all-time low. To compensate for fewer cattle in the feedlot, cattle are spending more time on feed, resulting in larger-than-average carcasses. Tighter supplies of lean trimmings have kept processing beef prices higher this year and the demand for lean has increased demand for lean carcass cuts. Limited cattle numbers continued to push feeder prices higher despite the lack of stocker demand this fall. While cow slaughter has decreased throughout the year, heifer retention has not increased. Limited replacement options, coupled with high interest rates and other weather factors, conclude that herd rebuilding has not yet begun.
E-ID mandate for traceability
The USDA Animal and Plant Health Inspection Service (APHIS) issued its final ruling regarding e-ID tags on April 26, requiring tags to be used as a way to increase disease traceability for sexually intact cattle and bison 18 months of age or older, dairy cattle, and/or are of any age used for rodeo or recreation events, shows or exhibitions, effective Nov. 5.
The USDA final traceability rule amends the previous 2013 rule, switching producers to e-ID tags, which are easier to read and would yield a faster traceability response during a foreign animal disease outbreak. Aimed to help in the effort, a provision of $15 million for e-ID tags was passed in the Consolidated Appropriations Act 2024 in early March.
The fire and the rain
Weather systems didn’t hold back this year, beginning with the brutal Smokehouse Creek Fire that rolled through Texas and Oklahoma in late winter. That wildfire led to 1,058,428 acres burned (1,653 square miles) and two fatalities before being contained on March 16.
Hurricane season took its toll in October as Helene ripped through several Southeast states, causing major damage in agricultural counties in Florida, Georgia, Tennessee, North and South Carolina, and Virginia. The American Farm Bureau estimated total damage in crops and livestock to be around $14.8 billion.
Farm bill expires … again
The Agriculture Improvement Act of 2018 – commonly referred to as the farm bill – expired on Sept. 30 with no new legislation to take its place. The 2018 Farm Bill was originally set to expire in 2023 but received a one-year extension before expiring this fall.
Budgets for food welfare and environmental programs, along with immigration, remain key sticking points between Republicans and Democrats in Congress in getting a new farm bill done. Several congressional delegates have said passing the omnibus legislation should be a top priority for the lame-duck Congress after the election, though most experts agree that seems unlikely.
Continued decline in 2024 feed prices
Feed prices continued a steady downward trend for most of the year. Across all the major hay-producing areas of the country, prices for both dairy and feeder hay saw significant declines from 2023 prices and have continued the downward trend, month to month, in 2024.
For the feeding sector, carryover from the 2023 crop, increased corn acres planted and harvested, and a generally high-yielding crop in major corn-producing states are all factors that have worked to keep feed prices at manageable levels.
Exports lower in 2024
Japan regained the title of the number one destination for U.S. beef exports, nearly matching export levels from the same time last year. Exports to South Korea – the top export destination in 2023 – and China dropped 12% and 10%, respectively. On a positive note, exports to Mexico are up 11% compared to this time last year. Total year-to-date exports are down roughly 4% from the same period in 2023.
Drought conditions shift
Drought conditions across the U.S. have improved in some of the worst-affected areas, but have increased in other regions over the course of 2024. While drought conditions improved in western areas of the Midwest, including parts of Iowa, Minnesota and Wisconsin, conditions worsened in parts of Ohio and Kentucky. For the Pacific and Intermountain West, much of the area saw improved conditions due to above-normal precipitation, though drought conditions have developed in Wyoming. Arizona and New Mexico have seen improvement in drought conditions, but forecasters predict worsening drought for their neighbors in the South and Central Plains.
Editors David Cooper, Abby George, Karen Lee, Tyrell Marchant, Carrie Veselka and Paul Marchant contributed to this report.