Prices for U.S. replacement dairy cows continued to climb entering the fourth quarter of 2024, hitting a new record-breaking high in October, according to latest quarterly estimates from the USDA. Meanwhile, average cull cow prices declined slightly in September but still remained near record highs.
U.S. replacement dairy cow prices averaged $2,600 per head in October 2024, up $240 (9%) from July 2024 and up $750 (41%) from October 2023.
The USDA estimates are based on quarterly surveys (January, April, July and October) of dairy farmers in 24 major dairy states, as well as an annual survey (February) in all states. The prices reflect those paid or received for cows that have had at least one calf and are sold for replacement purposes, not as cull cows. The report does not summarize auction market prices.
Quarterly average prices for replacement cow prices were up in 22 of 24 major dairy states (Table 1). Largest increases were in Oregon ($500), Washington ($450) and California ($350). Average prices were unchanged in Kansas and South Dakota.
Compared to a year earlier, October 2024 replacement cow prices were up $1,000 per head in Oregon, up $900 in Indiana, up $880 in Iowa and up $870 in Michigan.
Based on preliminary September 2024 cow estimates in the USDA's Milk Production report, U.S. cow numbers were estimated at 9.28 million head, down 38,000 from a year earlier. Among the 24 major dairy states, September 2024 cow numbers were estimated at 8.89 million head, down 20,000 from a year earlier and unchanged from the revised estimate for August 2024.
Read: Milk production up slightly in September
Market cow prices stay strong
With a month lag in reporting data, the USDA’s Ag Prices report indicated U.S. average prices received for cull cows (beef and dairy, combined) in September averaged $136 per hundredweight (cwt), down $6 from August but still near the highest average on record and up $22 per cwt compared to a year earlier.
Latest USDA data, released Oct. 24, showed the number of dairy cull cows marketed through U.S. slaughter plants in September 2024 was 210,400 head, down 20,300 from August and 30,100 fewer than September 2023. Year-to-date slaughter was estimated at 2,055.2 million head, down 323,900 from the same period a year ago and the lowest nine-month total to start the year since 2008.
Read also: September DMC margin is record-shattering at $15.57
