HULL, Iowa – For Craig Moss, Iowa Cattlemen’s Association president and fifth-generation Hull cattle producer, the recent decline in feedlot placements came as no surprise, given the historically-low U.S. cow herd.

“With fewer calves available, placement numbers are naturally impacted,” he told Farm World. “Despite producers’ desires to grow their herds, this trend underscores broader challenges facing our industry that must be addressed to ensure long-term stability and growth.”

Moss, who operates a 1,000-head feedlot and also grows corn, soybeans, oats, rye and forage sorghum, said limited access to pasture, affordability of inputs, and availability of capital are all placing pressure on producers’ ability to expand or even maintain herd size.

“At the same time, the industry must prioritize creating opportunities for young and beginning farmers to enter our industry, and succeed in cattle production,” said Moss, whose two sons, McCoy and Merritt, are now the sixth-generation to help run the northwest Iowa farm, along with his wife, Hayley – the very farm that his great, great-grandfather bought in 1907.

“Continued work to address these factors is crucial to rebuilding the cow herd, and strengthening the entire beef supply chain,” he added.

According to the USDA’s April 17 report, cattle feedlot placements during March totaled 1.71 million head, marking a 7 percent decrease from 2025, and representing the second-lowest March placements since the data series began in 1996. Net placements reached 1.66 million head during the month, the report added.

During March, the report said, placements of cattle and calves weighing less than 600 pounds were 320,000 head; 600-699 pounds were 250,000 head; 700-799 pounds were 435,000 head; 800-899 pounds were 474,000 head; 900-999 pounds were 170,000 head; and 1,000 pounds and greater were 60,000 head.

The report said marketings of fed cattle during March totaled 1.63 million head, 6 percent below 2025. March marketings also represented the second lowest figure for the month since the series began in 1996.

Andrew P. Griffith, University of Tennessee professor of agricultural and resource economics, told Farm World the primary factor contributing to the decline in the quantity of cattle placed on feed in March 2026 is due to the small cattle herd that results in smaller calf crops.

“If drought was not persistent across a large portion of cattle-producing regions, then the quantity of cattle placed on feed would have likely been even lower,” he said. “However, the drought situation will continue to result in cattle producers moving heifers off the farm and into feedlots. It doesn’t really matter how high cattle prices move if environmental conditions result in reduced forage and feed production.”

He said what stood out the most in this report was the quantity of cattle marketed totaled 1.6 million head, which was in line with pre-report estimates and slaughter estimate data: “What should set the headline of this information is when a month with extremely low placements results in a month where placements still exceed marketings. It may be a strong statement to say cattle are backing up in this price environment, but the data points in that direction.”

He said if drought continues to persist, there will not be much information to suggest cattle herd rebuilding: “In fact, the market may see more cattle placed on feed than expected as a large percentage of heifers continue to make their way into the feeding system. Thus, the July 1 Cattle Inventory Report will likely continue to reveal what is actually happening in cattle production.

“My expectation is more heifers on feed than we would have expected on Jan. 1, and an expectation for a smaller calf crop in 2026,” he said. “I know the calf crop in 2026 should not be impacted much by what has happened the past few months, but I still think there will be an impact.”