One segment of the local agricultural community that isn’t struggling for a market is the beef industry.

Unlike grape farmers, who are dealing with Refresco canceling local grape contracts, farmers who are raising beef cattle are still seeing strong consumer demand and price increases in the market. Southwestern New York Dairy, Livestock, and Field Crops Team Livestock Specialist and Team Leader with Cornell Cooperative Extension, Amy Barkley, said nationally, consumer demand for beef remains strong, even considering price increases.

“According to the USDA, this is primarily a result of the continued trend of declining cattle numbers in the commodity market caused by the ripple effect of droughts that have been plaguing the Midwest since 2019,” Barkley said. “The national calf herd is at a 75-year low. More locally, beef demand remains strong, too. Many consumers are looking to buy from their neighborhood farm. Purchasing a whole, half, or quarter from a local farmer remains one of the most cost-effective ways to purchase beef.”

The expected continued rise of input costs is one of the main challenges beef cattle farmers are currently facing, something that Barkley said is expected to continue to put a crunch on local farmers. Diesel and fertilizer cost increases are also impacting farmers right now, and Barkley added it is likely that grain prices will be impacted as well later this year if prices stay high.

“Calf prices are proving a unique challenge to beef producers, with both dairy bull and beef-type calves hitting record highs since they started climbing in 2022,” Barkley said. “Because of this, operations that purchase in calves to raise and finish versus producing them on the farm are seeing a significant impact to their bottom line, and many will be forced to raise meat prices as a result. These unprecedented prices are also in large part a reflection of the national beef herd shortage.”

There are positives that come with high cattle prices as well, Barkley said, with beef cattle prices up for those looking to sell their animals, but also dairy farmers are realizing there is an increased value in their cull dairy cows, also selling at record highs.

“Cull dairy does move into the beef market, after all,” Barkley said. “This adds additional value to the dairy sector in addition to increased prices for bull calves and the new common co-product of the dairy sector: beef on dairy cross calves.”

Processing accessibility continues to be a challenge for beef farmers, especially for those looking to sell individual cuts or to sell beef over state lines, Barkley said. Processing facilities, whether custom or USDA, have long wait lists, and some farms must travel over an hour to bring their cattle to market.

“We are generally seeing a movement where processing facilities are reducing the number of head they’re processing, adding to the problem,” Barkley said. “That said, there are facilities that are transitioning over to USDA and or being brought online as either custom exempt or USDA certified to help improve the bottlenecks around processing. In September 2025, a new New York State Department of Labor Butcher Trade was launched to increase awareness of the potential job opportunities and training of qualified butchers. While too early to understand the impact of this program, it is gaining interest across the state.”

While other markets see challenges in having a small number of places buying their goods, such as grapes with Refresco, Barkley said she does not see that being a problem for the beef market in the area. The beef sector in southwestern New York is mostly made up of independent farms who are not growing cattle under a contract, and marketing their products is up to each individual farmer. Their success is a direct result of their product quality and marketing efforts, Barkley said.

For beef cattle farmers currently facing challenges, there are a few things Barkley said they can do.

“As we navigate challenges with rising inputs and processing availability, it’s imperative for farmers to regularly review their costs of production and adjust pricing accordingly to maintain a desirable profit per animal,” Barkley said. “While cutting excess costs where it makes sense is not a bad idea, skipping on the quality of inputs may not be a sound choice; that will be up to each individual farmer to decide. Strategically raising prices can help overcome increased input costs without sacrificing their quality.”

For example, Barkley said raising the prices of steaks may make sense for a farmer if the goal is to keep the price of ground beef and stew meat the same. Farmers may also decide to feed a higher quality forage if they would like to decrease the amount of grain they are providing during the finishing phase.

“Talking over your process with someone familiar with beef production and pricing, such as your local extension agent, can help you get a second set of eyes on what you’re doing, and can provide insight into ways to improve efficiency and weather the storm,” Barkley said. “Farming trends are cyclical by nature, and this too shall eventually pass. Reviewing operational efficiencies, targeting marketing, and ensuring product quality will help keep more dollars in your pocket and customers returning.”