Screwworm threat at border puts a strain on Panhandle feedyards

AMARILLO, Texas (KFDA) - Cattle producers across the Texas Panhandle are feeling the impact of a temporary livestock border closure with Mexico, a move aimed at stopping the spread of the screwworm.

The U.S. cattle inventory is already at its lowest level in 75 years. At the same time, consumer demand is nearing record highs.

Supply shortages hit feedyards

Mexico typically supplies about 15-20% of cattle in Texas, Oklahoma and New Mexico.

The Texas Cattle Feeders Association (TCFA) Chairman Laphe Laroe says the numbers are staggering, decreasing from more than 1.2 million cattle to around 250,000 head of cattle.

TCFA normally markets up to 6 million cattle in in the three-state region.

“That 1.2 million head that we normally catch has dropped down to about 250,000 head is all that got crossed this year,” said Laroe. “You’ve got that along with prior droughts over the past few years and a reduction in the cow herd. So you take those two combined and it really seriously lowered our placements here in our three state area.”

Placements in feedyards during August totaled 1.78 million head, 10% below 2024.

With roughly one million fewer head expected to cross into the U.S. this year, feedyards are seeing tighter supply and increased competition for feeder cattle.

This drives up costs and leaves more empty pens.

Laroe says U.S. cattle inventories are the lowest they’ve been the past 75 years, and at the same time consumer demand for beef is the highest it’s been in 40 years.

Border closure affects multiple industries

The drop in cattle coming across the border doesn’t only impact feedyards.

It affects truckers, processors, veterinarians and workers on both sides of the border who help move cattle to market.

Federal and state officials say they’re working on a long-term solution, including a new sterile fly facility in South Texas to help combat the screwworm and eventually resume livestock crossings.

The facility is set to be operational by January 2026.