July 29, 2025

U.S. and EU Agree to Trade Deal

The United States and the European Union agreed to a trade deal. The BBC said that it ends a standoff that lasted months between two of the world’s biggest economies. Make-or-break negotiations recently took place between President Donald Trump and European Commission President Ursula von der Leyen in Scotland. At the conclusion, they agreed to a U.S. tariff of 15 percent on all goods from the EU, which is half of the 30 percent import tax rate that Trump had threatened to implement beginning on Friday. Trump added that the EU would open its 27-member bloc markets to U.S. exporters with zero percent tariffs on certain goods. Von der Leyen also applauded the deal, saying it will bring more stability to both sides, which together account for approximately one-third of global trade. One of the EU’s top officials called the deal a “framework” and said the technical details would be negotiated soon.

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Smallest U.S. Cattle Herd Since 1973

The July Cattle on Feed Report offered little relief to customers paying higher prices for beef. That’s despite the cycle of herd liquidation that seems to be slowly ending. There were 94.2 million cattle and calves in the U.S. as of July 1, the lowest mid-year number of cattle since 1973. The USDA also said the number of animals placed in feedlots for weight gain before being sent to packers plunged to its lowest level since 2017. Bloomberg said a severe shortage in the world’s largest beef-producing country has sent cattle costs soaring, wiping out billions in profits for packers and driving record-high beef prices in U.S. grocery stores. Dr. Derrell Peel at Oklahoma State University says the latest USDA numbers offer little indication of herd rebuilding or, at least, it’s not very aggressive so far. “The number of heifers in feedlots remained mostly stable,” Peel told Bloomberg. 

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Infested Cherries Intercepted at Detroit Airport

U.S. Customs and Border Protection agriculture specialists intercepted fresh cherries infested with the European cherry fruit fly on June 19. The pest was discovered during a secondary inspection of a five-pound bag of cherries that were coming into the Detroit Metropolitan Airport. The fruit was heavily infested with live fruit fly maggots and was being transported by someone flying into Detroit from Romania. The traveler’s destination was Fish Creek, Wisconsin, which is one of the major tart cherry-producing regions in the U.S. The Detroit Port Director said this was an “excellent interception” by their agriculture specialists. This is a pest that can pose a “major threat” to cherry orchards across the country. European cherry fruit flies have already been discovered in several New York counties, which are now under quarantine to prevent the flies from spreading into other states. The fruit fly is currently the pest that’s infecting most European cherries.

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Falling Farmer Responses to Surveys are a Growing Problem

Numerous stakeholders, like farmers, Extension Services, researchers, and policymakers, all rely on the data that USDA has collected for more than 150 years. The data is collected through agencies and programs like the National Agricultural Statistics Service and the Economic Research Service. Decreasing responses to USDA’s farmer surveys are beginning to put the integrity of the data at risk. One of the biggest challenges to getting a good survey response is timing. Unfortunately, many survey collection periods overlap with farmers’ busiest times. For example, leading up to the June 30 Planted Acreage Report, NASS contacted almost 92,000 farmers during a time that overlaps with the end of planting and spraying seasons for many row crop farmers. A Farm Bureau Market Intel page says USDA should look to examine ways to increase participation and reliability without imposing more burdens on the already too busy growers whom the data is designed to serve. 

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2024 Total U.S. Farm Production Costs Down From 2023

U.S. farm production expenditures were estimated by the USDA at $477.6 billion in 2024, down from $481.9 billion in 2023. The 2024 total farm production expenditures were down 0.9 percent compared to 2023. The four largest expenditures in the U.S. totaled $230 billion, which accounted for 48.1 percent of total expenses. They included feed at 15 percent, farm services at 11 percent, labor at 10.8 percent, and livestock, poultry, and related expenses at 10.4 percent. During 2024, total farm expenditures per farm were just over $254,000, down 0.4 percent from $255,000 in 2023. During 2024, crop farm expenditures dropped to $252.3 billion, down 0.1 percent, while livestock farm expenditures decreased to $225.3 billion, down 1.8 percent. The largest expenditure for crop farmers was labor at $38 billion, farm services, fertilizer, lime, soil conditioners, and rent. Combined crop input costs reached $72.2 billion, making up 29 percent of total crop farm costs. 

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American Lamb Board Looking for New Members

The American Lamb Board is looking for new members in 2026, creating an excellent opportunity for industry involvement. Any U.S. producer, feeder, or first handler who owns or purchases lambs may be considered for nomination. “As the current ALB Chairman, I strongly encourage sheep producers to consider filling one of the positions on the Lamb Board,” says Jeff Ebert. “Serving on the Lamb Board gives you firsthand insight into how the checkoff dollars are spent, making it a very educational and rewarding experience.” The USDA established the American Lamb Board to maintain and expand the market for sheep and sheep products. The board is responsible for developing goals and strategies, managing checkoff funds, establishing board and staff policies, and evaluating programs. The 13-member board includes representatives from two regions. Region One is east of the Mississippi River, and Region Two is west of the Mississippi. The nomination deadline is September 8. 

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