The USDA’s January 2025 Cattle Inventory Report revealed that we are living in historic times in terms of the U.S. dairy heifer population. The nation’s dairy heifer inventory dipped another 0.4% in the past year, adding to a cumulative decline of nearly 7% in the past 5 years.
In 2025, just 2.5 million head of dairy replacement heifers are expected to calve into the milking herd, the lowest level since USDA started tracking the metric in 2001. Less than a decade ago, that figure peaked at more than 3.0 million head. This illustrates a sharp contrast in dairy heifer inventories in recent years, and closely parallels the advent and growth of beef-on-dairy breeding. And replacement heifer values show it, breaking the $4,000/head mark last month in Minnesota.
Meanwhile, a continually shrinking U.S. beef cow herd, due in part to high market cow values, is keeping demand high for those beef-cross calves. They topped out at a whopping $1,100+ per head in two reported markets this month.
| Springing Heifers | Heifer Calves | Beef Cross Calves | ||
| Location (sale date) | Supreme/ Top | Approved/ Medium | 90-120 pounds | 60-100 pounds |
| Turlock, Calif. (1-24-25) | No test | $2,400- $2,800 | ||
| Lomira, Wis. (1-31-25) | $1,800- $2,400 | $1,200- $1,700 | $250- $500 | $680- $1,100 |
| Pipestone, Minn. (1-16-25) | $3,700- $4,150 | $3,400- $3,700 | No test | No test |
| New Holland, Pa. (1-27-25) | No report | No report | $410- $700 | $800- $1,160 |
