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Premiums for beef-dairy cross calves shrinking in percentage terms

Jamie Luke and, Jerad Jaborek (July, 2026)

Summary

This article examines how prices for beef-dairy cross calves have changed relative to dairy bull calves as beef-on-dairy crossbreeding becomes more common in the United States. Using USDA auction data from Kentucky and Pennsylvania between 2020 and 2025, the authors found that beef-dairy cross calves earned higher premiums in dollar terms, but those premiums declined as a percentage of the overall calf price. This trend reflects rising cattle prices, limited U.S. beef supplies, and strong consumer demand for beef. The article explains how beef-on-dairy breeding can improve revenue opportunities for dairy producers while highlighting the importance of monitoring market trends when making breeding and calf marketing decisions.