Iowa dairy farmers boost profits by selling crossbred male calves as beef, earning $2.50–$3.50 more per hundredweight of milk.

Iowa dairy farmers are breaking even or making small profits in 2026, driven by lower corn prices reducing feed costs and rising beef prices boosting income from calf sales. With declining cattle numbers increasing beef demand, dairies are crossbreeding male calves with beef bulls like Angus, producing crossbred steers worth over $1,000 each. This strategy adds $2.50 to $3.50 per hundredweight to milk revenue. Farmers now breed most females for replacement heifers and use beef bulls for males, maximizing profits from the strong beef market while managing surplus bull calves.