Price Relationships of Beef X Dairy Calves and Dairy Calves

Apr 02, 2026

By Charley Martinez and Parker Wyatt et.al

Over the last few years, the Beef X Dairy (BxD) markets have gained attention due to the rise in BxD prices. Day-old calves (80-90 pounds) have gone from $50 per head a few years back to recent Pennsylvania auction data showing 80-89 pounds BxD calves averaged $1706.21 per head for the week ending March 21^st. A question that has been asked recently is centered around the value of purebred dairy calves compared to BxD calves. For the same week, 80-89 pound purebred dairy calves averaged $1329.60 per head, a difference of $376.60. This SAT examines the premium over time for BxD calves over purebred dairy calves.

The United States Department of Agriculture’s (USDA) weekly New Holland Pennsylvania market report currently provides the most extensive and consistent information regarding the price of BxD and purebred dairy calves. Very few markets report BxD calves separately, and there may be variation in local prices influenced by regional differences in demand, transportation cost, and buyer composition. Figure 1 shows the price premium received for BxD calves over purebred dairy calves at the Pennsylvania market for the previous 5-year average (2020-2024), 2025, and 2026.

The chart shows a consistent premium per head for BxD calves relative to purebred dairy calves with increased premiums during August through October. During 2020–2024 (thick red line), the average premium ranged from about $130 (first quarter) to $200 per head (August-October). In 2025 (dotted line), the premium was notably higher than the previous 5-year average, beginning the year at approximately $255 per head in January, climbing through the spring, and reaching its highest levels of about $450–$470 per head in early fall, before declining toward year‑end. In 2026 (thin solid blue line), there has been an even larger premium than last year, approximately $340 in January and over $420 per head by February. This suggests an exceptionally strong relative demand for BxD calves compared to dairy calves during that period.

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