The Beef with Beef: Why are Beef Prices so High?

If you’ve been wondering why beef prices are so high, you’re right to do so. Beef prices in the U.S. have hit an alarming $8 per pound, breaking the previous COVID-19 record by 10 cents. This spike has left consumers and analysts questioning the factors behind the steep increase.

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Record low rainfall raises beef prices

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The southwestern U.S. experienced its driest season in 1,200 years during 2020-2021. Though the historic dry spell has eased, hay supplies are low, and feed costs remain too steep for many cattle farmers. Some ranchers are opting to sell off cattle rather than bear the burden of feeding them. Consequently, the national herd size has dwindled to a 61-year low, impacting beef production.

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Climate crisis impacts the meat industry

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Human behaviors have significantly worsened the situation, underlining the crucial need to live in harmony with our environment. Human actions contributed to 42% of the soil moisture deficit since 2000. Carbon pollution, tied to industries worldwide, has led to rising temperatures and extreme weather events, including the drought affecting cattle farming.

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COVID-19 threw a curveball

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COVID-19 disrupted the beef supply chain and triggered panic buying among consumers anticipating a shortage. This resulted in unusually high demand and subsequent price hikes for beef. Another factor is the unfortunate Russia-Ukraine war. It caused a surge in the prices of key cattle feed ingredients like soy, corn, and wheat. As a result, farmers can’t afford to support as many cattle, leading to scarcity and subsequently driving up beef prices.

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Navigating the rise in beef prices: practical measures

As we face the pinch of skyrocketing beef prices, there are some practical and sustainable steps to eat less beef:

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1. Diversify your protein sources: Broaden your protein choices by incorporating poultry, fish, or plant-based options. This not only helps lower your carbon footprint but also lessens the reliance on expensive meat products. A diet with meat costs nearly $750 more per year than a meatless diet.

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2. Choose higher-value cuts: To get the best value for your dollar, don’t just pick the cheapest cuts of beef. The right cuts of beef depend on the recipe you’re making. Being mindful of your beef choices can provide a balance between taste preferences and budget considerations.

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3. Shop local and in-season: Purchasing beef from local sources and choosing cuts that are in-season can help cut down on transportation costs and ensure a fresher product. Supporting local farmers aids the community, is more sustainable, and offers competitive prices. For instance, Beef Shares come out to about 25% below the cost of buying cuts individually.

Choosing to cut back on meat consumption not only aids in cost reduction but also contributes to significant environmental benefits. If you've been contemplating a shift towards reduced meat intake, it could be an opportune moment to take that step.