Higher Beef Prices Could Crimp Long-term Demand
Washington--Beef prices are expected to remain high for the next few years, which could put a crimp on long-term demand, according to the Washington Post.
Average retail prices of beef have climbed from $4.18 per pound in July 2009 to $4.44 per pound last July, a change largely due to a tight supply of cattle.
“You’ve got a whole bunch of things coming together and it’s driving all meat prices higher,” said Ken Mathews, an agricultural economist with USDA. “Beef is the highest price of the meats so that’s the one that gets the notice.”
Demand is expected to drop for beef, with poultry and pork expected to fill the gap. Consumption of poultry - chicken and turkey - is forecast to climb by 8.4 percent to 107.9 pounds per person by 2019, according to USDA.
“It puts beef in a difficult demand situation longer term,” said David Anderson, a Texas A&M University livestock economist.