PEORIA, Ill. – It comes as no surprise, but the continued increase in beef prices at the grocery store can partially be blamed on COVID-19.
Labor and supply chain issues are continued stressors for beef producers, and cattle farmers. But, one official says you may share some of the blame for those increased prices, too.
“The shelves on the grocery stores were being depleted, and part of that was because there was just not enough hours in the day for the workers who were able to do that processing, to get things moved from the plant into the retail shelves,” said Tasha Bunting, Associate Director of Commodity and Livestock Programs, Illinois Farm Bureau.
Bunting says that was just at the start of the pandemic. She says it caused both processors and producers to reevaluate how they did things, but prices are still increasing.
“They were subject to whatever the current market values was. That’s basically what they were able to receive,” said Bunting.
However, Bunting says the price producers have been receiving is decreasing, and their expenses are rising. That, coupled with drought conditions in some areas, the issues of supply and demand, and other matters, have made things difficult.
But, Bunting says, there is hope.
“We should see some strong prices for our cattle here in the next several months. That’s good news for our farmers,” said Bunting. “But, you couple that with high food prices, and it may not be as great as it was five or ten years ago.”
President Joe Biden’s proposal to increase competition within the meat industry and lower prices for beef at the grocery store seems good, at first glance, says Bunting.
“We know that they are putting a lot of financing together for expanding the independent processing capacity throughout the United States,” said Bunting. “What exactly that looks like, right now, we’re not entirely sure.
In other words, Bunting says, the devil is in the details. But, Bunting says, cattle farmers are resilient, and they’ll be able to work within whatever frame they’re given, and they’ll still be strong.
