July 6, 2022
US beef and pork prices declined in May, but expected to rise again
Beef and pork producer prices in the US declined in May this year, but prices are expected to bounce back due to increased slaughter later this year, Bloomberg reported.
Data from the US Labour Department showed prices paid to beef and veal producers dropped 9.5% from prices in April, and is about 14% year-on-year. The data also showed producer prices for pork were also down.
Unlike beef and pork, chicken prices are rising because the spread of bird flu in the country has affected the supply of US poultry.
The US Department of Agriculture anticipates a higher slaughter rate of hogs and cattle this year, including cows typically held back for breeding. This has led to a decrease in the price of red meat at the producer level, which amounts to wholesale prices and is not guaranteed to trickle down to consumers.
If there are fewer cattle and pigs in 2023 and beyond as a result of this year's increased slaughter, red meat prices may rise even higher.