Smallest herds in more than 60 years expected to drive beef and pork prices even higher.
“This year cattle prices have moved up to record highs on both sides of the border and it’s starting to impact meat prices at the grocery store,” says Scotiabank’s senior commodities expert and vice-president of economics, Patricia Mohr.
Rising meat prices in the U.S. are already beginning to affect American consumers. according to the Wall Street Journal.
“Current costs for beef are higher than I’ve ever seen in my 41 years at Wegmans,” writes Mary Ellen Burris, vice-president of the U.S. grocery chain. “Our meat experts tell me the current inventory of cattle in this country is the smallest in over 60+ years!”
High meat prices are essentially a question of supply and demand. The global appetite for meat continues to grow as the middle class in developing countries grows richer.
At the same time, high feed costs in the past several years and persistent drought in the U.S. have driven farmers to cull herds in traditional cattle country, including Texas.
What about pork?
Pork prices hit a record this summer when Porcine Epidemic Diarrhea decimated U.S. herds, says industry analyst Kevin Grier. The disease swept through 27 states killing virtually 100 per cent of piglets under two weeks old, pushing pork prices to new records.
Interestingly, there is no mention of the 100,000 head of cattle wiped out in South Dakota last October by an early-season record-breaking blizzard.
Thanks to Lynn Garnet for this link
Beef prices up 17% in Canada
Prices for some cuts, such as brisket, up by 65 percent.
Bacon packages shrink as pork prices soar
Four fewer slices of bacon per package.