Even in the face of surging grocery prices, retail beef and pork prices cause sticker shock
Laura Reiley, 29 May 2021
As food prices continue to rise, beef and pork have surged out front.
Overall food prices rose 0.4 percent from March, and are up 1 percent from a year ago, according to data released by the Bureau of Economic Analysis on Friday. The price of pork soared 2.6 percent in the month of April and 4.8 percent from a year ago, adjusting for seasonality. And while beef and veal prices stayed fairly flat for the month, they are up 3.3 percent from a year ago.
In a season that routinely sees increased demand for beef and pork, this goes far beyond people excited to get back outside to barbecue.
Michael Nepveux, an economist for the American Farm Bureau Federation, ticks off the factors contributing to skyrocketing prices: Labor shortages in the meatpacking industry on the heels of months of slowdowns and shutdowns due to covid-19; a surge in restocking food service as restaurants reopen; high grain and transportation costs; and strong exports and domestic demand.
“Consumers may have become more comfortable cooking some of this stuff at home during the pandemic,” Nepveux said. “And while recessions tend to not treat beef consumption well, the government stimulus offset that somewhat.”
