Beef prices rise with decline in cattle ranchers and high demand

SOUTHEAST MISSOURI, (KBSI) – Memorial Day means more families will be firing up the grill, but consumers may find a higher bill at the checkout line as beef prices are continuing to hover around record high.

According to the US Bureau of Labor Statistics beef is on average $6.90 per pound currently. Over a dollar more than the average in 2025.

 Ian McGregor is a Livestock Field Specialist for the University of Missouri Extension; he shares that many cattle ranchers throughout Missouri and surrounding areas are still recovering from harsh drought conditions seen several years ago.

 “When you have drought, you have less water, less water means less grass and so less grass means that, the land can only support so many cows. So, a lot of producers, when this drought hit, had to get rid of a lot of cows” says McGregor.

Another reason those prices continue to rise according to McGregor is the low supply and high demand. The demand for beef stays steady even with the higher prices. 

 “People just, keep throwing their money at beef, and it’s still the demand has not diminished at all and I mean, it’s one of the most delicious and healthy things you can put in your body” says McGregor.

McGregor shares that consumers should expect to continue seeing higher beef prices for the next several years.

“Alot of my ag economics and business friends seem to think that these high prices will be around for the next three years at a minimum, it could take a little while.” 

McGregor shares the beef industry has also seen quite a decline in cattle ranchers with the average aged cattle rancher in the US being in their 60’s, and the hard work and other challenges that come with cattle ranching making it unappealing to many.

“You know it doesn’t make a very convincing argument when the beef industry historically has not been a major moneymaker or it’s a very tough business” says McGregor. “You have to be a very creative, smart, hardworking individual, to be able to make it in this type of business.”

Meat Price Indexes : U.S. Bureau of Labor Statistics