Retail Beef Prices Hit Record High

NEW YORKThe retail value of beef hit an all-time high this past week and will likely continue to set new records in coming weeks, The Wall Street Journal  reported. USDA predicts retail beef prices will end up 3% to 4% higher by the end of the year, and analysts say the high prices may drive consumers to alternative meat options, such as chicken patties or veggie burgers.

Beef prices have continually increased since December 2012, and pork values recently rose as well, according to data from the U.S. Department of Agriculture. Choice-grade beef prices rose to $2.1137 per pound on May 23, breaking a wholesale price record set in 2003.

Wholesale beef prices rose due to droughts during the past two summers in Texas, Oklahoma and other cattle-ranching states, WSJ reported. Cattle herds in the United States shrunk by 2% at the end of 2012 compared to 2011, dropping to 90 million, the lowest level since 1952.