The price of beef recently hit a record high according to KUT News, and it’s not just the drought driving prices up.
David Anderson, agricultural economist at Texas A&M University, said the are a few more contributing factors to the increased price. They are:
- Record high feed prices due to the expanded use of corn to make ethanol
- Feed costs more because production expenses, like diesel and fertilizer, have gone up
- Higher costs have caused ranchers to produce less beef
- The rest of the world does not produce grain fed beef. American beef is marbled, tender, and has more flavor.
- The uniqueness drives up export demands. The USDA predicts record export growth this year.