Good Ranchers reported a decrease in meat supplies to the United States
A new recession - this time a meat one. Online meat delivery company Good Ranchers warned consumers on social media that "a meat bust is coming and supply will be tight" as the U.S. cattle population continues to decline.
“Cattle numbers have declined due to droughts,” Good Ranchers wrote on their Instagram account. "Our total meat supply for the coming year has decreased significantly. This is one of the main reasons for the coming meat recession."
Walter Kunisch, senior commodities strategist at Hilltop Securities, agreed, saying U.S. meat supplies will continue to decline through 2023, further pushing up beef prices for consumers in the first half of 2024. “We believe that the acute and prolonged drought in the southwestern United States is driving an increase in beef cattle culling, leaving the United States structurally short of beef cattle and beef,” the expert said.
The number of cattle moving from pasture to feedlots in preparation for slaughter fell 4% year over year nationwide in September, according to the U.S. Department of Agriculture (USDA). In some areas, such as Kansas, the rate was as high as 11%. That, combined with the higher cost of certain feed crops as well as operating costs such as fuel and labor, is leading to "continuously higher cattle prices, which could lead to higher beef prices," Kunisch said. .
We can only hope that the recent proliferation of enthusiasts for switching to protein from insects does not use this situation to advance their agenda.
Source: Telegram channel “Vatnik in America”
