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By Jessie Stewart
CSU Extension Agent 

Extension Spotlight

The American beef industry needs support from consumers now

 

August 19, 2020



Personal safety guidelines that were put into place during COVID-19 have been successful in many regards. The number of new cases within our State is steadily declining and becoming much more manageable for the health care system. However, these restrictions have had detrimental effects to the meat industry and the economy, as a whole. Consumers have isolated themselves and stayed at home, employees at meat packing facilities have had their hours slashed and nearly every American has changed how they purchase and consume their meat products.

This combination of factors has gouged prices for livestock producers by upsetting the supply and demand chains dramatically. And although producers of every livestock species are feeling the repercussions of the global pandemic, beef producers have been hit especially hard. Consuming American beef has always been a luxurious experience for consumers. Not only is it more popular within the food service industry but, Americans regularly purchase and consume beef while knowing it is the highest priced protein in the market.

According to the United States Department of Agriculture, there were 700,000 less cattle killed throughout the country in May of this year compared to last year. And there was about 650,000 less cattle killed in April than March of this year. This creates competition for consumers and unfair, always fluctuating prices for producers. Outside of just this, many American consumers have had to pull money out of their food expenditures to at-home-spending because of price changes and income loss.

Like previously mentioned, many consumers have also changed how they purchase food for their families. Instead of buying only what meat that they need, consumers have panic-purchased large quantities of meat which has short-term and long-term consequences. In the short-term, other consumers are left with a limited selection and have also began to panic due to lowered supplies. But, perhaps more importantly, in the long-term, when meat processing facilities return to normal operations, there will be less meat needed by consumers because their freezers are already stock piled. This creates a potential for a large amount of waste and disadvantages producers.

In order to help producers in this time, consumers must do three very important things: trust the producers, avoid panic-purchasing and move some of their at-home-spending money to food expenditures. It is crucial that American consumers continue to have respect and trust for producers even in uncertain times. Consumers should feel reassured by the fact that every single American beef producer continues to work diligently to provide high-quality product even while facing some of the biggest hardships this generation knows.

It is also important to consistently purchase the meat that you need to avoid large amounts of waste and disproportioning the supply and demand chains in the near future. For consumers that already have full freezers, try moving some at-home-spending to external food expenditures. Some of the highest prices are obtained by producers and packing plants selling higher-priced cuts to restaurants. The restaurant industry is responsible for selling a high percentage of more profitable cuts and is a large piece in what will allow the meat industry to remain successful.

While many things are unknown at a time like this, one thing remains certain: the changes that have come from the restrictions put into place during the global pandemic have caused record-levels of uncertainty within the meat industry and have disadvantaged beef producers throughout the country. However, another for-certain fact is that American consumers are more than capable to pull together and do their part in alleviating some of the misfortune that the meat industry is facing.

 

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