LUBBOCK, TX – Record-high beef prices at the retail level may soon begin to moderate. After hitting a peak in June, the wholesale market has started trending downward.
Retail prices have climbed in recent months due to reduced slaughter rates and tight beef supplies just as grilling season peaked. That led to a sharp rise in both wholesale and consumer prices according to Dr. David Anderson, a livestock economist with Texas A&M AgriLife Extension.
The Choice boxed beef cutout topped $394 per hundredweight four weeks ago but has declined steadily since. Ribeyes dropped from $14.18 to $10.50 per pound, and loin strips fell from $11.84 to $9.68. Lean boneless beef remains high, with 50% lean product hitting a record $2.62 per pound.
Seasonal trends suggest prices usually ease after July 4th. While it’s unlikely retail prices will fall below last year’s levels, the current drop in wholesale prices indicates that relief may be coming in the weeks ahead — though with the usual lag between wholesale and retail movement.