Tuesday, November 23, 2021
Tuesday, November 23, 2021

    America undergoes ‘meatflation’ as holiday season nears, rib-eye DOUBLES in price per pound

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    Families hoping to tuck into prime rib roasts, juicy sirloins and filet mignon may have no choice but to swap out their holiday favorites with cheaper alternatives thanks to the latest victim of relentless inflation—America’s meat, Your Content has learned.

    The reason for the spike in prices is a combination of supply chain crunches sparked by COVID backlogs, staffing shortages in meat plants and the fact that the few remaining workers are not physically able to get through as much as they were before due to social distancing requirements in meatpacking plants.

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    Startlingly high prices are appearing in meat aisles across the country in what shoppers have begrudgingly come to know as ‘meatflation’. Prices shown reflect an average of retail prices advertised in the week starting November 5.

    The data was released by the US Department of Agriculture. Every type of beef rose in price, with bone-in ribeye seeing the highest spike of 95% from the same week last year.

    Industry leaders say Biden’s vaccine mandate is also threatening their already dwindling staff count, and that another enormous problem is the fact that ocean cargo carriers are opting to ferry non-perishable goods like toys and technology over to the US from Asia, instead of taking export jobs of US meat to the rest of the world which risk being spoiled if they take too long to get there. 

    The cost of bone-in ribeye beef has nearly doubled from $8.71 per pound in November 2020 to an astounding $16.99 per pound this week, according to the US Department of Agriculture’s Retail Price Report that was released on Friday – an increase of over 95%.

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    All categories of uncooked steak have also risen along exponentially but chicken is cheaper now than it was last year, but still more expensive than 2019, although only marginally.

    The report took a weighted average of 80 stores across America for the week of November 5 until November 11.

    As well as shoppers, frustrated ranchers and farmers are finding themselves out of pocket after selling livestock for a loss, then seeing sky-high prices in stores. 

    Experts say the prices are likely to remain high until staffing problems are addressed—and that may not be until 2022, Texas News Today reported.

    The reason for the soaring prices is that the supply chain crisis caused by the unprocessed portion of COVID, the shortage of meat factories, and the requirement of social distance make it impossible to physically overcome as many workers as before. It is a combination of the facts. At a meat packaging factory, according to Bloomberg.

    Industry leaders say President Joe Biden’s vaccine directive is also threatening the already declining number of staff, and another big problem is that instead of sea freight carriers taking on exports, perishable goods such as toys and technology.

    “It’s crazy, people can’t afford that,” Ivan Korzenowski, a shopper who found a rib roast at a grocer in Regina, Saskatchewan, selling for for C$124 ($99) in late October, told Bloomberg. “Why is everything getting outrageously priced?”

    The cost of ribeye beef with bone has almost doubled from $8.71 per pound in November 2020 to $16.99 per pound this week-more than 95%, according to a U.S. Department of Agriculture retail price report released Friday.

    Supermarkets say shoppers are buying more store-brand meat products and trading down from beef to less-expensive alternatives such as chicken or pork, after prices for products such as rib-eye climbed about 40% from a year ago, according to research firm IRI. Some consumers are replacing boneless chicken breast with cheaper bone-in chicken, retailers told The Wall Street Journal.

    Retailers said they are securing larger amounts of cheaper meat products as they anticipate more shoppers will seek bargains.

    “Everybody is trying to find something that fits within their wallet,” Carey Otwell, director of meat and seafood at Mitchell Grocery Corp told WSJ.

    The Alabama-based chain has recently been selling more ground beef and fewer middle-meat cuts such as strip steak and rib-eye steak, he said.

    From September 2020 to September 2021, prices increased for cereals and bakery products (+2.7 percent), fruits and vegetables (+3.0 percent), and nonalcoholic beverages and beverage materials (+3.7 percent). Prices for dairy and related products increased 0.6 percent, following a 0.5-percent decrease for the year ended August 2021.

    These data are from the Consumer Price Index program and are not seasonally adjusted. To learn more, see “Consumer Price Index — September 2021.” Also see more charts on consumer prices.

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