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Beef at a 75-Year Low, and Still Getting Pricier

1h ago · 25 sources · earnings

If you feel like your burger habit is getting more expensive, you are not imagining it. Beef is now over 16% more expensive, just as grilling season kicks off in the US.

Behind that price tag is a herd problem that will not fix itself overnight. US cattle supplies have dropped to a 75-year low in 2026. Tyson Foods CFO Curt Calaway called efforts to rebuild the herd "spotty and regional" and said supplies will remain tight through 2026 and into 2027.

Ranchers have been slow to retain heifers for breeding, instead sending animals to slaughter to capitalize on high prices and hedge against dry weather. That short-term move keeps today’s supply flowing but delays tomorrow’s recovery.

Meanwhile, meatpackers are getting squeezed. Tyson said soaring cattle costs have outpaced gains from higher beef prices, leading to losses in its beef business. The company has closed a beef plant in Nebraska and reduced operations at a Texas facility, laying off thousands of workers.

Why it matters: Tight supply plus stubborn demand equals structural pressure on the category. Retailers can push price only so far before consumers trade down or trade out. With supplies constrained through 2027, beef may stay expensive longer than shoppers expect. The grilling season just got a lot more strategic.

Key facts

  • US cattle producers are making 'spotty' efforts to rebuild the nation's diminished herd and supplies will remain tight, Tyson Foods chief financial officer Curt Calaway said.
  • Beef is over 16% more expensive, making it a symbol of persistent inflation for American consumers as the summer backyard grilling season gets under way.
  • Cattle supplies dropped to a 75-year low in 2026.
  • Meatpackers have lost money in their beef businesses because soaring cattle costs have outpaced gains from higher beef prices.
  • Tyson closed a beef plant in Nebraska this year and reduced operations at a Texas facility, laying off thousands of workers.
  • Cattle supplies will remain tight through 2026 and into 2027, Calaway said.
  • 16%
  • 75-year low
  • 2026
  • 2027

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