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Retail meat prices decline, demand holds steady

A recent report showed a decline in consumer confidence and a livestock market analyst says that is something he is watching.

Scott Brown with the University of Missouri says the recent 4 percent decline in the Consumer Sentiment Index could be troublesome for livestock producers.  “If we have weaker consumer demand it certainly suggests to me that it is lower prices for producers, ultimately,” he says.  “Getting strong demand helps us really push us against additional meat supplies.”

He tells Brownfield there has been a significant decline in retail prices for less expensive meat products.

But, he says, demand has remained relatively strong.  “If you look at chicken breast prices that we’ve seen – we’re down about 5 percent relative to a year ago at this time,” he says.  “At the same time I’ll talk ground beef and were down about 12 percent relative to what we saw a year ago.”

Brown says prices for more expensive cuts of meat – like sirloin steak or even pork chops have declined minimally.  Which he says indicates consumers are still buying those products.