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Consumer Demand Matters

By Glynn T. Tonsor

While the dynamics of 2025 are very unlikely to play out the same here in 2026, on balance, the year has started with positive support of cattle prices across weight classes.  In both winter and producer educational events, on a host of online platforms, and as a market factor, I have unapologetically “beat the drum” on the essential role of supportive consumer beef demand. In short, the market simply would not have experienced observed beef and cattle price outcomes in either 2024 or 2025, absent notable consumer demand strength. Stated simply, the number of beef cows matters but is FAR from the complete story and robs the industry of credit for a good story worth telling (and better appreciation).

There is a positive, supply-side efficiency story of getting more saleable beef per cow in the industry. This reflects a host of productivity gains spanning the industry that I will not belabor here. Rather, here I will again emphasize beef demand’s role. Brian Coffey led a timely assessment posted to KSU’s AgManager.info website in mid-December (https://www.agmanager.info/livestock-meat/meat-demand/meat-demand-research-studies/microeconomic-assessment-us-retail-beef ). I continue to encourage readers to review accordingly.

Source : osu.edu

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