Global meat prices reached a historic peak in September.According to the latest report from the United Nations Food and Agriculture Organization (FAO), the Meat Price Index rose by 0.7%, marking the eighth consecutive monthly increase.This represents the longest growth streak since 2021, driven primarily by strong demand for beef and tight global supplies.

Cattle Herds Decline, Prices Rise

In the United States, cattle herds have fallen to their lowest level in decades.This has not only pushed up domestic meat prices but also increased import dependency.FAO data indicates that due to limited domestic supply and favorable price differences, the U.S. has ramped up meat imports from Australia.

Meanwhile, Brazil has also experienced price increases.Strong international demand and expanding export opportunities have driven up domestic beef prices.However, new U.S. trade tariffs have somewhat limited Brazil’s market access.

Disease Threat in Mexico and Rising Lamb Prices

FAO warns that the "New World screwworm" pest recently detected in Mexico poses a serious threat to livestock production — adding further uncertainty to global supply chains. At the same time, lamb prices also rose in September, contributing to the overall increase in the meat price index.

The Only Major Food Sector Showing Growth

According to the FAO report, grain, vegetable oil, dairy, and sugar prices all declined in September.Meat was the only major food category to record a price increase.This trend indicates that despite broader stabilization in food markets, meat remains a strategic commodity.

Global Inflation Pressures Intensify

The sustained rise in meat prices has reignited global inflation concerns.The European Central Bank (ECB) stated that food prices are rising faster than overall inflation, eroding consumer purchasing power.The British Retail Consortium also noted that rising labor and energy costs have sharply increased production expenses for farmers.

A Warning for Market Participants

Analysts believe that global meat prices are unlikely to stabilize soon.With reduced livestock capacity in the U.S. and Brazil and ongoing climate risks, prices are expected to remain high through the end of the year.

Experts warn that this persistent increase poses a direct threat to food security in low-income countries and continues to affect the daily consumption budgets of millions worldwide.

Source:

Bloomberg – “Global Meat Prices Extend Rally to Record on Tight Beef Supplies”

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