Beef/Cattle: Based on slaughter data through early February, the pace of cattle slaughter is faster than expected from last month. However, winter weather appears to have impeded performance of feedlot cattle as well as taken a toll on cow and bull weights. A temporal shift in fed cattle marketings into the first quarter and an outlook for higher cow slaughter more than offset a decline in expected dressed weights. Projected beef production in 2023 is raised 50 million pounds to 26.5 billion pounds. Fed cattle prices in 2023 are raised on firm demand and lighter carcass weights. The import forecast for 2023 is raised on early Customs and import inspection data to 3.4 billion pounds. Export projections for 2023 are unchanged at 3.1 million pounds.
Retail Prices per Gram of Protein Trending Higher for Selected Livestock, Poultry, and Egg Products
The chart below depicts the monthly retail prices per gram of protein content across selected livestock, poultry, and egg products from January 2019 to December 2022. While retail prices respond to various economic factors, including inflation, the protein content estimate per gram is fixed. Absent major product-specific disruptions, the relative ranking of the selected products in terms of cents per gram of protein trended higher and was mostly unchanged for the period observed, with egg prices surging in 2022.
Historically, eggs and chicken legs have been the two lowest-cost sources of protein among livestock, poultry, and egg products. Between 2019 and 2021, eggs were the cheapest source of protein in 20 out of 36 months. However, during 2022, successive High Pathogenic Avian Influenza outbreaks adversely impacted the egg supply. The associated supply shocks, combined with a strong egg demand, pushed the retail egg prices to record-high levels. As egg prices escalated through 2022, on a gram basis, eggs as a protein source were competitively priced with boneless chicken breasts and pork chops (starting in October), and ground beef (in December).
Source : usda.gov