NCBA President-elect Says Supply Demand Justifies Beef Prices

The President-elect of the National Cattlemen’s Beef Association (NCBA) contends retail beef is appropriately priced.  Gene Copenhaver, who operates a stocker operation in southwest Virginia, says supply and demand justifies what consumers are paying for beef.

“We don’t think it’s too high. As a producer, we think it’s demand and supply. And if you look at inflation, we think it’s right where it probably needs to be.”

Speaking at the Minnesota Cattle Industry Convention in St. Cloud, Minnesota recently, Copenhaver said there could be some price manipulation at the retail level.

“I’m not sure retailers aren’t adding something to it from the producers. But we still think beef is a bargain for the quality protein and nutritional value you have with it. It’s still a bargain.”

EDITOR’S TAKE:

Beef prices have certainly been in the news recently. Some consumers are cutting back on their beef consumption and seeking alternative protein sources such as poultry or pork. Even President Trump has commented on the price of beef and is exploring ways to tamp down prices. That type of attention is likely the rationale for NCBA’s President-elect’s comments to justify current price levels. He does make a cogent argument when we consider that increasing domestic supply can’t happen overnight. And considering tighter supply and continuing strong overall demand for beef, perhaps the prices are justified. The challenge is that the government wants to bring down inflation even further and beef prices have been sticky.

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