Beef is too expensive to order brisket? In Kansas City? Here’s why prices are so high

Joseph Hernandez
·3 min read

Kansas City’s world was shaken up this week when famous barbecue joint Arthur Bryant’s asked customers to not order its famous brisket or burnt ends.

Owner Jerry Rauschelbach said he hates the prices he’s forced to charge customers: $17.95 for a brisket sandwich that used to cost $10.95 four months ago.

The United States inflation rate is the highest it’s been in 40 years, and it’s impacting all kinds of goods and services, especially the meat industry.

So what’s up with beef? Experts from Kansas State University’s College of Agriculture provided some insight on why prices are up, and what it’ll take for the cost to go down.

WHY ARE BEEF PRICES UP?

Glynn Tonsor, an agriculture professor at K-State, said beef prices are up because of both supply and demand factors.

The “supply” of beef is smaller because there’s a decrease in live cattle that are ready to be slaughtered. It’s also gotten more expensive to produce beef.

A lot of factors combined to make this the case including:

  • Pandemic-related shutdowns that slowed parts of the production process

  • Not having enough workers in the factories or transporting the beef

  • High gas prices for transporting

  • A drought, leading to less healthy grass for calves to eat and therefore less calves

The second part of the price rise is because of demand: Both domestic and foreign demand for beef is up and is staying strong, even with increased prices. It turns out people can’t live without their brisket, and that high demand for beef is keeping prices high.

“It’s a market signal that people value high-quality U.S. beef right now,” said K-State agriculture economics professor Brian Coffey.

HOW LONG ARE PRICES ANTICIPATED TO STAY UP?

The short answer is: A while.

With warmer weather on the way, the demand keeping beef prices high is not expected to dwindle anytime soon.

“Looking down the road, beef demand often increases during summer grill season and with strong export demand and steady supplies, beef retail prices will remain relatively high,” said Ted Schroeder, another agricultural economics professor at K-State.

He expects high beef prices to stick around until the end of the year and into 2023.

A drop in demand for beef could drive prices down, but Coffey said that would not be favorable to livestock producers who could then end up with a surplus of beef.

In order for the supply side to drive prices down, conditions in the livestock industry would need to change. Beef producers would need more people working, bigger cattle herds, more grain feed available and lower transportation costs, the experts said.

HOW IS THIS IMPACTING GROCERY STORES AND RESTAURANTS?

Some grocery store operators can adjust what food items they feature to avoid promoting pricey beef. For instance, stores can heavily promote chicken in advertisements and include it in sales as an alternative to beef. This is a bit harder for restaurants given more limited menus, so it may stay a bit more expensive to eat out.

We’ll see if that keeps KC from its beloved brisket or not.

Do you have other questions about inflation, high prices, local restaurants or something else in Kansas City? Ask us at kcq@kcstar.com or with the form below.