Excellent demand and a modest recent slowdown in growth help firm meat prices at the outset of the new year.
Meat protein supplies have increased rapidly in recent months as lower feed costs have fueled expansion both in the red meat and poultry industry. In the last six reported weeks, red meat and poultry production has averaged almost 95 million pounds (+6.4%) higher than the same six week period a year ago. One has to go back to the start of 2011 to find a comparable growth rate in meat protein supplies. But while the increase in protein supplies does have an effect on the overall food inflation trends (they are down), it also paints with quite a broad brush.