Average Inflation for Selected Items in the First Half of 2022 and First Half of 2023
Based on Consumer Price Index (CPI), data from the U.S. Department of Labor, Bureau of Labor Statistics, average inflation rates for most major animal product categories in the first half of 2023 were lower than the first half of 2022.
In fact, inflation was lower for pork, beef and veal, and poultry, which decreased -1.1 percent, -0.2 percent, and -4.9 percent, respectively. For dairy products, inflation was slightly higher in the first half of 2023 compared to the first half of 2022 at 8.6 percent. The largest increased inflation rate for the first half of 2023 was for eggs, at 27.0 percent.
Beef/Cattle: The semiannual Cattle report will be released on July 21, giving an indication of producers’ intent to retain females in their herds. Beef production in 2023 is raised with higher expected cattle slaughter, which more than offsets a decline in expected weights in the third quarter. For 2024, the beef production forecast is lowered as expected fed cattle marketings are shifted into late 2023 rather than early 2024. Cattle price forecasts in 2023 are raised from last month on firm demand and the expectation of relatively tighter supplies, carried into 2024. Beef imports for 2023 are raised on recent trade data. Exports for the year are reduced slightly; but no change is made to the export forecast for 2024.
