According to recent reports, global beef production is expected to decline by 2025 due to shrinking herds in major producing countries. Rabobank estimates supply will fall by around 500,000 tonnes, or 11.3Mt, year-on-year.
In the United States, the United States Department of Agriculture (USDA) forecasts beef production in 2025 to decrease by about 51.3 billion pounds compared to 2024, to 25.12 billion pounds. The main reasons are the reduced supply of beef cattle and lower calf numbers in recent years.
This reduction in production could lead to higher beef prices, affecting both producers and consumers. Major producing countries such as Brazil and the United States are facing challenges in maintaining supplies, while countries such as Australia can increase production to meet market demand.
Prolonged drought and high feed costs have also contributed to the decline in cattle herds and beef production. This poses a challenge for the global beef industry in balancing supply and demand and maintaining stable prices.
