MALVERN, Iowa (KMTV) — Southwest Iowa neighbors are changing their shopping habits as beef prices soar. Sen. Grassley points to market concentration — four companies control 85% of beef processing — and industry experts cite additional factors ranging from small herd size, to aging farmers and tariffs on South American beef.
- “Well, there's people standing at the meat counter shaking their heads, ” Lizzie Garrison said at The Salty Heifer Cafe.
- “The average beef producer is getting older,” explains Dan Rohrberg, a cattle producer and beef industry executive.
- “Things like chuck and other things should be cheaper because people aren’t buying roasts, and the prices are way higher than what I had seen before,” said Malvern grocer, Tom Mullholland.
WATCH KATRINA'S STORY BELOW
BROADCAST TRANSCRIPT:
Cheeseburgers like this one are always a little bit of a treat, but neighbors here in Malvern tell me they’re indulging less these days.
I’m Southwest Iowa Neighborhood Reporter Katrina Markel.
After Sen. Chuck Grassley mentioned concerns about the big four beef packing companies, I came here to find out from neighbors how beef prices are affecting them.
“Well, there's people standing at the meat counter shaking their heads, ” Lizzie Garrison said at The Salty Heifer Cafe.
“I’m trying to eat more protein and it’s costing more,” added Jim Brodigan.
In Council Bluffs on Tuesday, Sen. Grassley was asked about the problem.
"You got the 'big four' that control 85% of the slaughter of beef," he said.
That's Cargill, JBS, Tyson, and National Beef.
Grassley points to legislation he introduced with Sen. Deb Fischer aimed at more transparency in the cattle market. Industry experts tell me the problem is multi-faceted.
“The average beef producer is getting older,” explains Dan Rohrberg, a cattle producer and beef industry executive.
Retiring aging farmers play a role in the historically low herd numbers, he says. And then, there are tariffs on South American beef.
“Which is also helping to raise the price on lean meat that goes into ground beef products,” Rohrberg said.
“Things like chuck and other things should be cheaper because people aren’t buying roasts, and the prices are way higher than what I had seen before,” said Malvern grocer, Tom Mullholland.
Meanwhile, neighbors are making changes.
"We're thinking of buying a little bit more chicken," said Nancy Burden.
"But I’ve started going to pork mostly because the prices are getting too high," Mary Tupper said.
