Beef prices continue to climb, up more than 10% from just last year. This California rancher says supply is to blame — and there's no quick fix

Right now, beef and veal prices have risen more than 10% between June 2024 and June 2025, according to the USDA. Ground beef is pushing past $6 per pound in many areas, and premium cuts like sirloin or ribeye can easily double that cost. While that might not sound catastrophic on its own, those prices add up fast – especially for families trying to stretch every dollar.

The surge stems from long-term problems that have been building in the U.S. cattle industry, made worse by weather and supply chain shocks. And if you’re wondering why it’s happening now, a rancher in California has a refreshingly blunt answer: There just aren’t enough cows.

Supply is down, but demand is still sizzling

Rancher Grant Talley, who sells grass-fed beef in Arroyo Grande, California, says fellow ranchers are increasingly turning to direct-to-consumer sales to keep prices down. He told NBC affiliate KSBY the beef supply “is at one of its lowest levels since almost the ’60s. It takes years to rebuild herds. … You're waiting on cows to get pregnant, have calves, and those calves to grow. So I think this is probably going to stay like this for at least the next two or three years.”

The nation’s cattle inventory is at its lowest point since 1951, the Farm Bureau reports. Years of punishing droughts in top cattle-producing states such as Texas, Oklahoma and Kansas have forced ranchers to thin their herds. When there’s not enough affordable feed or water, keeping large numbers of cattle isn’t sustainable. Those choices made years ago are now showing up in the form of tighter beef supply and higher prices at the meat counter.

Even as ranchers scale back, American appetites haven’t changed. Demand for beef has stayed strong, especially during grilling season when consumers stock up on burgers, steaks and brisket. That classic supply-and-demand mismatch is a recipe for price hikes.

Making matters worse, beef production is still facing the ripple effects of the pandemic. Meat processing plants, which once struggled with labor shortages and shutdowns, haven’t fully recovered. And higher input costs – such as transportation, packaging and feed – continue to weigh on every step of the supply chain.

A quick glance around the grocery store reveals rising costs across the board. The USDA’s Food Price Outlook shows that prices for sugar, sweets, oils and beverages are all climbing, too. Since 2019, the cost of food-at-home – basically, everything you buy at the store – has risen nearly 30%. Even with inflation cooling in other parts of the economy, your grocery receipt probably hasn’t gotten any shorter.

How to cope

Even though there’s no quick fix in sight, you don’t have to go vegan. But being flexible and strategic can make a real difference.

Start by exploring less expensive cuts of beef, like chuck roast or flank steak. These are often overlooked but can be just as flavorful with the right preparation. Stretch your meals by mixing in plant-based proteins like beans or lentils, or bulking up recipes with vegetables and grains. Not only does that reduce your meat consumption, which can be beneficial for overall health, it also adds variety and nutrition.

If you have freezer space, buying in bulk, especially from a local butcher or farmer, can help bring the cost per pound down. Many small farms offer meat shares or quarter-cow packages, which can be more affordable than buying week to week from a grocery chain. Local farmers markets and co-ops can also offer better deals and fresher cuts than big-box stores, depending on where you live. Websites such as Eatwild and MeatSuite can connect you with local sellers.

And don’t underestimate the power of timing. Keep an eye on store flyers and markdown bins. Most major grocers run weekly sales, and many discount meat that’s close to its sell-by date — perfectly safe to eat and ideal for freezing. Small habits like this can add up to big savings over time.