The cost of ground beef has reached a record high, with prices surging by 12 percent year-on-year to $6.12 per pound in June 2025, according to federal data. The increase adds to the financial strain on consumers already facing rising grocery bills.
Experts attribute the price hike to shrinking cattle herds, drought conditions, and increased reliance on imported beef. The US cattle herd is at its smallest in 74 years, while drought has forced farmers to use expensive feed instead of grazing grass.
Imported beef now accounts for about 8% of US consumption, with Australia and Latin America supplying much of the increase. Australia produced a record 2.57 million tonnes of beef in 2024, exporting record volumes globally.
Other beef cuts have also risen in price, with uncooked steak up 8% to $11.49 per pound and lean ground beef up 11% to $7.67 per pound. The price of eggs has also surged, becoming a key political issue.
Wells Fargo economist Michael Swanson noted that the beef market is more complex than eggs, describing it as the 'Wild West' of protein. He warned that US consumers will increasingly rely on global supply, as American beef remains the most expensive in the world.
