CATDOLL : CATDOLL: Analysis of beef price increase in 2017: Market supply shortage and rising costs

As time goes by, the price of beef has gradually increased in 2017, which is undoubtedly worrying news for consumers. So why is the price of beef rising? This article will analyze the supply situation and cost increase in the beef market to help readers better understand this phenomenon.

1. Market supply shortage

Supply and demand is one of the important factors that determine prices. In 2017, there was a certain degree of shortage in the beef market, while demand remained at a high level. This is mainly due to the following reasons:

• 1. The beef farming industry is affected by environmental factors. Natural disasters, extreme weather, etc. may cause damage to the beef farming industry and affect production.
• 2. Rising breeding costs. Beef farming requires a lot of feed, water and labor costs. In recent years, the cost of feed, labor and other factors has continued to rise, increasing the burden on farmers, causing some farmers to switch production or reduce the scale of breeding.
• 3. Impact of public health events: Public health events may lead to control over breeding and sales, resulting in unstable market supply.

2. Rising costs

In addition to supply shortages, the rise in beef prices is also closely related to rising costs, which is mainly reflected in the following aspects:

• 1. Increased feed prices. Raising cattle requires a lot of feed, and the rising prices of agricultural products such as corn and soybean cakes have directly affected the cost of breeding.
• 2. Rising transportation costs. Beef needs to be transported over long distances from the farm to the market. The increase in transportation costs increases the price of beef.
• 3. Policy adjustments increase costs. Some policy adjustments, such as increased environmental protection requirements, may force farmers to renovate and upgrade their facilities, increasing investment and operating costs.

In general, the reason for the increase in beef prices in 2017 is the shortage of market supply and the increase in costs. However, it should be noted that market prices are affected by many factors, supply and demand and costs are only part of them.

Thank you for reading this article. I hope that through the analysis and explanation in the article, readers will have a deeper understanding of the reasons for the increase in beef prices in 2017 and make more informed consumption decisions.