The beef industry has undergone significant change in the past few years. On the production side, severe drought has caused structural changes in the industry. Herd size has dramatically diminished, input costs are high and some cattlemen are exiting the business instead of taking on herd rebuilding. Looking ahead, there are further significant changes in the marketing landscape that the industry must successfully adapt to in order to keep beef as the premier center of the plate protein.
Discussion
Trend analysts in the agri-food chain have noted the beef industry is in store for significant change over the next 20+ years. There are immediate challenges such as rebuilding the cattle herd from its lowest point since 1952 and managing dramatic increases in input costs. Longer term challenges include changing weather patterns, the effects of developing technology on both farming and food and significant shifts in the marketing landscape.
While no one can predict the future, some major trends have been identified that will impact the beef industry. The consumer demographic and behavioral trends, changes in distribution and technology, and socioeconomic shifts discussed below point to changes we need to begin thinking about today. Here are a few of the important marketplace changes we expect to see.
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