For those who enjoy grilling steaks in the summer or savoring roast dinners in the winter, there is a bit of positive news amidst the current beef price situation. Beef prices are projected to continue rising in 2026, albeit not as sharply as in recent years.
Mike von Massow, a food economist at the University of Guelph in Guelph, Ont., mentioned, “The unfortunate news is that prices are not expected to decrease.”
Beef prices have soared to record levels, climbing by 16% over the past year and 35% in October compared to the five-year average. The retail cost of beef is anticipated to increase further next year.
The primary reasons for the high prices are the fundamental principles of supply and demand. The reduced supply of cows, coupled with high demand, has led to the current situation. However, the complexities extend beyond this, with ranchers facing tough decisions due to various factors like international trade and extreme weather conditions.
In 2025, meat prices witnessed the most significant increase among all food categories, primarily driven by the surging beef costs, as per the recent national food price report from Dalhousie University in Halifax.
Experts are analyzing various factors to determine when consumers might see relief in beef prices.
The enduring demand for beef
Whether it’s burgers on the grill or stew on a winter night, certain foods become ingrained in traditions and food culture. The social significance of these habits explains the continued high demand for beef, despite the price increases at eateries and stores.
Von Massow noted, “Canadians have a preference for beef, making it their favorite protein. Canadians tend to stick to their habits, consistently buying beef week after week.”
One noticeable trend is that some consumers are opting for cheaper cuts like blade steak over pricier options like roasts. Von Massow mentioned, “Rather than giving up beef entirely, people are downsizing their beef purchases.”
The substantial demand for beef is also fueled by the growing consumer need for protein.
Kevin Grier, a livestock market analyst in Guelph, mentioned, “The demand for beef has been exceptional. If you are seeking someone to blame for high beef prices, look in the mirror.”
Despite the record prices, shoppers seem undeterred. However, the persistent demand is just one factor contributing to the continuous price hikes.
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