New figures show that beef and chicken prices surged again in June, with a sharp surge leading beef and chicken growing far outweighing overall food inflation.
Based on AHDB Lean Meat Retail Price Data and proprietary supermarket monitoring, the Association of Independent Meat Suppliers (AIMS) inflation update shows an average price increase of 1.8% compared to May.
“We increase our own weekly market surveillance of lean supermarket price reports from AHDB and our own weekly market surveillance of supermarket chicken prices at average monthly prices,” said Tony Goodger, AIMS communications director.
This is a sharper increase than the 0.9% increase recorded between April and May. Prices for many lamb and pork remained stable in June, but beef and chicken once again stood out as key drivers of inflation.
Overall, beef rose by an average of 3.2%, and the most notable of the cuts was lean beef minced with a 0.82 pounds/kg (9.15%) increase in fatty beef minced, driven by warm climates and barbecue.
Chicken prices have made a big move with several variations that reflect both seasonal demand and supermarket pricing strategies.
Goodgar said: “Looking at the chicken, the ‘Ardi price match’ reduced the price of chicken wings, probably 5.5% cheaper in June than in May.
“But it probably showed the biggest moves in warm weather and barbecue, chicken breast portions (+6.7%/£0.49/kg) and chicken thigh fillets (+5.1%/£0.42/kg),” he said.
This data shows food inflation of 4.4% per year in mid-June, just after the National Bureau of Statistics (ONS) released its published consumer price index (CPI) figures.
“The inflation in meat and poultry prices in June was 12.77%,” Gugger said.
Beef remains the biggest pressure point, with prices rising average 30.5% over June 2024 across all monitored cuts.
Lamb prices rose 9.13% year-on-year, all reductions tracked apart from chops showing double-digit gains. Bone-in-shoulder saw the biggest move that Gugger has been attributed to “the popularity of slow cooking.”
Also, chicken saw an increase of 8.95% per year, but drumsticks, wings and legs remained relatively stable. The pork served some relief, and the fillets and minces were cheaper than 12 months ago.
He noted that meat demand is resilient despite continued inflation.
“The combination of price increases in discretionary spending, the spending in the out-of-home sector and the focus from many supermarkets where you eat at home with friends and family, has undoubtedly promoted meat sales over the past 12 months.
“While increasing production and processing costs are also a factor that contributes to rising prices, the message that appears across the category is that customers are happy to put their products in their shopping baskets.”
