Animal protein outlook remains strong despite inflation concerns

The animal protein markets are very strong at the moment, given robust consumer demand for meat, milk and eggs, both in the domestic and export markets. The question then becomes how long that demand might hold if inflationary pressures dampen spending at some point in the coming year, or how additional COVID-related challenges such a surge in variant-fueled infections – and any new lockdowns or restrictions – might throw a wrench in the system.In this episode we talk with Brian Earnest, a protein analyst with CoBank, the national cooperative financial institution focused on rural America as part of the Farm Credit System. Earnest describes the current macroeconomic situation, including his insights on inflation and his level of concern about the prospect of rising prices in the year ahead. We also discuss the prospects for continued consumer demand, and what a resurgence of COVID might do to the U.S. meat industry.Run  of Show0:00 Welcome to the show!1:09 Brian Earnest explains that in the current markets, "a rising tide  lifts all boats"2:00 What about inflation? How concerned should beef producers be about inflation?3:58 Consumers seem to be relatively happy to pay higher prices for beef at retail at the moment, but how much more are they willing to pay?6:08 Earnest discusses the general state of the domestic economy, from jobs and unemployment to overall consumer spending.8:40 What about pork and poultry? Earnest discusses how the outlook is similar and different from the beef market.11:29 Let's dive into alternative proteins! Should beef producers be concerned about the rise of alternatives?For more information on this and other stories, visit Feedstuffs online.Follow Feedstuffs on Twitter @Feedstuffs, or join the conversation via Facebook.