DENVER — Beef prices in the U.S. continue to set record highs. The average price per pound in the second quarter of 2025 was $8.51, according to U.S. Department of Agriculture data
This was a significant increase from $7.33 during the same time last year. In 2020, the average price was $6.38.
The increase has had a pronounced effect on restaurants. Michelle McGlone opened Lucy’s Burger Bar in Denver in 2021, and she said in her four years of business, she’s had to pay roughly 30% more for supplies.
She says she’s tried to keep herself from passing that onto customers but has had to increase her prices once a year to keep pace.
“I had a guest just even recently that left a note on the bottom of the receipt, which I love, because it's always [positive],” McGlone said. “So, I saw it, and I got all excited, and I held it up. My heart sank. It said, ‘You nickel and dime people.’ There's nothing wrong with the note that she left and nothing wrong with my prices, but there can be a disconnect sometimes, where people take that personally.”
One of the biggest reasons for the price increase is drought.
Denver7 spoke with Dallas Vaughn, a cattle rancher in Flagler, Colorado, who said the lack of water is forcing him and others to sell off their herd, making supply smaller and demand higher.
Tariffs have also played a role in the increases.
Brazil, a major beef-producing country, faces 76% tariffs.
McGlone said she has tried other ways of increasing business to offset the rising cost of product, including game nights and weekly deals. But she's also battling the current economic climate and her need to pay her workers a living wage.
Next week, the newest consumer price index report will release, giving an even clearer picture of where things could be headed over the next few months.
