Rising Beef Prices Are Slaughtering Steakhouses

BreakingBusinessRising Beef Prices Are Slaughtering SteakhousesByAlicia Park,Reporter. I cover markets and tech.Follow AuthorMay 25, 2026, 03:05pm EDTToplineA historic cattle shortage has pushed wholesale beef to record levels, slaughtering steakhouses from Texas barbecue institutions to high-end Midwest chains—though lower-cost players like Texas Roadhouse and Outback Steakhouse are growing through the squeeze. Steaks with thyme.gettyKey FactsSteak prices spiked 17% to $13.02 per pound in one year, and ground beef hit a record $6.90 per pound, up 19% from the year prior, according to April data from the Federal Reserve Bank of St. Louis. The U.S. cattle herd has fallen to a 75-year low, according to the Texas Farm Bureau, driven by drought, labor shortages, dwindling ranch land and high operational costs.Wholesale brisket in Texas is up roughly 28% year-over-year, with Houston-based Roegels Barbecue Co. now paying $5.56 per pound and raising its menu brisket price 6% to $35 per pound, according to The Washington Post.Burnt Bean Co. in Seguin, Texas, also raised brisket prices to $38 per pound and may soon restrict sales of it to one day a week, per the Post.Texas barbecue closures this year include Brett's BBQ Shop, Kirby's BBQ, Sabar BBQ, Wright on Taco & BBQ and Sweetie Pie's Ribeyes, according to The Washington Post.In the Midwest and Mid-Atlantic, 801 Chophouse's Chapter 11 bankruptcy announced in April hit eight restaurants from Virginia to Colorado. if (!window.cnxel) { window.cnxel = {}; window.cnxel.cmd = []; var iframe = document.createElement('iframe'); iframe.style.display = 'none'; iframe.onload = function() { var iframeDoc = iframe.contentWindow.document; var script = iframeDoc.createElement('script'); script.src = '//cd.elements.video/player.js?cid=62cec241-7d09-4462-afc2-f72f8d8ef40a'; script.setAttribute('defer', '1'); script.setAttribute('type', 'text/javascript'); iframeDoc.body.appendChild(script); }; document.head.appendC...