Why is American beef so cheap?

Careful friends may find that it seems that the prices of agricultural and sideline products in the United States are lower than those in China. Soybean prices are more than 50 yuan per ton lower than China, corn is still more than 30 yuan per ton lower, even if the domestic pork price drops 20% this year, it is still more expensive than American pork, and as far as the question is concerned, American beef prices are also low, this is true, but the so-called 10 yuan per catty may seem a bit exaggerated, but the low price of American beef is indeed an indisputable fact.

For the statement that the price of American beef is low, Scientific Xingnong believes that there are two interpretations: 1. The price is really cheap;2. The purchase feels cheap, that is, it is cheaper than wages. Here's how cheap American beef is.

price is low

As mentioned above, the price of agricultural products in the United States is generally low. From this point of view, at least the input cost of raising cattle in the United States is much lower than that in China. After all, it has already occupied an advantage in terms of feed cost. However, this is not the biggest factor in the low price of beef in the United States. The key point is that the large-scale strategy is generally adopted in the animal husbandry in the United States. Compared with the traditional breeding method of "free breeding" in China, the advantage is much higher. In the United States, when it comes to who does farming, it's all rich people. The so-called farming in their mouth is batch farming, unlike our round head.

There are many old beauties and few land. The key is that there are still many plains, which are just suitable for farming and animal husbandry. For example, a farm has more than 100,000 breeding capacity, and the breeding staff is less than 100 people, among which the key is the application of large-scale mechanization, which directly reduces the breeding cost. What is the most expensive thing in the world today? Manpower! Even Foxconn is seeking to eliminate manpower with robots. This is the reason why Apple in the United States has moved its production line to China in order to transfer labor costs. Animal husbandry is no exception. The labor cost of labor in the United States has been greatly reduced, the large-scale operation of breeding, and the centralized beef cattle breeding system have directly reduced the breeding cost in the United States.

In addition, that is, clenbuterol, which is banned in China, it is reported that the residue label of clenbuterol in the United States is more than four times higher than the international standard, which makes the efficiency of feed conversion meat in beef cattle breeding in the United States much higher than that in China and even many countries in the world. At the same time, beef cattle breeding in the United States is over-intensive, farmers in order to avoid large-scale epidemics, as in China's chicken general, a wide range of antibiotics, so although the price of American beef is low, it is not very popular in the world.

Finally, there is the US agricultural subsidy. As we all know, there are agricultural subsidies in our country. After the abolition of agricultural tax in 2004, farmers will receive some subsidies every year for farming and breeding. But I want to tell you that this is not a precedent set by China. The United States is also implementing subsidies. Agriculture and animal husbandry are pillar industries in many regions in the United States. The United States is an industrial power and also an agricultural power. This agricultural power is a real agricultural power. In contrast, China is an industrial power rather than an agricultural power, because the proportion of China's agricultural income in national economic income is very low. In this year's Sino-US trade war, you may also see some clues. China's sanctions against the United States are directed at agriculture and animal husbandry, while the United States 'sanctions against China are directed at industrial products! In the United States financial subsidy expenditure, the subsidy expenditure of the farmed meat products industry accounts for 60%. It can be seen that under such strong financial support, the cost of farmed beef in the United States is naturally not high.

Buy American beef feel cheap

The feeling of low price and the actual low price are obviously different. For example, it is still very cheap for billionaires to buy an Apple X for 10,000 yuan, because people spend tens of thousands and millions of dollars every day. For ordinary people, it may feel a lot more expensive. The reason why American beef feels cheap to buy here is because the price of American beef products is very low relative to American national income. Per capita beef consumption in the United States reflects the state of the national economy. From the consumption list, China is outside the 40 th place. On the other hand, it also shows that our people's consumption power for beef is insufficient.

In terms of working hours in different regions, Americans can buy one kilogram of beef in about 2.6 hours, compared with 18.9 hours in China. By contrast, Americans naturally don't feel expensive buying beef under the same conditions. The so-called your wage level determines your consumption level. When you have enough wages, you will naturally have higher purchasing power when you consume.

From the reasons analyzed above, it is not surprising why American beef is so cheap. Of course, the cheap price of American beef is naturally not low, and the huge government subsidies are also inseparable. As a pillar industry in many parts of the United States, the government naturally attaches importance to investment in aquaculture. In addition, the high level of national income in the United States also makes Americans willing to consume beef, in this respect China still has a lot of distance.

These are some of the views shared by you in the hope of helping you.