A services specialist team of animal protein analysts from Rabobank say the animal protein supply chain is likely to face continued cost inflation in 2022. Four areas to watch for include animal feed, labor, energy and freight. Despite the costs, Rabobank expects global beef demand to remain strong, along with most other forms of animal protein. The analysts say livestock producers need to watch for increasing feed costs. However, the report notes markets are expected to settle slightly in 2022, but recent supply changes will likely remain in effect.

Other factors influencing animal protein inflation include China’s ongoing recovery of African Swine Fever, stronger cattle prices, domestic chicken production increase with a lift in demand, strong pork prices and a focus on sustainable production practices. Read more on 2022 animal protein predictions here.