Drought affects beef and produce prices at local markets - KSFY News - Sioux Falls, SD News, Weather, Sports

Drought affects beef and produce prices at local markets

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High temperatures wither crops in fields across South Dakota while ranchers with dry pastures sell off their cattle, affecting produce and beef prices.

At Cleaver's Market, General Manager Tyler Honke says the drought and the rising price of beef has a big impact on his business.

Beef is mainly what we do here do when the price of beef goes up, two things happen, one it affects my bottom line, affects my margin and it affects my sales over all," Honke said.

Over at Pomegranate Market, Produce Manager Dave Hesse tells KSFY they are absorbing increases for the time being.

"It's just been recently that I've noticed any price increases that have gone up, minimal, and a lot of times I've been able to absorb some of that back in to my costs, what I retail the price out for," Hesse said.

As prices rise for retailers, Honke says they are coming up with solutions to keep prices down.

"We just try to find more creative ways to use different cuts of meat, we try to use more creative cuts and direct people that may want to have a little more savings, into those cuts," Honke said.

If the drought continues, markets may lose the battle in the war against rising prices.

"What I'm more concerned about now is, whether that's going on now and continuing forward because then if that happens and we don't get any rain here, then the prices I'm sure will have to go up and in that case I will have to increase my prices as well," Hesse said.

Despite the hit to his store's bottom line, Honke remains hopeful.

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