NASHVILLE, Tenn. (RFD NEWS) — Higher food costs are showing up beyond the grocery aisle, with some major restaurant chains shrinking their U.S. footprint. A Delancey Street analysis found Pizza Hut lost 426 locations over the past year, followed by Subway at 402 and Wendy’s at 310.
The closures do not point to one cause, but inflation is part of the pressure. BLS says food away from home was 3.6 percent higher in April than a year earlier, while beef prices rose 2.7 percent for the month.
That matters for restaurants built around burgers, sandwiches, pizza, and diner traffic, where customers are more sensitive to menu prices. Beef-heavy chains may face added margin pressure as cattle supplies stay tight and wholesale beef prices remain elevated.
The trend is not uniform. Chipotle added 359 locations, while McDonald’s, Chick-fil-A, Dunkin’, Taco Bell, and Domino’s also grew.
In agriculture, restaurant traffic still matters because foodservice demand drives sales of beef, poultry, dairy, grains, oils, and specialty crops.
Farm-Level Takeaway: Inflation and high beef costs may pressure some restaurants, but stronger chains are still expanding and supporting foodservice demand.
Tony St. James, RFD News Markets Specialist
Purdue University’s Dr. Michael Langemeier joins us to break down the latest read on farmer sentiment in the April Ag Economy Barometer, and growing concerns about the impact of global conflict on farm inputs and income.
Federal officials are signaling a more aggressive push on beef packer concentration, but any direct market impact will depend on what the investigation actually finds.
The USDA’s annual report leaves dairy producers with a mixed picture. Output and herd size expanded, but weaker prices kept income from rising with production.
Total cash receipts from marketings of cattle, calves, hogs, and pigs climbed by 18% in 2025 to $165 billion.
March crush data showed stronger soybean and canola processing, but softer animal fat production.
Higher freight rates and potential service disruptions are key concerns for agriculture, which relies heavily on rail to move commodities.
