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Canadian Beef Supply Likely To Fall Further

21 November 2011
Meat & Livestock Australia

CANADA - After a number of years of very high beef production in line with national herd liquidation, Canadian beef production has fallen since 2009, according to Meat and Livestock Australia.

This trend is expected to continue in 2012, with incentives in place for graziers to rebuild their herds. Good pasture conditions, in particular, will prove attractive to those producers looking to run more stock, especially compared with US conditions (Steiner Consulting Group).

When the drop in Canadian beef production is combined with the forecast reduction in US supply (Canada’s largest source of imported beef), there appears to be an opportunity for growth of Australian product into Canada in the short term. At the same time, the current premium for imported grinding beef over domestic product (around C21¢/kg) may be an obstacle for potential growth.

TheCattleSite News Desk


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