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Canadian Beef Supplies Remain Tight

29 November 2012
Meat & Livestock Australia

CANADA - Beef supplied are down on for the period 30 September to 3 November by nearly 50 per cent on the same period a year ago, reports Meat and Livestock Australia.

Canadian beef supplies are expected to remain very tight, particularly in the short term, with cow slaughter for the period 30 September to 3 November totalling just 28,208 head - 48 per cent lower than the same period a year ago and 24 per cent below the five-year average (Steiner Consulting).

Cow slaughter rates have declined sharply, as reportedly good pasture conditions have allowed producers to retain females, accentuated by very strong North American calf prices.

Additionally, Canadian October cattle on feed inventories (246,390 head) are 22 per cent below year ago levels (as a consequence of high feed grain costs), with steers (164,960 head) slipping 12 per cent, and more strikingly, heifers (81,430 head), falling 37 per cent year-on-year.

The combination of a lower cow slaughter and reduced heifers on feed indicates substantial herd rebuilding activity across Canada.

Consequently, Canadian traders continue looking off shore to maintain supply, with total imports for the first ten months of the year 29% greater than the corresponding period last year, totalling 35,652 tonnes swt. Canadian issued permits to Australia as of 23 November are up 47 per cent year-on-year to 13,056 tonnes swt.

TheCattleSite News Desk

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