BeefWatch: Canadian cattle herd increases, strong beef demand seen from consumers

Prepared by the staff of Canfax and Canfax Research Services, divisions of the Canadian Cattlemen’s Association

 

By Canfax

via Canadian Cattlemen - November 17, 202

 

The third quarter brought opportunities and challenges as strong beef demand warrants cautious optimism for producers who must still contend with a year of drought. The Canadian cattle herd has reportedly increased for the first time since 2017 with beef breeding heifer numbers up on July 1. Beef exports have surged with strong consumer demand in North America and around the world. The incredible demand has supported the fed and feeder cattle prices in the face of record-high grain prices. The flow of cattle has kept slaughter utilization in Canada at 95 per cent year-to-date. The quantity of Prime and AAA beef produced in Canada has never been higher and has filled the seasonal midsummer slump in production. The world wants beef and the Canadian beef industry’s efforts to respond have been impressive.

 

Cattle inventories

 

July 2021 sees increase in Canadian national cattle herd

 

Canadian cattle inventories on July 1, 2021, were at 12.29 million head, 0.2 per cent higher than July 1, 2020. This year is the first reported increase in the total national cattle herd since 2017. The increase is attributed to both more calves and more cattle imports... 

 

U.S. national cattle herd in third year of liquidation

 

Cattle inventories are shrinking as the U.S. manages its ample fed cattle supply. Current liquidation trends indicate that the U.S. and Canadian herds could simultaneously consolidate over the next two to three years, potentially leading to an integrated North American herd expansion by the mid-2020s...

 

Production and grading gains ...

 

Beef exports

 

Beef exports surge ...

 

Market share shakeup ...

 

Fed and non-fed cattle

 

Second summer for Eastern fed market premiums ... 

 

Canadian cow marketings steady to lower against rising trim price ... 

 

Cow prices ...

 

Calf prices up ... 

 

Replacement ratios ...

 

Feed grain prices

 

Barley prices skyrocket ...

 

Corn market correction ...

 

more, including Canada, US herd data tables [4], charts [5] 

https://www.canadiancattlemen.ca/beef-watch/beefwatch-canadian-cattle-herd-increases-strong-beef-demand-seen-from-consumers/