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Shed light on inventory at the beginning of the year – Real Agriculture

It’s time for another beef market update. StatsCan recently released January 1st figures, so today we’ll focus on inventory.

Anne Wasko of Gateway Livestock Exchange said the numbers weren’t surprising as the beef cattle herd continued to shrink in Canada.

“It was certain that StatsCan would come back and lower the previous year’s revisions, but when everything settled down with these revisions in mind, the January 2021 herd was 3.53 million, unchanged from last year.” Explains Wasko. “But-this is the kicker. Going back to 2019, two years ago, it’s 4% smaller. So we continue to shave this herd. Basically, the story is similar across Canada. “

Looking at the total number of cattle on farms, there are 11.2 million cattle on farms across Canada. This is actually 25.3% below the January 1st peak reached in 2005, which is a significant amount, as host Shaun Haney points out. However, as Wasco points out, 2005 was a post-BSE era, and “normal” wasn’t really a problem, so she’s always nervous about comparing numbers.

There are few farms that raise cattle, so a small herd of cattle makes sense. As of January 1, 2021, there are 71,334 farms reporting cattle inventories. This is a 1.8% decrease. Therefore, the story is not necessarily about shrinking the flock, but also about fewer people doing it.

“We have seen it in terms of being less and larger in both the livestock and grain sectors. Therefore, this report from the census does not always show that data. No. But what we’ve seen is that livestock operations are certainly declining, but generally speaking, the average size is also increasing, so it’s definitely shrinking. There is integration, “she says.

Check out the full beef market update below:

Shed light on inventory at the beginning of the year – Real Agriculture

https://www.realagriculture.com/2021/03/beef-market-update-shining-a-light-on-first-of-the-year-inventory/ Shed light on inventory at the beginning of the year – Real Agriculture

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