Third Year of Reductions Despite Better Western Feed Conditions
On July 1, 2024, Canada's cattle industry statistics from Statistics Canada showed a continuing decline in herd numbers, marking the third consecutive year of reduction.
As of this date, Canadian farmers reported holding 11.9 million cattle and calves, a decrease of 1.4% from the previous year, resulting in the smallest herd size observed since July 1, 1987.
The reduction spans across most categories of breeding stock, with declines noted in the numbers of calves and feeder heifers, which decreased by 2.4% and 1.5% respectively.
However, there were slight increases in milk cows and beef heifers intended for breeding, which rose by 0.4% and 0.8% respectively. Additionally, the number of steers saw a marginal increase of 0.7%.
The first half of 2024 showed a troubling trend in cattle slaughter numbers, which fell by 4.6% year-over-year to 1.7 million head. This reduction in domestic processing was attributed to labor issues within the Eastern Canadian processing sector.
In contrast, international demand for Canadian cattle showed significant improvement, with exports of cattle and calves rising by 15.5% to 398,300 head during the same period, buoyed by strong market prices.
This juxtaposition of declining slaughter rates and rising exports highlights the complex dynamics facing Canadian cattle producers.
Improved feed conditions in Western Canada and the easing of drought conditions in early 2024 provided some relief, yet the overarching trends point to a sector adjusting to both domestic challenges and opportunities in the global market.
The ongoing adjustments in herd management reflect a broader effort to optimize livestock health and profitability while responding to external market pressures and internal resource management challenges.