Latest news with #AgriFoodAnalyticsLab
CTV News
2 days ago
- Business
- CTV News
‘A luxury item': Canadians may need to budget for barbecue season as meat prices soar
Since the beginning of the year, beef prices in Canada have surged by more than 30 per cent. As summer approaches, Canadians will be wanting to fire up the barbecue, but the reality of rising meat prices might mean fewer backyard cookouts this year. The 'shockingly high prices' are a case study in supply-side economics and market dysfunction, said Sylvain Charlebois, the director of the Agri-Food Analytics Lab at Dalhousie University, in a news release. 'In Canada, beef is no longer just food—it's a financial decision,' Charlebois said. 'What was once a staple of the summer grill is now a luxury item, priced out of reach for many families.' Statistics Canada said meat prices have risen by the following amounts since January: striploin is up 34.2 per cent top sirloin 33.7 per cent rib cuts nearly 12 per cent pork rib cuts and chicken breasts have each risen 5.9 per cent The 6.8 per cent increase in the price of meatless burger patties suggests the trend extends into other grocery aisles. Charlebois said there are several factors causing the surge. Canada's beef cow inventory decreased by 1.2 per cent from last year to 3.38 million head – the lowest number since 1989. This signals more than just a cyclical decline, Charlebois said. Cattle producers are leaving the industry while prices are good and investing in less volatile sectors or changing to crop production. 'In short, the Canadian beef industry is retreating and becoming increasingly risk-averse,' said the release. The U.S. is experiencing a similar but less severe trend. Their beef herd declined by 0.5 per cent to 27.9 million head and their prices rose but not like in Canada. Boneless sirloin rose 5.7 per cent in the U.S. compared to 22 per cent in Canada. Ground beef rose by 10.8 per cent in the U.S. compared with 23 per cent. Canada's expansive geography, transportation costs, limited number of federally licensed producers, carbon pricing and higher labour costs all contribute to the problem, but Charlebois said we cannot rule out industry collusion. The Canadian Competition Bureau has been less active in quelling anti-competitive behaviour than the U.S., where a 2022 investigation led to several large payouts from major meat packers. Beef consumption fell by 7.1 per cent per capita in 2023 and 2.1 per cent in 2024 in Canada. Charlebois said this is a 'structural shift in consumer behaviour.' 'Beef is increasingly seen as a luxury item, with ground beef becoming the primary choice for budget-conscious households still committed to red meat,' he said. Charlebois said the trend is unfortunate since beef is one of the most natural and sustainable sources of protein that's available to Canadians. 'Canadian ranchers and processors have made significant strides in improving environmental stewardship and animal welfare, often without fanfare,' he said. 'As a whole, beef delivers exceptional nutritional value, supports rural economies, and offers a level of traceability and food safety few protein alternatives can match.'
CTV News
2 days ago
- Business
- CTV News
Soaring beef prices push summer staples out of reach for many Canadians, study shows
A new report from Dalhousie University's Agri-Food Analytics Lab says beef is quickly becoming a luxury item in Canada, with soaring prices changing the way many families approach summer barbecues. 'In Canada, beef is no longer just food—it's a financial decision." Sylvain Charlebois, the study's lead author, said. 'What was once a staple of the summer grill is now a luxury item, priced out of reach for many families.' The study points to steep price hikes since January. The cost of striploin is up 34.2 per cent, top sirloin has increased 33.7 per cent, and rib cuts have jumped nearly 12 per cent. Even pork ribs, chicken breasts and plant-based burgers have seen price increases of roughly six per cent. A shrinking cattle inventory is a key factor. Canada's beef cow population has dropped to its lowest level since 1989, with many producers exiting the industry amid volatility, according to the report. Other pressures include transportation costs, carbon pricing, labour expenses, and limited processing capacity. The report also raises concerns about a lack of regulatory scrutiny, noting that, unlike the U.S., Canadian authorities have not taken major action on possible price fixing in the beef sector. The result is Canadians are eating less beef, according to the study. Per capita consumption fell 7.1 per cent in 2023 and another 2.1 per cent this year. 'Consumers will continue to enjoy beef,' says Charlebois. 'But with moderation, and on occasions that justify the cost.'
