March 24, 2004

Canadian Cattle On Feed Down 18%

Canadian cattle on feed was 18% below year ago levels as at 1 February 2004, according to the latest CANFAX feedlot survey, with the fall attributable to the US import ban on live Canadian cattle. The CANFAX survey of feedlots in Alberta and Saskatchewan recorded a total of 818,503 cattle on feed.

January cattle placements fell to a third of pre-BSE rates, at 56,005 head. The partial lifting of the US beef import ban to allow beef derived from cattle aged younger than 30 months is likely to be mainly responsible for the rising marketings, which were145,182 head in January, up 24% on December 2003 but still down 20% from January 2003. Since the case of BSE there have been increased retention rates of cattle, reflected by the 9% rise in the Canadian cattle inventory as at 1 January 2004.

Compared to January 2004 levels, the number of cattle on feed is expected to rise during March given an expectation the live cattle trade with the US will resume.