Industry Snapshot: Beef demand remains steady despite challenges with inflation

Toronto – April 26, 2022 – According to the latest data from Kevin Grier Marketing Analysis and Consulting, the outlook on beef remains strong despite ongoing challenges presented by high gas prices and waning consumer confidence.

Canadian production remains strong with the four-week average on slaughter at 65,856 – an increase of nearly 7,000 year-over-year. Meanwhile, Alberta gross profit margins, estimated to be $810/head, are slightly below 2021 margins at $820/head.

Beef continues to the be the priciest of meat options, priced above both chicken and pork over the three-year average. U.S. demand continues to drive production despite higher prices, with inflation increasing costs on producers and hurting consumer confidence.

Restaurant traffic has returned to 2019 levels, though beef sales are lagging due to costs and take-out challenges. Food service demand is likely to ease lower in the updated forecast as a result.

UFCW Canada members work in every aspect of the beef industry from food processing to retail. To learn more about UFCW-made beef, visit our Great Canadian Food Products page.