There’s an imbalance in cattle and beef pricing markets, the Saskatchewan Stock Growers Association says
By Diego Flammini
Staff Writer
Farms.com
A beef sector group is asking the multiple levels of government to investigate meat pricing.
The Saskatchewan Stock Growers Association (SSGA) is calling on the provincial and federal governments to look into what it calls a “significant imbalance in cattle and beef pricing margins.”
Food prices overall in Canada increased by 8.8 per cent from May 2021 to May 2022, Statistics Canada reported.
The prices of fresh and frozen beef jumped by 11.2 per cent during that time.
In Saskatchewan, the prices for fresh and frozen beef products increased by 14.1 per cent between May 2021 and 2022.
But high prices at the retail counter don’t reflect the prices producers receive, said Garner Deobald, president of the SSGA.
“Many producers and feedlots are feeling challenged by increased costs due to inflation, fuel and record-high feed costs,” he said in a statement. “Our members are sharing their frustrations with us. There is a disconnect between what producers are receiving for their animals and the high prices consumers are paying for beef products. Producers are feeling exploited.”
Saskatchewan’s government responded to the SSGA, suggesting the federal government can handle the request.
“We share industry pricing concerns,” a spokesperson said, Global News reported. “However, it would be best for the SSGA to discuss their investigation request with Competition Bureau Canada.”
The bureau “protects and promotes competition for the benefit of Canadian consumers and businesses.”
Meat pricing has been an issue in the U.S. as well.
In February, JBS SA agreed to pay (US)$52.5 million to settle litigation accusing meat-packing companies of conspiring to limit supply.