Livestock populations in Canada were variable in 2002 as cattle fell and hogs rose.
The impact of a second year of drought in the cattle country of Alberta and Saskatchewan, losses for cattle feeders and weak hog prices were reflected mainly in Alberta statistics. Other provinces fared better.
The Canadian cattle inventory as of Jan. 1, was 13.4 million, down 340,000 from 2002. In 2001, the total was 13.6 million, a near record for January. Normally at this point in the cattle cycle, the herd would have increased.
The losses occurred almost exclusively in Alberta, with the rest of the West and Ontario benefiting by that province’s cuts.
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Alberta began the year with 5.8 million head, or 42 percent of the Canadian herd. It ended with 5.2 million head, or 39 percent.
Debbie McMillin, a cattle industry analyst with Canfax, said two years of tough weather caused the exodus of animals from Alberta.
“Manitoba and (British Columbia) had their cow numbers jump by five percent each. Saskatchewan was hurt by the drought, but the east half of the province saw big herd increases … the Saskatchewan cow population rose by two percent,” she said.
Janet Honey, Manitoba Agriculture livestock analyst, said her province may have benefited by the drought in the western Prairies.
“Manitoba may see some permanent increases in its cattle herd as a result of this,” she said, adding post-drought rebuilding could provide a good market this year.
“If Alberta gets the moisture, then there will be a big market for replacement heifers and cows to rebuild that province’s industry. … That will be good for Manitoba producers.”
Feeder and stocker cattle were also shipped from Alberta to Ontario, boosting that herd by 6.6 percent.
Honey said several problems conspired against the Alberta industry.
“High prices for feed grain, a serious lack of pasture and hay and ever tighter margins for cattle feeders has (created) the situation in Alberta.”
Analysts say heavy demand and strong prices for calves in the past few years kept older cows on the farm longer than usual.
“In 2002, all those older or less than perfect cows in Alberta and western Saskatchewan were sent to slaughter,” said McMillin.
Drought also forced Alberta producers to sell a lot of calves, driving down prices and making it cheaper for feedlots to fill their pens. This helped feedlots see a profit.
“Let’s hope they can keep this rolling after two years of losses as the (fed fat cattle) are breaking even,” said McMillin.
But Honey said feeder and calf prices have recently risen, and after current feedlot inventories are sent to packers, the feeding industry might return to losses.
With the exception of Alberta, where low hog prices and expensive feed forced sows and bred gilt numbers down seven percent, national pig inventories continued up.
Growth was limited to 2.5 percent nation-wide compared with the annual five percent increases of recent years. Ontario had a 6.2 percent increase, while Saskatchewan’s hog numbers rose 3.3 percent and Manitoba 6.7 percent.
Quebec’s sow population rose slightly, in spite of a provincial moratorium on new barn construction.
Its overall pig numbers were almost static.
Ontario’s increase may have been influenced by the opening of a new producer-backed co-op packer and members increasing herds to meet commitments to the project.
“Prices were down 23 percent and that means that some producers are not profitable, while others who are milling and producing their own feed or have lower costs, can still make a profit. This hit Alberta the hardest,” said Honey.
