The likelihood of a tariff-induced recession rises in the U.S. and worsening consumer sentiment jeopardizes what was expected to be a recovery year for food service and retail. So says Rabobank in its April Agribusiness Review. Trade disruption begins to weigh on pork values, leaving producers cautious, while milk production returns to growth while tariff […] Read more
As recession risk rises in U.S., beef demand holds up
Prime Cuts with Steve Kay
Canadian beef exporters breathe a sigh of relief
Prime Cuts with Steve Kay
I could almost hear the huge sighs of relief coming from Canadian livestock and meat producers on April 2 when U.S. President Trump announced he was imposing a new 10 per cent tariff on all imports. That’s because goods that comply with the U.S.-Mexico-Canada Agreement (USMCA) are expected to be exempt from the new tariffs. […] Read more
Tariffs threaten trade upheavals in North American beef industry
Prime Cuts with Steve Kay
The imposition of 25 per cent tariffs on Canadian and Mexican exports to the U.S., and retaliatory tariffs by the two countries, are likely to cause significant trade upheavals throughout North America until they are removed. The U.S., as previously announced, imposed its tariffs on March 3 after delaying its move for 30 days. The […] Read more
Tariff threat clouds outlook for beef producers
Prime Cuts with Steve Kay
Cattle producers throughout North America have been holding their breath since President Donald Trump began his second term in office. They are hoping that he will not go ahead with his threat to impose 25 per cent tariffs on all goods from Canada and Mexico, an additional 10 per cent tariff on all Chinese imports […] Read more
Food processing giants lay off workers
Prime Cuts with Steve Kay
To say that the past two years have been challenging for American meat companies is an understatement. Just two years ago, Tyson Foods, the largest processor of fed beef in the industry, posted operating income for its beef segment of US$2.502 billion. The year before, it posted a record operating profit of US$3.240 billion. But […] Read more
U.S. facing crucial beef shortages
Prime Cuts with Steve Kay
The shrinking U.S. beef cow herd is raising more concern in the beef industry. Many observers wonder whether there will be enough cattle in the next two years to fill feedlots and beef processing plants and enough beef to satisfy consumer demand. There are no signs that producers have stopped sending more beef cows to […] Read more
October strike agreement brings sigh of relief
Prime Cuts with Steve Kay
A tentative agreement on October 3 between shipping companies and striking dockworkers brought huge sighs of relief from U.S. meat exporters and importers and the agricultural feed/food industry. All had warned that a prolonged strike would wreak havoc on their sectors. The last time the International Longshoremen’s Association struck in 1977, the port closure lasted […] Read more
Lack of traceability in U.S. beef industry is a disgrace
Prime Cuts with Steve Kay
The U.S. beef industry has struggled for much of the 36 years I have covered it to introduce a meaningful national animal traceability system. Its inability to do so is not only a disgrace but a real danger as a disease outbreak could bring the industry to its knees financially. Various efforts to introduce a […] Read more
Look for a slow rebuild of the U.S. cattle herd
Prime Cuts with Steve Kay
The U.S. beef cattle industry is smaller than needed and signals for rebuilding will continue in the coming months. But herd rebuilding is likely to be slow to start and proceed quite slowly initially. So says Oklahoma State University’s Derrell Peel in his latest analysis of the prospects for herd expansion. Meanwhile, a CoBank report […] Read more
Where are all the cattle?
Prime Cuts with Steve Kay
The question in the headline reflects the most pertinent issue facing the U.S. beef industry. That is because the U.S. cattle herd on January 1 had shrunk to its lowest level since 1951. A fifth year of herd liquidation meant the January 1 total for cattle and calves was 87.157 million head, down 1.9 per […] Read more
Canadian Cattlemen Presents: Depth of Field
