Australian beef is being sold in Canadian supermarkets at lower prices compared to Canadian beef, raising concerns among local producers about undercutting. On the other hand, some consumers are happy to have a more affordable option available.
Tyler Fulton, the president of the Canadian Cattle Association, mentioned that Australian beef has been a choice for consumers for quite some time now, especially for steak cuts. He explained that the pricing disparity is influenced by various factors, including the production methods in Australia, which involve a grass-based system with limited grain feeding resulting in leaner meat with less marbling, which may not be as preferred in Canada.
The access of Australian beef to the Canadian market increased in 2018 due to the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). This trade deal benefits Canada by providing access to markets in countries like Japan and Vietnam. Fulton acknowledged the role of imported beef in filling short-term supply gaps but emphasized the importance of maintaining the standards and quality of Canadian beef.
Shoppers at Loblaws-owned stores in Regina shared their perspectives on the pricing and quality of beef. Some consumers, like Karen Novak, have adjusted their diets due to the high cost of beef, opting for more affordable alternatives. Others, like Jordan Fieseler, choose to buy beef in bulk from local producers to ensure quality and support local businesses.
Loblaws responded to inquiries by stating that the tightening of North American cattle supply and the increase in Australian beef production have impacted market pricing. The company remains committed to supporting Canadian beef producers while offering customers a range of choices.
Fulton expressed optimism about the growth opportunities for Canadian beef producers, emphasizing the importance of the domestic market. He highlighted the recent growth in the Canadian beef cow herd and anticipated further expansion due to favorable economic conditions in the sector.
