1. Size of Industry

2. Size of Industry

3. Size of Industry

4. Size of Industry

5. Size of Industry

6. Size of Industry Cow numbers increased but are trending down again
Calf crop grew after May 2003 but is adjusting downward
Beef production has decreased from 2004/2005 levels

7. Beef and Cattle Exports

8. Beef and Cattle Exports

9. CBEF Beef Exports and Projections (Million $)
Year
Japan
South Korea
Taiwan
Hong Kong
China
Mexico
USA
2002
96.12
59.83
41.53
2.96
7.10
289.74
1,628.26
2003
42.33
29.48
19.24
1.67
1.88
117.77
1,186.37
2004
38.20
353.49
1,474.81
2005
76.38
208.26
1,545.99
2006
15.54
56.59
153.33
1,085.04
2007
95.42
11.57
15.72
90.40
1.23
259.08
1,146.60
2008
132.12
46.30
20.96
79.33
14.76
300.99
1,175.72
2009
168.82
78.71
31.44
66.42
27.06
346.71
1,201.20
2010
205.52
111.12
41.92
55.35
39.36
388.62
1,230.32
2015
322.96
148.16
52.40
73.80
54.12
441.96
1,274.00

10. Beef Exports Country 2005 (tonnes) 2006 (tonnes) Canada USA Japan
2,307
2,117
13,736
S. Korea
2,106
233
Taiwan
7,764
21,409
H.K/Macau
20,368
15,336
3,316
China
134
S.E. Asia
440
17,711
701
5,599
Mexico
52,064
282,215
40,243
371,087

11. Beef and Cattle Exports

12. Beef and Cattle Exports
Beef exports to Macau and Hong Kong have replaced Japan in importance
Beef exports to Mexico and U.S. remain strong
Cattle exports to U.S. remain strong
Loss of key markets such as South Korea means a loss of high value beef exports
The OIE has designated Canada as “controlled risk” for BSE – meaning that all beef products from Canada are safe for trade

13. Beef Imports (tonnes) Year U.S. Australia New Zealand Other tonnes
$’000
2002
81,444
349,701
96,633
292,472
55,239
164,372 67
235
2003
74,003
352,015
39,944
129,066
46,107
139,798
39,442
99,974
2004
15,774
75,089
8,609
42,376
30,683
102,325
24,800
82,195
2005
32,728
163,382
8,403
34,586
30,257
103,958
19,344
66,544
2006
68,365
378,640
10,041
40,336
26,145
84,874
6,875
24,347
2007 (Jan-Nov)
82,886
467,499
10,451
41,308
23,994
79,042
21,477
69,088

14. Access to Key Markets U.S.
U.S. re-opened to UTM beef and cattle on July 14, 2005
U.S. re-opened to cattle born after March 1, 1999 on November 19, 2007
U.S. re-opened to OTM beef on November 19, 2007
R-CALF continues to challenge in U.S. courts
Next hearing is on February 19, 2008

15. Access to Key Markets Mexico
Mexico is open to UTM beef
Negotiations continue to open Mexico to live cattle and OTM beef
Mexico has followed U.S. lead in past and should open to live cattle and OTM beef in 2008

16. Access to Key Markets Japan
Japan is open top boneless beef from animals under twenty months of age
This product has proven difficult to supply
Japanese market demands high value cuts and is highly profitable
Australia has captured a very large share of the Japanese market
Negotiations continue to expand access but progress is slow

17. Access to Key Markets South Korea
South Korea continues to ban all beef from Canada
South Korea was an important and profitable market before BSE
Negotiations with Korea are very difficult
U.S. has access for boneless UTM but it isn’t “real”
Some indications U.S. will get all UTM in 2008 – Canada as well?
Australia has captured a large share of the South Korean market

18. Access to Key Markets Taiwan
Taiwan is open to boneless UTM from Canada
Canada requested full access for all beef in September 2007
Taiwan has requested additional information and time to complete a risk assessment
Taiwan expects the process to go more quickly than it did for boneless UTM

19. Access to Key Markets China
China is closed to all cattle and beef products from Canada
Canada continues to press for full access but China rejects this
Negotiations are very slow and difficult
China has a fast-growing middle class and has great potential as an export market

20. Access to Key Markets Russia
Canada has access for live cattle and shipments have been made
Canada has access for boneless UTM but Russia has approved only half of the plants Canada submitted
Russia has not issued permits to allow meat shipments from Canada
U.S. has access for all UTM

21. Access to Key Markets Macau and Hong Kong
Canada has access for all UTM and OTM beef in Macau
Canada has access for boneless UTM in Hong Kong
Macau and Hong Kong are markets of growing importance and in 2006 were Canada’s 3rd and 4th most valuable export markets

22. Access to Key Markets Other markets
Canada has access for all beef in Cuba, Barbados and Bermuda
Canada has boneless UTM access in many countries in the Caribbean and Central and South America
Canada has access to the EU for all beef but is limited to a quota for hormone-free beef
However, this is a lucrative market that some producers may wish to pursue

23. Access to Key Markets
Regaining access to key Asian markets continues to be challenging
Many countries are refusing to follow OIE guidelines in granting access
Alberta government continues to press the Federal government to aggressively negotiate for restored access

24. Access to Key Markets
Alberta government is working with industry (CCA, ABP, CBEF) to restore market access
Minister Groeneveld advocated for further market openings on his mission to Asia in October 2007
Minister Groeneveld advocated for increased access to Mexico during his meeting with Mexico’s Ambassador to the U.S. in January 2008
Alberta government is closely monitoring R-CALF’s continuing legal challenges
Work with Federal government and industry on legal submissions

25. WTO Negotiations Negotiations for a new WTO agreement are ongoing
Agriculture is focused on 3 areas:
Agreement to eliminate export subsidies (by 2013?); world prices should increase
Domestic support (agreement on substantial reductions)
Market access (negotiations continue)

26. WTO Negotiations
An ambitious agreement has substantial potential for beef exports
A recent study by the George Morris Centre concluded that if tariff reductions “on the table” were applied to beef, exports would grow by 174,000 tonnes and $994 million
Alberta’s share would be $646 million

27. WTO Negotiations
Alberta continues to press the Federal government to negotiate for an ambitious deal at the WTO
A growing middle class in developing countries, such as China, will lead to increased global demand for beef
It is imperative that Alberta’s beef industry gains increased access to these growing markets