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By Chantal Wagner

Alberta production

Beef processing still pushed back but recovering amid COVID-19

Jul 28, 2020 | 4:35 PM

MEDICINE HAT, AB – With closures and near closures of meatpacking plants this spring due to COVID-19, the industry saw everything fall behind.

Now the processing industry and supply chain are starting to recover.

Vice-Chair of the Alberta Cattle Feeders Association Jacob Bueckert says he expects by December they’ll be caught up if everything continues at this state.

Bueckert has a feedlot near Warner, AB with about 20,000 head of cattle.

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Right now production continues to be pushed back and cattle have to stay at the feedlot longer which is about 30-45 more days.

As for feed supply, Bueckert says they have amazing crops in the area and there has been enough to feed the animals.

Beef supply is also good and local plants at JBS in Brooks, AB and Cargill in High River, AB seem to be running well and close to capacity.

Bueckert says at his feedlot, cattle was supposed to go in June at 1350 lbs and they’re going out next week at 1550 lbs.

“So we’re adding 200 lbs to them and keeping them quite a bit longer so everyone is getting pushed back. So if there’s 100,000 head backed up, if they kill 8,000 a day it just takes that many days to get through them.”

Bueckert says the local processing plants have done a good job of pricing fair to the U.S market.

But they’re losing money per head.

He says it’s about $250 lower from where they need to break even.

“So it is a fair amount of money but considering how people are housebound, COVID-19, and everything else that they’re still buying beef that’s good. We would definitely like to see higher prices in order to break even or make some money but it could always be way worse.”

Bueckert says right now their cattle is being shipped to local plants at JBS and Cargill.

They saw shutdowns and slowed production due to COVID-19 cases in the spring.

Starting in November, Bueckert will ship to a couple of plants in Washington again on their U.S contract.

Feedlots and producers were also able to access government money for feed when the plants were nearly shut down.

As for the government’s set-aside program, Bueckert says they have not needed to use that money but it’s there in case, or if there’s a second wave of COVID-19.

“The government has been incredible at luring in some of these big companies that help value add to the ag sector. So we really believe that we have the climate, the land, and the people that continue to grow agriculture and make ag a big part of the economy,” Bueckert added.