While many U.S. producers work towards rebuilding cattle numbers after a prolonged drought, another drought has left Canadian producers in a similar situation.
Bloomberg reports a drought has parched pastureland throughout the biggest beef-producing provinces in Canada.
The country is the seventh largest exporter and has its smallest herd in 22 years.
Beef processing plants are running at 74 percent of capacity, a seven-year low, forcing processors to pay a premium for animals to slaughter.
Retail prices are the highest on record since 1995.
The Canadian government had previously thought this spring’s high meat prices would encourage ranchers to expand the breeding herd this year. Instead, they are shrinking to do the ongoing dryness.
