This article supplied by Troy Media.

By Sylvain Charlebois

Canadian beef prices have surged due to a shrinking cattle herd, high transportation costs, and potential market collusion

With summer weather settling in, Canadians are returning to a familiar ritual—ring up the barbecue. But as they approach the meat counter, many are faced with shockingly high prices. This year, the meat aisle has become a case study in supply-side economics and market dysfunction, leaving
consumers to wonder how this all came to be.

Since January, according to Statistics Canada, beef prices have surged dramatically. Striploin is up 34.2 per cent, top sirloin 33.7 per cent, and rib cuts nearly 12 per cent. Pork rib cuts and chicken breasts have each risen 5.9 per cent, while even meatless burger patties are 6.8 per cent more
expensive. Beef has led the way in these increases, and its dominance in the price hikes is striking. What’s particularly concerning is that it’s not just one cut of beef—virtually every option has seen a dramatic jump, putting pressure on Canadian consumers who were already grappling with rising food costs.

The cause behind these increases lies in Canada’s shrinking beef cow inventory, now at just 3.38 million head—the lowest since 1989. This represents a 1.2 per cent drop from last year, but it signals much more than a cyclical decline. Many cattle producers, facing an increasingly volatile market, are choosing to exit the industry while prices are favourable. Others are opting to reinvest in less risky sectors or even shift entirely to crop production, leaving the beef industry in a precarious state. In short, Canada’s beef industry is retreating, and with that retreat comes rising prices, fewer available cattle, and growing uncertainty.

South of the border, the U.S. is seeing a similar trend, but far less severe. According to the United States Department of Agriculture, the
American beef cow herd declined by just 0.5 per cent to 27.9 million head. This relatively modest drop, coupled with less disruption in their production practices, has resulted in more stable prices.

Over the past year, U.S. boneless sirloin steak rose 5.7 per cent, compared to a staggering 22 per cent in Canada. Ground beef saw a 10.8 per cent increase in the U.S., but 23 per cent in Canada. The price difference between the two countries is stark, and Canadians are feeling the inflationary pressure much more acutely.

There are several factors contributing to the price hikes: Canada’s vast geography, high transportation costs, a limited number of federally licensed beef processors, carbon pricing, and higher labour costs. Carbon pricing, in particular, has added a burden to sectors like beef production, where transportation costs are high. Regulations and logistical inefficiencies add to the costs, driving up prices for retailers and, ultimately, consumers.

This combination of factors is having a compounding effect on the price of beef, making it increasingly out of reach for many.

But there’s another possibility we can’t ignore: potential collusion within the industry. In Canada, a small number of large processors control much of the beef supply, which gives them significant influence over prices. The U.S. government has taken strong action against price-fixing among major meat packers like JBS, Tyson Foods, Cargill, and National Beef, leading to multimillion-dollar settlements. In Canada, however, the Competition Bureau has remained largely silent on similar concerns, allowing the possibility of price-fixing to persist unchecked. Perhaps it’s time for Canada to follow the U.S. lead and ensure the beef industry is held accountable for its actions.

The consequences of these rising costs are already evident. According to IBISWorld, Canadian per capita beef consumption fell by 7.1 per cent in 2023 and is expected to drop another 2.1 per cent in 2024. This isn’t merely a shift in dietary preferences—this is a structural change in consumer behaviour. Beef is becoming increasingly viewed as a luxury item, with many budget-conscious households turning to ground beef as a more affordable option. For many Canadians, beef is no longer a staple food but rather an occasional indulgence, reserved for special occasions or holiday meals.

This shift is unfortunate. Beef remains one of the most natural, sustainable sources of protein available to Canadians. Ranchers and processors have made significant strides in improving environmental stewardship, animal welfare, and food safety, often without recognition. Beef is not only nutritionally dense but also supports rural economies and provides a level of traceability few other protein sources can offer.

For many Canadian families, a summer steak on the grill is becoming more of a splurge than a staple. While Canadians will continue to enjoy beef, the frequency and volume of consumption will likely diminish.

Barbecue season hasn’t disappeared, but for many, it’s starting to look a little different: more sausages, more chicken, and fewer striploins. A shame, really, for a product that offers so much more than just taste.

Dr. Sylvain Charlebois is a Canadian professor and researcher in food distribution and policy. He is senior director of the Agri-Food Analytics Lab at Dalhousie University and co-host of The Food Professor Podcast. He is frequently cited in the media for his insights on food prices, agricultural trends, and the global food supply chain.

Troy Media empowers Canadian community news outlets by providing independent, insightful analysis and commentary. Our mission is to support local media in helping Canadians stay informed and engaged by delivering reliable content that strengthens community connections and deepens understanding across the country.

This article supplied by Troy Media.

By Sylvain Charlebois

Canada’s bread price-fixing scandal is one of the most damaging breaches of corporate trust in the history of Canadian food retail. The recent approval
of a $500-million class-action settlement by an Ontario court is a significant—though partial—step toward accountability. But the story isn’t over.

For over a decade, grocery giants secretly rigged the price of the country’s most basic food item, and most Canadians had no idea.

From 2001 to 2015, retailers and suppliers deliberately coordinated to raise the price of packaged bread, a basic household staple. This kind of illegal arrangement, known as price-fixing, occurs when supposed competitors agree to set prices rather than compete, driving up costs for consumers. Companies named in the lawsuit include Loblaw, its parent company George Weston Ltd., Metro, Sobeys, Walmart and Giant Tiger.

The impact on consumers was steep. Estimates suggest Canadians were overcharged by more than $5 billion over 14 years. The added cost was hidden in weekly grocery bills, largely unnoticed, but cumulatively devastating, especially for lower-income households that spend a greater share of their income on food.

The Competition Bureau, Canada’s competition watchdog, launched its investigation in 2015 after Loblaw came forward as a whistleblower under its Immunity and Leniency Program. In exchange for cooperating, Loblaw and George Weston were granted immunity from criminal prosecution. Their disclosure triggered years of scrutiny. In 2017, the companies attempted to contain the public backlash by offering $25 gift cards to 3.8 million Canadians, a gesture that cost $96 million and was widely seen as inadequate.

More recently, in 2023, Canada Bread pleaded guilty and paid a record $50-million fine for its role in the scheme. Although the violations occurred while it was owned by Maple Leaf Foods, it was Grupo Bimbo—which acquired Canada Bread in 2014—that took responsibility and cooperated with regulators. It was a rare show of accountability in a case otherwise marked by corporate silence.

Despite multiple companies being implicated, only Loblaw, George Weston and Canada Bread have admitted wrongdoing. No fines or sanctions have been imposed on the others. Walmart, Metro, Sobeys and Giant Tiger—all named by Loblaw—deny the allegations. Yet the investigation drags on nearly a decade later.

This imbalance in accountability has deepened public frustration. Many Canadians believe only those who stepped forward have faced consequences,
while others remain untouched. Or perhaps Loblaw threw its competitors under the bus in a calculated effort to save its own reputation?

The $500-million settlement—$404 million of it from Loblaw and George Weston —was approved by an Ontario judge earlier this month as “fair, reasonable, and in the best interests of class members.” The other $96 million reflects the earlier gift card program. What’s left to be paid amounts to about $13 per Canadian adult. After legal fees and administrative costs, 78 per cent of that will go to eligible Canadians outside Quebec, with the remaining 22 per cent reserved for Quebecers, pending a June 16 court hearing.

But for many, the money and the apologies do little to restore trust. If companies can quietly collude on something as essential as bread, it raises questions about what else might be going unnoticed in our grocery bills. The scandal exposed major weaknesses in Canada’s food retail system: toothless competition laws, limited pricing transparency and weak deterrents against collusion. These investigations take too long, and the damage to public confidence lingers long after the cheques are cashed.

Bread is not just a commodity. It symbolizes nourishment, affordability and stability. Manipulating its price isn’t just a legal violation; it’s a betrayal of public trust.

If this case is to be a turning point, it must lead to more than payouts. Canada needs stronger enforcement, faster investigations and real transparency in pricing. Without systemic reform, Canadians will remain vulnerable to the next coordinated “market adjustment,” hiding in plain sight on store shelves.

Dr. Sylvain Charlebois is a Canadian professor and researcher in food distribution and policy. He is senior director of the Agri-Food Analytics Lab at Dalhousie University and co-host of The Food Professor Podcast. He is frequently cited in the media for his insights on food prices, agricultural trends, and the global food supply chain.

Troy Media empowers Canadian community news outlets by providing independent, insightful analysis and commentary. Our mission is to support local media in helping Canadians stay informed and engaged by delivering reliable content that strengthens community connections and deepens understanding across the country