Price of red meat

Red meat prices in Canada are indexed at 227.7 in 2025, reflecting a robust annualized increase of 5.5% over the previous five years. This sharp upward trend stems from a confluence of supply constraints, inflationary pressures and resilient demand. Droughts and adverse weather during the early 2020s reduced overall cattle and hog numbers, setting the stage for higher livestock prices and thus costlier red meat products. Canadian producers have capitalized on export opportunities, particularly to Asia, which has absorbed some domestic supply. On the demand side, higher disposable incomes post-pandemic have supported continued consumer interest in red meat despite rising costs.

Over the five years to 2025 were marked by notable volatility and external shocks. At the onset of the period, global supply chain disruption and a sharp drop in consumer demand during COVID-19 forced farmers to slow meat production, reducing herd sizes and temporarily lowering red meat supply. As economies reopened and consumer confidence improved in 2021, demand for red meat rebounded quickly, driving prices sharply upward as low inventories failed to meet growth in consumption. This upward momentum was further sustained by persistent inflation, which increased input costs for feed, labor, transportation and processing, all of which contributed to higher retail red meat prices. Attempts to substitute alternative proteins only partially offset demand shifts, given red meat's staple status in Canadian diets and its relative lack of direct substitutes. The period also saw record beef export growth to Asian markets, supporting local processors and bolstering price increases.

From 2020 to 2025, input price volatility remained a central macro trend for red meat prices, compounded by ongoing global economic uncertainty and shifting consumer preferences. While health consciousness increased modestly, prompting some temporary substitution toward poultry, plastic changes in long-term consumer behavior regarding red meat were limited. Export developments and global trade dynamics played key roles, particularly as export demand to China and elsewhere underpinned elevated domestic prices. Inflationary pressures and lagging supply recovery from the pandemic helped drive sustained price growth, with Canadian beef and pork becoming progressively costlier staples.