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Pet tens:

Now As Good A Time As Any To Stock Up The
Freezer With Beef.

It is unlikely beef prices will ever be
as low again as they are to-day. The
average price of beef is 5¢ lower than
it was at this time last year. Prices
normally increase during the summer
months in keeping with Canadian's habit
of barbecuing.

Beef prices must also rise in the coming
months if Canada's beef industry is to
stay in business. It currently costs a
cow/calf operator $270.60 to keep a beef
cow for one year and raise its calf to

a weight of 400 - 425 lbs. Currently
these calves when sold to a feedlot
operator fetch 38¢/lb. representing a
loss of $110.00 on each cow/calf unit.

Some cow/calf ranchers have already gone
out of business. Others, with heavy
investment in land, equipment & cattle
are hanging on by the skin of their teeth
hoping conditions will improve. Some
are in so deep, they could'nt get out in
a hurry if they wanted to.

Feedlot operators are doing slightly
better, but they are currently losing
$16.50 on every steer sold to the packer.
For these reasons, beef prices must
increase or producers will definitely go
out of business.

How much might prices increase? I don't
know, but just to break even the cow/calf
operator needs 64¢/lb. This would add
$110.00 to the cost of the feedlot operator.
He must then recieve 55¢/lb. in order to
break even. To equate this in terms of

the consumer, it takes two and a half lbs.
of live animal to produce a pound of beef
sold over the counter at a retail outlet.

We will allow for no mark-up at the packer
level. The packers profit comes from the
sale of by-products. However, we must add
a mark-up of 25¢/lb. for the retailer. In
other words, 55¢/lb. liveweight for finished
beef to the feedlot operator becomes an ave.
of $1.62 at the retail level.

The $1.62 would represent an increase of
11.7% over last year's ave. retail price,
well within the Federal anti-inflation
guidelines. And certainly in keeping with
the ave. increase in per capita income of

12.1% last year.

DOUGLAS COLLEGE LIBRAR

Last week, boneless sirloin steak sold for

$2.38/lb. in Toronto compared to $2.19 in

# Washington, $4.36 in Copenhagen, $3.33 in
Rome, $4.08 in Stockholm and $13.75 in Tokyo.

If we were to raise the price of boneless
sirloin to $2.75, in line with an average

§ price of $1.62 retail, the ave. Canadian
h worker could buy a pound of sirloin with 35
8 minutes labour. Compare this to 26 minutes

labour in Washington, 56 minutes in Stockholm

R and almost six and a half hours in Tokyo.

h If the ave. retail price of beef were in fact
8 $1.62, its nice to know that a great many cuts
§ would sell for much less.

5 My guess is that retail beef prices will rise

to an average of more than $1.62 a pound. They

must, if the industry is to remain healthy.

§ Meanwhile, now is a good time to stock up on
R beef... fill the freezer ... and what not.

§ So eat hearty and enjoy the low beef prices
§ while they last. When the price does go up,
h understand why and realize that you’re lucky
H it is'nt higher.
8 still be getting a bargain.

In all likely hood you will

Ron Tarves,
Institute of Environmental Studies.

Satyr

NOTICE

Vacation 15 March — 26 March '76

Rick Reynolds

Ken McCoy (Supervisor - New West Campus)
will be in charge on Surrey Campus
during my absence and will actually take
my place on Surrey Campus on the 16, 18,
23, and 25 March, 1976.

All requirements, campus problems, etc.
will be passed to Ken McCoy via local

250 on Surrey Campus or local 237 on
-New West Campus.

Bob Lisson wil be the back-up for Ken
McCoy and may be contacted (local 224 -
New West Campus) if Ken McCoy is not
available or in an emergency.

R.J. Reynolds