Why the P.E.I. government thinks we need more cows, and how it's trying to help that happen

Cattle producers on Prince Edward Island can now take advantage of incentives from a new provincial program to expand their herds. 

It's called Grow the Herd and offers incentives to producers who keep their heifers and calves for future breeding rather than sell them off, as well as those who purchase new animals. 

"It's [an] initiative to grow our beef herd that was in decline for years and years after BSE," said P.E.I. agriculture minister Bloyce Thompson, referring to the May 2003 case of bovine spongiform encephalopathy found in a Canadian cow that sparked chaos in the industry.

"Now we're trying to build back those numbers to where they were, and help the Island beef producers and help the Island economy."

Statistics Canada reported last fall that the number of cattle in the country has dwindled to the lowest level since 1987, in part because of a drought in western Canada that left grass withered and other types of feed scarce and expensive.

On P.E.I., the numbers were up slightly in 2024, but they are still far from what they were in the pre-BSE years.

"It's offering money to retain animals to grow their herd," Thompson said of his department's incentives.

"With the demand and price right now, the price is so incredibly high that, to keep those animals around to reproduce, we need to... offer them some support to be able to do that so we can have a a bigger impact in the future."

The department says the program spending will depend on the uptake from farmers, but it could amount to as much as $1.5 million between now and 2028, with funding support from the Sustainable Canadian Agricultural Partnership. 

'Make a profit today'

Dennis Hogan has been in the beef industry for four decades, and has about 200 head of cattle on his farm in Cumberland. He's also chair of the P.E.I. Cattle Producers Association. 

He said margins have been tight in recent years because although the price of beef has increased to producers, so have their costs. 

"The high prices now, it's more incentivizing to sell that animal, make a profit today as opposed to try to calve it out in a couple of years when maybe the prices are lower," Hogan said. "I think people are trying to cash in today on the high prices of beef."

Of the program, he said: "We've been lobbying the government for many years trying to grow the herd, so it's nice to see that they're starting to put some money toward trying to grow our industry."

Hogan said he's hoping the new incentives will encourage other producers to expand, or even attract new people into the industry. 

It would be nice in 20 years [if] it's doubled what it is today. [That] would be something to aspire to, but we'll see how it goes.— Dennis Hogan, P.E.I. Cattle Producers Association 

"I guess anywhere's a start," he said.  

"It would be nice in 20 years [if] it's doubled what it is today. [That] would be something to aspire to, but we'll see how it goes."

The program also provides bonuses for cattle that meet the standards for Certified Island Beef, sold by Atlantic Beef Products.

Livestock champion

At the same time, the province is hiring a livestock champion to get the word out.

"We're excited to have that person come into the industry soon, and to meet with farmers, and talk to farmers, and to see how we can grow the industry," Hogan said.

"What barriers are in place? What we need to do to remove some of those barriers? So I think it's exciting. I think it's something we are in dire need of and I'm glad that it's coming to fruition."

The new programs are focused on growing the number of cattle, but there is also a connection to soil health and climate change.

"There's a lot of studies out there that show the organic matter in our soils is depleting and that probably coincides with fewer cattle than ever before," Hogan said.

This is forward thinking, down the road two or three years' time, because obviously you can't just instantly grow your herd​​​​​​.—Bloyce Thompson, P.E.I. Minister of Agriculture 

"If we get a drought year, you want your soil to retain more moisture, and you can do that by higher organic matter, and manure certainly would help ease that. So it certainly plays a role for sure."

The new programs are being launched as the threat of U.S. tariffs hangs over the industry. No one knows what impact that could have on beef prices. 

"It's always a concern, but we gotta move on," Thompson said.

"This is forward thinking, down the road two or three years' time, because obviously you can't just instantly grow your herd. You have to plan for the future and that's what we're doing."