Alberta Agriculture Statistics Yearbook, 2012
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Alberta Food and Beverage Manufacturing Industries in 2012
Food Manufacturing Sales
Note: Manufacturing sales data for Alberta beverage manufacturing industries are not available for 2012 due to confidentiality.
In 2012, the value of all goods manufactured in Alberta totaled $73.5 billion, an increase of 4.5 per cent over 2011. This was
the third consecutive annual increase. The province’s food manufacturing industries reported a 19.6 per cent gain,
generating a record $11.8 billion. Food processing industries represented the second largest manufacturing sector in the
province (16.1 per cent of total sales), after petroleum and coal products industries at $19.7 billion or 26.8 per cent.
Chemical industries ranked third largest at $11.6 billion or 15.8 per cent.
On a national basis, three provinces accounted for 76.9 per cent of Canadian 2012 food sales at $87.3 billion: Ontario
(
$34.9 billion or 39.9 per cent), Quebec ($20.5 billion or 23.4 per cent) and Alberta ($11.8 billion or 13.6 per cent). In 2012,
Alberta reported the largest annual growth in food sales among the provinces at 19.6 per cent. This was the greatest
increase in the last two decades. In comparison, Ontario sales rose 11.9 per cent and Quebec sales grew 4.8 per cent.
In 2012, 71.5 per cent of Alberta's food manufacturing sales were concentrated in three segments: meat product
manufacturing (livestock and poultry slaughtering, processing and rendering), grain and oilseed milling and animal food
(
including feed) manufacturing. Production activity continues to be dominated by meat product industries. This segment
accounted for 50.0 per cent ($5.9 billion) of total food sales ($11.8 billion). Grain and oilseed milling accounted for 14.4 per
cent ($1.7 billion) and animal food (including feed) manufacturing for 7.1 per cent ($845.6 million). The remaining portion
(28.5
per cent) of food sales was distributed among other food manufacturing industries including dairy products, bakeries
and tortilla manufacturing, sugar and confectionery products, fruit and vegetable preserving, seafood products, specialty
foods and snack foods.
In 2012, meat product manufacturing sales in Canada reached a high of $23.4 billion, 4.6 per cent higher than in 2011. The
top three provinces contributing to this total were Ontario ($8.6 billion or 36.8 per cent), Alberta ($5.9 billion or 25.3 per cent)
and Quebec ($5.0 billion or 21.5 per cent). Among these provinces, Alberta had the highest percentage of its total food sales
generated by the meat product industries. At 50.0 per cent of total food sales, Alberta’s proportion well surpassed
comparable proportions for Ontario and Quebec, both at about 25.0 per cent.
Alberta manufacturing firms reported steady gains in total manufacturing sales from 2003 to 2008. By 2008, sales had
reached a record $69.1 billion. However, in 2009, the recession impacted the sector causing a decline of 22.0 per cent to
$53.9 billion. The majority of manufacturing industries reported lower sales. Food industries experienced the smallest
decline of 1.7 per cent. In 2010, manufacturing sales for all industries recovered with a gain of 10.2 per cent to total $59.4
billion. Growth continued into 2011 and 2012. Sales rose 18.5 per cent in 2011 and a further 4.5 per cent in 2012 to a new
record of $73.5 billion. All reporting industries posted higher sales in 2012 with the exception of chemical industries. The
largest increases were in:
-
wood product manufacturing (27.0 per cent)
-
fabricated metal product manufacturing (20.7 per cent)
-
food manufacturing (19.6 per cent).
Food sales in Alberta reached a high of $11.8 billion in 2012 with the majority of categories recording higher sales. Following
a decline of 5.6 per cent in 2011, sales of meat products increased 20.5 per cent to a record $5.9 billion. At $1.7 billion,
sales for grain and oilseed milling were up 1.3 per cent, slower than the 21.7 per cent gain in 2011. Substantial growth in
animal food (including feed) manufacturing continued into 2012 with a gain of 28.6 per cent to $845.6 million.
Employment in Food and Beverage Manufacturing Industries
Following an increase of 7.2 per cent in 2011, employment in Canada’s food and beverage manufacturing industries
increased 2.6 per cent in 2012 to total 297,500 persons. This was the highest level since 2005 and compares to the record
set in 2004 at 306,100 persons. The largest concentration of workers were in Ontario (118,900 persons or 40.0 per cent),
Quebec (82,600 persons or 27.8 per cent), British Columbia (31,800 persons or 10.7 per cent) and Alberta (19,700 persons
or 6.6 per cent).
In 2011, manufacturing industries in Alberta employed 141,400 persons, an improvement from the 2009 recession level of
124,500
persons. However, in 2012, employment dipped 2.1 per cent to 138,500 persons. Just over one-half of the major
industries reported declines, ranging from 7.9 per cent in food and beverage industries to over 50.0 per cent in
computer/electronic industries and paper manufacturing industries. The largest employment gains were reported in
transportation equipment (up 41.0 per cent), petroleum and coal products (up 33.3 per cent) and chemicals (up 25.0 per
cent).