Alberta export numbers reach all-time high, with energy leading growth
Beef exported to Japan is up after implementation of Trans-Pacific Partnership
Alberta monthly exports have reached an all-time high totalling $11.97 billion for the month of May.
The bulk of the growth of exports came from the energy sector, accounting for $8.96 billion. That is up $1.8 billion over May of last year.
"Alberta exports did reach their highest levels in history, and that's primarily on growth from energy products, primarily oil that we send to the United States. That is up significantly just in the past few months," said Trevor Tombe, an associate professor of economics at the University of Calgary.
Today's data: exports!! <a href="https://t.co/BVR4MsBD8C">https://t.co/BVR4MsBD8C</a> Alberta exports reach all-time high in May, nearly $12 billion. Due to rising energy exports. <a href="https://twitter.com/hashtag/ableg?src=hash&ref_src=twsrc%5Etfw">#ableg</a> <a href="https://twitter.com/hashtag/cdnecon?src=hash&ref_src=twsrc%5Etfw">#cdnecon</a> <a href="https://t.co/simFSRvpZW">pic.twitter.com/simFSRvpZW</a>—@trevortombe
"That really relates to the big issue in Alberta around the oil price differential, market access and production curtailment that kicked in in January. We've seen a big increase in the price received by producers in Alberta relative to those lows of December, November, January."
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Tombe says curtailment has led to an increase of nearly 90 per cent in the value per barrel of Alberta oil exported to the U.S., and with the gradual easing of the curtailments, the number of barrels exported has also started growing again.
Another success story hidden in the export numbers is the increased trade resulting from the Trans-Pacific Partnership. Tombe says he's been watching substantial growth in the amount of Alberta beef exported to Japan, up roughly five times what it was last year.
Canada as a whole saw its exports grow when compared with April, as well as over May 2018, totalling $50.7 billion.
Alberta trailed only Ontario in terms of merchandise exported. Ontario sent $18.91 billion worth of goods abroad. The auto industry accounts for the biggest part of that province's exports.