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“The Briefing Room,” the latest in BEEF’s online presence,
provides up-to-the-minute industry news, products, technology and
business announcements, direct from their source. Releases are provided
by companies and a posted directly to blog.beefmagazine.com/briefingroom/.
If there is company news and info you’d like to share, please contact
us at BEEF@penton.com. In
the meantime, check out what’s been hitting the newswires this week.
-- Alaina Burt
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“The last three weeks have been a roller coaster ride for all of
us here at Camp Cooley Ranch,” Klaus Birkel, ranch owner, said in a
letter this week to the beef industry. “Because of a possible exposure
of a relatively small number of females to an exotic wildlife disease
from the wildebeest herd in our game preserve, a ‘hold order’ was
placed on the ranch and we were forced to cancel two spring female
sales. Although the hold order has been lifted and we have returned to
‘business-as-usual,’ the loss of revenues from these sales has
forced us to reevaluate our business and our future.”
On April 17, USDA confirmed the presence of the wildebeest type of
malignant catarrhal fever (MCF) in a heifer from Camp Cooley Ranch,
Franklin, TX. While the virus poses no threat to humans and isn’t a
contagious disease in cattle, it can be highly fatal to cattle,
according to USDA, and is a reportable disease under World Organization
for Animal Health (OIE) guidelines.
In the epidemiological investigation that followed, USDA determined that
approximately 134 breeding heifers from the affected herd were shipped
to Illinois, Arkansas, Alabama, Georgia, Louisiana, Mississippi and
within Texas. USDA is working with state animal health officials to
depopulate the heifers and says the owners will be indemnified.
In addition, another 434 animals are under quarantine, according to
Rachel Idicicco, spokesperson for USDA’s Animal and Plant Health
Inspection Service (APHIS). Animal health officials are still
considering options on those animals, she says. Some of the 134 heifers
that left the operation have been returned, making around 500 head total
affected on the ranch.
The female dispersal sale is scheduled for June 18-21.
“We’re keeping all the commercial females and their ET calves at
side,” according to Sara Calhoun, who handles advertising and ranch
promotions for Camp Cooley Ranch. “We’ve got a bunch of embryos in
the tank and semen, so we’re going to rebuild from that.” The ranch
will hold its annual bull sale in November and a Customer Appreciation
sale in April 2009, Birkel says.
For more on malignant catarrhal fever, check out the Q&A provided by
APHIS Veterinary Services at: www.aphis.usda.gov/publications/animal_health/content/printable_version/faq_mcf_.pdf.
-- Burt Rutherford
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Texas cattlemen are rallying around Gov. Rick Perry after he
received considerable heat from pro-ethanol forces over a letter to the
EPA asking it to waive by 50% the Renewable Fuel Standards (RFS) on
ethanol derived from grain.
“While the RFS was a well-intentioned policy, it has had the
unintentional consequence of harming segments of our agriculture
industry and contributing to higher food prices,” Perry said in his
letter.
“He (Perry) understands we are all facing a crisis due to the high
cost of feed,” said Jim Schwertner, president and CEO of Capitol Land
& Livestock at Schwertner, TX and a past chairman of the Texas Cattle
Feeders Association. In an open letter to all livestock producers,
Schwertner said, “If you agree with Governor Perry, print out the
letter that Governor Perry sent to the EPA. Then fax the letter back to
me with your business card and signature on the bottom of Gov. Perry’s
letter. I will give them all to him, showing our support and thanks.”
For information, go to www.cllnet.com.
-- Burt Rutherford
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The Humane Society of the U.S. (HSUS) released another video showing
downer cattle being ignored or mistreated at livestock auctions and
stockyards in Maryland, New Mexico, Pennsylvania and Texas. In a letter
to USDA Secretary Ed Schafer earlier this month, HSUS asked USDA to take
the following steps:- Require immediate and humane euthanasia of
all nonambulatory livestock, regardless of the reason(s) an animal went
down, including nonambulatory livestock at stockyards, market agencies,
and dealers, and on livestock trucks.
- Except in cases where euthanasia is impossible in situ,
nonambulatory animals may not be moved or transported.
- In cases where movement is required, a nonambulatory animals must
first be rendered unconscious and must remain unconscious until
death.
- Euthanasia must be performed by a competent and trained individual.
- Clinical death must be confirmed prior to disposal.
The American Meat Institute (AMI) responded that the images were
“disturbing, inhumane and completely inconsistent with industry best
practices.” AMI President J. Patrick Boyle urged livestock producers
to adhere to proper culling practices on the farm to ensure that only
healthy animals are sent to market.
Ashby Green, DVM and vice president of producer education for the
National Cattlemen’s Beef Association (NCBA), said his organization is
“committed to working with every segment of the food production chain
to ensure all livestock are treated humanely, and we strongly support
strict compliance with and enforcement of all state and federal animal
welfare laws.” More info on the beef industry’s commitment to
animal care and handling, can be found at BeefFromPastureToPlate.org.
And Jim Santomaso, president of the Livestock Marketing Association,
said his group intends “to work immediately with the businesses where
the improper handling reportedly occurred, as soon as they are
specifically identified.” And he says LMA is currently working on a
comprehensive assessment/certification program on animal handling, for
market owners and employees.
He adds that LMA has provided its market members with a variety of
written and visual materials on appropriate handling over the past
several years. The latest is “Focal Point: An Auction Market Beef
Quality Assurance Guide,” produced by LMA in cooperation with NCBA’s
Beef Quality Assurance Program. LMA provided free copies of this DVD to
its member and non-member markets across the country.
-- P. Scott Shearer, Washington, D.C.
correspondent
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There were dueling Senate letters sent to the Environmental
Protection Agency (EPA) concerning the Renewable Fuels Standard (RFS).
Senators Kay Bailey Hutchison (R-TX) and John McCain (R-AZ) along with
22 other Republican Senators sent a letter to EPA regarding the state
applications for a waiver of the Renewable Fuels Standard (RFS). The
Senators asked EPA to take into consideration the food-inflation
concerns when considering the requests for a waiver of the RFS.
The letter stated, “American families are feeling the financial strain
of these food-to-fuel mandates in the grocery aisle and are growing
concerned about the emerging environmental concerns of growing
corn-based ethanol. It is essential for the EPA to respond quickly to
the consequences of these mandates.”
Meanwhile, Senators Chuck Grassley (R-IA) and Tim Johnson (D-SD) and
other Senate colleagues sent a letter to EPA Administrator Stephen
Johnson expressing strong opposition to any request to partially or
completely waive the RFS. The letter stated, “We strongly disagree
with the assumption that the renewable fuels mandate is harming the U.S.
economy or that it’s primarily responsible for the global escalation
of food costs.”
-- P. Scott Shearer, Washington, D.C.
correspondent
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The Energy Info Administration (EIA) projects regular-grade gasoline
retail prices, which averaged $2.81/gal. in 2007, to average $3.52 in
2008; that includes a $3.66 average from April through September. In
2009, regular-grade gasoline retail prices are projected to average
$3.44/gal.
Meanwhile, diesel fuel retail prices in 2008 are projected to average
$3.94/gal., up from $2.88 last year, and $3.67/gal. in 2009.
Meanwhile, West Texas Intermediate crude oil prices, which averaged
$72.32/barrel in 2007, are projected to average $110 in 2008, and $103
in 2009, EIA says.
-- Energy Information Administration
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The Vegetative Treatment Systems for Feedlots and Cow-Calf
Operations Tour is set for June 3 and 5. The University of
Nebraska-Lincoln (UNL) Extension tour will highlight how Nebraska
livestock producers are minimizing environmental risk by installing
vegetative treatment systems, which are used to control and treat the
runoff from an open livestock lot.
The tour will be offered twice – on June 3 and 5. Registration is
limited to 48 participants/day. Online registration for the free tour is
available at http//afo.unl.edu.
The tour meets at 8 a.m. at the Ramada Inn at Cornhusker Highway and
I-80, with the bus departing Lincoln at 9 a.m. Among the stops
are:- A 300-head feedlot near Beatrice, where a young producer has
used a vegetative treatment system to return to the farm.
- Two systems in Adams -- a gravity vegetative treatment system and a
sprinkler vegetative treatment system, the latter developed by UNL
Extension, and the only of its kind in the U.S.
- A unique cow-calf system in Crete.
For more info, visit afo.unl.edu.
-- UNL Extension
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A final agreement was reached by the Senate and House farm bill
conference leaders on Thursday. The final bill is expected to be
released the end of this week or next Monday with Congress voting on the
bill next week. Nutrition spending will account for nearly 73% of the
total farm bill expenditures, commodity programs about 16%, and
conservation spending about 7%.
Meanwhile, USDA Secretary Ed Schafer said the “President will veto
this bill.” In a statement, Schafer said, “For a year and a half,
the Administration has been consistently clear that Congress needs to
move forward with a good farm bill that the President can sign. They
have failed to do so. This legislation lacks meaningful farm program
reform and expands the size and scope of government. I have visited face
to face with our President and he was direct and plain. The President
will veto this bill."
Some key provisions of the agreement:- Crop Revenue Election
Program. Producers will have the option, beginning with the 2009 crop
year, to participate in a state-level revenue protection system.
- Rebalance target prices and loan rates. The bill adjusts loan rates
and target prices of existing commodities beginning with the 2010 crop
year.
- Adjusted Gross Income eligibility test. To receive farm program
benefits, an individual’s non-farm income may not exceed $500,000. If
farm income exceeds $750,000, an individual will no longer be eligible
to receive direct payments.
- Disaster assistance. Establishes a permanent disaster assistance
program.
- Environmental Quality Incentives Program. Provides an additional
$3.4 billion.
- Conservation Stewardship Program (CSP), formerly called the
Conservation Security Program. CSP is focused on incentivizing new
conservation, while simultaneously rewarding producers for achieving
high levels of stewardship and addressing priority resource concerns in
their area. The program will enroll nearly 115 million acres by
2017.
- The Foreign Market Development Program and the Market Access
Program. Funding continued at $34.5 million and $200 million,
respectively.
- Biomass loan guarantees. The bill provides $320 million in funding
for loan guarantees for commercial scale biorefineries for advanced
biofuels. This program is to help commercialize cellulosic ethanol.
- Ethanol credit modification. The 51¢/gal. credit for ethanol is
reduced by 6¢ in the year after which the 7.5 billion-gal. threshold
established in the 2005 Energy Policy Act is reached.
- Cellulosic biofuels. A new temporary production tax credit for up to
$1.01/gal. is established for cellulosic biofuels.
More details on
the farm bill in next week’s column.
- Scott Shearer, Washington, D.C.,
correspondent
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The U.S. average retail price for regular gasoline moved higher for
the sixth week in a row, rising by 1¢ for the week, to set another
all-time high of $3.613/gal. Meanwhile, the U.S. average diesel price
dropped for the first time in four weeks, but still remained above
$4/gal. in all regions.
On a regional basis, gasoline increased in all but the Lower Atlantic
portion of the East Coast where the price fell by 0.6¢. Otherwise, the
East Coast was up by 0.9¢ to $3.61/gal. The Midwest settled at $3.579,
the Gulf Coast was at $3.507, the Rocky Mountain region recorded $3.494,
and the West Coast was at $3.80. California hit $3.903.
The U.S. average price for diesel dropped by 2.8¢ to $4.149, or $1.357
more than the price a year ago. East Coast prices were down 3.6¢ to
$4.194, the Midwest was at $4.101, the Gulf Coast at $4.084, and the
Rocky Mountain region was up by 1.5¢ to $4.156. The West Coast dropped
by 0.9¢ to $4.303, and California logged in at $4.382/gal.
-- Energy Information Administration
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The search for renewable fuels has spurred revolutionary growth in
biodiesel and ethanol production. As a result, the beef industry is
scrambling to fill the partial void created by the shift of corn from
feed to fuel.
-- Click on headline to read the rest of this
story by Clint Peck
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The North Dakota Stockmen’s Association (NDSA) Feeder Council will
host its seventh annual Feedlot Tour on June 17. The itinerary consists
of visits to three central North Dakota lots, an Extension research
center and a new processing plant.
Buses depart at 7:30 a.m. from the Bismarck Kmart parking lot, and pick
up more participants at 8:30 a.m. at the Coffee Cup Fuel Stop in Steele.
Buses will return to the parking lots at about 5:30 p.m.
On the itinerary are: - Mike Erfle’s backgrounding and finishing
lot in Heaton.
- Jim Krueger’s 7,000-head Pipestem Feeders near Carrington.
- Lunch at the North Dakota State University Carrington Research
Extension Center, followed by a tour of its 800-head feedlot and
research facility.
- The Schafer family’s RV Feedlot near Rockford, a 999-head, total
self-fed feedlot.
- A visit to the North American Bison Cooperative plant near New
Rockford.
Registration is $10/person, which includes the bus and
lunch. Pre-register by June 10 by contacting Scott Ressler at
701-223-2522 or sressler@ndstockmen.org.
-- NDSA news release
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The House Committee On Small Business held a hearing to examine the
impact of rail-transport issues on rural small businesses and farms.
According to the committee, over the past years, rail transit has
increased considerably, and various railroad companies have consolidated
with shipping rates going up by as much as 80%. Rep. Nydia Velazquez,
chairwoman, said, “The nation’s rail system may be overstretched,
but that doesn’t give massive transport companies license for
unreliable service or price gouging. When Congress passed the Staggers
Act, it did not intend for rail monopolies to develop. Clearly, it’s
time we revisit how the law is being enforced by the Surface
Transportation Board.”
-- P. Scott Shearer, Washington, DC
correspondent
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The U.S. will begin exporting breeding cattle, bovine embryos;
breeding, fattening and slaughter swine; and breeding and sport horses
to Russia, USDA says. Acceptable cattle are those born on or after U.S.
implementation of the 1997 feed ban.
"Russia's decision demonstrates our trading partners' confidence in our
ability to effectively protect animal health and food safety," says USDA
Secretary Ed Schafer. "This decision opens up a new market for U.S.
livestock producers, and we’re pleased such an important trading
partner is looking to the U.S. to help establish a significant livestock
market."
Russia is turning to the world market to import livestock and genetics
to restore its livestock herd, which has been declining during the last
15 years. USDA says the the new live-animal protocols will allow U.S.
exporters to participate in Russia's $300 million market for live-animal
imports.
-- Farm Press
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The fifth annual Southwest Iowa Feedlot Shortcourse is gearing up to
educate feedlot managers to stay ahead of the competition. Organized by
the Iowa Beef Center, there will be four sessions, the first of which
start at 10 a.m., June 4 at the Iowa State University (ISU) Armstrong
Research farm near Lewis.
Participants will follow six pens of cattle for four months through
harvest to learn about the unique challenges that face feedlot
management. Topic areas include health, nutrition, feed delivery, feed
bunk management, feed storage, additives and implants, marketing,
facilities and nutrient management. Other sessions are slated for July
2, July 30 and Aug. 27.
Pre-registration is required by May 27 and is limited to 30
participants; register at www.iowabeefcenter.org.
Cost is $150/session; a second person from the same feedlot may attend
for $15/session. For more info, contact Darrell Busby or Leann Tibken at
712-769-2600 or dbusby@iastate.edu.
-- Iowa Beef Center news release
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America is getting “greener,” at least in the minds of
consumers concerned about the environment.
From Al Gore's film, “An Inconvenient Truth,” to activists
who condemn “factory farming,” the “greening of
America” is a part of pop culture that is swaying an uninformed
public in believing animal agriculture is hurting the environment. And,
to an extent at least, it's successful. Some actually believe cutting
back on beef consumption will help “save the planet.”
-- Click on headline to read the rest of this
story by Larry Stalcup
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A continuing drought in parts of the Northern Plains is pushing more
farmers in dry areas to rethink their crop choices. Of the past nine
years, only three have been wet. Some farmers put a new CD in their
computers earlier this year to help plan their spring plantings. The CD
contains the third – and latest – version of the Ag Research
Service’s (ARS) Crop Sequence Calculator, which was released in
February.
Scientists at the ARS Northern Great Plains Research Laboratory in
Mandan, ND developed the Crop Sequence Calculator. To date, they have
sent more than 12,000 copies of the CD free to farmers, ranchers and
educators worldwide.
The calculator is a decision tool that deals with 16 crops, including
barley, flax, sunflower and crops grown to support grazing cattle. Corn
was one of the six new crops added in the latest calculator.
The new calculator, which includes data from the relatively dry years of
2002 through 2005, shows that in dry years, the deep-rooting
water-thirsty corn grown after peas – which are shallow rooting and
light users of water – yield better than when grown after thirstier
crops. The calculator includes data from the previous CD, version 2.2.5,
collected during the relatively wet years of 1998-2000, which showed the
deep-rooting sunflowers after peas promised the highest sunflower yield.
Users can put in the prices they expect to get for their crops each year
and see predicted gross and net earning/acre for various combinations of
crops in rotation.
Each version of the Crop Sequence Calculator was based on data from
growing 100 combinations of 10 crops, with four crops in common to both
versions: canola, dry pea, spring wheat and sunflower. Now farmers and
ranchers can evaluator those four crops for both wet and dry years.
The new CD can be ordered free online at www.ars.usda.gov/Main/docs.htm?docid=13698.
-- ARS news release
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With the rising cost of fuel, many people are looking for ways to
make their vehicles more efficient.
While acknowledging that all vehicles are different, Carl Pedersen,
North Dakota State University Extension energy educator, offers these
tips to lower your fuel costs:- Make sure your air filter is
clean. Replacing a clogged air filter can save up to 10% on fuel costs.
- Ensure that your vehicle tires are properly inflated to cut down on
wear and save up to 10¢/gal. in fuel.
- Slow down. As a general rule, every 5 mph in excess of 60 mph costs
an extra 20¢/gal.
- Aggressive driving, rapid acceleration and braking can cost you more
than $1/gal.
- Removing extra weight, particularly in excess of
100 lbs., can improve mileage from 4-7¢/gal.
- Carpooling or combining trips saves both gas money and vehicle
wear.
- Don’t fall for "gas-saving" scams. The Environmental Protection
Agency has tested more than 100 fuel-saving products and found none
significantly improve fuel mileage. Some actually cause engine damage.
- Maintain your vehicle according manufacturers' recommendations. An
improperly functioning oxygen sensor, for instance, can make an engine
utilize as much as 40% more fuel.
- Reduce extra wind resistance. Using a loaded roof rack increases
fuel consumption.
For more tips on cutting fuel costs,
visit: -- North Dakota State University Extension
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For the first time in more than four years, U.S. beef cattle crossed
into Mexico this week. Wednesday, 37 Angus bulls entered Mexico at the
border crossing at Santa Teresa, NM, with around 80 more scheduled to
cross today.
“This is the first day that any beef bulls are going to cross into
Mexico since December 2003, when a BSE case popped up in the U.S. This
is an important day for the cattle industry,” said Jay Whetten, vice
president of the cattlemen’s association of Chihuahua, Mexico.
The opportunity to export U.S. breeding cattle to Mexico arose in March
when Texas Ag Commissioner Todd Staples refused to allow exports of
Canadian cattle through Texas border crossings. The action came after
Mexico signed an agreement with Canada that allowed for a more lucrative
trade for Canadian cattle than was allowed for U.S. cattle. On March 28,
Mexico and the U.S. announced an agreement consistent with World
Organization for Animal Health (OIE) guidelines to allow export of U.S.
cattle to Mexico.
“What we’re interested in more than anything else is getting the
gate open and getting the door open,” said Whetten. U.S. cattlemen
estimate that Chihuahua needs about 5,000 breeding bulls.
-- Burt Rutherford
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USDA plans to purchase up to $50 million of pork products that will
be donated to child nutrition and other domestic food assistance
programs. USDA’s Food and Nutrition Service will survey potential
recipients to determine how much product will be accepted for shipping.
Then USDA’s Ag Marketing Service will seek the lowest overall cost
bids to supply the products.
-- P. Scott Shearer, Washington, D.C.
correspondent
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