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BEEF'S COW CALF WEEKLY    May 30, 2008  |  A PENTON MEDIA PUBLICATION
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    Table Of Contents
> USDA Opening Of CRP Creates Winners And Losers
> What To Expect From Mandatory COOL
> All Is Right In The World. It’s Turn-Out Time!
> agrihayexchange.com Links Hay Buyers & Sellers
> Almost 40% Support Ban On Horse Racing
> Congress Halts Deposits In Strategic Petroleum Reserve
> Congress In Recess This Week
> Forum To Debate Food/Feed Vs. Fuel
> Fuel Prices Forcing Big Retirement Of Trucks
> Have Horse First-Aid Kit On Hand
> Implanting Growing Calves
> J.R. Simplot Passes Away
> June 3 Reopening Of South Korea Market Expected
> Legislation Aimed At Freezing RFS Introduced
> Manure Study Is Part Of Proposed Farm Bill
> OIE Frees 10 Brazilian States For Exports Of Beef
> Report Addresses Climate Change Effects On Livestock
> Senate To Consider Farm Bill Again
> Tennessee Beef & Forage Field Day Is June 12
> Texas A&M Beef Cattle Short Course Is Aug. 4-6
> USDA Permits CRP Use For Livestock Needs
> West Coast Hits $4 Gas; Diesel Hits $5 In California



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    Our Perspective
      USDA Opening Of CRP Creates Winners And Losers

For drought-stricken producers in the Southeast and other areas, the announcement by USDA Secretary Ed Schafer that USDA had authorized the opening up of 24 million Conservation Reserve Program (CRP) acres – once the nesting season for grass-nesting birds is completed – was a welcome reprieve.

Of course, this announcement – seemingly like all other government announcements of late – was in direct opposition to stated National Cattlemen’s Beef Association (NCBA) and industry policy, thus making the decision quite controversial. For whatever reason, USDA made no corresponding reduction in CRP payments for allowing the haying or grazing, which creates an uneven playing field for those without CRP ground to graze, or those who are selling hay, etc.

NCBA had been working hard for the opening up of CRP, but under conditions equitable for all producers. While it’s not a revolutionary concept outside of the Beltway, it still seems to be beyond Washington’s grasp that someone has to pay when you give something away.

Once again, the government fails to understand that policy aims aren't achievable in the absence of well-thought policy that understands real-world applications.
– Troy Marshall

    What To Expect From Mandatory COOL

With a new farm bill now on the books, USDA soon should be rolling out all of the important info on mandatory country-of-origin labeling (COOL) so that producers can begin preparing for the implementation data. While important, deadlines and details probably aren't what most producers are really curious to know, however.
-- Click on headline to read the rest of this story by Troy Marshall

      All Is Right In The World. It’s Turn-Out Time!

Have you ever thought about those times when everything is right in the world? I'm not talking about those glorious moments when you get baptized, your child is born or gets married, or even those times when you achieved something you thought you couldn’t. I'm talking about those day-to-day moments when you somehow realize you are on the right chosen path.

I get that feeling every year about this time. Sure, we could use a good rain and a few other things, but young calves, green grass, kids on horseback, and turning out of the bulls is one of those times for me.

We’re just finishing up AI season, and as I was pulling out what amounted to about 1/3 of a roll of paper towels that had ended up in my shirt on the last day, I just looked down at them, and realized why this is such a special time of year. It’s a season of new hope and beginnings.

I hope you have a wonderful summer with family, friends and your cows, and that you will have no need for fencing pliers all summer long.
– Troy Marshall

   
      agrihayexchange.com Links Hay Buyers & Sellers

If you’re short on hay, or have a surplus, visit AgriHayExchange.com, a website dedicated to providing hay for sale and hay-wanted listings for the U.S. and Canada. Browsing the site is free, or register online and receive a free, 30-day trial of the listing features of the site. Registration also provides contact info for the potential buyers and sellers and additional details on their products.
-- Hay & Forage Grower magazine



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      Almost 40% Support Ban On Horse Racing

In the wake of Eight Belles' euthanasia following injuries in the recent Kentucky Derby, a Gallup poll (www.gallup.com/poll/107293/PostDerby-Tragedy-38-Support-Banning-Animal-Racing.aspx) reveals that almost four in 10 Americans (38%) say they would favor banning sports that involve competition between animals.

Women were slightly more in favor of banning racing than men, and those 18 to 29 favored a ban slightly more than older age groups. There was little difference in these attitudes by church attendance or by political party. Results were based on telephone interviews, with 1,017 national adults 18 and up, conducted May 8-11.

In addition to the question about banning horse and dog racing, Gallup's annual Values and Beliefs survey updated a broader question about the treatment of animals, last asked in 2003. A quarter of Americans said animals deserve the same rights as humans, while almost all of the rest agreed animals should be given some protection from harm and exploitation.

Gallup reported that the aforementioned attitude toward the treatment of animals is virtually the same as it was five years ago.
-- Bloodhorse.com

      Congress Halts Deposits In Strategic Petroleum Reserve

Congress has temporarily halted oil deposits in the Strategic Petroleum Reserve (SPR). The legislation temporarily suspends the filling of the SPR through the end of this year as long as crude oil remains above $75/barrel.

Sen. Byron Dorgan (D-ND), sponsor of the legislation, said, “This is a step in the right direction to put downward pressure on gas prices. With gas prices around $4/gal. and oil over $120/barrel, it makes no sense to be putting 70,000 barrels of oil underground every day, especially when the SPR is 97% full. When the American consumer is being burned at the stake of higher gas prices, the government should not be carrying the wood."
-- P. Scott Shearer, Washington, D.C. correspondent

      Congress In Recess This Week

Congress is taking this week off for the Memorial Day recess. When Congress returns, the first issue will be to complete the 2008 farm bill including the trade title. There are a number of other issues to be considered for June and July. These include: Amtrak, fiscal year 2009 appropriations, overhauling the Consumer Product Safety Commission, housing, higher education, mental health parity, Iraq war spending, etc.
-- P. Scott Shearer, Washington, D.C. correspondent



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      Forum To Debate Food/Feed Vs. Fuel

Bringing balance to the discussion and providing an objective analysis of the food and feed versus fuel debate is the goal of the Texas Ag Forum, June 9 in Austin. The Forum will feature the results of recent analysis conducted at major research universities and presentations from university experts, livestock and farm groups, and biofuels representatives. For info, go to agforum.tamu.edu.
-- Texas A&M University release

    Fuel Prices Forcing Big Retirement Of Trucks

An article in the New York Times this week cited a report by America’s Commercial Transportation Research group that says 45,000 tractors, or more than 3% of the nation’s tractor fleet, have departed from U.S. highways since early last year, reports landlinemag.com. That surpasses the early ’80s shakeout when deregulation, a recession, high interest rates and the second Arab oil embargo resulted in the loss of 33,000 tractors.
-- Click on headline to read the rest of this story by Joe Roybal

      Have Horse First-Aid Kit On Hand

In the wake of the tornadoes that hit northern Colorado last week, and the number of horses that were treated in the field and at the Colorado State University (CSU) vet hospital, CSU veterinarians recommend horse owners keep a well-stocked first-aid kit on hand to prepare for emergencies.

If your horse is injured, call your vet for evaluation and treatment. Until the vet arrives, be prepared to take action with a first-aid kit that includes bandage materials to treat cuts and stop any bleeding. In addition, have pain medications on hand, such as phenylbutazone (bute) or Banamine and make sure your horses are current on their vaccines, especially tetanus. Shock and dehydration are additional concerns during emergencies. Horses that are shaking or severely dehydrated may need intravenous fluids and hospitalization.
-- Colorado State University release



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      Implanting Growing Calves

Implanting suckling and growing beef calves can improve gain and provide an excellent return on investment. But without appropriate management, implants can make calves less efficient.

“The appropriate implant strategy will depend on how the calves will be managed and sold,” says Cody Wright, South Dakota State University (SDSU) Extension beef specialist. Since many calves are implanted at branding and turnout, now’s the time to consider your options, he says.

Once the implant has reached its maximum payout window, cattle performance will begin to converge with non-implanted calves unless another implant is administered.

“Also, the implanted calves will have had higher energy requirements during the time the implant is functional. That means that if the calves are not administered a subsequent implant, their gains may be similar and their energy requirements greater than non-implanted calves. Calves not administered a subsequent implant will ultimately be less efficient than non-implanted calves,” he says.

If calves will be sold at weaning, a single implant in the spring is sufficient, Wright says. If calves will be backgrounded at a low rate of gain – less than 1.75 lbs./day – no implant is needed. For calves backgrounded at a high gain – more than 1.75 lbs./day – cattlemen should use two implants, one in spring and one at weaning. If replacement heifers can be selected early, the recommendation is to not implant them, Wright says.
-- SDSU release

      J.R. Simplot Passes Away

J.R. Simplot, Idaho's legendary billionaire potato king, cattle feeder and entrepreneur, passed away on Sunday. He was 99.

Simplot was born Jack R. Simplot in Dubuque, IA and grew up in Declo, ID. He dropped out of school when he was 14 to rent and farm 40 acres of land. He made his initial fortune of $100,000 in the hog business, which he parlayed into new investments in potato storage houses. That led to the construction of more potato houses, and eventually into shipping of Idaho potatoes.

At the advent of World War II, he figured out how to freeze-dry potatoes for shipment overseas to hungry U.S. troops. From potato processing, he began expanding his empire to include beef cattle, cheese and fertilizer Production. The Simplot cattle-feeding enterprise includes operations in Idaho and Washington turning out about 400,000 head of cattle per year.

Simplot pioneered the first commercial frozen French fry in the late 1940s, eventually becoming a major supplier to McDonald's and other fast-food chains. He said the secret to success was his willingness to work, reinvest and never sell out.

Read more about this amazing man at: www.simplot.com/company/jr_simplot.cfm.
-- Joe Roybal

      June 3 Reopening Of South Korea Market Expected

South Korea Ag Minister Chung Woon Chun told a Korean TV audience this week that market for U.S. beef will officially open next week, probably on June 3. The minister sent a request to the Ministry of Administration to print the final protocol on Thursday, a process that usually takes 2-3 days. The date of printing is the implementation date of the protocol – the date U.S. cattle can be slaughtered for export to Korea.

The new regulations would allow import of boneless and bone-in product from U.S. cattle of all ages. Previously, only boneless cuts from U.S. cattle less than 30 months of age were allowed.

Opponents of U.S. beef, including the main opposition parties and the Korean Federation of Trade Unions, have vowed to take “every possible measure” as they continue their campaign to derail the agreement. More than 7,000 people took part in the latest vigil after the minister’s announcement, and the leader of the United Democratic Party told a Korean news agency: "If the government and the ruling party ignore this warning, we will be forced to come up with a critical decision."

Philip Seng, president and CEO of the U.S. Meat Export Federation (USMEF), said: “We look forward to supplying high-quality, wholesome U.S. beef to South Korea, but this is a volatile situation that changes day by day. We are monitoring events in Korea very closely.”

The Associated Press reports that some 5,300 tons of U.S. beef, shipped earlier to South Korea but held in customs and quarantine storage facilities, will begin undergoing inspections early next week before being put on the market, according to the ministry.
– USMEF release

    Legislation Aimed At Freezing RFS Introduced

Sen. Kay Bailey Hutchison (R-TX) introduced legislation to freeze the mandate to produce corn-based ethanol at this year’s level of 9 billion gals.
-- Click on headline to read the rest of this story by P. Scott Shearer, Washington, D.C. correspondent and Burt Rutherford

      Manure Study Is Part Of Proposed Farm Bill

The farm bill provides for a study to look at the beneficial role of manure in ag. The study examines: 1) the extent to which manure is utilized as fertilizer in ag operations by type including species and agronomic practices; 2) an evaluation of the potential impact on consumers and on ag operations, resulting from limitations being placed on the utilization of animal manure as fertilizer; and 3) an evaluation of the effects on ag production contributable to the increased competition for animal manure use due to bio-energy production, including as a feedstock or a replacement for fossil fuels.
-- P. Scott Shearer, Washington, D.C. correspondent

      OIE Frees 10 Brazilian States For Exports Of Beef

Ten Brazilian states and its Federal District, where the Brazilian capital Brasilia is located, were cleared this week for foreign trade of beef by the World Organization for Animal Health (OIE), reports Agencia Brazil.

The designation of free of foot-and-mouth disease (FMD) through vaccination means all the Brazilian states that produce beef, except for the midwestern state of Mato Grosso do Sul, are “capacitated for foreign trade,” says Brazil’s minister of Ag, Livestock and Food Supply of Brazil, Reinhold Stephanes.

The states lost their status of free of FMD through vaccination in 2005 due to outbreaks in the states of Mato Grosso do Sul and Paraná (in the south). Stephanes says he expects the state of Mato Grosso do Sul to be freed within the next 60 days, once “additional scientific evidence” is provided.

In addition to the Federal District, areas declared by OIE to be free of FMD through vaccination are: Bahia, Sergipe, Goiás, Mato Grosso, Minas Gerais, Espírito Santo, Rio de Janeiro, São Paulo, Tocantins and Paraná.
-- Agencia Brazil

      Report Addresses Climate Change Effects On Livestock

A new report signals dangers posed to the U.S. livestock industry if climate change continues to wreak havoc on weather, land resources and biodiversity across the globe. The U.S. Climate Change Science Program (CCSP) released the report entitled: "Synthesis and Assessment Product 4.3: The Effects of Climate Change on Ag, Land Resources, Water Resources, and Biodiversity in the U.S."

The full text of the 203-page report is available at: www.climatescience.gov/Library/sap/sap4-3/final-report/default.htm. The section pertaining to ag can be found at: www.usda.gov/oce/global_change/files/SAP4_3/Agriculture.pdf

According to the report, the higher temps that are predicted will negatively affect livestock. It says that warmer winters will reduce mortality but this will be more than offset by greater mortality in hotter summers. "Hotter temperatures will also result in reduced productivity of livestock and dairy animals," it says.

"The report issued today provides practical information that will help land owners and resource managers make better decisions to address the risks of climate change," said Ag chief economist Joe Glauber.
– U.S. Climate Change Science Program

    Senate To Consider Farm Bill Again

When the Senate returns next week after its Memorial Day recess, it will consider the farm bill (H.R. 6124) again with the trade title included. The House passed this bill before leaving for the recess. President George W. Bush can either veto the bill again or sign it into law. If the President vetoes the bill, the House and Senate will have to vote again to override. With the strong override votes in the House and Senate last week, it’s expected the veto would be overridden.
-- Click on headline to read the rest of this story by P. Scott Shearer, Washington, D.C. correspondent; and David Bennett of Farm Press

      Tennessee Beef & Forage Field Day Is June 12

Cost-share programs and best-management practices for cattle operations headline the 2008 Beef and Forage Field Day June 12 at the University of Tennessee East Tennessee Research and Education Center – Blount Unit.

Among the topics are current opportunities for beef cattle producers to enhance their operations, switchgrass as a potential biofuel as well as forage, using bio-solids on pastures and hay fields, and watering systems for cattle. The day includes trade exhibits and a sponsored lunch for those who pre-register by June 6.

Following lunch, participants may attend a 45-minute session that will focus on adding value to feeder cattle with process verification programs for age and source. A youth program on beef cattle production is also part of the event.

Learn more at knoxville.tennessee.edu, or contact the East Tennessee Research and Education Center at 865-974-7201.
-- University of Tennessee release

      Texas A&M Beef Cattle Short Course Is Aug. 4-6

The high price of fertilizer, diesel and other inputs necessary to produce beef will be the focus of the 54th annual Texas A&M Beef Cattle Short Course Aug. 4-6 at Texas A&M University in College Station.

“Feed, fuel and fertilizer costs have nearly doubled in the past two years and are pressuring cattlemen to look for new ways to produce a pound of beef more economically,” says Jason Cleere, Texas AgriLife Extension Service beef cattle specialist and conference coordinator.

Participants can choose from 19 different workshops on ranch management, nutrition, reproduction, genetics, pastures, carcass evaluation, recordkeeping, cattle marketing, wildlife management and landowner issues.

Registration is $140/person, and includes educational materials, 300-page proceedings, trade-show admittance, a prime rib dinner, five additional meals and daily refreshments. Register online at beef.tamu.edu, or contact Cleere at 979-845-6931.
-- Texas A&M University release

    USDA Permits CRP Use For Livestock Needs

USDA this week authorized certain acreage enrolled under the Conservation Reserve Program (CRP) to be available for hay and forage after the primary nesting season ends for grass-nesting birds.
-- Click on headline to read the rest of this story by Joe Roybal

      West Coast Hits $4 Gas; Diesel Hits $5 In California

Retail gas prices in the U.S. hit record highs for the 22nd day in a row on Thursday, the American Automobile Association reports. The nationwide average for a gallon of regular unleaded rose to $3.952, marking the 23rd straight day that gas prices have increased.

But for the week ending May 26, the Energy Information Administration reports the U.S. average retail price for regular shot up 14.6¢ to $3.937/gal., a price climb of 21.5¢/gal. in two weeks. Meanwhile, the national average diesel price continued its surge, gaining 22.6¢ for the week to hit $4.723.

Gasoline prices rose in all regions. The East Coast jumped 14.2¢ to $3.937, the Midwest 15.2¢ to $3.951, the Gulf Coast 14¢ to $3.829, and the Rocky Mountain region 16.5¢ to $3.851. The West Coast added 14.6¢ to settle at $4.029, while California hit $4.099.

During the past three weeks, the national average diesel price has shot up by 57.4¢. For the week, diesel prices rose by more than 20¢ in all regions, with the East Coast adding 23.5¢ to reach $4.779, the Midwest 20.4¢ to $4.667, the Gulf Coast 23¢ to $4.673, and the Rocky Mountain region 21.1¢ to $4.653. The West Coast added 27.3¢ to hit $4.883, and California gained 29¢ to hit $5.027/gal.
– Energy Information Administration



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