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BEEF'S COW CALF WEEKLY    August 22, 2008  |  A PENTON MEDIA PUBLICATION
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    Table Of Contents
> Steve Kay's Friday Market Update At beefmagazine.com
> Korean Market A Long Ways From Back To Normal
> Would You Be On Your Industry’s Medal Stand?
> This Market Is On Solid Footing
> 15th BSE Case Confirmed In Canada
> Battling The Squeeze Of High Input Costs
> Cattle Grading Explained
> Club Soda Won’t Eliminate Fire-Ant Mounds
> Control Options For Late-Summer Pasture Weeds
> Diesel Continues To Plunge; Gas Is Down 6.9¢/Gal.
> Emerging Clostridial Disease Targets Calves
> Ethanol Tariff & The WTO
> Exercise Caution In Spreading Manure On Alfalfa
> FDA Pussyfoots On Food Irradiation
> Food-Safety Bill Introduced
> Land Values Plateau
> Late Calving, Early Weaning Nets Higher Return
> Maintain Farm Program Payments For Small Farms
> Minnesota Nutrition Conference Is Sept. 16-17
> National Beef Stocker Survey Results To Be Disclosed
> New Producer Video Profiles Available At BEEF TV

    Our Perspective
      Steve Kay's Friday Market Update At beefmagazine.com

Catch a roundup of each week’s cattle-market activity every Friday afternoon at beefmagazine.com. Steve Kay, editor and publisher of Cattle Buyers Weekly, the number one marketing and business newsletter for the North American meat and livestock industry, will provide the week-ending summary. Beginning today, you can find it under “Steve Kay’s Friday Market Update” on the opening page of www.beefmagazine.com.

For more info on Kay’s Cattle Buyers Weekly subscription newsletter, visit www.cattlebuyersweekly.com, phone 707-765-1725, or email info@cattlebuyersweekly.com.
-- Joe Roybal



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    Korean Market A Long Ways From Back To Normal

Recent industry articles have focused on the fact that Koreans are still buying U.S. beef despite months of avid protests against our product. Admittedly, it is positive that Koreans are purchasing our product despite all the bad press, but that increasing volume doesn’t tell the whole story.
-- Click on headline to read the rest of this story by Troy Marshall

    Would You Be On Your Industry’s Medal Stand?

I haven't gotten the chance to watch much of the Olympics, but I did watch several of Michael Phelps’ swimming races. I also saw the "Jamaican Lightning Bolt" win both of his gold medals on Internet replays.
-- Click on headline to read the rest of this story by Troy Marshall



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    This Market Is On Solid Footing

With all the talk about corn and energy prices, there’s been a lot of focus on the negatives in the marketplace. To be sure, the structural changes in our industry are the most significant we've seen in more than a century. They will change the industry, and in some cases not for the better.
-- Click on headline to read the rest of this story by Troy Marshall

   
      15th BSE Case Confirmed In Canada

The Canadian Food Inspection Agency (CFIA) has confirmed another case of BSE in a six-year-old beef cow in Alberta. The infected cow, detected via Canada’s national BSE surveillance program, is the 15th case of BSE in Canada and the third case this year.

CFIA says no part of the animal’s carcass entered the human food or animal feed systems. The animal’s birth farm has been identified, and an investigation is underway, including a tracing of herdmates at the time of the animal’s birth and examining possible sources of infection. The age and location of the infected animal are consistent with previous cases detected in Canada, CFIA says.

Canada remains a Controlled Risk country for BSE, as recognized by the World Organisation for Animal Health (OIE). Accordingly, this case should not affect exports of Canadian cattle or beef.
-- P. Scott Shearer, Washington, D.C. correspondent

    Battling The Squeeze Of High Input Costs

High input costs are putting a squeeze on cattle producers, and experts with the Texas AgriLife Extension Service have several options to overcome these challenges:
-- Click on headline to read the rest of this Texas A&M University release



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      Cattle Grading Explained

The Livestock and Grain Market News Branch of USDA’s Ag Marketing Service will conduct two cattle-grading demonstrations for feedyards and cattle feeders who deliver cattle on CME Live Cattle contracts.

The seminars will be Sept. 16 at Winters Livestock Auction in Dodge City, KS, and Sept. 18 at Amarillo Livestock Exchange in Amarillo, TX. Both seminars will begin at 9 a.m. and conclude at noon.

The seminars will cover official grade standards for slaughter and feeder cattle and participants will have a chance to grade both slaughter and feeder animals. In addition, details of new requirements and procedures beginning Oct. 1 to deliver cattle for the CME Live Cattle futures contract will be covered. Dodge City participants will see a presentation on instrument carcass grading.

Both seminars are free. For info on the Dodge City seminar, contact Rich Hruska at 620-227-8881 or Richard.Hruska@usda.gov. For info on the Amarillo seminar, contact Kenneth Gladney at 806-372-6361 or Kenneth.Gladney@usda.gov.
-- Burt Rutherford

      Club Soda Won’t Eliminate Fire-Ant Mounds

A fire-ant treatment being touted on radio and on the Internet – pouring two cups of club soda directly in the center of a fire ant mound – is a sham. Linda Hooper-Bui, a Louisiana State University AgCenter entomologist, says the treatment is based on the idea that carbon dioxide in the water is heavier than air and displaces the oxygen in the mound, suffocating the queen and other ants, supposedly killing the whole colony in two days.

“There is not enough carbon dioxide in two cups of carbonated water to suffocate an entire fire-ant mound,” she says. “The reason why the mound may appear to be dead is you’ve poured two cups of water on them, and they moved because of the disturbance.”

The experts say the most effective way to treat fire ants is with baits that don’t affect other beneficial insects. The baits work because the ants forage for food, pick up the bait and take it back to the nest, where they feed other ants. Eventually, the chemical finds its way to the queen, and the colony dwindles and dies.
-- Delta Farm Press

      Control Options For Late-Summer Pasture Weeds

Weeds have exploded recently in many pastures, reports Bruce Anderson, UNL Extension forage specialist in his latest “Hay & Forage Minutes.” Anderson says recent summer rains have stimulated unchecked growth of ragweed, ironweed, goldenrod and vervain in areas without the competition of thick, relatively tall grass.

Spraying weeds now does little good, Anderson says, but shredding would actually work better to reduce weed seeds if it’s not already too late.

However, two other approaches are more important for long-term weed control, he points out.
  • First, do more rotational grazing next year to improve the health, vigor and density of your grass. In particular, leave more residue when rotating to maintain higher competition. Healthy, competitive grass stands are essential to reduce weed populations economically.

  • Second, target herbicide applications for when they will do the most good. Early to mid-June usually is most effective, especially with herbicides like Grazon, Curtail, 2,4-D and Banvel, he says. Most perennial weeds, and many annuals, are sensitive to chemicals in June. Weed control, along with good grazing, will thicken your grass stands so herbicides won’t be needed as often in the future.
“Don’t let weeds take over your pasture, but don’t spend money controlling them needlessly. A good plan will work best,” Anderson says.
-- Bruce Anderson, UNL Extension forage specialist



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      Diesel Continues To Plunge; Gas Is Down 6.9¢/Gal.

The U.S. average retail price for regular gasoline fell for the sixth consecutive week, dropping 6.9¢ for the week ending Aug. 18, to $3.74/gal. Meanwhile, the average U.S. retail diesel price plunged for the fifth consecutive week, losing another 14.6¢ to hit $4.207.

Gasoline was down by 37.4¢/gal. from the July 7 all-time high of $4.114/gal. For the week, the East Coast dropped 9.8¢ to $3.701, the Midwest shaved 2.3¢ to $3.708, the Gulf Coast 8.6¢ to $3.599, and the Rocky Mountain region 6.5¢ to $3.888. The West Coast was down 7.7¢ to $3.98, while California retreated 8.1¢ to $4.037/gal.

Meanwhile, retail diesel was down 55.7¢ from July 14’s all-time high, but still $1.339 higher than a year ago. For the week, the East Coast tumbled 15.7¢ to $4.263/gal., the Midwest 13.7¢ to $4.13, the Gulf Coast 14.3¢ to $4.156, the Rocky Mountains 15.4¢ to $4.319, and the West Coast 15.5¢ to $4.356. California plummeted 18.5¢ to $4.422.
-- Energy Information Administration

      Emerging Clostridial Disease Targets Calves

Cattlemen considering a move to later calving may want to also consider taking a look at their cowherd vaccination program.

Researchers are continuing to focus on Clostridium perfringens Type A, an emerging pathogen often associated with severe calf disease such as abomasitis, which can result in fatality rates from 5% to 50%.

“It’s a multifactorial disease,” says David Van Metre of Colorado State University’s College of Veterinary Sciences. “No one has found the complete set of factors that cause it.”

While the pathogen is more common in bottle-fed dairy calves, it can be a problem in beef calves, according to Larry Hollis, Kansas State University Extension beef veterinarian. “One scenario where it might be a problem in beef calves is when calving is delayed into the spring months such as April-May,” he says. “If the grass greens up and the cows start milking heavily while the calves are still small, the calves may engorge on milk and experience a problem.”

Van Metre recommends focusing prevention measures on enhancing immunity and using feeding practices that inhibit proliferation in the gut. He recommends:
  • Using good colostrum and milk/milk replacer hygiene.
  • Avoid feeding long-stem forage too early.
  • Whenever possible during severe weather, encourage calves and dams to stand up to limit milk engorgement by the calf after the weather passes.
  • Make sure animals have adequate copper and selenium status.
Research indicates that vaccination can help control losses. In a trial Van Metre conducted on a commercial dairy operation, he randomly assigned cows and pregnant heifers to a control or a vaccinate group. Vaccinates received two doses of clostridium perfringens Type A toxoid.

“The cows and heifers receiving two doses of the vaccine generated significantly higher antibody titers to alpha toxin one week after the second immunization than did controls,” he says. “Additionally, the calves ingesting colostrum from vaccinate dams had significantly higher serum neutralizing antibody titers to alpha toxin than calves born to controls.”

Hollis says February-March calves are usually big enough to consume all the milk the cow produces once spring green-up comes around and she starts milking heavily. However, younger calves might be at risk. “If I were spring calving (April-May), I would consider including vaccinations for Clostridium perfringens in my program,” he says.
-- Burt Rutherford

      Ethanol Tariff & The WTO

Sen. Chuck Grassley (R-IA) in a letter to U.S. Trade Representative Ambassador Susan Schwab indicated that the ethanol import tariff is “explicitly permitted” under World Trade Organization (WTO) rules. The letter was in response to questions raised by Sen. Dianne Feinstein (D-CA) about whether the import tariff violates WTO rules.

Grassley said, “Besides the fact that the ethanol tariff is perfectly in line with WTO obligations, it is also in line with our domestic energy policy which focuses on using homegrown ethanol to help rural communities across the country rather than sending more dollars to the Middle East or Brazil. Brazil has yet to even take advantage of exporting ethanol duty-free to the United States through the Caribbean Basin Initiative. Until Brazil takes full advantage of its ability to export ethanol duty-free, I don’t see why we should give Brazilian ethanol more generous treatment.”
-- P. Scott Shearer, Washington, D.C. correspondent

      Exercise Caution In Spreading Manure On Alfalfa

Manure is an excellent source of nutrients and can enhance biological activity and soil physical properties. But be careful when applying it to alfalfa so you don't do more harm than good, warns Bruce Anderson, University of Nebraska Extension forage specialist.

Liquid manure can burn leaves due to salt injury, while dry manure can smother plants if applied too heavily or in large chunks. Manure also can spread weed seeds, and the nitrogen in manure can stimulate grasses already in the alfalfa to become more competitive. Manure application equipment also can damage alfalfa crowns and compact soil.

If forced to spread manure on alfalfa, follow these suggestions:
  • Apply less than 3,000 gals. of liquid manure/acre, or 10 tons of solid manure, to minimize salt burn or smothering. If manure is dry, adjust the spreader to break up large chunks that can smother growth.

  • Spread manure immediately after removing a cutting to minimize direct contact with foliage.

  • Only spread manure when fields are dry and firm to limit soil compaction and avoid wheel traffic damaging plant crowns.

  • Finally, if you wish to stimulate grass yield, apply manure to fields with lots of grass; otherwise, select fields with little grass if you want to minimize grass competition.
-- Bruce Anderson, UNL Extension forage specialist

    FDA Pussyfoots On Food Irradiation

The hope for widespread irradiation of the nation’s ground beef supply received a boost this week with the Food and Drug Administration’s (FDA) approval of the use of irradiation immediately on spinach and iceberg lettuce. But it was a disappointing baby step as the agency apparently acted just enough to mollify critics of its inaction and keep critics of the technology at bay.
-- Click on headline to read the rest of this story by Joe Roybal

      Food-Safety Bill Introduced

Senators Dick Durbin (D-IL), Judd Gregg (R-NH), and Richard Burr (R-NC) have introduced bipartisan food-safety legislation, “The FDA Food Safety Modernization Act,” that would improve the way that the Food and Drug Administration (FDA) protects the safety of the food supply.

Durbin said, “Over the last year we’ve seen major recalls of peanut butter and jalapeno peppers spiked with salmonella, spinach laced with E-coli and chili loaded with botulism. It’s clear these aren’t isolated incidents and are the result of a food safety system that’s outdated, under-funded and overwhelmed. Today’s bipartisan bill will close many of the gaping holes in FDA’s food safety authority and help to ensure the food on our store shelves is safe.”

The legislation would require domestic food facilities to write hazard analysis critical control point (HACCP) plans; FDA would set commodity-specific standards for fresh produce; high-risk imports to be certified as meeting U.S. standards; and FDA to set up an accreditation system for third-party inspectors of food facilities. More frequent inspections, with specific timelines for high-risk facilities would be conducted.

Along with mandatory recall authority, FDA also could suspend a food facility’s registration if there is a reasonable probability a food would cause serious adverse health consequences.
-- P. Scott Shearer, Washington, D.C. correspondent

      Land Values Plateau

After climbing steadily for two years, farmland values eased somewhat in the Tenth Federal Reserve District, although values remained well above year-ago levels. In the second quarter, irrigated land posted an annual gain of 21.6% and the value of non-irrigated land rose 18.3%, according to the Federal Reserve Bank of Kansas City’s second quarter survey of agricultural credit conditions.

The survey of 265 banks in the Tenth Federal Reserve District (Colorado, Kansas, Nebraska, Oklahoma, Wyoming, northern New Mexico and western Missouri) found that the farm income index pulled back from record highs due to the rising costs of energy-related crop inputs such as fertilizer, fuel and chemicals. Rising input costs also boosted loan demand as farmers borrowed to cover operating expenses.

To see a complete summary, go to www.KansasCityFed.org/agcrsurv/agcrmain.htm.
-- Kansas City Fed release

      Late Calving, Early Weaning Nets Higher Return

Calving in April and weaning during August may produce a lighter calf, but with feed costs at record levels, cow-calf producers will see better returns under this production system, according to Kansas State University Associate Professor KC Olson. Adopting this schedule helps match peak nutrient availability, specifically grass production, with the cow’s nutritional requirements for milk production.

He made the recommendation to about 200 beef producers and industry stakeholders attending the KLA/K-State Ranch Management Field Day at the ML Ranch near Peru, in Chautauqua County.

Olson says most producers feed hay from mid-October to mid-April. At an estimated harvest cost of $70/ton, feed costs add up in a hurry. He suggested leaving cows on dormant warm-season grass and providing 1.5 lbs./day of supplemental protein through the winter and early spring. Research has proven this allows cows to maintain body condition, while reducing feed costs by $150/head. Early weaning offers some of the same advantages.

“Selling a lighter calf would seem to put you at a disadvantage, but in this feed cost environment, the net return will be better,” Olson says.
-- Kansas Livestock Association

      Maintain Farm Program Payments For Small Farms

Twenty-five senators have written USDA Secretary Ed Schafer concerning the implementation of the farm bill provision that eliminates producers from receiving direct, counter-cyclical or ACRES (Average Crop Revenue Election) payments on farms with 10 acres or less.

The letter is the result of USDA indicating it would not approve requests for farm combination reconstitutions of farms that have base aces of 10 acres or less if the request was received after the enactment of the farm bill which was May 22, 2008. The letter points out that it was the clear intent of Congress to allow for the aggregation of farms.

Sen. Chuck Grassley (R-IA) said, “USDA can’t just make up its own rules when implementing a law that is clearly written. The Department needs to follow the law and implement it as Congress intended.”

Sen. Tom Harkin (D-IA), chairman of the Senate Ag Committee, said, “Now USDA is disallowing consolidation that simplifies its administrative task and instead is focused on a punitive policy approach. It does not make sense from a policy or practical perspective.”
-- P. Scott Shearer, Washington, D.C. correspondent

      Minnesota Nutrition Conference Is Sept. 16-17

Experts from the University of Minnesota and the livestock feed industry will provide updates on animal feeding trends at the 69th annual Minnesota Nutrition Conference, Sept. 16-17 at the Holiday Inn in Owatonna, MN.

Highlights include updates on Minnesota research related to feeding dairy and beef cattle, swine and poultry, as well as a keynote speech on calculating the carbon footprint of livestock production.

Cost for the conference is $195 until Sept. 1, $230 after that date; students, $100. To register, go to www.ansci.umn.edu/mnc.html.
-- University of Minnesota

      National Beef Stocker Survey Results To Be Disclosed

Key findings of the National Stocker Survey, recently completed by BEEF magazine and 12 land-grant universities, is among the highlights of the K-State Beef Stocker Field Day, Oct. 2.

Registration is at 9:30 a.m., with the program beginning at 10:15 a.m. at Kansas State University’s (KSU) Beef Stocker Unit, located west of Manhattan on west Marlatt Ave.

The event, designed to give producers the latest practical info to help them adapt to recent significant changes in the beef industry, features:
  • Wes Ishmael, BEEF magazine, “Key Findings From the National Stocker Survey,” and
  • Denny Hausmann, Alpharma Animal Health, "Current Concepts in Medicated Feed Additives."
In addition, KSU Extension researchers and specialists will discuss:
  • New realities of conducting business in the stocker segment.
  • What’s the importance of temperature in diagnosing sickness.
  • Making rational choices for stocker therapy.
  • Use of byproducts for exploiting efficient performance.
  • The implications of heavier cattle being fed for shorter days.
  • A visual tour of the progression of pneumonia.
  • Proper injection considerations for quality beef assurance.
  • How much do cutting bulls really cost?
Info also will be available regarding ultrasound applications for earlier detection of quality cattle, the latest innovation in data collection and scale head technology; and cattle handling facilities.

Early registration is $25 if paid by Sept. 15. For more info or to register, contact Lois Schreiner at 785-532-1267 or lschrein@ksu.edu; or visit www.ksubeef.org.
-- KSU news release

      New Producer Video Profiles Available At BEEF TV

When 17 busloads of beef producers embarked on the Minnesota State Cattlemen’s Summer Tour and Trade Show in Windom, MN on July 15, BEEF magazine was there. Now you can get a front-row seat of the tour highlights via five video profiles available at www.beefmagazine.com.

Sponsored by the Minnesota Cottonwood Cattle Producers, participants toured four cow-calf operations and three feedlots. Travelers witnessed prime examples of operations feeding naturally raised cattle, improving genetics, finding a niche market through boxed-beef sales, and even monitoring nutritional intake of livestock by adding electrolytes to the water.

BEEF intern Amanda Nolz also interviewed five producers for their feedback on the practices they witnessed on the tour, as well as their thoughts on the state of the beef industry. The videos from the event can be found on BEEF TV at beefmagazine.com/beeftv/.
-- Amanda Nolz

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