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BEEF'S COW CALF WEEKLY    April 3, 2009  |  A PENTON MEDIA PUBLICATION
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What's new on BEEF?
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- Sprint deworming of cows pays off
- Read the April issue online
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- Some Prices Continue To Weaken
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    Table Of Contents
> Weak Beef Demand? What Weak Beef Demand
> Mistakes Happen; Learn To Capitalize On Them
> Acting NRCS Chief Dave White Gets The Job
> Ag Must Speak With One Voice On Animal Rights
> Angus Breeders Make Strides Identifying AM Genetics
> Cargill Begins Remote Video Auditing In U.S. Plants
> Dealing With Bony Lump Jaw
> Gasoline Climbs Above $2; Diesel Adds 11¢ Or More
> Give Us A USDA That Knows What It Is Doing
> Groups Oppose Higher Ethanol Blends
> Keep Your Valuable Documents Organized And Safe
> NCBA Asks Obama To Oppose Ethanol Blend Hike
> New Mexico Adopts State Cowboy Song
> Pastureland Rates Lose Steam But Continue To Grow
> Study Finds FDA Fails To Trace 35 Of 40 Products
> Sustainability Is Focus Of May 17-20 Alltech Symposium
> Texas Plans Trich Sessions For Producers
> Theft-Prevention Tips Offered
> Tyson Said To Be Looking For Global Acquisitions
> UK Farmers Could Be Taxed To Pay For FMD Outbreaks
> USDA Expects Grain Acres On Par With Last Year
> USDA Extends Sign-Up For DCP And ACRE

    Our Perspective
    Weak Beef Demand? What Weak Beef Demand

Listen to the explanations of why fed-cattle prices have been so lackluster this spring and you’ll inevitably hear about beef demand. Of course, with cattle-on-feed numbers down by 5.3%, it’s difficult to blame supply.
-- Click on headline to read the rest of this story by Troy Marshall



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    Mistakes Happen; Learn To Capitalize On Them

George Bernard Shaw said, "A life spent making mistakes is not only more honorable, but more useful than a life spent doing nothing."
-- Click on headline to read the rest of this story by Troy Marshall

   
      Acting NRCS Chief Dave White Gets The Job

Dave White, acting chief of USDA’s Natural Resources Conservation Service (NRCS) since Jan. 21, has been named chief. With 12,000 employees and an annual budget of $3 billion, NRCS is the nation’s leading agency in conserving natural resources on private lands.

White is a career conservationist with NRCS, and provided technical and management expertise in Missouri, South Carolina, Washington, D.C., and Montana, where he served as state conservationist from 2002 to 2008. He also served in the Senate Ag Committee where he helped craft the Conservation Title for both the 2002 and 2008 farm bills, and on the White House Task Force for Livable Communities during the Clinton administration.

USDA Secretary Tom Vilsack said White’s “expertise and advice will be particularly valuable as we implement the 2008 farm bill and work to achieve President Obama’s goals for renewing America and combating global climate change.”
-- Farm Press



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      Ag Must Speak With One Voice On Animal Rights

The election-day vote by Californians to adopt state Proposition 2 was a wakeup call to agriculture, according to American Agri-Women (AAW). Proposition 2 is an initiative that outlaws contemporary food animal practices, including use of gestation stalls, veal stalls and layer cages. Unfortunately many people who donate to the organizations sponsoring bills like these think they’re contributing to groups that work to improve animal care, yet many of their campaigns demand changes that are actually harmful to animals’ overall health and well-being.

How does ag meet the challenges that the animal rights groups present? Here are a few suggestions from AAW:
  • This is an industry-wide issue. All of us in ag must be involved to prevent unreasonable restrictions being put in place that have a negative impact on livestock production. Many states have formed state and regional organizations to “tell the real story of animal agriculture.” The Ohio Livestock Coalition and the Minnesota Foundation for Responsible Animal Care are two examples. Other states are or have organized ag-based coalitions around the animal-care issue.
  • Understand how society listens to the messages food-animal producers are sending. Our mainly urban society thinks of animals as pets and companions. They aren’t interested in our economic problems, but want producers to provide good care to their animals. We must assure them that we care for our animals but do the work that consumers don’t or won’t do to have meat on the plate.
  • Implement an animal welfare assurance program on your farm or ranch. Utilize good production, transporting and processing standards following industry guidelines. Set your standards high and maintain that quality. Properly evaluate all employees, including day labor. Be vigilant in hiring practices; check applications, work history, backgrounds and references thoroughly. Fully train employees in basic animal care practices and the priority of these practices in everyday husbandry. Take swift and appropriate action if unacceptable animal handling occurs.
  • Stay informed. Know who the leading activists and anti-ag groups are; check out their websites. Become familiar with their agendas, know who the leaders are, and how they are funded. (Editor’s note: start with www.activistcash.com.)
  • Be a legislative watchdog. Activist groups have well-designed strategies and resources for influencing legislation at all levels. Many states report a flurry of bad legislation and court cases led by anti-animal ag groups. Prominent law schools around the nation are preparing lawyers by offering courses on animal rights. Ag leaders must stay alert and work to defeat bad legislation both state and federal.
  • Speak up for animal ag. Let consumers know farmers and ranchers give animals humane, healthy and caring treatment while providing safe and nutritious food products for a hungry world. Provide accurate, science-based info while inspiring positive emotion among consumers toward farming and ranching.
-- American Agri-Women release

      Angus Breeders Make Strides Identifying AM Genetics

Science, technology and the willingness of Angus producers to test their animals, along with efficient communication via the Internet, have aided the American Angus Association® (AAA) in its efforts to keep the membership informed and abreast of the issues of arthrogryposis multiplex (AM), AAA says. Also known as "curly calf,” AM is a genetic defect discovered within the breed late last year.

Five labs are now conducting tests and electronically submitting those results to AAA daily; the results are posted at www.angus.org and added to the database. As of March 31, AAA reports more than 50,000 animals had been tested and reported.

AAA Login users (registered and commercial) can log in and use the Potential Carrier Report on their account to see exactly which animals they should test first. Animals on the report are labeled several ways:
  • No carrier ancestor – the animal has no AM carrier in its pedigree or an ancestor that’s been tested free and therefore does not require testing.
  • Undetermined – the animal is commercial and doesn’t have enough info in its pedigree to determine parentage.
  • Potential carrier – has one or more ancestors in its pedigree that are carriers and should be tested to find out definite status.
Don Laughlin, AAA director of member services, says that, as of July 1, any animals regarded as “potential carriers” will carry a notation on their pedigrees, both printed and online.

Access the authorized labs’ contact and testing info at www.angus.org.
-- American Angus Association

      Cargill Begins Remote Video Auditing In U.S. Plants

Cargill says it expects to have third-party, 24/7 video auditing in place in all its U.S. beef harvesting plants by year’s end. The aim is to “further enhance the company's animal welfare protection systems,” a Cargill news release says.

Developed and managed by Arrowsight, in collaboration with Temple Grandin, Colorado State University animal scientist/behaviorist and the nation's foremost designer of animal-handling systems, the program is designed to help plant operators teach and monitor performance in animal handling. "This additional investment gives us the objective input we need to effectively train our people and improve our processes," says John Keating, Cargill Beef president.

Besides implementing the remote video auditing service, Cargill created an industry-leading, humane animal-handling training and certification program for employees, Cargill says. The company believes its commitment and actions demonstrate Cargill’s “drive to be the industry leader in evaluating, developing and continuously improving animal welfare protection programs.”
-- Cargill news release

    Dealing With Bony Lump Jaw

There are two kinds of “lump jaw” in cattle – soft-tissue abscesses arising from wounds in the mouth, and bone infections (bony lump jaw). When it comes to lump jaw, the trick is early treatment.
-- Click on headline to read the rest of this story by Heather Smith Thomas.



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      Gasoline Climbs Above $2; Diesel Adds 11¢ Or More

The national average price for regular gasoline at retail vaulted past $2/gal. for the first time since Nov. 17, 2008, gaining 8.4¢ to $2.046 for the week ending March 30. Meanwhile, the national average price of diesel surged 13.1¢ to $2.221/gal. the largest increase since May 26, 2008.

The U.S. Energy Information Administration (EIA) says that while consumers may be forced to pay more than $2/gal. for gasoline at retail for much of the coming summer, they aren’t likely to see a replay of last summer’s price spikes. EIA says rising crude prices, along with the tighter balance between supply and demand in the gasoline market, have brought retail gasoline prices from the mid $1.60s to above $2/gal.

“Retail gasoline prices approaching $3/gal., however, are probably not reachable, let alone sustainable, this summer due to continuing surplus refining capacity and the continuing effect of the economic downturn on fuel demand,” EIA says in the April 1 edition of This Week In Petroleum.

Though gasoline at retail was up for the week, the $2.046/gal. average price was $1.244 below the year-ago price. Prices were up in all regions for the week; the East Coast added 8.6¢ to $2.025, the Midwest 8.2¢ to $2.031, the Gulf Coast 9.3¢ $1.969, the Rocky Mountains 7.3¢ to $1.937, and the West Coast 7.6¢ to $2.207. California added 9.4¢ for the week, hitting $2.248/gal.

Though the average diesel price for the week was $1.743 below a year ago, prices were up by 11¢ or more in all five regions. The East Coast added 11.5¢ to $2.281, the Midwest 13.8¢ to $2.176, the Gulf Coast 14.3¢ to $2.203, the Rocky Mountains 11¢ to $2.146, and the West Coast 13.2¢ to $2.282. Meanwhile, California surged 16.8¢ to $2.297/gal.
-- U.S. Energy Information Administration

    Give Us A USDA That Knows What It Is Doing

Three months ago in Phoenix, former Rep. Charlie Stenholm (D-TX) reported that he'd sat down with USDA Secretary Mike Vilsack for 1½ hours and came away with the impression that “he has the makings of a good hand. He'll be the first to tell you he doesn't know a heck of a lot about all the issues, but he's educatable.”
-- Click on the headline to read the rest of this story by Joe Roybal



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      Groups Oppose Higher Ethanol Blends

A group of 59 food, livestock and other groups sent a letter to the administration opposing any increase in the current cap on the amount of ethanol permitted to be blended in ethanol. The groups said they opposed any effort to raise the blend until “independent and comprehensive testing has been completed that indicates that such mid-level ethanol blends (whether E12, E15 or E20) will not pose a risk to all gasoline-powered engines, to public health, to the environment and to consumers.”

Those signing the letter included the American Bakers Association, American Beverage Association, American Meat Institute, Friends of the Earth, Grocery Manufacturers Association, National Chicken Council, National Restaurant Association, National Turkey Federation, and Sierra Club.
-- P. Scott Shearer, Washington, DC correspondent

    Keep Your Valuable Documents Organized And Safe

With recent natural disaster stories top of mind, North Dakota State University (NDSU) Extension specialists warn that a little foresight can prevent the loss of valuable, hard-to-replace documents.
-- Click on headline to read the rest of this release by North Dakota State University

      NCBA Asks Obama To Oppose Ethanol Blend Hike

Citing resulting increased competition for corn and higher feed costs for cattle producers, the National Cattlemen’s Beef Association (NCBA) sent a letter to members of President Obama’s Cabinet this week opposing an increase to 15% in the ethanol blend percentage for gasoline. The current standard is 10%.

The letter was sent to Secretary of Energy Steven Chu, USDA Secretary Tom Vilsack, Environmental Protection Agency (EPA) Administrator Lisa Jackson, and Assistant to the President for Energy and Climate Change Carol Browner.

“Before the Administration or Congress proposes an increase in the ethanol blend percentage, a comprehensive assessment needs to address how such an increase will impact the market and if production will be able to accommodate a higher blend percentage,” NCBA said.

“As you know, current corn-based ethanol production is capped at 15 billion gals., which is the equivalent of 10% of the U.S. projected gasoline market. Increasing the blend percentage to 15% would mean the immediate addition of 4.5 billion gals. of ethanol, and would require an extra 1.6 billion bu. of corn. Based on 2008 yields, to reach this level an additional 10.4 million acres of corn would need to be planted.

“Since January of 2008, cattle feeders have lost a record $4.3 billion in equity because of high feed costs. The additional 1.6 billion bu. of additional corn needed for an E15 blend percentage is equivalent to the entire amount of corn the cattle industry utilizes in one year.

“NCBA’s members continue to advocate for a market-based approach when building any industry. The marketplace offers many adequate risk management tools, which when combined with good business practices, help build a competitive and strong industry. Cattle producers do not support government interventions via subsidies and mandates; these practices disrupt the market and are never substitutes for good business practices.”
-- NCBA release

      New Mexico Adopts State Cowboy Song

New Mexico Gov. Bill Richardson signed legislation last week making the state the first to adopt an official cowboy song. The tune is “Under the New Mexico Sky” by Syd Masters and the Swing Riders.

New Mexico songwriters last year picked Masters’ tune from 26 others and he performed it on the state House floor in March. The state’s official cowboy song joins New Mexico’s other songs, including a Spanish-language state song, a state ballad and a state bilingual song. The state’s official song, “O Fair New Mexico,” was written by the daughter of famed sheriff Pat Garrett.

While New Mexico’s official cowboy song is the first, several other states already have official songs with a Western theme, including Kansas’ “Home on the Range” and Oklahoma’s “Oklahoma!”
-- Associated Press

    Pastureland Rates Lose Steam But Continue To Grow

Moving north to the Kansas Flint Hills, net rents to landowners for bluestem pasture are expected to hold even at $15-$26/acre, says Mike Holder, Chase County Extension. Custom-grazing fees for the early intensive grazing period are running unchanged at $65-$75/head for 550-lb. calves to graze for 90 days.
-- Click on headline to read the rest of this story by Mike Fritz.

      Study Finds FDA Fails To Trace 35 Of 40 Products

The Office of Inspector General (OIG) for the Department of Health and Human Services (HHS) did a review on the Food and Drug Administration’s (FDA) ability to trace products. In a study, OIG found that only 5 of the 40 products purchased could be traced through each stage of the food supply chain back to the farm or border.

The ability to trace the remaining food products through each stage of the food supply was limited because: “1. food facilities often did not maintain lot-specific information, 2. some products were labeled with lot-specific information, and 3. a number of food facilities mixed raw food products from a large number of farms.”
-- P. Scott Shearer, Washington, DC correspondent

      Sustainability Is Focus Of May 17-20 Alltech Symposium

What is the livestock industry doing about traceability, sustainability, feed costs and the other potential issues affecting our bottom line and livestock livelihoods? That’s the focus of the Alltech 25th International Animal Health and Nutrition Symposium, May 17-20, in Lexington, KY.

This year’s meeting features species-specific breakout programs. The beef program is entitled “Building Sustainable Beef Production.” Among the topics are:
  • Building sustainable beef production: How will we address the environmental and management challenges?
  • Staying in business for the long haul: Using genomics and growth enhancing technologies for maximum efficacy/
  • Improving the reproductive efficiency of the beef cow herd
  • Genomics: A new tool for the 21st century feedlot. Will it be essential to be sustainable?
  • Natural feeding programs: Niche market or one dimension of sustainability?
  • Natural feeding programs - But can it make money?
  • Nitrogen, protein, and contemporary beef cattle feeding programs.
The early-bird registration deadline is April 10. For more general info, visit hms.alltech.com/symposium/en/home.cfm. For more detail on the beef program, visit hms.alltech.com/symposium/en/beef.cfm.
-- Alltech release

      Texas Plans Trich Sessions For Producers

The Texas and Southwestern Cattle Raisers Association (TSCRA) announces a series of producer educational programs across the state to help provide cattle producers with info on managing trichomoniasis (trich).

Co-sponsored by Fort Dodge Animal Health, the program will focus on the detection and management of trich in cattle herds. Free to the public and including a dinner, the programs begin at 6:30 p.m. local time, unless noted below. Dates and locations include:
  • April 6: Pearsall Livestock Auction, Pearsall
  • April 7: American Legion, Gonzales
  • April 8: Victoria Community Center, Victoria
  • April 14: Hopkins County Civic Center, Sulphur Springs (7 p.m.)
  • April 16: Pitchford Genetics, Athens (7 p.m.)
  • April 22: Mid-Tex Livestock Auction, Navasota
  • April 27: Jordan Cattle Auction, San Saba
  • April 28: County Livestock Facility, Graham
  • April 30: Texas Cattle Exchange, Eastland
  • May 1: Bonds Ranch, Marlin
  • May 4: Bowie Livestock Auction, Bowie
Under the Texas Cattle Trichomoniasis Program, rules affecting interstate movement of cattle became effective April 1, and in-state rules become effective Jan. 1, 2010. Trich is now a reportable disease in Texas, and a significant animal health problem with a major economic impact on breeding cattle herds.

To RSVP for the meeting, contact TSCRA at rsvp@texascattleraisers.org or call 800-242-7820, Ext. 192. On-site meeting registration begins one hour prior to the meeting. For more info on the trich program, visit: www.tahc.state.tx.us/news/Chapter38_Trichomoniasis.pdf.
-- TSCRA release

      Theft-Prevention Tips Offered

Crime in rural areas has become more of a problem, as isolated rural locations are prime targets for farm theft. The following farm security and safety tips were compiled from the Oklahoma Cooperative Extension Service together with Oklahoma State University and the American Christmas Tree Journal.
  • Put ID numbers on farm equipment in standard locations, and advertise your participation in an ID number system.
  • Never leave keys in unattended machinery; always lock the doors, especially when machinery is located offsite or out of sight.
  • ID livestock by ear notching, branding or tattooing. The thief will be reluctant to take livestock marked with no ability to alter.
  • Secure fuel tanks with effective locks. Locking the nozzle and hose won’t prevent theft; a hose can be cut. Instead, lock the fuel tank cutoff valve.
  • Have adequate lighting at the farm. Let nothing go unseen. Light experts recommend a "soft" light that will avoid a sharp contrast between darkness and the illuminated area, thus making it easier to see.
  • Watch for and report any suspicious behavior in your area. Rural neighbors must watch out for each other. By working together, a group of neighbors can help lower the number of crimes in their rural community.
-- Country Living Association release

      Tyson Said To Be Looking For Global Acquisitions

Tyson Foods could acquire pork and red-meat companies in China, India, Brazil and Argentina, according to mergermarket.com.

Declining U.S. demand, a growing and relatively fragmented international market, and the ability to save on production costs are likely to drive more acquisitions in those regions, the report says.

A spokesperson for the Springdale, AR-based Tyson confirmed it is focused on building its international markets. When asked further, the spokesperson identified India, China and South America as targets for desired expansion.
-- Muriel Elizabeth Hayes, Buenos Aires, Argentina

      UK Farmers Could Be Taxed To Pay For FMD Outbreaks

Under a new government plan in the United Kingdom (UK), farmers will be forced to insure animals against outbreaks of foot and mouth disease (FMD), reports www.telegraph.co.uk.

The UK Department for Environment, Food and Rural Affairs (DEFRA) says it costs the agency about $65 million (US) annually to prevent animal disease and prepare for outbreaks. So DEFRA proposes UK farmers pay half through a new tax on livestock, which would amount to $7/dairy cow. In addition, DEFRA also wants mandatory insurance to pay for disease outbreaks, which means insurance companies would pay half the cost of any outbreak.

While Environment Secretary Hilary Benn says farmers should be more involved in preventing and paying for disease outbreaks, Peter Kendall, National Farmers’ Union president, contends it is government’s job to keep disease out.

"I am furious that DEFRA is still trying to get farmers to contribute to their costs when the department doesn't have a good enough handle on its own costs. It wants us to pay for exotic disease but we don't think they do enough to keep these diseases out of the country," Kendall says.
--www.telegraph.co.uk

      USDA Expects Grain Acres On Par With Last Year

USDA released it crop-planting intentions report for 2009. It indicates farmers plan to plant 76 million acres of soybeans compared to 75.5 million in 2008. This would be the third-largest planted area on record. However, many trade analysts had expected higher numbers.

Producers intend to plant 85 million acres of corn, down 1% from last year. It would be the third-largest acreage since 1949.

Meanwhile, wheat acres are expected to decline 7% from last year to 58.6 million acres, and cotton acres are expected to be at the lowest level since 1983 at 58.6 million acres.
-- P. Scott Shearer, Washington, DC correspondent

      USDA Extends Sign-Up For DCP And ACRE

USDA announced an extension to Aug. 14 of the sign-up deadline for both the Direct and Counter-cyclical Program (DCP) and the forthcoming Average Crop Revenue Election (ACRE) Program. USDA Secretary Tom Vilsack said, “Extending the DCP and ACRE sign-up deadline will help ensure that America's farmers have enough information and time to determine whether to participate in the ACRE Program. The DCP and ACRE programs play a critical role in the farm safety net and it is vital that we act to support the hard work of the farmers we depend on.”
-- P. Scott Shearer, Washington, DC correspondent

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