How will recent legislation introduced concerning finished cattle trade and market transparency impact cattlemen?

– Dr. Andrew Griffith, Assistant Professor, Department of Agricultural and Resource Economics, University of Tennessee

A hot topic question was asked recently concerning the most recent legislation introduced concerning finished cattle trade and market transparency.

The first thing that should be noted is that several groups have evaluated the implications of mandating a certain quantity of cattle be traded via negotiated trade, and each of those studies have demonstrated that it simply increases the cost of doing business. Cattlemen can essentially expect those additional costs to be passed down the line.

The second aspect of this question has to do with government intervention. One characteristic that has been associated with cattle producers for a long time is independence. If the government is asked to intervene directly in how the industry does business then one can expect a further increase in government intervention at some point. This is a slippery slope to traverse, and it is probably not a wise decision to approach challenges from this perspective. If government intervention is requested now, everyone can count on further government encroachment.

Beef Cow Slaughter Continues to Outpace Last Year

– Dr. Kenny Burdine, Extension Professor, Livestock Marketing, University of Kentucky

The size of the US beef cow herd was estimated to have decreased by 2.3% during 2021. Steep culling of the cowherd was a major reason why this was the case as beef cow slaughter was up by nearly 9% for the year. A frustrating calf market and drought in much of the US led to herd reductions as a lot of cows were sent to market. Year-over-year, the increase amounted to almost 300 thousand cows, which probably accounted for about 40% of the reduction in beef cow numbers last year.

While calf prices have been higher in the first three months of 2022, a large portion of the US remains in significant drought. Most significantly for the cattle Continue reading Beef Cow Slaughter Continues to Outpace Last Year

Mixing it Up (in the hay field or pasture!)

Haley Zynda, Extension Educator, Agriculture and Natural Resources, Wayne County, Ohio State University Extension

A mixed stand of forage offers several benefits!

Pastures are really greening up in this area of Ohio and producers are antsy to turn livestock out to enjoy the lush greenery. Winter annual weeds are still thriving, patiently waiting for their summer counterparts to start germinating. Perhaps you also frost-seeded clover into pastures to improve feed quality and to cut down on nitrogen applications. If that’s the case, weed control this year will be a different story.

Having a mixed stand, whether for hay or pasture, has several benefits. As mentioned earlier, including legumes like white or red clover or alfalfa, can reduce nitrogen needs for the field. If the field is comprised of at least 25% legume, then the nitrogen fixing capability of the legume should be able to handle the nitrogen needs of the rest of the stand. In a world where nitrogen costs $1/lb, legumes are coming to the rescue.

Typically, mixed stands will also have a greater longevity than a pure stand of grass or legume. Pure alfalfa fields have a lifespan of about 5 years if managed correctly, and orchardgrass tops out at about 4 years. In a research plot out in the Central Grasslands Research Extension Center, a 50-50 mix of alfalfa and meadow brome was planted in 1988 and is still going strong as of October 2021. The plot still produces at Continue reading Mixing it Up (in the hay field or pasture!)

Black Vulture Control; New permitting process

Richard Purdin, ANR/CD Educator for OSU Extension Adams County

Black Vultures keeping a close eye on cattle

Spring has sprung and many producers have been able to get out and accomplish some field work the last few weeks as soil conditions firmed up and the grass begins to grow. Spring is a very busy time for many cattle producers, calving season is in full swing, and many producers are preparing on letting cattle out of the winter lots and in the pasture. It is a wonderful thing to see a newly born calf, lamb, kid, colt, or even pigs on the farm, it is a true sign of spring. On the other hand, spring can have a dark side and an ever-growing problem flying above many green pastures, creating one more challenge for livestock producers these days. The Black Vulture has become more of an issue for livestock producers especially during birthing season where young livestock are born on open pastures. Black Vultures are very aggressive creatures that are considered scavengers but have a tendency to attack live animals especially young newborn livestock. Many producers have reported young calves being injured or even killed by Black Vultures. Injuries include eyes damage umbilical cord injuries and even as far as killing the young calf and cow during Continue reading Black Vulture Control; New permitting process

A vaccination strategy for newborns, and calves under 4 months of age

Many health challenges on the farm can be avoided with a proper herd health management program. During the third session of the 2022 Virtual Beef School held on Monday, March 21st Dr. Justin Kieffer, Clinical Veterinarian for the Department of Animal Sciences at OSU, offered a beef herd health management update.

More specifically, Dr. Kieffer spent a few minutes that evening discussing vaccination and health protocols for newborn and young calves. Embedded below is what Dr. Kieffer had to say about the health management of calves from birth through four months of age.

To view Dr. Kieffer’s herd health presentation from the 21st in its entirety, visit this YouTube link: https://youtu.be/rrxabT5ksiI

Over-the-Counter Antibiotics Will Require Veterinary Oversight (Rx) Beginning in June of 2023

Gustavo M. Schuenemann, Department of Veterinary Preventive Medicine, The Oho State University

In June of 2021, the U.S. Food and Drug Administration (FDA) announced that all medically important antimicrobials will move from over-the-counter (OTC) to prescription (Rx) within a 2-year implementation period. The Center for Veterinary Medicine guidance for industry #263 (GFI 263) outlines the process for animal drug suppliers to change the approved marketing status of certain antimicrobial drugs for use in non-food (companion), food-producing animals, or both, that are currently approved with over-the-counter marketing status. In 2003, FDA ranked antimicrobials according to their relative importance to human medicine: “critically important,” “highly important,” or “important.” The FDA considers all antimicrobial drugs listed in Appendix A to GFI #152 to be “medically important”.

On September 14, 2018, the FDA unveiled a 5-year action plan for supporting antimicrobial stewardship in veterinary settings. The FDA is implementing GFI #263 as part of its broader plan to control antimicrobial resistance via the judicious use of antimicrobials in animals within our community and food supply. This process is driven by the concept that Continue reading Over-the-Counter Antibiotics Will Require Veterinary Oversight (Rx) Beginning in June of 2023

Posted in Health

Feed Availability on Cost of Gain and Manure as a Source of Feedlot Revenue and Crop Fertilizer

– Elliott Dennis, Assistant Professor & Extension Livestock Economist, Department of Agricultural Economics, University of Nebraska – Lincoln

Potential for Corn Availability

USDA’s Prospective Plantings report released on March 30th has created quite a bit of conversation about the 2022 grain supply and its subsequent impacts on cattle production. The report indicated that there would be a reduction in corn acreage. This reduction was almost entirely captured by an increase in soybean acreage rather than in other crops. The general commentary about why this reduction occurred given the incentives and potential profits for planting corn are:

  1. Input supply risks – lack of availability of fertilizer, primarily nitrogen, and herbicide. Fertilizer for corn that was pre-purchased is fixed but the ability to purchase additional fertilizer to switch acres is less available, or at least at marginally profitable levels.
  2. Crop rotation considerations – potential increase in crop disease and reduced soil nutrients due to a corn-to-corn rotation. This concern is primarily in states that have a higher corn-to-soybean rotation ratio such as Iowa. If producers needing to get in a year of soybeans into the rotation perhaps this is the year.

Optimists point to two conditions that could force more substitution away from soybeans into corn. First, there is Continue reading Feed Availability on Cost of Gain and Manure as a Source of Feedlot Revenue and Crop Fertilizer

Trade

– Brenda Boetel, Professor, Department of Agricultural Economics, University of Wisconsin-River Falls

On March 24, 2022 the US and Japan reached an agreement to increase the three-trigger safeguard mechanism required prior to Japan implementing a higher tariff on US beef. The new three-trigger, as opposed to one, safeguard mechanism will reduce the probability that Japan will impose higher tariffs, thereby limiting access to Japanese markets for US beef producers. Although not signed, the agreement is good news for beef producers as it continues to improve accessibility to valuable markets.

Foreign markets are an essential demand market for beef producers, as well as pork and poultry producers. In 2021, the US exported 925,127 metric tons of chilled and frozen muscle cuts of beef. The US exported 12.3% of total beef and veal production in 2021, up 1.5% over 2021. Global sales of beef and beef products was valued at over $10 billion in 2021, with Japan being one of the largest exports markets and taking $2.4 billion in 2021.

Beef trade has been supportive of beef prices. With declining beef production and increased prices, 2022 will likely see a contraction of about 4% year over year in exports. Although exports will be lower, they are still historically high and continue to be a supportive factor for cattle prices. The bigger trade concern currently for cattle is the Continue reading Trade

Introduction to Pasture, Rangeland, and Forage Insurance for Forage Risk Management

– James Mitchell, Livestock Marketing Specialist, University of Arkansas

We typically think about prices (both output and input prices) when we think about risk. Just as prices are a source of risk for producers, so is the prospect of worsening pasture conditions and lower forage production. Currently, 57.3% of the lower 48 states are in a drought, down 6.2% compared to last month. While conditions have improved nationally, the U.S. drought map shows that several areas remain impacted by severe drought. Large parts of the West and Northern Plains remain in severe drought. Last week, drought conditions worsened in regions of Texas and Oklahoma.

Forward contracts, futures, options, and Livestock Risk Protection are tools producers can use to manage price risk. Historically, producers have used farm management practices to protect against forage production risk. Namely, forage diversification, soil fertility and hay tests, practices that improve soil fertility, and grazing management like the Arkansas 300 Day Grazing System. A relatively new product offered by USDA’s Risk Management Agency that producers use for forage risk management is Pasture, Rangeland, and Forage Insurance (PRF).

PRF is an area-based subsidized insurance product offered by USDA-RMA for perennial forages used for grazing or hay. PRF is based on a rainfall index. As a single-peril insurance product, producers receive an indemnity payment when observed precipitation for a producer’s area falls below a chosen coverage level based on a historic rainfall index. Why rainfall? We rarely Continue reading Introduction to Pasture, Rangeland, and Forage Insurance for Forage Risk Management

Cattlemen . . . There’s an App for That!

Erika Lyon, Ohio State University Extension, Jefferson & Harrison Counties & Dr. Brian Arnall, Oklahoma State University Extension

If you can imagine it, there’s likely an app for that!

The number of apps available to producers has exploded in the last decade, making tasks such as calculating tank mixes, identifying weeds, record keeping and even calculating gestation/calving dates so much easier. Initially, iOS held a majority of the apps, but today, Android also has about an equal share of the app market. Here are some considerations when selecting apps that will work best for your livestock operation.

Apps can function anywhere from basic calculators (gestation times, tank mixing, prices and profitability, etc.) to identification and educational tools to recordkeeping tools. Be careful of apps that primarily serve as ads. Watch out for the online app reviews as well – check to see if the app company is a client of the company writing the article. You will have specific needs and interests. Have a checklist or shopping list with the features that you need – if any of those features are not included, trash it!

Be aware of your Continue reading Cattlemen . . . There’s an App for That!