July 30, 2007

 

 

 

 

 


North Mississippi Tour – NCBA President John Queen visited farms, stockyards, and producer meetings across the northern counties of the state last week discussing issues and listening to cattlemen’s concerns.

 

 

 

 

 

 

Record Crowd in Clay County - Attendance to hear John Queen at last week’s meeting in West Point topped 275 producers. Clay County Cattlemen’s Association, with the help of associations in Lowndes, Webster, Oktibbeha, Chickasaw, and Monroe, staged one of the most successful events in recent memory.

On the Short List – Mississippi is one of five states being considered for the National Bio & Agro-Defense Facility. The $450 million level 4 lab would conduct research involving diseases that may be transmitted between humans, diseases that may be transmitted from animal to humans, as well as foreign animal diseases, and would replace facilities presently operating at Plum Island. The proposed site is near Flora in Madison County. 

 

 

 

 

 

 

Cooler College - Producers attending Cattlemen’s Cooler College were able to follow the process from steer to steak. MCA, the MSU Department of Animal & Dairy Sciences and MSU Extension Service sponsored the event.

Cattle Market Notes, Friday, July 27, 2007, Dr. John Anderson, Mississippi State University – This week, despite the fact that wholesale beef prices showed little sign of improving, cash fed cattle prices came in about $1 higher than last week.  On Thursday, cattle sold in Iowa at mostly $89 live and in Colorado at $90.  On Friday, cash trade developed in the South Plains at $91 to $91.50.  Slaughter rates were slowed down just a but from last week’s big kill, but remain above year ago levels: this week, 668,000 head; last week,  678,000 head; year ago, 650,000 head. 
Calf prices around the country were steady or better on about all classes this week following last week’s solid gains in feeder cattle futures and some additional early-week declines in corn prices.  At Oklahoma City, feeder cattle prices were steady to $3 higher, and stocker cattle prices were steady in a light test.  At Lexington, Kentucky, feeder steer prices were $2 higher.  Stocker cattle prices were firm to $3 higher.
At Mississippi auctions this week, steer prices were $3 to $5 higher, and heifer prices were $1 to $5 higher.  Steer prices at Mississippi auctions this week were reported as follows: 250-300 pounds, $150-$160; 300-350 pounds, $135-$150; 350-400 pounds, $130-$135; 400-500 pounds, $120-$130; 500-600 pounds, $110-$120; 600-650 pounds, $100-$110; 650-700 pounds, $95-$100; 700-800 pounds, not reported.  Slaughter cow prices were $1 to $3 higher this week. 
Live Cattle futures started the week off strong, rising on the relatively bullish on feed report and  late Friday’s near-steady cash fed cattle prices.  On Friday, Live Cattle futures moved sharply higher in response to higher cash bids and at least a little improvement in wholesale beef prices.  Live Cattle futures closing prices on Friday (with change from last Friday’s close in parentheses) were as follows: August $93.62 (+2.80); October $98.65 (+2.05); December $99.82 (+1.15); February $99.87 (+0.97); April $99.92 (+1.02).
Feeder cattle futures started the week higher, moving up with Live Cattle and also receiving support from declining corn futures early in the week.  Friday gains pushed contracts up to new high levels.  Feeder Cattle futures closing prices on Friday (with change from last Friday’s close in parentheses): August $117.12 (+1.62); September $117.77 (+1.10); October $118.10 (+1.18); November $117.45 (+1.05).
Corn futures fell sharply for a second straight Monday in response to favorable Midwest weather forecasts.  After trading down to their lowest level since about last October, corn futures bounced higher late in the week on some deterioration in rainfall forecasts for parts of the Midwest and  on spillover support from wheat futures.  September Corn closed on Friday at $3.21 up 2 ¾ cents from last week’s close.  Soybean futures also dropped early on improving weather forecasts and never really gained much traction after that.  August beans closed on Friday at $8.15 ½, down 34 ¾ cents from last Friday’s close. Dr. Anderson’s complete report can be accessed from www.mscattlemen.org

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Majority of Producers See Value in Beef Checkoff -  Seven in 10 producers approve of the Beef Checkoff Program, according to a summer survey of 1,225 beef and dairy producers, commissioned by the Cattlemen’s Beef Promotion and Research Board.
Findings in this survey track with results from previous studies that have continually reflected a majority approval rate. In recent years, approval rates have consistently ranged between this summer’s 68 percent and 73 percent. Disapproval rates have remained virtually the same, at 17 percent, over the past 12 months.

  • 60 percent of respondents said the checkoff allows producers’ viewpoints to be represented

  • 77 percent of producers said they believed the checkoff has contributed to positive trends in beef demand

  • 61 percent said the checkoff has contributed to the profitability of their operation

  • 76 percent agreed that if cattlemen do not promote beef through the checkoff, no one else will pay to do it for them

  • 75 percent said the checkoff still had value for producers in a down market

  • 69 percent believe the checkoff is supported nationwide by the majority of producers

  • 91 percent of producers recognized the checkoff by name on either an unaided or aided basis.

The Beef Board conducts surveys twice a year to gauge producers’ expectations of checkoff investments, as well as checkoff program familiarity, strengths or weaknesses. The survey, conducted by Aspen Media & Market Research, is funded with checkoff monies.

Does Sex Classification Affect Tenderness? - Tenderness, the gold standard for beef products, is a complex trait influenced by a variety of factors, many of which can be managed to reduce the incidence of tenderness problems in the final product. One inherent tenderness variation often overlooked in pre-harvest management plans, however, is sex classification, according to a new beef checkoff-funded report.   
Young, grain-fed steers and heifers make up 80 percent of cattle processed each year in federally inspected U.S. beef plants. Steers comprise about one-half of the total federally inspected harvest, while heifers represent about 30 percent of the slaughter mix.
Heifers typically outperform steers in marbling and USDA quality grade, but product tenderness usually favors steers.
“Beef product tenderness has been determined to be a very important component of consumer satisfaction and, therefore, research that gives the industry information to improve our product’s tenderness will ultimately improve demand for beef,” said Bill Rishel, a Nebraska producer and chairman of the Joint Product Enhancement Research Committee.
Authors reviewed 10 studies conducted between 1985 and 2006 and compared Warner-Bratzler sheer force (WBSF) values on the major muscle in the rib and loin for both heifers and steers. In eight of the 10 comparisons, the WBSF was significantly higher for heifers than steers. The standardized mean sex effect on muscle WBSF values, computed across all 10 studies, was 0.25. (the lower the WBSF value, the more tender the beef).
Among identified factors that could account for the difference: (1) Differences between heifers and steers in levels of enzymes that break down bovine proteins and “age” beef and (2) The effect of estrogen on heifers, making them generally more excitable and susceptible to pre-harvest stress. Evidence also suggests that intact heifers have higher hormone levels compared to steers and spayed heifers, resulting in tougher beef from the intact animal. Other studies, however, have suggested that spaying has little effect on heifer beef tenderness.
For more information or to view a full report, visit www.beefresearch.org and click on “Product Enhancement Research Executive Summaries”.

1,100 Cattle Die in Heat Wave – South Dakota feedlots reported 1,100 cattle died in three days last week as a result of a rare combination of heat and humidity.
"I don't remember that kind of loss in our state in recent years," state veterinarian Sam Holland said. "It's a disaster for some people.''
The lethal combination of heat and humidity, coupled with a lack of breeze and the continued hot temperatures overnight, contributed to the deaths, he said.
Reports had the temperature in Aberdeen on Monday - the worst day in the hardest-hit area - at 97 degrees, with a humidity-adjusted heat index pegged at 106 degrees.

 

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House Passes Farm Bill – On Friday, the U.S. House of Representatives passed its Farm, Nutrition and Bioenergy Act of 2007 (H.R. 2419) by a vote of 231 to 191. 
The bill contains many improvements for cattlemen, such as increased funding for conservation programs and some modest fixes to the mandatory country-of-origin labeling (COOL) law.  But flaws remain within the bill, such as an Adjusted Gross Income (AGI) cap and payment limitations for conservation.  This language makes many ranchers ineligible for Farm Bill conservation programs.   
“NCBA is supportive of the legislative process that led to this Farm Bill,” says NCBA’s Executive Director of Legislative Affairs Colin Woodall.  “This bill isn’t perfect, but it addresses many of the issues our members identified as priorities.  As this debate moves to the Senate, we’ll stay focused on those priorities and on addressing the AGI and payment limitation problem.”
NCBA says payment limitations don’t make sense for conservation.
“The goals of voluntary conservation programs are compromised when artificial caps and limits are applied,” says Woodall. “Cattlemen will urge the Senate to exempt cost share programs such as the Environmental Quality Incentives Program (EQIP) from the AGI caps and payment limitations.”
NCBA also worked to oppose any amendments that would alter the competitive structure of the cattle industry.
“NCBA policy supports a competitive, free-enterprise market, and the House chose not to include any amendments that would limit cattlemen’s ability to market their cattle,” says Woodall.  “Producers need the freedom and flexibility to market their cattle in ways that provide the best return on their investment.”
Within the Conservation Title, the budget for EQIP increases to $2 billion per year over the life of the bill. The bill will also broaden eligibility to EQIP funds to include custom feeders and livestock markets.
On the issue of mandatory COOL, an amendment was included that alleviates most of the record-keeping burden for cattle producers and addresses the dilemma of labeling ground beef by designating it from mixed or multiple origins.
“We know that COOL will become mandatory on September 30, 2008,” says Woodall.  “The fixes in the Farm Bill certainly don’t repair all of the problems in the COOL law, but we’ve come a long way toward making it more workable for our cattlemen.”

 Don't Miss NCBA’s Cattlemen to Cattlemen - On this week’s Cattlemen to Cattlemen, beginning at 7:30 p.m., Tuesday, July 31st, Kansas State University economist Dr. Barry Flinchbaugh discusses the agricultural economy and the Farm Bill.  View highlights from the NCBA Summer Conference and learn important preconditioning tips for your herd.
 The show will be rebroadcast Wednesday at 3:30 a.m. and 11:30 a.m., and Saturdays at 9 a.m. Make sure YOU tune into NCBA’s Cattlemen to Cattlemen on channel RFD-TV. For more information or to check out past episodes, visit www.cattlementocattlemen.org.

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July 30       Jasper CCA
July 31       Nutrition Shortcourse, Distance Ed Sites

Aug 2         Marshall CCA
Aug 2-5      Hereford PRIDE
Aug 9         Jefferson Davis CCA
Aug 9         Greene CCA
Aug 9         Pike CCA
Aug 21        Kemper CCA