News Update

News Update
Nov. 21, 2006

Russia Holds Promise for U.S. Beef

U.S. and Russian officials signed a bilateral market access agreement Nov. 19 that could open the door to U.S. beef.

According to the Office of the U.S. Trade Representative (USTR), Russia will immediately apply science-based measures to issues impeding U.S. agricultural exports of beef and other restricted ag products. Once Russian inspectors complete a pending plant audit and clear U.S. beef products, the market could open to U.S. boneless beef, bone-in beef and beef variety meats from cattle less than 30 months of age with an approved export certificate, according to the National Cattlemen’s Beef Association (NCBA).

According to NCBA, the second step in the re-opening process could come in May 2007, when the World Organization for Animal Health (OIE) General Assembly is expected to make its final decision on the United States’ risk status for bovine spongiform encephalopathy (BSE). Once the OIE deems the U.S. a controlled-risk or negligible-risk country, Russia will reopen to all U.S. beef and beef products from cattle of all ages, NCBA reports.

The agreement signed by Russia on Sunday is an important step toward the country’s bid to join the World Trade Organization (WTO), and is expected to create significant opportunities for U.S. producers and exporters of industrial and agricultural goods, the USTR adds.

Iowa Report Forecasts Growth in Livestock Industry

An article released on RadioIowa.com today reports on an Iowa State University (ISU) report concluding significant growth in Iowa’s livestock industry, as long as corn prices remain reasonable.

According to RadioIowa.com, ISU animal science professor Maynard Hogberg says Iowa, which currently has about 26% of the nation’s hogs and 6% of the beef cattle, could see as much as a 50% increase in beef cattle sales by 2016 due in part to inexpensive byproduct feeds from ethanol production.

The report also suggests that the number of swine in the state will grow by 15% and the number of hens in Iowa will increase at least 37% within 10 years.

October Cooler, Wetter than Average

For the second consecutive month, temperatures across the continental United States were cooler-than-average, according to scientists at the National Oceanic and Atmospheric Administration (NOAA’s) National Climatic Data Center.

The combination of a cooler-than-average September and October dropped the year-to-date national temperature from record warmest to third warmest for the January through October 2006 period. The record warmest January through October occurred in 1934.

According to NOAA, drought conditions improved in some areas, but large parts of the nation remained in moderate to extreme drought. October ranked as the12th wettest October when compared with historical precipitation records for the month. Meanwhile, the global temperature remained well above average for October.

Temperatures in October 2006 were below average across 24 states, concentrated from the Rocky Mountains to the Great Lakes and into the Northeast, while above-average temperatures occurred in only Texas and New Hampshire.

Above- to much-above-average precipitation occurred across most of the East Coast, eastern Great Lakes, Mississippi Valley and the Southwest in October. Nationally, precipitation ranked 12th wettest in the 112-year record. Fourteen states ranked among their top ten wettest Octobers on record.

For complete weather and climate information, including links to data, graphics and analysis, visit www.ncdc.noaa.gov/oa/climate/research/2006/oct/oct06.html.

— compiled by Crystal Albers, associate editor, Angus Productions Inc.