News Update

News Update
Sept. 7, 2007

Red Meat, Poultry and Egg Prices Projected to Outpace Inflation Due to Ethanol

The ethanol boom is expected to result in retail price increases for red meats, poultry and eggs that will exceed the general inflation rate in 2008-2010 as the livestock sector struggles to adjust to higher feed costs, according to an article based on the most recent data released by the U.S. Department of Agriculture’s (USDA’s) Economic Research Service (ERS).

The exact effects of higher corn prices will vary across livestock species, due to differences in feed conversion efficiencies and constraints on some animals’ ability to use distillers’ grains in rations, the article states.

According to USDA projections, based on the different uses among the livestock species and a number of other important underlying assumptions, each bushel of corn used to produce ethanol results, on aggregate, in a reduction of about a fifth of a bushel of direct corn feeding, due to the use of distillers’ grains in rations. However, the substitution of distillers’ grains in feed rations is expected to bring only a small reduction in soybean meal use. Beef cattle are assumed to be the largest users of distillers’ grains, and beef cattle rations typically use urea as the protein source rather than soybean meal.

To read this article in its entirety, visit http://www.ers.usda.gov/AmberWaves/September07/Features/Ethanol.htm.

— Release provided by the American Meat Institute (AMI).

Agriculture Loses ‘Biggest Employer’ Title

According to a report available from Food Systems Insider, more people around the world are, for the first time ever, working in service trades than in food production.

According the report, titled “Key Indicators of the Labour Market” from the U.N.’s International Labor Organization, 42% of the world’s workers are employed in services and 37% in agriculture.

— Information provided by Food Systems Insider.

More Producer Participation Needed For FMD Simulation Model

In the wake of the recent foot-and-mouth disease (FMD) outbreak in the United Kingdom, researchers at the Center for Animal Disease Modeling and Surveillance (CADMS) at the University of California, Davis (UC Davis), are calling upon livestock producers to participate in an online survey. The goal of the survey is to collect information for a computer simulation model that will help predict how FMD would spread in the U.S. and identify the best control strategies for containment.

The online survey was first launched in 2006 and is part of a research study funded by the Department of Homeland Security and the National Center for Foreign Animal and Zoonotic Disease Defense. The new version of the survey consists of nine questions about animal and people movements on and off the farm and takes only about 5-10 minutes to complete.

“In the U.S., the economic impact of an outbreak is estimated to be as high as $13 billion,” Tim Carpenter, the study’s primary investigator, said. “By answering our short survey and forwarding it to others, livestock producers can help us prevent this from happening in the U.S.”

CADMS guarantees that all the information will be kept confidential and will only be used for modeling purposes.

The online survey can be found at www.fmdsurvey.com.

New Scholarship Program Targets Veterinary Students with Emphasis in Beef Production

The National Cattlemen’s Foundation (NCF) and Fort Dodge Animal Health are proud to announce a new scholarship program — the Fort Dodge Animal Health Legacy Scholarship. Through producer participation, Fort Dodge Animal Health will sponsor five scholarships of $5,000 each.

Three scholarships will be directed to veterinary school students who have designated an emphasis in beef production. Two scholarships will be directed to undergraduate students enrolled in an animal science program.

Cattle producers can use their Fort Dodge Animal Health invoices to help support this scholarship program — in turn, helping cattle production and cattle-producing families for the next generation. Contributing to the Legacy Scholarship is as simple as purchasing qualifying Fort Dodge Animal Health products from Sept. 1 through Nov. 30. Producers then simply fax in their invoices, and a contribution of 3% of each qualifying invoice (with an overall total of $25,000) will be made to the scholarship fund. Eligible products include: Cydectin® and Synanthic® dewormers, Synovex® implants, Triangle® all-killed vaccines, Pyramid® modified-live virus (MLV) vaccines, Presponse® vaccines, Prism™ KV/MLV vaccines and TrichGuard® V5L vaccine.

For more information about the program, visit http://www.fortdodgelivestock.com.

The NCF will begin accepting applications in February 2008 for the 2009-2010 academic year. Winners will be announced at the Cattle Industry Summer Conference in Denver, Colo., July 15-19, 2008. In addition to the scholarship, all five recipients will receive an expense-paid trip to attend the 2008 Cattle Industry Summer Conference. More information about scholarship criteria and how to apply will be posted soon at www.nationalcattlemensfoundation.org.

— Release provided by NCF.

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