News Update
July 21, 2009

AngusSource® Launches Gateway, a New Source- and Age-Verification Program

The American Angus Association® has opened the door to all producers interested in source- and age-verification through a new program called Gateway.

Gateway was developed as a direct response to producer requests for a cost-effective, customer-oriented source- and age-verification program.

As a second-tier program of the AngusSource® Process Verified Program (PVP), Gateway offers marketing support for producers with calves that do not meet the genetic requirements of the AngusSource program.

“Producers who enroll in Gateway will undergo the same industry-leading enrollment and approval methods used for AngusSource,” says Sara Snider, director of the AngusSource program.

Gateway-enrolled calves must meet source- and age-verification requirements. They are identified with a yellow, program-compliant ear tag and issued a verification certificate.

There is a $50 fee for enrollment. Visual program tags are $3 per head and radio frequency identification (RFID) matched-pair options are $5 per head. Additional charges apply for producers who require an on-site review prior to enrollment.

Gateway will also provide the existing customer support offered through the AngusSource program. “With this extension of our PVP, we will be able to develop relationships and provide marketing assistance to a whole new category of producer,” Snider says.

Producers who enroll in Gateway will have the ability to customize their verification certificate with additional management information, and promote their calves online through the program’s listing service.

“More than 600 potential buyers are currently receiving the weekly e-mails that promote cattle on the listing site,” Snider says. “This service, combined with the relatively low cost of Gateway, means producers will be able to develop new marketing opportunities for their cattle.

With Gateway, the doors to export markets and other value-added marketing opportunities will be available to even more producers. Gateway calves are also eligible for enrollment in the AngusSource Feedyard umbrella,” Snider adds.

Since its inception in 2005, the AngusSource PVP has helped more than 1,500 producers add value to their Angus-sired calves by documenting the source, age and genetics. For more information on Gateway and AngusSource®, please visit www.angussource.com or contact AngusSource representatives at 816-383-5100.

— Release provided by AngusSource.

Texas Drought Causes $3.6 Billion in Losses

The ongoing drought in Texas has led to an estimated $3.6 billion in crop and livestock losses, and agriculture officials there expect losses to surpass the $4.1 billion record set in 2006 if severe conditions continue.

According to an article released by The Associated Press (AP), the drought has led to livestock losses of $947 million since drought conditions began last November.

The AP article quotes Jim McAdams, fourth-generation rancher and president of National Cattlemen’s Beef Association (NCBA), as saying, “I can’t remember it getting so bad so fast because of extreme heat … This is one of the worst hot spells I’ve been through.”

Texas AgriLife Extension reported range and pasture conditions are ranked as poor or fair across more than 85% of the state, according to AP.

Canada, Mexico Continue WTO Case Against U.S.

As U.S. cattle imports from Canada and Mexico remain relatively low in the first half of 2009, the two countries are moving forward with their World Trade Organization (WTO) case against the U.S. and implementation of country-of-origin labeling (COOL), according to the Chicago Mercantile Exchange (CME) “Daily Livestock Report.”

According to Monday’s report, some U.S. packers have limited their purchases of Canadian cattle and pigs, and some reports indicate Canadian livestock are trading at a discount compared to domestic products.

U.S. Department of Agriculture (USDA) data shows combined slaughter steers and heifers and feeder cattle imports from Canada in the first 27 weeks this year were 36% lower than during the same period in 2008.

According to “Daily Livestock Report,” some of the decline can be attributed to a net reduction in the number of cattle placed on feed in the U.S.

“But with U.S. packers limiting the number of facilities that can slaughter Canadian-born cattle, U.S. feeders have responded by also reducing the number of Canadian feeders they are willing to purchase,” the report notes.

Mexico has seen a similar decline in the number of animals going to the U.S. market.

Cropping Method Holds Potential for Cattle, Trees

It is common in Mississippi to see cattle grazing in pastures surrounded by trees, but researchers at Mississippi State University (MSU) are looking into the feasibility of bringing it all into one field.

The goal of silvopasture systems is to use space and the growing season more effectively by combining trees or shrubs with forage and livestock production in the same acreage.

Rocky Lemus, MSU Extension Service forage specialist, said the system could become the predominant forestry practice in the state and the Southeast. One of the benefits of silvopasture is its flexibility.

“A producer could have pastures where trees and shrubs can be added or timberland where forages can be added,” Lemus said. “In some cases, land on which neither exists in sufficient quantity to meet the land-use objective can be moved into a silvopasture system. Silvopasture can improve the overall economic performance of a farm enterprise by diversification.”

Lemus said most commercially grown pines — loblolly, slash and long leaf varieties — are suitable for silvopasture systems. In addition to providing timber income to the landowner, these trees give wind protection and shade for livestock.

Many livestock owners who implement silvopasture systems use forages such as tall fescue, Bahia grass and Bermuda grass.

“Forage should be selected based on suitability for grazing, compatibility with the site characteristics and performance in the shade,” Lemus said. “Some legumes, such as clover or vetch, can be incorporated in this system.”

Livestock grazing should be closely managed in silvopasture systems. Grazing should not be allowed until the trees are tall enough and strong enough not to be damaged by the livestock. Many producers use the land between trees for hay production.

Henry Gordon is an MSU graduate assistant in forestry who has an agroforestry research project at the North Mississippi Branch Experiment Station in Holly Springs.

“We are growing these crops in research plots to determine their growth response in association with the pines,” Gordon said.

He is working on an alley cropping system growing loblolly and short-leaf pine in rows, with either clover or soybeans, corn, milo or switchgrass in the alleys between trees. The trees are planted in either two rows or four rows with a 40-foot alley between sets of trees.

“Data show that agroforestry plantings are probably more profitable over time than a regular forest plantation because with the crops grown in the alleys, you are making more money in between timber harvests than you would just by thinning the trees,” Gordon said. “We’re working now to figure out what crops work best in these systems so people in Mississippi can use these silvopasture and agroforestry systems.”

Other benefits of agroforestry systems include reduced runoff and erosion, improved water quality and nutrient cycling. These benefits can make the system more profitable by lowering inputs such as fertilizer into the system, increasing revenues from hunting leases and lowering environmental effects.

Glenn Hughes, Extension forestry specialist, said there are opportunities in Mississippi for successful silvopasture, but he is interested in learning more about the quality of the timber produced in these situations.

“You can produce a lot of wood in a silvopasture system, but with the trees spaced very far apart, they can grow too fast for high-quality saw timber,” Hughes said. “When trees grow closer together, the wood is stronger and more dense. The challenge for silvopasture is not in producing the maximum volume but in producing good-quality timber.”

Saw timber is the high-value, desired product of pine tree production, and what cannot be sold as saw timber is marketed as pulpwood.

Hughes said foresters typically like to see a pine tree with four growth rings per inch for high-quality lumber. He has seen some trees grown in silvopasture settings that were 15 years old and 18 inches in diameter.

“Normally we try to speed up tree growth, but the question to me is, ‘What can we do to slow down the growth of our trees in this system?’” Hughes said.

More information on silvopature is available online in the April 2009 Forage newsletter at http://msucares.com/crops/forages/newsletters/09/4.pdf.

— By Bonnie Coblentz of MSU Ag Communications, which provided this article.

Funding Available For Bioenergy Development And Production

Agriculture Secretary Tom Vilsack today announced that the USDA is accepting applications for up to $50 million in projects to promote the continued production and use of biofuels.

Applications for the advanced biofuels program are due Aug. 11; applications for the biorefineries to replace fossil fuels are due Nov. 1. More information is available at www.rurdev.usda.gov/rbs or in the June 12 Federal Register.

Biorefineries and advanced biofuel biorefineries must be located in a rural area and must have been in operation before the enactment of the 2008 Farm Bill (June 2008). The biorefineries will receive funding based on the amount of fossil fuel replaced, percentage of fossil fuel usage reduced, and the cost-effectiveness of the system. The advanced biorefineries will receive funding based on the amount of advanced biofuels production.

These projects are expected to help biorefineries reduce energy costs and consumption; necessary steps toward meeting our nation’s critical energy needs. Advancing the biofuel industry can lead to cleaner and more sustainable energy production as well as creating jobs, generating government revenue, and stimulating rural economies across the nation.

— Release provided by USDA.

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