News Update
Feb. 4, 2010

NCBA Urges Congress to Examine the Science in the Discussion of Antibiotics

Kansas State University’s (K-State’s) Michael Apley, a veterinary clinical pharmacologist, traveled to Capitol Hill  on February 3rd with the National Cattlemen’s Beef Association (NCBA) to educate lawmakers and their staff about the use of antibiotics in the beef industry. Apley and NCBA met with Congresswoman Louise Slaughter and Congressman Leonard Boswell to discuss H.R. 1549, Slaughter’s bill to ban the use of antibiotics in livestock.

“We appreciate Congresswoman Slaughter taking the time to visit with us today. I’m encouraged by her willingness to sit down for an open discussion and that she has extended an offer for us to be involved in the discussions moving forward,” Apley said. “As a veterinary clinical pharmacologist, I work to evaluate the benefits and risks of use of antibiotics in livestock. It’s extremely important that data-driven review and analysis be the guiding force behind every decision that affects the care of our animals and the safety of the food we eat.”

Boswell, who also has concerns about H.R. 1549, was part of a recent congressional delegation trip to Denmark to examine the impacts that their antibiotics ban had on the country’s swine population.

“In Denmark, we heard from farmers who saw increased mortality and illness, in addition to higher production costs, soon after the ban was put in place,” Boswell said. “In fact, many small Danish farmers who raised pigs went out of business after the ban. Only the farmers who could afford to implement the ban did survive the transition.”

In addition to the meeting with Slaughter and Boswell, NCBA held a congressional briefing for staff, where Apley discussed the judicious use of antibiotics in the beef industry as one of the critical tools used to raise healthy cattle. The briefing was part of NCBA’s ongoing “Beef 101” series to educate policy-makers about the beef production process, including the industry’s commitment to producing the world’s safest, most abundant, nutritious and affordable beef supply.

“Unfortunately, there are a lot of misconceptions and outright misrepresentations out there about why and how antibiotics are used in the cattle industry,” Apley said. “The truth is, cattle producers and veterinarians utilize many tools including vaccines, herd health management, genetics and animal nutrition to avoid the need for antibiotics.

“They must adhere to strict, science-based guidelines in the use of antibiotics to treat, prevent, and control disease in livestock. These antibiotics have passed a stringent FDA-approval process, which has demonstrated they are safe and effective.”

Apley is a K-State veterinary professor, beef cattle veterinarian, fourth generation beef producer, and clinical pharmacologist. He is also a Diplomate of the American College of Veterinary Clinical pharmacology. Apley works with veterinarians throughout the United States concerning the use of medicine in food animals and also in the area of beef cattle health.

“Prevention of disease is a cornerstone in both human and animal medicine,” Apley continued. “Veterinarians and producers are intent on fulfilling their obligations to both human and animal health, and our current regulatory process provides methodologies for further evaluating the use of antibiotics in food animals. It would be a tragedy to lose any valuable tools for preventing animal disease without substantial evidence for a benefit to human health.”

— From an NCBA release.

Beef Industry Hopeful for 2010 Recovery

The cattle industry should be on the mend in 2010, says Purdue University Extension economist Chris Hurt. Available supplies of beef will drop in the United States as production declines and exports increase. “Demand will be better at home as the U.S. economy continues to climb back from the depths of the recession,” he said.

The beef herd continues to drop slowly. Beef cow numbers on Jan. 1 were estimated at 31.4 million head, down another 1% from last year. During the past four years, the beef cow herd has dropped 5%. Dairy cow numbers were down 3% in 2009 as herd reductions resulted from large financial losses.

The number of heifers being retained by beef cow producers is down 2%, indicating that beef cow numbers will continue their slow decline through this year. On the other hand, milk cow replacement heifers were up 2%.

“Does this mean milk cow numbers will rise this year?” Hurt said. “Probably not, it is just a reflection that modern dairy production requires a higher replacement rate.”

During the past decade, the beef cow herd dropped by 2.1 million cows, or about 7%. Regionally, however, the location of beef cows was fairly stable during the last decade with some shift to the Southern Plains. The eastern Corn Belt, as an example, had 4% of the nation’s beef cows in both 2000 and 2010. The western Corn Belt has maintained about 10% of the beef cows, while the Southern Plains increased from 24% to 25%.

According to Hurt, beef production and the amount of beef available per person in the United States will decline in 2010. With smaller cow numbers, the 2010 calf crop is estimated to be down 1% to 2% and will be the foundation for smaller production.

U.S. Department of Agriculture (USDA) currently expects beef exports to rebound by 10% in 2010. If so, this will mean beef exports at 2.0 billion pounds (lb.) will have reached 81% of the pre-BSE record set in 2003.

Hurt says trade improvements and population growth in the United States mean that per capita availability of beef will be down about 3% in 2010. In addition, pork availability per capita is expected to be down 4%. When chicken and turkey are included, there will be about 1% less meat and poultry per person in the United States.

“Cattle prices were under severe downside pressure in 2009, primarily due to the recession. Looking back at 2009, beef availability per person in the United States was down 2%, yet finished cattle prices dropped by 10%, representing about $9 per live hundredweight (cwt.). Lower supply and sharply lower prices represent the devastating impact of the very weak demand.

“The degree to which demand improves this year depends on the extent of the 2010 U.S. and world economic recovery. The U.S. economy has been in modest recovery since the summer of 2009. The expectation for 2010 is for the slow recovery to continue, but with unemployment continuing to remain high. Given that the weak economy had such negative impacts on cattle prices in 2009, it may be possible for even modest economic recovery, in the range of 3%, to have a surprisingly strong impact on rebounding cattle prices,” Hurt said.

In 2009, Nebraska finished steers averaged only about $83 per cwt. For 2010, that number is expected to be closer to $90 for the year. Prices are expected to reach the low $90s by early this spring and then trade in the high $80s to low $90s in the summer. Assuming continued improvement in the economy as the year progresses, prices in the fall could be in the very low $90s.

Calf prices finally began moving higher this fall. Oklahoma steer calves weighting 550lb.-600 lb. averaged $109 per cwt. in the final quarter of the year, about $4 higher than in the fall of 2008. Strengthening finished cattle prices and moderation in feed prices should keep calf prices moving upward in 2010, perhaps pushing these same calves to the $115 to $120 range in the second half of 2010.

“This year is expected to be one of healing for a battered beef industry as smaller supplies and recovering incomes swing cattle prices upward. As the headlines indicate, a slow economic recovery is probable, but not yet assured. Thus, most cattle producers will approach this year both with optimism, but also with caution. It is also clear that their bankers feel the same way,” Hurt said.

— Release by University of Illinois Extension.

American Farmland Trust Launches E-Commerce Store

American Farmland Trust (AFT) proudly opened an E-Commerce store during the 2009 holiday season. The store features our first line of products with the No Farms No Food® message. American Farmland Trust encourages buyers to keep the shopping spirit alive as we welcome 2010 and introduce new items throughout the year at www.zazzle.com/americanfarmland.

Sales from the store serve a vital purpose in helping AFT achieve its mission to protect farm and ranch land, increase the availability of fresh local food and farm products, and keep the land and our communities healthy. The profits from our e-commerce store continue to benefit the on-the-ground programs we implement each year.

AFT also has the distinct honor of being a Better Business Bureau-BBB Charity, having met all 20 standards for charity accountability, and is a BBB Seal Holder.

“As we approach our 30th anniversary, it is important to reflect back on past successes but also to look forward to engage a new generation in understanding the importance of protecting farmland and fostering healthy communities. Our farm and ranch lands are essential to ensuring America’s food security, energy independence, economic prosperity and environmental quality,” states Julia Freedgood, AFT’s managing director, Farmland & Communities Initiative. Through AFT’s new line of merchandise and E-Commerce store, the same message will now reach an even greater audience.

— Release by AFT.

Annual Meat Conference Early Bird Registration Deadline Feb. 5

Registration for the 2010 Annual Meat Conference, March 7-9, 2010, at the Rosen Shingle Creek, Orlando, Fla., at the Early Bird Rate of $595 ends Feb. 5. Three or more registrations from the same member company at the Early Bird Rate are $545 each. After Feb. 8, registration rates will increase to $695 for an individual or $645 for three or more registrations from the same member company.

Co-sponsored by the American Meat Institute (AMI) and the Food Marketing Institute (FMI), the conference each year attracts more than 800 members of the retail food and meat industries. It is considered the leading educational event focusing on meat and poultry marketing innovations, merchandising issues and consumer purchasing trends.

Associate sponsors for the conference include the American Lamb Board, the Beef Checkoff, the National Chicken Council, and the National Turkey Federation.

The 2010 Annual Meat Conference delivers cutting-edge information about selling strategies, operational efficiencies, packaging, marketing, technology and workforce issues.

For more information or to register, go to www.meatconference.com/.

— Release by AMI.

— Compiled by Mathew Elliott, assistant editor, Angus Productions Inc.