News Update
November 20, 2014
APHIS Rule Proposal Could Devastate American Cattle Herd
Pete Bonds, president of the Texas and Southwestern Cattle Raisers Association, made the following statement:
“On Aug. 29, 2014, the USDA, Animal and Plant Health Inspection Service (APHIS), published a rule proposal in the Federal Register that would allow the importation of live cattle and fresh or frozen beef from Northern Argentina.
“APHIS would accomplish this by adding the Patagonia areas of Argentina to the list of regions considered free of foot-and-mouth disease (FMD).
“The Texas and Southwestern Cattle Raisers Association (TSCRA) is deeply concerned with this proposal. FMD is a severe and highly contagious viral disease of cows, pigs, sheep, goats, deer and other animals with divided hooves. It is considered to be one of the most economically devastating livestock diseases in the world and poses a significant risk to not only our country’s cattle herd, but also our national food security. FMD could also cost our industry hundreds of millions of dollars.
“I am extremely worried that if FMD comes into the cattle herds, especially in Texas with the high population of feral hogs, we could see an unstoppable outbreak of the disease. Pigs are more susceptible to the disease than cattle, and with feral hogs being a problem in most of the state, the disease could spread throughout the country.
“Also, if an FMD outbreak were to occur in the United States, I am afraid we wouldn’t have the ability or amount of vaccine needed to control the disease.
“APHIS conducted their risk analysis based on a series of site visits to Argentina to determine the FMD risk status. TSCRA and other cattle industry groups requested written reports for these visits; however, APHIS informed us that written documentation wasn’t required for their site reviews. The lack of documentation makes me question their transparency and ability to conduct an accurate and thorough review.
“A third-party scientific review team from the University of Minnesota (UMN), College of Veterinary Medicine, objectively reviewed the APHIS risk analysis. The review team acknowledged limited or lacking methodological approaches in performing the risk assessment and poorly defined scope regarding the specific animal types and products for the risk assessment. There was also a lack of sufficient detail for geographical landmarks outlining the Patagonia region in the risk analysis and maps lacking the necessary level of detail to be useful.”
For more information, please view the full release here.
Livestock Industry Will Have Strong Rebound
Livestock producers can look forward to an economic “mini-boom” that may last for the next several years, providing opportunities for expansion of herds and flocks, Purdue University agricultural economist Chris Hurt says.
Hurt said high grain prices from 2006-2012 led livestock farmers to downsize herds to cover the extra feed expenses. The price of livestock products then increased, with fewer products available, and consumers had to eat less meat. This year, prices are record-high for cattle, hogs, poultry, milk and eggs.
With record-high animal prices and now much lower feed prices, profit margins for the animal industries have risen to strongly favorable levels, Hurt said. Profit prospects have these industries ready to expand.
“If the years from 2007 to 2013 could be described as the ‘Grain Era,’ in which crop sector incomes had an extraordinary run, the coming period may be described as the ‘Animal Era,’ when producers of animal products have strong returns,” Hurt said.
Rising per-capita consumption of meat will also be a driver in this mini-boom phase, since animal products will become more affordable, Hurt said. As an example, the amount of meat available each year reached about 220 pounds (lb.) per-capita when corn was $2 per bushel. By this year, only 200 lb. is available.
“We can expect that a portion of this lost consumption will be recovered in the next three to five years as producers increase supplies and drive down retail prices of animal products for consumers,” Hurt said.
This positive period for animal agriculture will also be economically good for rural communities with large numbers of livestock, along with businesses that carry animal management supplies.
“Animal industries are expected to rebound in coming years, led by rising per-capita consumption, continued small growth in U.S. population and growing export demand,” Hurt said. “The animal industries finally have a positive multiyear outlook.”
For more information on the economic outlook for livestock production, see Hurt’s article on the subject at www.farmdoc.illinois.edu/marketing/weekly/html/090214.html.
USDA Helps Open and Expand Export Markets for U.S. Agriculture
Agriculture Secretary Tom Vilsack announced Nov. 19 that the USDA Foreign Agricultural Service (FAS) has awarded funding to more than 60 U.S. agricultural organizations to help expand commercial export markets for American products.
“The Market Access and Foreign Market Development Programs help agricultural organizations representing thousands of producers and businesses open and grow markets for American products around the world,” Vilsack said. “Exports create jobs and foster growth that is critically important for rural communities and our entire nation’s economy.”
Through the Market Access Program (MAP), FAS partners with U.S. agricultural trade associations, cooperatives, state regional trade groups and small businesses to share the costs of overseas marketing and promotional activities that help build commercial export markets for U.S. agricultural products and commodities. The program, which focuses on consumer promotion, including brand promotion for small companies and cooperatives, is used extensively by organizations promoting fruits, vegetables, nuts, processed products, and bulk and intermediate commodities.
Through MAP, the FAS will provide $173.2 million to 62 nonprofit organizations and cooperatives. Participants contribute an average 214% match for generic marketing and promotion activities and a dollar-for-dollar match for promotion of branded products by small businesses and cooperatives.
The Foreign Market Development (FMD) Program focuses on trade servicing and trade capacity building by helping to create, expand and maintain long-term export markets for U.S. agricultural products. Under FMD, also known as the Cooperator Program, the FAS will allocate $26.7 million to 22 trade organizations that represent U.S. agricultural producers. USDA’s FAS partners with U.S. agricultural producers and processors, who are represented by nonprofit commodity or trade associations called cooperators. The organizations, which, on average, contribute nearly triple the amount they receive in federal resources, will conduct activities that help maintain or increase the demand for U.S. agricultural commodities overseas.
USDA’s international market development programs have had a significant and positive impact on U.S. agricultural exports. An independent study released in 2010 found that trade promotion programs like MAP and FMD provide $35 in economic benefits for every dollar spent by government and industry on market development.
For more information, please view the full release here.
NMSU Presents Annual Forage Growers Workshop Dec. 2 in Los Lunas
Alfalfa and other forage plants may be entering the dormant stage of the year, but the farmer is preparing for next year’s growing season with great anticipation. To help the producer to have the best yields and profitability possible, New Mexico State University (NMSU) Cooperative Extension Service will present its annual forage growers workshop Tuesday, Dec. 2, at University of New Mexico (UNM)–Valencia Campus, 280 La Entrada Road, in Tome.
The workshop, hosted by NMSU Valencia County Cooperative Extension Service, the NMSU Extension Plant Sciences Department, and the NMSU Small Farm and Ranch Task Force, will be from 7:30 a.m. to 4:30 p.m. New Mexico Secretary of Agriculture Jeff Witte will be the keynote speaker to open the workshop at 8 a.m. Registration fee is $20, which includes program materials, door prizes and lunch.
“This year’s program is full of timely topics that include the most up-to-date and pertinent information for our producers,” said Newt McCarty, Valencia County Extension agricultural agent. “It is the perfect opportunity for producers to ask the questions and get the answers they need to continue being successful producers.”
Topics will range from building healthy soil and optimizing fertilization to controlling pests and weeds, including bindweed. Presenters will also discuss efficient irrigation and USDA programs summaries.
“The workshop will focus on the small- to medium-sized hay and pasture farms in the Middle Rio Grande Valley, but there will be useful information for forage producers of all sizes of operations in New Mexico,” said Mark Marsalis, NMSU Extension forage specialist and superintendent of NMSU’s Agricultural Science Center at Los Lunas.
“The program is diverse and is a great value for the information gained at this workshop. Plus, those needing pesticide applicator CEUs late in the year can obtain five credits at the event,” Marsalis said.
For more information, please view the Angus Journal Virtual Library calendar of upcoming events here.
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