News Update
August 28, 2015
Four Reasons
Preconditioning Makes ‘Cents’
In times of high cattle prices, it’s not uncommon for producers to want to capitalize on prices as quickly as possible. It’s no different for this year’s valuable calf crop. Producers are gearing up to cash in on their investment in producing and raising a healthy calf, but there are a few reasons to slow down and evaluate if this is the most profitable path. Could waiting a few months longer realize additional payoff?
“Preconditioning calves is one way that a farm or ranch can really add value, whether those cattle are staying on the farm or moving into a stocker or feedlot scenario,” says Chris Forcherio, beef research manager at the Purina Animal Nutrition Center. “The producer implementing a preconditioning program may receive a higher premium, and no matter where the calf goes after that, the opportunity for improved health and performance should be adding value from that program.”
According to Forcherio, calves that are preconditioned with an effective vaccination program and started on a high-quality nutrition program may be better equipped to handle stressors at weaning time.
For more information please view the full Angus Beef Bulletin EXTRA article online.
World Economic Woes Hit Home
If you don’t believe the global factors affecting the U.S. cattle market are numerous and complicated, you probably haven’t heard Dan Basse, president of Ag Resource Company, give an economic outlook.
By 2040, Japan’s population will drop by 25.3 million people. Today, the Black Sea region exports 34% of the world’s wheat. Brazil’s currency, the real, has been weak for several years versus the U.S. dollar.
Those realities shape Basse’s predictions of fed cattle prices soon topping out near $160/hundredweight (cwt.) before softening to $120/cwt. or lower and, with normal weather, $3/bushel (bu.) corn prices all the way to 2019.
The seasoned market analyst spoke at the Feeding Quality Forum, Aug. 18 in La Vista, Neb., and Aug. 20 in Garden City, Kan.
“There is no shortage of grain in the world, so U.S. users don’t have much to worry about,” Basse said, agreeing with USDA’s average yield prediction of 168 bu./acre.
To read more, view the complete news release online.
Federal Court Ruling in North Dakota Blocks
“Waters of the United States” Rule
National Cattlemen’s Beef Association (NCBA) President Philip Ellis statement regarding Federal Court ruling in North Dakota that will Block EPA and the Army Corps’ “Waters of the United States” rule.
“America’s cattlemen and women applaud the decision of the federal judge in North Dakota to block EPA’s ‘waters of the United States’ rule, which was set to go into effect August 28. EPA’s rule is nothing more than an attempt to put more land and water under federal jurisdiction, blatantly disregarding private property rights. Over the last year and a half, the agency continually ignored the concerns of the U.S. Army Corps of Engineers, farmers, ranchers and landowners across the country, to the point of calling the concerns of cattle producers ludicrous.
In fact, only six months after receiving over one million comments the agency pushed forward to finalize the rule, a clear indication there was no intention of considering public comment or stakeholder input. While the EPA claims it clarifies the Clean Water Act, even the Army Corps, which shares jurisdiction over the rule, has serious concerns for the scientific basis of the rule making.”
For more information, please view the full NCBA release online.
Working Cattle Safely
Nora Schrag, veterinarian with the Kansas State University (K-State) College of Veterinary Medicine, says safety considerations are important when working cattle, looking at it from the point of view of the animal. Walk through the route being asked of the animals and check for errant nails, bolts, scraps of metal that animals could get caught on, even if it seemed fine last time, she recommends.
“Things change. These facilities are out in the weather, we use them, cattle bounce against things, and sometimes it’s not very obvious where it broke the last time. Then an animal hits it again and it’s very obvious. Pay attention to these things at the start and the whole time you are working cattle,” she urges.
It also pays to try to handle cattle in the best possible way as they flow through the process. “You might point out to the crew that a certain corner is a bit tight, and they need to be careful as they go around that or not put too many through a certain gate at once. These things make a big difference. It’s a lot easier to prevent injuries than to fix them later,” she says.
Read the full Angus Beef Bulletin EXTRA article online.
New Strategy to Conserve Sage Grouse Habitat
Agriculture Secretary Tom Vilsack announced Aug. 27 a four-year strategy that will invest approximately $211 million through 2018 in conservation efforts to benefit the greater sage grouse. The strategy, known as Sage Grouse Initiative 2.0, will build on successful public and private conservation efforts made since 2010 to improve sage grouse habitat. The new plan will provide additional assistance for ranchers to make conservation improvements to their land, which mutually benefits the iconic bird and agricultural operations in 11 western states.
“The Sage Grouse Initiative has proven itself as a model for how wildlife and agriculture can coexist and thrive in harmony, and that is why we are announcing steps today that will expand this important initiative throughout the life of the 2014 Farm Bill,” said Vilsack.
For more information, please view the full USDA release online.
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