News Update

March 1, 2017

A New Formula

Countless numbers of cow-calf producers have launched fledgling enterprises or expanded existing operations by leasing cows. Arguably the most common arrangement is for cows to be leased on a share basis whereby the cow owner and the producer leasing the herd each receives a predetermined share of proceeds received from the sale of calves born to the cows.

It depends on the specifics of each individual agreement, but a share deal may be the fairest kind of lease. It is potentially the fairest, at least, because the lease payment fluctuates with calf prices. Both lessor and lessee share in the bounty and the burden of high and low prices, respectively.

Skip Marland, a North Platte, Neb., rancher, land appraiser and real estate broker, thinks the “share” concept can also be used for figuring fair pasture rental rates. Equitable might be a better term, notes Marland, who uses the share concept as a framework for establishing pasture rental agreements that are equitable to the landlord and to the tenant. This framework also lends the flexibility needed as market conditions change.

For more information, please view the full Angus Journal article on Angus Media.

— Adapted from an article by Troy Smith, Angus Journal.

Future CAB Honorees Wanted

To keep the Certified Angus Beef® (CAB) brand humming along at a pace that sells four tons each minute, it helps to recognize the good people and ideas that make it happen.

CAB does that at its annual conference in the fall, but first, the brand must choose from a worthy field of partners along the supply chain. Nominations for these honors are open through March 31.

“We’re looking for producers who have a proven track record, who see the market rewards for supplying the CAB brand and have their sights set on creating even more,” said Miranda Reiman, industry information assistant director for the brand.

Here are the categories for the awards:

* The three Commitment to Excellence awards take into account the direct effect on the supply of high-quality cattle that qualify for the brand. Considerations include attention to genetic selection, management practices, customer service, progressive use of technology and overall CAB acceptance rate. Nominations are invited from the ranks of seedstock breeders, commercial producers and feedyards, as well as individuals or cattle companies.

For more information, please view the CAB news release online.

— Adapted from a release by Miranda Reiman, Certified Angus Beef LLC.

Cattlemen Applaud President
for Reconsidering ‘Extremely Flawed’ WOTUS Rule

Craig Uden, president of the National Cattlemen’s Beef Association (NCBA), Feb. 28 released the following statement in response to President Donald Trump’s executive action ordering the Environmental Protection Agency (EPA) and the Army Corps of Engineers to reconsider their controversial Waters of the United States rule (WOTUS):

“This extremely flawed rule would force ranchers and feedlot operators to get permits or risk excessive federal penalties despite being miles away from any navigable water. It would be one of the largest federal land grabs and private-property infringements in American history, and the President should be applauded for making EPA and the Corps reconsider this debacle. Ultimately, this rule should be taken out behind the barn and put out of its misery.”

— Adapted from a release by the National Cattlemen’s Beef Association.

Cattle Prices on the Rise with Beef Demand

Cattle market prices have been on the rise as feedlots and meat packers try to keep up with demand, said a Texas A&M AgriLife Extension Service expert.

Recent rises in cattle prices have been due to various market conditions from the pasture to the grill, said David Anderson, AgriLife Extension economist, College Station.

“Fed-cattle prices are up some due to good foreign and domestic demand,” he said. “The demand for live fed cattle has increased from feedlots and meat packers that are seeing good profits as supermarkets feature beef products and consumers respond to those lower prices at stores.”

Anderson said fed-cattle prices at feedlots have likely affected calf prices at sale barns around the state. Fed-cattle prices increased $4-$5 per hundredweight (cwt.) since last week.

“We’re seeing a spring rally in fed-cattle prices,” he said.

The supply and demand chain that likely caused the price increases starts with consumers, Anderson said. Consumers are finding reasonable prices from grocers who are featuring sales on beef products.

Even the weather, including above-average temperatures and below-average rain, may be factoring into better sale prices for producers as consumers kick off grilling season earlier than usual, he said.

For more information, please view the full AgriLife news release online.

— Adapted from a release by Adam Russell, Texas AgriLife Communications.

2017 Grass-fed Beef Conference

Texas A&M AgriLife Extension Service is pleased to announce the seventh annual conference focused on grass-fed beef production.

Consumer interest in natural, grass-fed and organic beef continues to rise. If you’d like to learn more about grass-fed beef production and how it’s different, mark your calendar for May 2-3, 2017 to be in College Station for this year’s Grass-fed Beef Conference. Breakfast and lunch will be served both days of the conference and a special grass-fed prime rib dinner will follow Tuesday afternoon’s session.

We’re excited about the interest among participants and the outstanding lineup of speakers that will come together for this information-sharing opportunity.

For more information, visit the Angus Journal Virtual Library calendar of upcoming events.

— Adapted from a release by Texas AgriLife Extension.

— Compiled by Paige Nelson, field editor, Angus Journal.