NCBA MEMBER eUPDATE

 

 

NCBA News

NCBA Urges Congress to Use Science in Antibiotic Discussion
Michael Apley, a veterinary clinical pharmacologist with Kansas State University (KSU), traveled to Capitol Hill last Wednesday with NCBA to educate lawmakers and their staff about the use of antibiotics in the beef industry. Dr. Apley and NCBA met with Congresswoman Louise Slaughter (D-NY) and Congressman Leonard Boswell (D-IA) to discuss H.R. 1549, Rep. 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," said Apley. "As a veterinary clinical pharmacologist, I work to evaluate the benefits and risks of antibiotic use 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."

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

In addition to the meeting with Reps. 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.

Members of Congress Make Trade a Priority
In a letter sent to President Obama last week, Senator Johanns (R-NE) and 17 cosigners, including Senate Agriculture Committee Chairwoman Blanche Lincoln (D-AR), expressed their commitment to help the President meet the goals of doubling American exports over the next five years and ratifying pending trade agreements with Colombia, Panama and South Korea. NCBA is pleased that the administration and members of the Senate are making trade a priority.

Passage of pending free trade agreements (FTA) will level the playing field for U.S. exports, maintain a competitive advantage for U.S. commodities overseas, and create jobs here at home.

Passage of the U.S.-Korea FTA would mean:

• A 15-year phase-out on all beef muscle cuts from the current 40 percent duty;
• $15 million in tariff savings for beef in the first year of the agreement alone;
• An annual savings of over $325 million, once tariffs are completely phased out.

Every day that Congress does not approve the Colombia FTA, American exporters pay $2 million in unnecessary tariffs. Under a U.S.-Colombia FTA, U.S. beef producers would gain:

• Immediate elimination of Colombia's 80 percent duty on prime and choice cuts;
• Duty-free access for all remaining cuts through a 2,100 ton tariff rate quota;
• Duty-free access under a 4,642 ton tariff rate quota for a variety cuts.
   

Ratification of the Panama FTA would mean the immediate elimination of the 30 percent duty on prime and choice cuts, and a 15-year phase-out of duties on all other cuts.

In other trade news, more than 20 members of the U.S. House of Representatives sent a letter to Representative Jason Yuan, head of Taipei's Economic and Cultural Office, expressing disappointment with the recent, unilateral decision by Taiwan's Legislative Yuan to bar the import of certain beef products, in direct violation of a recently signed bilateral agreement. According to the letter, "This unjustified and inappropriate action raises serious questions about Taiwan's continued credibility and reliability as a trading partner."

In addition to resolving the issue in Taiwan, NCBA is calling on the administration to continue efforts to expand access for U.S. beef in Japan and China. Japan's restriction on beef products from cattle over 21 months is limiting us to about 25 percent of our potential market, which translates to about $1 billion in lost exports annually. China is currently closed to U.S. beef exports, but represents one of the largest potential growth markets for U.S. beef, worth in excess of $100 million. 
 

 

More Headline News

USDA Announces New Framework for Animal Disease Traceability
On Friday, Feb. 5, 2010, U.S. Department of Agriculture (USDA) Secretary Vilsack announced that the agency will develop a new, flexible framework for animal disease traceability in the United States, and undertake several other actions to further strengthen its disease prevention and response capabilities.

"After concluding our listening tour on the National Animal Identification System in 15 cities across the country, receiving thousands of comments from the public and input from states, Tribal Nations, industry groups, and representatives for small and organic farmers, it is apparent that a new strategy for animal disease traceability is needed," said Agriculture Secretary Tom Vilsack. "I've decided to revise the prior policy and offer a new approach to animal disease traceability with changes that respond directly to the feedback we heard."

The framework, announced previously at the National Association of State Departments of Agriculture (NASDA) Mid-Year meeting, provides the basic tenets of a revised system to address disease traceability capability in the United States. USDA's efforts will:

• Only apply to animals moved in interstate commerce;
• Be administered by the States and Tribal Nations to provide more flexibility;
• Encourage the use of lower-cost technology; and
• Be implemented transparently through federal regulations and the full rulemaking process.

"One of my main goals for this new approach is to build a collaborative process for shaping and implementing our framework for animal disease traceability," said Vilsack. "We are committed to working in partnership with states, Tribal Nations and industry in the coming months to address many of the details of this framework, and giving ample opportunity for farmers and ranchers and the public to provide us with continued input through this process."

One of USDA's first steps will be to convene a forum with animal health leaders for the states and Tribal Nations to initiate a dialogue about the possible ways of achieving the flexible, coordinated approach to animal disease traceability we envision. Additionally, USDA will be revamping the Secretary's Advisory Committee on Animal Health to address specific issues, such as confidentiality and liability.

NCBA President Steve Foglesong issued the following statement in response to the Secretary's announcement: "We appreciate Secretary Vilsack's commitment to addressing producers' concerns with animal ID. The plan appears to lay the foundation for a flexible approach to animal disease traceability, including greater state-involvement and choices in the use of technology. 

"We encourage USDA to work closely with producers in the development of the framework moving forward. It's important that the system is workable for producers, and accomplishes the goal of increased animal surveillance by enabling state and federal animal health officials to respond rapidly and effectively to animal health emergencies."

NCBA has and continues to support a voluntary, market-driven animal identification system as an important tool for producers to improve herds, monitor disease, and better market their cattle. 

For more information on the framework announced by USDA, click here. 

 

Market News

Market Cow Prices
The U.S. Department of Agriculture (USDA) Agricultural Marketing Service (AMS) reports wholesale prices for beef from market cows, which are used to estimate the weekly Cutter Cow Cutout value (90 percent lean, 350 pounds and up).  After falling to a low of $101.32 per cwt in late November last year, the Cutter Cow Cutout has slowly recovered supported by a number of factors including, smaller imports of lean beef, year-to-year increases in the cow byproduct value, and continued consumer demand for lower value ground beef items.  By the end of 2009, the Cutter Cow Cutout was at $111.70 per cwt and as of week ending Jan. 22 the cutout had reached $117.01 per cwt.  For the month of January, the Cutter Cow Cutout averaged $116.00 per cwt versus $111.17 per cwt in 2009 and the highest monthly average since May 2009.

The cow byproduct value, which is calculated by AMS on a per cwt basis, is an important factor in cull cow packer returns, thus the byproduct value impacts cull cow prices.  In 2009, the cow product value was rather volatile and averaged well below 2008. However by December, the cow byproduct rebounded and has continued to improve.  In January, the cow byproduct value posted year-to-year gains each week with a monthly average of $7.71 per cwt, 31 percent higher than 2009. Compared to the 2004 to 2008 average, the byproduct value was about $0.36 per cwt lower, however further increases are expected which would put the byproduct value on par or above the prior five-year average in the weeks ahead.

Market cow prices are seasonal in nature, as prices strengthen during the winter and spring months, peak in summer and then soften significantly into the fall.  After seasonally declining to the low $40 per cwt in November, cull cow prices in the Southern Plains rebounded rather sharply, averaging over $47.00 per cwt by the end of last year and have continued to increase into 2010. In fact, cull cow prices averaged well above a year ago each week in January, with the monthly average over $49.00 per cwt, over 12 percent higher than last year and slightly higher than the 2004-2008 average.  This year, market cow prices are forecast to strengthen well into the spring and to average above 2009 for the remainder of the year.

Source: Livestock Marketing Information Center
 

 

Producer Education

Finding the Right Bull
Bull selection is the most critical factor for genetic improvement in cow-calf herds, as the influence of the bull impacts both the immediate calf crop as well as future calf crops through the performance (and costs) of his daughters. Dr. Scott P. Greiner, extension animal scientist, with Virginia Tech says that producers need to approach their bull buying decisions systematically. Consequently, bull selection warrants careful planning and preparation, well in advance of any sale or visit from an AI representative.  Consider the following steps to assist in the bull-buying process:

1. Identify Herd Goals - Herd goals serve as the foundation for sire selection and provide guidance as to traits with the most relevance.  Defining the production and marketing system, along with management strategies and environment are key factors that warrant consideration.
2. Assess Herd Strengths and Weaknesses - Fundamental records are necessary to identify herd strengths and weaknesses.  Basic performance parameters such as calving percentage, weaning percentage, weaning weights, sale weights, carcass merit, feed usage, etc. are necessary to serve as the basis for assessing areas of strength and those needing attention.
3. Establish Selection Priorities - Concentrate on those factors that stand to have the largest impact on profitability.  Remember that income is derived from performance (sale weight, percent calf crop weaned, carcass merit, etc.).  Performance is a function of both genetics and environment/management.  Superior genetics can be negated by poor management, which emphasizes the importance of separating the impact of management (nutrition, health program) from that of genetics when specific priorities for the herd are established.  Considering both the genetic and management influences on various traits is important.  Focus on the handful of priority traits rather than attempting to change many traits simultaneously. 
4. Utilize Selection Tools - Once selection priorities have been established through close examination of herd goals and current status, a number of useful tools are at the disposal of beef producers to assist in making genetic improvement.  Genetic differences across breeds have been well-established, and utilization of different breeds in a complimentary fashion through structured crossbreeding plans provides the opportunity for improvement in multiple traits.  Most importantly, heterosis attained through crossbreeding has been shown to have significant favorable impacts on traits such as reproductive efficiency and cow longevity which are critical for herd profitability. The limited ability to select for reproductive traits in the form of EPDs further emphasizes the importance of capturing the value of heterosis.
    

For the full article on selecting and managing your bull battery, click here.

Source: Virginia Cooperative Extension, Virginia Tech, and Virginia State University

 

 

Heads Up

NCBA's Cattlemen to Cattlemen
Don't miss a special LIVE edition of NCBA's Cattlemen to Cattlemen on Tuesday, Feb. 9 at 8:30 p.m. EST. New NCBA President Steve Foglesong, CEO Forrest Roberts and Vice President of Government Affairs Colin Woodall will take questions from callers about the state of the industry, the organization and the outlook for 2010. To ask a question, call in during the show, or submit questions in advance via e-mail, go to CattlementoCattlemen.org. Follow us on Twitter at NCBA C2C and become a fan of the show on Facebook by searching NCBA's Cattlemen to Cattlemen.
 

 

Membership Benefits

Win a Free Bottle of Cydectin® Pour-On from Boehringer Ingelheim Vetmedica, Inc.
If you join NCBA as a new member between now and May 31, 2010, you can get a free 500 mL bottle of Cydectin® Pour-On. The offer gets even better if you also join your state affiliate because you'll get two free bottles of Cydectin® Pour-On. Existing members can also take advantage of this great program by recruiting a new or reinstated member (has not had an active membership for at least three months), and receive a free bottle of Cydectin® Pour-On. This offer is only good while supplies last, so be sure to take advantage of this great opportunity. For more information, contact NCBA at 866-BEEF-USA.