January 2015

The Virginia Cattleman Volume 37 Number 1

Circulation 8,000

January 2015

The 2014 Virginia BCIA Culpeper Bull Test Award Winners (pictured left to right): Rebecca and her father Dennis Pearson of Soldiers’ Hill Angus Farm in Warrenton, VA, Michael Webert and his son, William, of Locust Hill Farm, LLC in Middleburg, VA, and Harvey Pearson of Soldiers’ Hill Angus. Soldiers’ Hill Angus Farm was 2014 Culpeper Bull Test High-Station Index and High Sale Order Award Winner for their lot 10. Locust Hill Farm, LLC was recognized as the 2014 Culpeper Senior Breeder Group Award winner.

What’s Inside…

The Virginia Cattleman P. O. Box 9 Daleville, VA 24083-0009

Non-Profit Organization U. S. Postage PAID Daleville VA 24083 Permit No. 8

2015 Outlook: Exceptional Year Ahead For Cattle Market ....... Page 4 American Beef Rebounds In Japan .......................................... Page 35 Rebuilding The Cattle Industry ............................................... Page 36 VCA 2015 Winter Producer Education Meetings ................... Page 38 Official Publication of the Virginia Cattleman’s Association • PLEASE NOTIFY SENDER IF ADDRESS LABEL IS INCORRECT

PAGE 2, JANUARY 2015, THE VIRGINIA CATTLEMAN

Opportunities

By Jason Carter Executive Secretary The arrival of 2015 and the assignment of 2014 to the history books surely brings the cattle business to the eve of a New Year unlike many seen before.

Undoubtedly 2014 was the most profitable year for those in the cow-calf and backgrounding business ever. Seemingly week over week the market rose setting new records throughout and optimism has been high for continued beef demand and relatively small supplies, as our herd tepidly rebuilds, for some time to come. The Virginia Cattlemen’s Association Tel O Auction sales were outstanding. There were nearly 400 loads of yearlings and preconditioned Virginia Quality Assured feeder cattle sold in 2014 on those Monday night sales.

Participation in the VQA program is growing across

the state and the strength of local associations and the work of their folks in some areas particularly is very apparent. There is great strength in sharing success.

There is also increased risk as reputations for quality grow, however investment in quality also mitigates that risk, and we at VCA certainly appreciate the leadership locally in the VQA program provided through Extension, VDACS and producers.

There will continue to be organizational changes at VCA intended to improve the quality of service we provide in support of cattle marketing and membership. The growth in popularity of our website and email as a resource for cattle buyers interested in our sponsored sales has been astounding. The email list for sales descriptions has grown from a few dozen to nearly 1000 in the last year. That is attracting

new buyer interest particularly in the western states among feeders traditionally sourcing multiple loads of cattle in short periods of time. We’ll continue to grow our electronic reach.

On the membership side everyone will be receiving letters from VCA this year explaining a transition to calendar year membership.

This will complement our effort to also expand our partnership with affiliate local associations and agricultural businesses.

Our cattle businesses are integral components in a greater cattle industry where VCA has a responsibility to coordinate the collective voice and needs we have. We look forward as well to a renewed partnership with the Virginia State Dairymen’s Association in providing an annual membership meeting that will have a new traditional time of year in the summer with a field day format. In

2015, we will anticipate a great program on July 17th at Kentland Farm near the campus of Virginia Tech.

More to come soon on that.

January also brings the return of our annual producer educational meetings that we cooperate with Extension to conduct. Between January 26 – 29th we will again travel the state to bring an excellent program discussing financial resource and preconditioning management to you.

MultiMin has generously offered to be our presenting sponsor for a dinner and keep these meetings at no cost to attendees. Please see the full page ad this month for complete details.

January also brings a new General Assembly Session to Richmond. Old issues surface again in the arenas of food safety and funding for best management practices. New issues will surface including the use of drone technology and

the future of our agricultural tax incentives. On the federal level, a Republican controlled Congress promises to be supportive of agricultural interests and particularly the cattle business. We hope to see the end of Waters of the United States, mandatory Country of Origin Labeling and progress on immigration as well as a permanent Section 179 tax code friendly to modern farming.

I said in the beginning of my coming to Daleville that the value in an Association is communication.

Benjamin Franklin also said that “little strokes fell great oaks”. We are improving our ability to better serve the needs of our cattle industry by adding capabilities in membership and industry while not straying from what made us strong traditionally. I look forward to new challenges and opportunities working together.

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The Virginia Cattlemen’s Association Affiliated with the National Cattlemen’s Beef Assoc.

P.O. Box 9 Daleville, Va 24083-0009 540/992-1009 www.vacattlemen.org

The Virginia Cattleman 540/992-1011 540/992-4632 - FAX published monthly by the Virginia Cattlemen’s Association

Jason Carter ....................... Stuarts Draft Executive Secretary Butch Foster.................................. Bristol Field Manager Troy Lawson...........................Churchville Field Manager

FEEDER COUNCIL

Glenn Wheeler ............................... Atkins Region 1 Chuck Miller ................................Crockett Region 2 Joe Meek .......................................Dublin Region 3 Forrest Ashby .............................Staunton Region 4 Rick Matthews.........................Browntown Region 5 Steve Hopkins ...............................Louisa Region 6 Tom Nixon .................................. Rapidan Region 6 Lin Jones .............................New Canton Region 7 Brett Stratton ........................ Appomattox County Cattlemen

POLICY & INDUSTRY ADVOCACY BOARD Gene Copenhaver ...............Meadowview District 1 Joey Davenport ...................Glade Spring District 1 Bill McDonald .........................Blacksburg District 2 Steve Furrow.......................Rocky Mount District 2 Bill Tucker .................................. Amherst District 3 Jon Repair ................................ Glasgow District 3 Jared Burner .................................. Luray District 4 Allen Heishman ......................... Edinburg District 4 John Goodwin ............................. Orange District 5 James Kean ..................................Louisa District 5 Jay Calhoun .............................. Callands District 6 Mike Henry ........................... Chesterfield District 6 Editor...................................... Jason Carter jcarter@vacattlemen.org Publication Coordinator...Jacquelynn Davis jdavis@vacattlemen.org Issued the first week of each month. Copy deadline the 15th of the previous month.

The Virginia Cattleman is sent to members of the Virginia Cattlemen’s Association. Annual dues are $50/year or participation in the Association’s Feeder Cattle marketing Program. Complimentary copies are sent to various supporters of the Virginia Cattle Industry.

A Member of:

LPC LIVESTOCK PUBLICATIONS COUNCIL

2015 Outlook: ‘Exceptional’ Year Ahead For Cattle Market Total cattle inventory in the U.S. stands at 87.7 million, the lowest since Harry Truman was president.

Consumer demand remains robust, with no signs of decline.

As good as the cattle markets have been in 2014, next year should be even better. Even among economists, wary as they are about predicting a market rally, few hesitate to predict 2015 to be another banner year.

Being economists, their forecasts usually revolve around cattle numbers, beef supplies and feed prices. And all of those ingredients are certainly in the pot to cook up more cowboy profits next year, but the driving force to continued success may not be any of those. The most critical leg supporting cattle and beef prices is consumer demand, and that surprising strength is expected to continue next year.

Record Beef Prices In terms of retail prices, this year has brought new highs.

In U.S. retail stores, the Beef Retail Price Composite (BRPC) hit $5.62 per pound in October, a new record, according to USDA’s Economic Research Service. Retail ground beef prices averaged $4.15 per pound, which was also a new record.

Those retail prices are a reflection of prices on the hoof paid at the feedyard gate, where prices were astonishingly good this year. Record-high prices

for every class of cattle were established in every quarter of 2014, and fed cattle currently hover close to the all-time high of $174 per cwt.

The year-long cattle market rally was spurred by historically short supplies. America’s cow herd is the smallest (29 million) in 60 years, with a total cattle inventory of 87.7 million, which is also the lowest level since Harry Truman was president.

Those short supplies produced roughly 24.4 billion pounds of beef in 2014, a 5.2 percent decline from 2013 and the smallest annual slaughter since 1994. Total steer and heifer slaughter in 2014 is projected to be the lowest since 1968.

As retail prices rose throughout the year, though, economists and cowboys alike worried that consumers would begin resisting beef.

But such worries have not materialized.

Packers Move to ValueAdded Cuts “We’re experiencing a different beef complex today than we saw 10 or 20 years ago,� says economist John Nalivka, president of Sterling Marketing in Vale, Ore. “The big packers are global companies, and they operate differently than they did before. We’re seeing a shift away from packers marketing commodity beef to the marketing of value-added products.�

Most packers now do additional processing on their beef, marketing hamburger patties rather than ground beef and offering value-added cuts such as flatiron steaks and petite steaks rather than chuck roasts. “The trim complex in a packing plant is now a profit center rather than a commodity bin,� Nalivka says.

While Nalivka’s observation of improved product offerings offers insight into consumer beef demand, it’s a theory supported

by K-State Research and Extension livestock economist Glynn Tonsor. “To date, beef demand has been robust,� Tonsor notes. “There is no such thing as a price ceiling as demand curves are sloped.�

Meaty Competition?

While consumer beef demand has remained strong throughout 2014, the supplies of competing meats–pork and poultry–were not plentiful enough to entice consumers down the aisle.

That may change next year. “We may see an impact in the first quarter of 2015 from the growth of available meat supplies (pork and poultry) that could increase the ability of U.S. consumers to shift meat purchases,� Tonsor says.

Contrast that with a beef industry that will reduce supplies even further next year, according to Oklahoma State University livestock marketing economist Derrell Peel. “Steer and heifer slaughter is expected to decrease another 2 percent in 2015 which, depending on carcass weights, would contribute to another 1 percent to 1.5 percent decrease in total beef production,� Peel says.

That may be a warning sign; retail beef prices have risen 20 percent this year and could continue to climb. “Current retail prices undoubtedly do not fully reflect the impacts of

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THE VIRGINIA CATTLEMAN, JANUARY 2015, PAGE 5

Marfrig Program Aims To Put Brazil Ahead Of U.S. Beef Production By 2017 Brazil’s second-largest beef processor, Marfrig Global Foods, has introduced a prog r a m f o r i m p ro v i n g b e e f cattle genetics and reducing growth time by more than 50 percent, with a goal of

Outlook

Continued from Page 4 declining beef supplies, even if production stabilized at current levels,” Peel says.

High Prices Reshape Industry Could demand challenges surface next year? “I strongly contend both supply and demand are combining to ‘drive’ record prices,” Tonsor says. “I see 2015 as being another historic year for cow-calf producers. It may well be an above average year for stockers as well, but not likely as strong as for cow-calf producers. The feedlot segment is where I expect the largest pullback in returns, at least relative to 2014.”

Nalivka agrees with that logic, adding that he believes this market has helped break down some of the contentious relationships between packers and producers.

“With value-added products, the packing industry has taken the next step beyond boxed beef, which was a revolutionary change in its day,” he says.

“I don’t believe that packers want to beat prices down like they were able to a few years ago. It’s not in their best interest because the industry can’t stand the ripple effects.”

According to Nalivka, the consequences of dramatically lower prices would be an industry suddenly shifting back into liquidation mode as older producers exit the business.

“We’re just starting to see expansion,” he asserts. “I believe the packing industry sees the need to encourage production over the next couple of years.”

The desire of packers and retailers is to build consumer demand and continue expanding the U.S. export market.

“The fundamentals are shaping up to make next year exceptional,” Nalivka says. “Feed costs are low, forage supplies are greatly improved and demand is strong.”

surpassing the United States’ annual beef production by 2017. Marfrig + is a genetics program to increase the efficiency and productivity of Brazilian beef cattle while maintaining the highest stan-

dards of quality and sustainability.

The program will produce embryos by in vitro fertilization that feature superior characteristics like high feed conversion, finishing qual-

ity, flavor and meat quality.

T h re e h u n d re d - t h o u s a n d cattle will be implanted with embryos from the program in 2015 alone, with 600,000 to follow in 2016 and 1 million or more in 2017. This should

lead to an additional 300,000 metric tons of beef added to domestic production in 2017, allowing Brazil to surpass the U.S. that year in the amount of beef it produces annually, Marfrig executives predict.

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THE VIRGINIA CATTLEMAN, JANUARY 2015, PAGE 7

January Herd Management Advisor

By Scott P. Greiner & Mark A. McCann Extension Beef Specialists, Virginia Tech January typically means that winter feeding has become part of the daily farm chores. Pick one of the monthâ&#x20AC;&#x2122;s milder days and think ahead to the warmer and greener days of spring. Winter soil sampling allows plans to be formulated for addressing identified nutrient needs in pastures and hay fields. Likewise, it is time to make plans for frost seeding clover in February. The addition of clover to pastures is an economical management practice that easily pays its way.

Clover addition to tall fescue pastures results in improved diet quality and dilution of the toxins associated with endophyte infected fescue. Clover is also valued for its nitrogen fixing abilities. During the past decade of high fertilizer costs, the financial benefit of this low-cost method of adding nitrogen to pastures has increased at the same pace as nitrogen. Be sure check with you local extension office for variety and planting tips.

Spring Calving Herds (January-March) General Prepare for calving season by checking inventory and securing necessary supplies (ob equipment, tube feeder, colostrum supplement, ear tags, animal health products, calving book, etc.). Review calving assistance procedures.

Move pregnant heifers and early calving cows to calving area about 2 weeks before due date Check cows frequently during calving season. Optimal interval is to check calving females is every 4 hours.

Utilize calving area that is clean and well drained. Reduce exposure to scours by moving 2-3 day old pairs out of calving area to separate paddock (reduce commingling of newborn calves with older calves).

Identify calves promptly at birth. Record birth weight, calving ease score, teat/udder score, and mothering ability of cow.

Nutrition and Forages Evaluate the body condition of cows that you identified as thin and gauge if nutrition man-

agement changes are having an impact.

As fetus size and fetal growth rate increase, cow nutrition requirements increase proportionately. If low to average hay is being fed, supplementation may be warranted.

Continue strip grazing accumulated fescue growth as needed.

Continue to manage first-calf heifers separately; give them the best forage. Thin mature cows could be added to this group.

Feed lower-quality hay to dry cows, saving the best hay for calving season Continue to feed high Se trace mineral salt. A forage/hay analysis can reveal what other minerals should be supplemented.

Post-calving, nutrient requirements will increase, be prepared to supplement forages based on their nutrient content.

Be mindful that harsh environmental conditions (cold, wind, ice, mud) will increase nutrient needs.

Herd Health Ensure colostrum intake first few hours of life in newborn calves. Supplement if necessary.

Newborn calves need 10% of body weight in colostrum first 24 hours of life.

Provide selenium and vitamin

A & D injections to newborn calves Castrate commercial calves at birth Monitor calves closely for scours and pneumonia, have treatment supplies on hand.

Genetics Make plans for spring bullbuying season. Evaluate current herd bulls for progeny performance and soundness. Establish herd genetic goals, and selection criteria for AI sires and new herd bulls.

Schedule ultrasound technician, and collect yearling performance data (weight, height, scrotal, ultrasound) in seedstock herds.

Fall Calving Herds (September-November) General Calving records should be complete and up to date.

Monitor calves for scours.

Continue breeding season.

Nutrition and Forages As the breeding season continues, remember that maintaining or gaining weight has a major impact on pregnancy rate. As available forage becomes scarcer and of lower quality, be prepared to supplement as needed.

Offer high magnesium mineral. Generally, fall calving cows are not as predisposed to grass

tetany. As cows transition from grazing to hay or silage, hi-mag minerals can be discontinued.

Use strip grazing as a tool to increase the efficiency of utilization of cool season pastures by cows post-calving.

Be mindful that harsh environmental conditions (cold, wind, ice, mud) will increase nutrient needs of all cattle.

Herd Health Monitor calves closely for health issues, particularly scours and respiratory disease.

Consult with veterinarian concerning vaccination protocol for calf crop.

Evaluate lice control program and consult your veterinarian for recommendations.

Reproduction Remove bulls from replacement heifers after 45 day breeding season

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Make plans to pregnancy check heifers as soon as possible after bull removal. This will allow options in marketing open heifers.

Manage bulls properly during the breeding season. Observe frequently to confirm breeding activity and soundness, and monitor cows for repeat estrus.

Avoid commingling mature and young bulls, as older bulls will be dominant. As rule of thumb, yearling bulls should be exposed to number of cows equal to their age in months (ie. 18 month old bull with ~18 cows).

Genetics Make plans for spring bullbuying season. Evaluate current herd bulls for progeny performance and soundness. Establish herd genetic goals, and selection criteria for AI sires and new herd bulls.

PAGE 8, JANUARY 2015, THE VIRGINIA CATTLEMAN

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THE VIRGINIA CATTLEMAN, JANUARY 2015, PAGE 9

Red Meat, Forages, And Human Health Focus Of The 2015 VFGC Winter Forage Conferences

By Gordon Groover, Extension Specialists, Ag and Applied Economics, VA Tech Red Meat, Forages and Human Health is the theme for the Virginia Forage and Grassland Council (VFGC) and Virginia Cooperative Extension (VCE) 2015 Winter Forage Conferences. This year’s conferences highlight the interrelated nature of agriculture.

Speakers will illustrate the role of healthy soils as the foundation for a vibrant forage system that supports a ruminant livestock herd supplying high quality proteins for human nutrition and health.

This year’s program will provide participants with information and examples of how healthy soils, forages and ruminants improve human health and wellbeing.

This year’s keynote speaker is Dr. Peter Ballerstedt, forage product manager at Barenbrug USA. He received his Ph. D. in Forage

Management and Utilization from the University of Kentucky.

Dr. Ballerstedt has written numerous publications and articles and currently writes a blog focused on diet, health and human nutrition called “Grass Based Health.” His areas of expertise include forage production, utilization and forage-based livestock production systems and their role in human nutrition. In his morning presentation he will discuss Beef: The REAL Health Food. After lunch, Dr. Ballerstedt will shed light on the concept of Red Meat is Green, the relationships between soils, and grazing animals.

Participants will also hear from Adele Hite, a Registered Dietician, MPH, who is currently pursuing a PhD in Nutrition Epidemiology at UNC-Chapel Hill School of Public Health. She will provide insights into the national nutritional policy environment and discuss, Policy Does Not Equal Science: Development of the U.S. Dietary Guidelines.

Johnny Rog2015 VFGC Winter Forage Conferences ers of Rogers Red Meat, Forages and Human Health Cattle Company, Roxboro, 8:30 am Registration NC will discuss 9:00 – 10:00 am Beef: The REAL Health Food, Dr. Peter Ballerstedt his experience 10:00 – 10:30 am Break- Visit Sponsors in managing 10:30 – 11:30 am Policy Does Not Equal Science: Development of the U.S. Dietary soil, forages, Guidelines, Adele Hite, RD, MPH and animals 11:30 – 11:45am VFGC Grazing Demonstration Overview – Regional CIG producer or mentor on the farm VFGC Business Meeting – Patty Johnson VFGC President h e m a n a g e s 11:45 – 12:00 noon Lunch- Visit sponsors and network with his wife 12-00- 1:00 pm 1:00 – 1:30 pm Virginia Cattlemen’s Association – Update from Jason Carter, Sharon. His Executive Director of the Virginia Cattlemen’s Association and presentation is presentation by Anne Jones, Director of Industry Communications, titled: A SysVirginia Beef Industry Council tems Approach 1:30 – 2:30 pm A Systems Approach to Building Soil Health and Producing a to Building Soil Profitable Livestock Product, Johnny Rogers, Rogers Cattle Company Health and Pro- 2:30 – 3:30 pm Red Meat is Green, Dr. Peter Ballerstedt ducing a Profit- 3:30 – 4:00 pm Speaker Panel Discussion able Livestock 4:00 pm Adjourn Product.

The VFGC Visit the VFGC website (http://vaforages.org) for additional details and registration information. and VCE will Tuesday, January 20, 2015, feature local livestock produc- discussion of cooperators experiers involved in the Regional ences with the project under the Weyers Cave Community CenConservation Innovation Grant title, Using grazing strategies to ter, Weyers Cave Wednesday, January 21, 2015, in cooperation with VFGC, VCE improve soil health on my farm.

The daylong conference will and NRCS. Conference particiContinued on Page 15 pants will hear and see narrated be repeated at four locations:

MEDICATED FE

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PAGE 10, JANUARY 2015, THE VIRGINIA CATTLEMAN

Obituary Joseph B. Graham Sr. Joseph Beard Graham Sr., 93, formerly of Goshen, died Dec. 11, 2014, in Bedford. He was the son of Andrew Dewitt and Rebecca Vaughan Graham.

In August 1947, he married Ellen Montgomery Bennett. He is survived by Joseph B. Graham Jr. of Goshen, Ellen White (Mark) of Moneta, Mary Wiseman (Bob) of Moneta, and Lucy Hayes (Ed) of Rochester, Minnesota; eight grandchildren; eight great-grandchildren; brotherin-law, Roy Coker; as well as a number of nieces and nephews.

He was preceded in death by his wife, Ellen; his brother and sister-in-law, Andrew and Mary Lydia Graham; and two sisters, Anne Coker and Rebecca Catlin and husband, Francis.

He graduated from Goshen High School in 1938 and from Virginia Tech with a degree in animal husbandry in 1943. He was a lifelong member of Goshen Presbyterian Church, where he taught Sunday School for over 50 years. He held other positions such as elder, treasurer, trustee, and choir member. In 1943, he entered the army and

served as an instructor of Basic Infantry at Camp Wheeler, Georgia, from May 1944 until April 1945. He was sent to the Pacific Theater, where he served with the Sixth Army and later with the Ninth Corps during the occupation of Japan. He said that when he went to college, his family was farming with horses, and when he returned, the horses were gone, having been replaced by a tractor.

From 1947 until 1952, he managed Aspen Dale Farm in Delaplane, and was a herdsman at Angus Hill Farm in New Market. In 1952 he returned to Goshen and started farming for himself. In 1954, he joined the Virginia Division of Markets as a livestock grader until 1973.

He became the official grader for the Virginia Beef Cattle Improvement Association, weighing and grading cattle on farms in all but five of Virginiaâ&#x20AC;&#x2122;s counties. He graded bulls at the Culpeper BCIA Bull Sale for 28 consecutive years and at the Red House Bull Sale from its start until the mid-1980s. His work with the Virginia BCIA

See page 38 for VCA Winter Meeting

was instrumental in making performance testing of beef cattle a national program. He also was an official classifier for the American Angus Association for three years.

From 1973 to 1975 he managed Roanoke Hollins Stockyard in Hollins. He was a field man for Staunton Livestock Market from 1975 to 1986 and

from 1986 to the late 1990s as a field man with Staunton Union Stock Yard. In 1999 the Beef Improvement Federation honored him with the Pioneer award. He kept his small herd of Angus cattle started in 1946 until recently.

He has judged draft horses at a few county fairs in Virginia and West Virginia, and

once at the W.Va. State Fair Horse Show. He took his dream trip to England and France in 1989 with his son-in-law, Bob Wiseman, where they toured Percheron horse farms on estates there, and they visited the battlefields of Normandy.

His lifeâ&#x20AC;&#x2122;s greatest joys were his family, his church, people, and livestock.

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THE VIRGINIA CATTLEMAN, JANUARY 2015, PAGE 11

For 70 years, Tarter has long been the industry leader in livestock equipment. Now, Tarter proudly introduces the newly expanded CattleMaster Series line of squeeze chutes. With four different models of chutes, Tarter has your every need covered. From the weekend hobby farmer, a large livestock operation, and everything in-between we have a chute for it all. To ďŹ nd a dealer near you go to www.tarterusa.com

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PAGE 12, JANUARY 2015, THE VIRGINIA CATTLEMAN

Donâ&#x20AC;&#x2122;t Worry About Beefâ&#x20AC;&#x2122;s Adversaries; Satisfy Our Consumers

By Dave Sjeklocha in Vetâ&#x20AC;&#x2122;s Opinion Americaâ&#x20AC;&#x2122;s farmers and ranchers have responded to our consumersâ&#x20AC;&#x2122; concerns and questions about how their food is raised.

We have plenty of challenges in beef production, and weâ&#x20AC;&#x2122;ve come to accept that explaining, and even defending, our practices and procedures is a part of everyday life. But we canâ&#x20AC;&#x2122;t sit still.

Our consumers are reasonable; our adversaries are not. My concerns are that while our efforts to inform and improve are admirable, it seems our adversaries are still driving the bus.

Recently, an animal rights organization attempted to acquire information on U.S. farm animal care standards and protocols with the goal of creating an Animal Protection Index. This index would provide a rating of various countriesâ&#x20AC;&#x2122; commitment to animal care based on national legislation and regulations.

In addition, another animal rights group recently criticized the National Cattlemenâ&#x20AC;&#x2122;s Beef Association for its beef cattle care and handling guidelines.

The writing on the wall is very clear. For consumers who have decided that meat will no longer be a part of their diet, there is

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Chris Jeffcoat, Regional Manager 282 Saint Lukes Road Littlestown, PA 17340 717.476.1496 cjeffcoat@angus.org

3201 Frederick Ave. â&#x20AC;˘ St. Joseph, MO 64506 816.383.5100 â&#x20AC;˘ www.ANGUS.org 8S WYFWGVMFI XS XLI Angus Journal GEPP ;EXGL The Angus Report SR 6*( 8: 1SRHE] QSVRMRKW EX '78 Š 2014-2015 American Angus Association

nothing we can do to change their minds; we will never satisfy them. We can satisfy those who do include meat in their diet, but these consumers want assurances that weâ&#x20AC;&#x2122;re doing whatever we can to see to the welfare of our cattle. Seeking ways to improve the welfare of our animals should also be a part of our everyday lives.

In July, at the Fourth International Symposium on Beef Cattl e Welfare in Ames, IA, animal behaviorist Temple Grandin said that she wasnâ&#x20AC;&#x2122;t as concerned about cattle handling as she once was, because our industry has responded well and has addressed this issue.

The Colorado State University professor believes that the next

issue the industry must address is shade. This doesnâ&#x20AC;&#x2122;t mean we can put cattle handling on the back burner; we must continue our efforts in making sure our people understand how to handle cattle.

Shade is certainly a valid issue to address, but itâ&#x20AC;&#x2122;s a tricky one. First, we have to establish what our expectations are. Do we expect shade to relieve all heat stress? Do we expect shade to eliminate all heat-related death loss? If we do, we will be terribly disappointed. Especially in areas with high humidity, we still have heat-related issues, even when there is plenty of shade available.We must be realistic in our expectations of what shade will do for the welfare of

our cattle. While shade (or heat stress management) should be addressed, it is an issue that causes problems for, at the most, a few months of the year. And if we address heat stress, then we must also address the other end of the thermometer: cold stress.

In my opinion, we should turn our efforts to pain. Dehorning, castration and even branding are painful procedures that are commonly performed on our cattle. The best way to address pain is to avoid it altogether. Since this isnâ&#x20AC;&#x2122;t always an option, the next best thing is to manage the pain.Recent research efforts have provided us some practical methods for dealing with pain. The current value of cattle makes it some-

what risky to not brand them, but I do believe we could do a much better job as an industry to shrink the horn issue. The next time you plan to perform any of these procedures, please ask your herd-health veterinarian to develop a pain management protocol.

These are all issues we must address proactively. Waiting until we are forced into it does nothing for our image or for our consumersâ&#x20AC;&#x2122; confidence in us. We will never get ahead by just keeping up. Excellence occurs when expectations are surpassed. We canâ&#x20AC;&#x2122;t be concerned about pleasing our adversaries, but we can satisfy our consumers by demonstrating that we do care.

THE VIRGINIA CATTLEMAN, JANUARY 2015, PAGE 13

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PAGE 14, JANUARY 2015, THE VIRGINIA CATTLEMAN

Southwest Virginia More For Your Money Sale The Southwest Virginia Angus Association held its “42nd Annual “More for Your Money Sale” on 10/25/2014 at the Southwest Bull Test Station Sale Facility in Wytheville, Va. Fifty-eight lots of registered Angus cattle went through the ring to average $3,599. The top selling cow/calf pair was

by Baird Angus Farm, Bluff City, TN the cow is a two year old daughter of TC Aberdeen 759 bred calve 4-1-15 to the service of AAR Ten X 7008 SA and she sold for $4,000 to Black Run Creek of Concord, NC, her 4-5-2014 heifer calf sired

by WDB Mr. Pendleton sold for $1,650 to Shrader Farm of Rosedale, VA. Total of this pair was $5,650. The second top selling lot was a consignment of Powell Farm, Limestone TN., the cow is a four year old daughter of Nichols Extra K205 due to calve 1-12-2015 to Connealy Capitalist 028 and sold for $3,100 to Taylor Angus of Elizabethton, TN., her 1-13-2014 heifer calf sired by O A Dash 902 sold for $2,400

to Tim Fletcher of Nickelsville, VA. Total of this pair was $5,500. The third top selling pair was also a consignment of Powell Farm of Limestone, TN., the cow is a six year old daughter of Leachman Right Time bred to calve 1-10-2015 to Comnnealy Capitalist 028 and she sold for $3,150 to Abegglen Livestock of Garneill, Montana, her heifer calf was born 1-26-2014 sired by CCA Upward 065 and she sold for $2,050 to Bonnie Bell Buchanan of Waterford, VA. Total of this pair was $5,200. The topselling fall calving pair was a consignment of Mossy Spring Angus of Blacksburg, VA., she is a five year old daughter of TC Total 410 with a 9-1-2014 bull calf by PA Safeguard 021 this pair sold for $4,500 to Shrader Farm of Rosedale, VA. We had 35 buyers from Virginia, North Carolina, Tennessee, Montana, and West Virginia. Volume buyers were Shrader Farm of Rosedale, VA., and Little Wilson Creek Farm of Mouth of Wilson, VA.

Smith Reasor of Rural Retreat was the Auctioneer and George T. Johnson, Jr. of Wytheville, VA., was the Sale Coordinator.

The next sale for the Southwest Angus Association will be December 6, 2014 “Southwest Virginia Angus Finest Sale” held at the Washington County

Fairgrounds in Abingdon, VA. At this sale we will be selling 55 Performance Tested Registered Angus Bulls, 60 Registered Angus Female Lots consisting of open heifers, bred heifers, bred cows, and cows with fall calves and also 25 commercial females. The Bulls average 678

See Contest on page 42!

lbs. 205 day adj. wt. 4.28lb gain on test and 1229 lbs. yearling weight. This is a superior group of Angus seedstock. For your free reference catalog contact us at 276-228-8496 or 276-6204901. You can also access the catalog on our website, check us out at swaangus.org.

March M Ma arc rch 26, rch 26, 26 6, 2015 20155 20 12:00 112 12:0 2:0 22:00 2: ::000 Noon Nooon N oon on WV R WVU REYMANN EY E EYMA EYMAN YM YM YMA YMAN MAN MA ANN AN A NN N NM MEMORIAL MEMO MEMOR EMOR EM E EMO MO MO MOR OR RIAL IA IA ALL FFARM ARM A RM M WARDENSVILLE, W WAR WARD WARDE ARDE A RD NSV RDE NSVIL NS N SVIL SV SV VIL ILLLE LE LE, E, WV WV

Division of Ashby Herd Health Services, Inc. 2420 Grace Chapel Road Harrisonburg, VA 22801 Day/Night (540) 433-0430 1-800-296-COWS (2697) Randall H. Hinshaw, D.V.M. (540) 246-2697

Providingg co commercial om mmercial cattlemen with a source ooff ge genetically ennetically lly ssuperior uperior bulls for over 455 ye years, ears, the Wardensville Bull Evaluatio Evaluationn Pr Program rogra ograam m st strives rives to be be tth the he most comprehe comprehensive reheensive performa performance ormaance eval evaluation aluattion program m in thee cou country. untry ryy. TTh The he nation’ss first nation firssstt bu bull ull evalu evaluation valuuationn pr program roggram m too co collect oollect individ individual ividual feedd in intake tak akkkee aan and nd feedd efficiency effficiency dat data ttaa us using sinng thee Gr GrowSafe rowSaf Safffee sy system, ystem, th thee WBE WBEP W EP prov provides videeess yo you ou withh th the hee information info formationn too im improve mproove you your uurr bo bottom ottom ttom m line ne and a d mak make m kkee yo your o next bull ou purchasee a step in the right ht direction…not ot a shot ot inn the dark rrkkk!

Forage Diet • Moderate Gain • Optimum Condition • Growth and Maternal The WBEP is not a gain contest! test! There is no ter tterminal minal index. The WBEP places strict st standards on all traits to guarantee g e ann offeringg of balanced trait bulls.

To learn more about the WBEP, view performance erformance updates, consignor consign profiles, and sale information, visit

bulltest.ext.wvu.edu Absentee ee bidding and transportation assistance available!

West Virginia Cattlemen’s Association Dr. Kevin Shaffer (304) 293-2669 Kevin.Shaffer@mail.wvu.edu

Jim Bostic (304) 472-4020 WVCA@wvbeef.org

THE VIRGINIA CATTLEMAN, JANUARY 2015, PAGE 15

2014 Culpeper Senior BCIA Bull Sale Results

By Scott Greiner Extension Animal Scientist, Beef, VA Tech The Virginia Beef Cattle Improvement Association hosted the 57th Annual Culpeper Senior Bull Sale on Saturday, December 13, 2014 at Culpeper Agricultural Enterprises near Culpeper, Virginia. Sixty fall-born bulls representing the top end of the 97 bulls tested sold for an average price of $4915. The sale included 54 Angus bulls which averaged $4946, 5 SimAngus bulls at $5080, and 1 Braunvieh Beef Builder at $2400.

The high-selling bull was Angus Lot 8, consigned by Soldiersâ&#x20AC;&#x2122; Hill Angus of Warrenton, Virginia and sold to Quaker Hill Farms, LLC of Louisa, Virginia for $12,000. This September 2013 son of Connealy Right Answer 746 had a test YW ratio of 116, along with +10 CED EPD, -0.6 BW EPD, +112 YW EPD. The high sale order index and high station index Angus bull, also consigned by Soldiersâ&#x20AC;&#x2122; Hill Angus, commanded $10,000 from Frank Hoover, Jr. of Edinburg, Virginia. The SAV Final Answer 0035 son posted a test YW of 1315, ratio 123, and a test ADG of 4.24, ratio 122, giving him a station index of 123 and placing

VFGC Continued from Page 9 Wytheville Meeting Center, Wytheville Thursday, January 22, 2015, Dominion Agricultural Complex, Chatham Friday, January 23, 2015, Gordonsville Volunteer Fire Company Hall, Gordonsville The conferences will run from 8:30 am to 4:00 pm.

For more information or to register for the conference, contact Margaret Kenny (makenny@ vt.edu) at (434) 292-5331 or visit the VFGC website (http:// vaforages.org) for additional details and registration information. The $35 early registration fee must be postmarked by Jan. 3, 2015. After January 3rd, the registration fee is $50 per person. This Soil Health Conference is funded in part by a USDA Conservation Innovation Grant from the NRCS in VA.

him at the top of the test. In addition, this September 2013 born bull had EPDs of +11 CED, +63 WW, and +110 YW. The breeder group award was presented to Locust Hill Farm, LLC of Middleburg, Virginia.

These September 2013 bulls posted an average ADG of 4.33, ratio of 125, average YW of 1164, ratio of 109, and average station index of 114. This set of bulls was led by Lot 97 and was sold to ICW Farms, LLC of Luray, Virginia for $5000. This KCF Bennett Performer son posted a test YW ratio of 110 and test ADG ratio of 135, along with strong EPDs of +58 WW, +103 YW, and +0.68 RE. Lot 96 commanded $5000 Patricia Brumback of New

Market, Virginia. This SAV Net Worth 4200 son posted a test ADG of 4.82, ratio 139, making him the top ADG bull of the test. He also had a test YW ratio of 107 and a MB EPD of +0.66.

The final lot of this group was a Whitestone Black Arrow Z101 son that sold to Phillip Bundy of Lebanon, Virginia for $6,000.

This September-born bull posted strong EPDs of +61 WW EPD, +102 YW EPD, along with test ratios of 113 and 112 for YW and ADG, respectively.

The strong Angus offering also included Lot 71, consigned

by Legacy at Pine Hill Farm of Forest, VA, which sold to Palo Alto Farm of Mineral, Virginia for $10,000. This high growth son of

Sydgen CC&7 had a WW EPD of +58, and YW EPD +104, test YW ratio of 122 and test ADG ratio of 113, in addition to scanning a 13.4 RE, ratio 118. Lot 12, a GAR Prophet son bred by Monomoy Farm of Warrenton, VA sold to Mt. Rush Farm of Buckingham, VA for $8250. This bull posted strong maternal EPDs of +13 CEM and +28 Milk, along with strong growth EPDs of +69 WW, +124 YW, and carcass values of +1.14 MB EPD, +111.71 $B. Edgewood Angus of Williamsburg, Virginia bred Lots 64 and 65, which commanded $7750 each from Mark Givens of Newport, VA and East Belmont, LLC of Keswick, VA, respectively. Lot 64 is a son of GAR Progress and

had EPD ratios in the top 1% of the Angus breed for CED at +14 and MB at +1.31. Lot 65 is a Plattemere Weigh Up K360 son and posted strong maternal and growth EPDs of +13 CED, +64 WW, +118 YW, +14 CEM, +27 Milk, and +111.61 $B. The strong group of SimAngus bulls was led by Lots 405 and 406 consigned by Reasor Simmentals of Rural Retreat, Virginia.

These two homozygous black GW Premium Beef 021 TS sons sold for $6500 each to Charles Wise of Bridgewater, VA. Lot 405 scanned a 120 ratio for RE at 14.93, in addition to a +14.4 CED EPD, -1.6 BW EPD, and a test YW ratio of 112. Lot 406 also scanned Continued on Page 31

PAGE 16, JANUARY 2015, THE VIRGINIA CATTLEMAN

Cattlemen Excited By Legislative Prospects In New Congress One called it a â&#x20AC;&#x153;whupping;â&#x20AC;? another called it a â&#x20AC;&#x153;tsunami.â&#x20AC;?

President Barack Obama simply termed it â&#x20AC;&#x153;a good night for Republicans.â&#x20AC;? However you characterize it, the November 2014 midterm election results definitely reset the federal legislative branch. Republicans added to their majority in the House, while adding enough seats in the Senate to wrest control of the senior chamber from Democrats.

Colin Woodall, the National Cattlemenâ&#x20AC;&#x2122;s Beef Association (NCBA) point man on Capitol Hill, says the midterm results provide the cattle industry with â&#x20AC;&#x153;a much more optimistic view of what we can doâ&#x20AC;? in the new Congress on several issues. Those issues include the Grazing Improvement Act, the U.S. Environmental Protection Agencyâ&#x20AC;&#x2122;s proposed rewriting of the â&#x20AC;&#x153;waters of the U.S.â&#x20AC;? definition, tax reform and trade promotion authority. â&#x20AC;&#x153;Republicans will be much more willing to actually vote on legislation than the Senate was under the

Democratic leadership of Sen. Harry Reid,â&#x20AC;? Woodall says. â&#x20AC;&#x153;So, given their increase in seats in the House and Republican control of the Senate, the results bode well across the board for the cattle side.â&#x20AC;?

The turnover of the federal legislative branch to Republicans was cheered by many in the industry. How much in the fight was NCBAâ&#x20AC;&#x2122;s political action committee (NCBA PAC) in the midterm elections? The 20-yearold program channeled $856,000 in funds voluntarily contributed

by NCBA members to pro-cattle candidates for Congress in this election cycle, Woodall says. â&#x20AC;&#x153;We were in the middle of all the Senate races where there were pickups by the Republicans. We

were in early in most of those races and, in just about every single one, we maxed out our giving. We made sure we gave them the most we could legally to try to help these candidates,â&#x20AC;?

Woodall says.

He points out that NCBA PAC doesnâ&#x20AC;&#x2122;t support candidates based on political affiliation, but on their record of support for the cattle and beef industry. â&#x20AC;&#x153;When we looked at all the seats that were up for election in November 2014, the Democrats, whether they were candidates or incumbents, just were not good for our issues. So thatâ&#x20AC;&#x2122;s why we were 100% behind the Republicans this cycle. We knew a Republican Senate was ultimately going to be a whole

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lot better for our priorities in the cattle industry,â&#x20AC;? he says.

With the GOP taking control of the both houses of Congress, committee leadership positions will be in their hands as well.

Pat Roberts (R-KS) will chair the Senate Ag Committee. Woodall says Robertsâ&#x20AC;&#x2122; chairing will be the first time any member of Congress has ever served as chairman of both the House and Senate agriculture committees.

W

â&#x20AC;&#x153;On the House Ag Committee side, weâ&#x20AC;&#x2122;ll have Mike Conaway, a Republican from TX, chairing.

I think both of these men are motivated to really conduct a lot of oversight over the department.

So I think youâ&#x20AC;&#x2122;ll see a whole lot more opportunities for hearings in which theyâ&#x20AC;&#x2122;ll bring up USDA Secretary Tom Vilsack and other USDA officials to talk about proposals. So we expect to see a bit more action,â&#x20AC;? Woodall says.

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THE VIRGINIA CATTLEMAN, JANUARY 2015, PAGE 17

Extended-Release Injectable Parasiticide 5% Sterile Solution NADA 141-327, Approved by FDA for subcutaneous injection For the Treatment and Control of Internal and External Parasites of Cattle on Pasture with Persistent Effectiveness CAUTION: Federal law restricts this drug to use by or on the order of a licensed veterinarian.

INDICATIONS FOR USE LONGRANGE, when administered at the recommended dose volume of 1 mL per 110 lb (50 kg) body weight, is effective in the treatment and control of 20 species and stages of internal and external parasites of cattle: Gastrointestinal Roundworms Lungworms Dictyocaulus viviparus Bunostomum phlebotomum – Adults and L4 – Adults Cooperia oncophora – Adults and L

THE WEIGHT GAIN IS REAL. Go ahead, blink.

4

Cooperia punctata – Adults and L4 Cooperia surnabada – Adults and L4 Haemonchus placei – Adults Grubs Hypoderma bovis Oesophagostomum radiatum – Adults Ostertagia lyrata – Adults Ostertagia ostertagi – Adults, L4, and inhibited L4 Trichostrongylus axei – Adults and L4 Mites Trichostrongylus colubriformis – Adults Sarcoptes scabiei var. bovis Parasites Gastrointestinal Roundworms Bunostomum phlebotomum Cooperia oncophora Cooperia punctata Haemonchus placei Oesophagostomum radiatum Ostertagia lyrata Ostertagia ostertagi Trichostrongylus axei Lungworms Dictyocaulus viviparus

Durations of Persistent Effectiveness 150 days 100 days 100 days 120 days 120 days 120 days 120 days 100 days

A deworming with LONGRANGE® (eprinomectin) can help keep parasites from eating into your profits.

If you used a conventional dewormer like When you look at the benefits of season-long CYDECTIN® (moxidectin), SAFE-GUARD® parasite control with LONGRANGE – you’ll (fenbendazole) or in combination, your cattle see you have a lot to gain.

Use LONGRANGE on your cow/calf operation

150 days

DOSAGE AND ADMINISTRATION LONGRANGE® (eprinomectin) should be given only by subcutaneous injection in front of the shoulder at the recommended dosage level of 1 mg eprinomectin per kg body weight (1 mL per 110 lb body weight).

WARNINGS AND PRECAUTIONS Withdrawal Periods and Residue Warnings Animals intended for human consumption must not be slaughtered within 48 days of the last treatment.

This drug product is not approved for use in female dairy cattle 20 months of age or older, including dry dairy cows. Use in these cattle may cause drug residues in milk and/or in calves born to these cows.

A withdrawal period has not been established for pre-ruminating calves.

Do not use in calves to be processed for veal.

Animal Safety Warnings and Precautions The product is likely to cause tissue damage at the site of injection, including possible granulomas and necrosis. These reactions have disappeared without treatment. Local tissue reaction may result in trim loss of edible tissue at slaughter.

Observe cattle for injection site reactions. If injection site reactions are suspected, consult your veterinarian. This product is not for intravenous or intramuscular use.

Protect product from light. LONGRANGE® (eprinomectin) has been developed specifically for use in cattle only. This product should not be used in other animal species.

When to Treat Cattle with Grubs LONGRANGE effectively controls all stages of cattle grubs. However, proper timing of treatment is important. For the most effective results, cattle should be treated as soon as possible after the end of the heel fly (warble fly) season.

Environmental Hazards Not for use in cattle managed in feedlots or under intensive rotational grazing because the environmental impact has not been evaluated for these scenarios.

Other Warnings: Underdosing and/or subtherapeutic concentrations of extendedrelease anthelmintic products may encourage the development of parasite resistance. It is recommended that parasite resistance be monitored following the use of any anthelmintic with the use of a fecal egg count reduction test program.

TARGET ANIMAL SAFETY Clinical studies have demonstrated the wide margin of safety of LONGRANGE® (eprinomectin). Overdosing at 3 to 5 times the recommended dose resulted in a statistically significant reduction in average weight gain when compared to the group tested at label dose. Treatment-related lesions observed in most cattle administered the product included swelling, hyperemia, or necrosis in the subcutaneous tissue of the skin. The administration of LONGRANGE at 3 times the recommended therapeutic dose had no adverse reproductive effects on beef cows at all stages of breeding or pregnancy or on their calves.

Not for use in bulls, as reproductive safety testing has not been conducted in males intended for breeding or actively breeding. Not for use in calves less than 3 months of age because safety testing has not been conducted in calves less than 3 months of age.

STORAGE Store at 77° F (25° C) with excursions between 59° and 86° F (15° and 30° C). Protect from light.

Made in Canada.

Manufactured for Merial Limited, Duluth, GA, USA. ®LONGRANGE and the Cattle Head Logo are registered trademarks of Merial. ©2013 Merial. All rights reserved.

1050-2889-02, Rev. 05/2012

and see the difference for yourself.

As much as

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IM IMPORTANT SAFETY INFORMATION: Do not treat within 48 days of slaughter. Not for use in female dairy cattle 20 months da of age or older, including dry dairy cows, or in veal calves. Postinjection site damage (e.g., granulomas, necrosis) can occur. inj These reactions have disappeared without treatment.

Th

®JOHN DEERE is a registered trademark, and ™GATOR is a trademark, of Deere & Company. Deere & Company neither sponsors nor endorses this promotion. ®LONGRANGE and the Cattle Head Logo are registered trademarks of Merial.

All other marks are the property of their respective owners. ©2014 Merial Inc., Duluth, GA. All rights reserved. RUMIELR1455-A (08/14)

are probably already reinfected with parasites.

That’s because conventional dewormers only last 14 to 42 days and SAFE-GUARD has no persistent effect. Only LONGRANGE delivers up to 100 to 150 days of parasite control in a single treatment.1,2

1

Available in 500 mL, 250 mL and 50 mL bottles.

Administer subcutaneously at 1 mL/110 lbs.

2 3

Dependent upon parasite species, as referenced in FOI summary and LONGRANGE product label.

LONGRANGE product label.

Data on file at Merial.

PAGE 18, JANUARY 2015, THE VIRGINIA CATTLEMAN

A Dirt Road Diary Honest to a Fault

By Steve Lucas â&#x20AC;&#x153;Cultivators of the earth are the most virtuous and independent citizens,â&#x20AC;? wrote Thomas Jefferson, and for centuries, farmers and ranchers were seen as the salt of the earth. In recent times, though, this perception has changed.

Vegetables contaminated with listeria bacteria, and peanuts with salmonella have altered the publicâ&#x20AC;&#x2122;s view of our countryâ&#x20AC;&#x2122;s food suppliers. Beef has not been immune from this shift. Ground beef recalls are regularly reported on the news, and who can forget a certain former talk show hostessâ&#x20AC;&#x2122; anti-beef tirade, and the pink slime controversy. These types of events, coupled with the publicâ&#x20AC;&#x2122;s general distrust of a society that seems to excuse deceitfulness if there is a dollar to be made have put agriculture, including cattle producers, under the microscope. Surely, the old adages of â&#x20AC;&#x153;doing the wrong thing for the right reason,â&#x20AC;? and â&#x20AC;&#x153;if you donâ&#x20AC;&#x2122;t get caught, it really didnâ&#x20AC;&#x2122;t happen,â&#x20AC;? while not prevalent, do occur in our industry. These attitudes are ticking time bombs waiting to explode and cause further damage to our segment of agriculture. Then there is Joe. People around here say that Joe is honest to a fault. More than a few folks have stories to tell that support this opinion.

Like the time he inadvertently transposed two numbers on a weight ticket and sent the buyer a check for twenty-five cents to cover his mistake. When he had to borrow a neighborâ&#x20AC;&#x2122;s tractor for a few hours, he returned it full of fuel, with the oil changed and apologized for keeping it so long. He drives the speed limit. When he says heâ&#x20AC;&#x2122;ll be there at 10:00, look for him about 9:30. When he says the check is in the mail, the check is in the mail.

Joe is aware of agricultureâ&#x20AC;&#x2122;s struggle to present itself as truthful. However, thatâ&#x20AC;&#x2122;s not the reason he lives like he does. Itâ&#x20AC;&#x2122;s his son, Joe Jr., and yes, they call him Little Joe. He sees Little Joe as the future

of the cattle business, and he sees his son watching his every move, dissecting his every

response. There is no gray in Joeâ&#x20AC;&#x2122;s life, there canâ&#x20AC;&#x2122;t be. Joeâ&#x20AC;&#x2122;s life has to be black and white, his yes must mean yes, and his no must mean no, even when, or especially when, it puts him at a disadvantage.

BBB

We all have Little Joes in our lives. It may be our children, or it may folks who have beef for dinner, or it may be the groups with an agenda that could hurt the cattle business. It doesnâ&#x20AC;&#x2122;t really matter. What matters is

BBB

honesty and integrity. As we start the New Year, letâ&#x20AC;&#x2122;s try to be more like Joe. Thereâ&#x20AC;&#x2122;s nothing wrong with being honest to a fault. If we all do it, we can reclaim Jeffersonâ&#x20AC;&#x2122;s portrayal of us.

BBB

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Secretary Todd Haymore Recognized For Decades Of Service To Agriculture The Honorable Todd P. Haymore, current Virginia Secretary of Agriculture and Forestry, has received the Virginia Agribusiness Councilâ&#x20AC;&#x2122;s 2014 Distinguished Service Award. Council Board of Directors Chairman Danny Shreckhise of Grottoes presented the award during the Councilâ&#x20AC;&#x2122;s Annual Meeting in Richmond on November 13.

Recipients of this award have all proven their commitment to service to Virginiaâ&#x20AC;&#x2122;s agribusiness industry for a long period of time.

Secretary Haymore was raised on a tobacco farm in Pittsylvania County, Virginia and has a degree in Political Science from the University of Richmond and a Masters in Business Administration from Virginia Commonwealth University. He spent the early years of his career in public service, working on the staff of former-Congressman L.F. Payne (VA-5th). Secretary Haymore then returned to his tobacco roots, working for both DIMON Incorporated and Universal Leaf Corporation. In 2007, then-Governor Tim Kaine tapped Haymore as the Commissioner of the Virginia Department of Agricul-

ture and Consumer Services (VDACS), a role in which he served for four years. Under his leadership at VDACS, Virginia agribusiness saw an increased commitment to marketing by the agency, which oversees more than 70 state regulations.

In 2010, then-Governor Bob McDonnell asked Secretary Haymore to become Virginiaâ&#x20AC;&#x2122;s second Secretary of Agriculture and Forestry.

In this role, he oversaw the incorporation of agribusiness into Virginiaâ&#x20AC;&#x2122;s overall economic development platform and increased opportunities for international business by opening trade offices all over the world. He also worked with industry members and the General Assembly to create the Agriculture and Forestry Industries Development Fund (AFID), which is an economic development grant and loan program specifically for agricultural and forestry value-added or processing facilities. Governor Terry McAuliffe re-appointed Secretary Haymore in 2014, and his efforts to grow and expand Virginia agribusinesses have continued.

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PAGE 20, JANUARY 2015, THE VIRGINIA CATTLEMAN

There’s Something Better About Beef! It’s What’s For Dinner!®

The Beef You Know And Love The beginning of a new year comes with the optimism of opportunity for a new start and for many people a promise of self-improvement. The New Year ’s Resolution is widely adopted by individuals who set out for a better life by acts such as becoming more organized, reducing stress, being less grumpy. The most popular goals are those to improve physical well-being such as eating better, exercising more and losing weight. While these resolutions typically fail before the end of January because unachievable goals have been set, the Beef Checkoff provides tips to consumers to help achieve and maintain a healthy weight and preserve and build muscle.

While lean protein has always been a popular, nutrientrich source of high quality protein that can help Americans meet their nutrient needs, todays beef is leaner than ever.

Lean beef is more widely available in the U.S. today because of many changes during the past 40 years in cattle breeding and management practices and retail trimming, many of which were driven by changing dietary recommendations and consumer preferences.

Changes in cattle breeding and fat trimming methods have resulted in increased availability of leaner beef.

Today, more than two-thirds of beef sold at retail, including popular cuts like Sirloin Steak, Tenderloin, T-bone steak and 95% lean Ground Beef, meet the government guidelines for lean.

What most people find surprising is that less than 10% of saturated fat and total fat in the diet comes from beef, and the total and saturated fat content from trimmed steak has declined throughout the past 50 years. For example, the total fat content for a completely trimmed Sirloin steak has declined 34% from 1963 to 2010.

Since the early 1980’s, dietary recommendations have changed consumer preferences to beef that has been trimmed of fat. The 1980 Dietary Guidelines for Americans, which

recommended consuming lean meats and trimming excess fat off meats, drove increased demand for leaner cuts and increased trimming, ultimately resulting in an 80& decrease I external fat on retial beef cuts throughout the past 26 years.

Americans are currently eating beef at levels that fit a variety of healthy eating patterns which helps the 94% of Americans who eat beef, at least monthly, to meet the goals of the 2010 Dietary Guidelines for Americans. And contrary to popular thought, Americans are currently consuming beef in moderate amounts at an average of 1.7 ounces of beef daily; a small fraction of the 5.5 ounce per day of Protein foods recommended by the Dietary Guidelines.

Despite the changes made in cattle breeding programs and the science that supports the importance of lean beef in a healthy diet, the Dietary Guidelines Advisory Committee has made clear their intention to remove lean beef and reduce red meat consumption from healthful dietary patterns in the 2015 Dietary Guidelines for Americans. Further, the committee’s purpose for these changes are not based solely on healthy eating but for the impact on sustainability. The draft for the Guidelines suggested Americans reduce their consumption of meat and dairy and eat more plant-based foods based on studies that show lowering meat consumption cuts greenhouse gas emissions, lessening the contribution our eating habits make to climate change.

Miriam Nelson, the chair of the subcommittee on food sustainability and safety stated, “A dietary pattern that is higher in plant based food and lower in animal-based foods is more health-promoting and is associated with lesser environmental impacts – energy, land and water use- than the current American diet.”

Dr. Richard Thorpe, a Texas medical doctor and cattle producer, made this statement in reaction to a December meeting of the committee.

“Despite a large body of

A Monthly report on your Checkoff Dollars at work from the Virginia Beef Industry Council

www.vabeef.org strong and consistent evidence supporting lean beef’s role in healthy diets, the Dietary Guidelines Advisory Committee appears to be out of touch with today’s lean meat supply in the retail meat counter and the 30+ years of nutrition advice showcasing benefits of lean beef. I am deeply disappointed that the Committee missed this opportunity to positively influence the American diet by blatantly disregarding sound science and removing lean beef from a healthy dietary pattern.

“Today the committee presented and agreed to evidence showing that there are healthy dietary patterns with red meat intake above current U.S. consumption levels.

Against their own review of the science, the Committee is recommending healthy diets should be lower in red meat than they are today. The Committee has turned a blind eye to their own evidence library criteria, arbitrarily excluding peer-reviewed, sound science on the health benefits of lean beef. To recommend that Americans only eat less of a heart healthy protein, the only area of the existing guidelines currently consumed within the recommended amounts, demonstrates that this Committee has its own agenda, and is not guided by the true science.”

This demonstrates the importance of continued diligence by state beef councils to develop and maintain strong relationships with health professionals such as dieticians, physicians and nurses to insure they are receiving the sound science that supports the importance of lean beef in a heart healthy diet.

For example, the beef checkoff’s presence at the largest annual meeting of Registered Dieticians brought together key media dieticians to learn

about the evolution of lean beef.

A checkoff-hosted, invitation –only luncheon offered networking, relationship building and beef education. A cutting demo and a discussion by a panel including a producer, a

chef and a researcher answered participant’s questions and provided a clear understanding of farmer’s and rancher’s strategies to produce more lean, delicious and nutritious protein.

Heart Healthy Beef, Arugula and Spinach Lasagna Ingredients: 1. 1-1/2 pounds Ground Beef (95% lean) 2. 2 teaspoons minced garlic 3. 1-1/4 teaspoons salt, divided 4. 3/4 teaspoon pepper, divided 5. 4 cups prepared pasta or spaghetti sauce 6. 2 cups loosely packed fresh baby arugula (about 1-3/4 ounces) 7. 2 cups loosely packed fresh baby spinach (about 1-3/4 ounces) 8. 1 container (15 ounces) fat free ricotta cheese 9. 2 egg whites 10. 2 tablespoons chopped fresh basil 11. 2 tablespoons chopped fresh oregano 12. 9 uncooked oven-ready (no boil) lasagna noodles (each about 6-3/4 x 3-1/2 inches) 13. 1-1/2 cups reduced fat shredded mozzarella cheese INSTRUCTIONS FOR BEEF, ARUGULA AND SPINACH LASAGNA 1.

Preheat oven to 375°F. Heat large nonstick skillet over medium heat until hot. Add Ground Beef and garlic; cook 8 to 10 minutes, breaking into 3/4-inch crumbles and stirring occasionally. Remove from skillet with slotted spoon; pour off drippings. Return beef to skillet; season with 3/4 teaspoon salt and 1/2 teaspoon pepper. Stir in pasta sauce. Set aside.

2.

Combine arugula and spinach. Set aside. Combine ricotta cheese, egg whites, basil, oregano, remaining 1/2 teaspoon salt and 1/4 teaspoon pepper in small bowl.

3.

Spread 1 cup meat sauce over bottom of 11-3/4 x 7-1/2-inch glass baking dish. Top with 3 noodles, 1/2 ricotta mixture, 1/2 spinach mixture, 1/2 cup mozzarella and 1-1/2 cups meat sauce. Repeat layers. Top with remaining 3 noodles and meat sauce.

4.

Cover with aluminum foil. Bake in 375°F oven 45 to 50 minutes or until noodles are tender and sauce is bubbly.

Remove foil; sprinkle with remaining 1/2 cup mozzarella.

Bake, uncovered, 5 minutes or until cheese is melted. Let stand, loosely covered, 10 minutes before serving.

THE VIRGINIA CATTLEMAN, JANUARY 2015, PAGE 21

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Haymore Continued from Page 19 Vi rg i n i a A g r i b u s i n e s s Council Board Chairman, Danny Shreckhise, commented during the presentation that Secretary Haymoreâ&#x20AC;&#x2122;s â&#x20AC;&#x153;long record of service to Virginia agriculture and to the Commonwealth is unmatched. We are fortunate to have such a dedicated public servant in Richmond representing our industries each and every day.â&#x20AC;?

Council President Katie Frazier said, â&#x20AC;&#x153;Secretary Haymore has proven to be an effective partner and committed public servant in the administrations of three different governors. His efforts to grow and expand the Commonwealthâ&#x20AC;&#x2122;s two largest industries have led to increased investment, job creation, and a multitude of opportunities for Virginia farmers and foresters.â&#x20AC;?

â&#x20AC;&#x153;The Farmerâ&#x20AC;&#x2122;s Choiceâ&#x20AC;?

Lancaster Farming, the leading Northeast and Mid-Atlantic farm newspaper, is the farmerâ&#x20AC;&#x2122;s â&#x20AC;&#x2DC;choiceâ&#x20AC;&#x2122; - a valuable agribusiness resource. Every Saturday, the newspaper delivers news, market and commodity reports, and agri-industry information to more than 59,000 farm families and agribusinesses in Pennsylvania and surrounding states.

Lancaster Farming is the premier source for agricultural land preservation news, in addition to family and youth features, commodity reports, product updates, herd reports, FODVVLĂ&#x20AC;HG QHZV DQG RWKHU LQIRUPDWLRQ SHUWLQHQW WR IDUPHUV Now in our 60th year, Lancaster Farming remains committed to its long history of service to agriculture.

A yearly subscription is $49 Call for subscription rates or to advertise at (717) 394-3047 Visit Our Website: www.lancasterfarming.com E-mail: msipler.eph@lnpnews.com

PAGE 22, JANUARY 2015, THE VIRGINIA CATTLEMAN

PROMOTION HIGHLIGHTS VBIC Goes Digital

Virginia Beef Industry Council (VBIC) hit the digital ground running this year with a brand new website design and new social media properties. With the launch of the website in February, a “Virginia is for Beef Lovers” contest was conducted to raise awareness of the website and its resources; visitors to the site answered a short survey about beef preferences, were prompted to visit certain areas of the website, and entered to win a grill. VBIC now also contributes regularly to Facebook, Twitter, and Pinterest with cooking tips, relevant articles, cooking videos, and nutrition information.

Food Truck Foodies VBIC formed a partnership with the DC Food Truck Association, which boasts a membership of over 60 trucks. Food trucks are an increasingly popular meal stop for the metro-millennial population that is far removed from their food sources. Th s partnership included sponsoring an “I Heart Beef ” cooking competition at Curbside Cookoff, which drew hundreds of attendees and made local radio stations and publications such as the Washington Post.

Beef Camps Almost 200 Kroger meat managers and SuperValu wholesale distributor sales staff attended one of two Beef Camps conducted this year. These camps are farm-to-fork immersion events that highlight evaluation of live cattle and production practices; merchandising tips and cooking applications and carcass breakdown. Training the trainer events have become a top priority, as the learnings create a ripple effect when passed on to consumers and other employees. Attendees also receive printed materials and resources to utilize in-store.

Cash Cow Night VBIC made a big impact at the Richmond Flying Squirrels Fan Appreciation Night. Through the Cash Cow promotion, VBIC gave away $3,500 worth of fresh beef and recipe information to more than 40 lucky winners. Radio interviews and stadium announcements drew many of the 10,000 game attendees to the beef booth for recipe inspiration and Q & A with the VBIC staff.

Seasonal Promotions Holiday Roast and Summer Grilling promotions were activated throughout the state this year. Radio stations pushed beef information out to listeners, conducted contests allowing listeners to win beef, featured beef radio slots and gave away grills. Printed materials were disseminated to multiple retailers across Virginia to display in the meat case. In-store pot roast sampling was conducted in the Richmond area and reached more than 700 patrons.

INDUSTRY COMMUNICATIONS PROGRAM HIGHLIGHTS VBIC maintained a high level of visibility and distributed new and enhanced beef nutrition and safety educational materials at professional development conferences held by the Virginia Academy of Family Physicians, Virginia’s Teachers of Family and Consumer Sciences, Virginia Academy of Nutrition & Dietetics, and Virginia Association of School Nurses. The primary message to more than 1,200 health professionals and professional educators is beef is leaner than ever, with 29 cuts identifi d by USDA as lean. VBIC distributed Basic About Beef DVDs at the Virginia’s Teachers of Family and Consumer Sciences annual meeting VBIC passed out more than 3,000 “Beef It’s What’s for Dinner” pot holders and 6,000 pieces of literature with beef recipes and nutrition educational information at the 2014 Richmond Southern Women’s Show.

Over 12,000 participants visited the Council’s booth featuring the theme “Above All Else…Beef It’s What’s for Dinner!!!”

THE VIRGINIA CATTLEMAN, JANUARY 2015, PAGE 23

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PAGE 24, JANUARY 2015, THE VIRGINIA CATTLEMAN

CATTLEMEN’S BEEF BOARD FISCAL YEAR 2014 EXPENDITURES łťŮŪůŪŴŵųŢŵŪŰůġ

ĥIJĭķıĺĭıĶıġ

ŖŔŅłġ ŐŷŦųŴŪŨũŵīġ

ĥijĹĺĭķĴIJġ

őųŰŨųŢŮġ ŅŦŷŦŭŰűŮŦůŵġ

ĥijĴĹĭĺĵĴġ

őųŰŨųŢŮġ ņŷŢŭŶŢŵŪŰůġ

ġ ĥIJĸĶĭijĸĵġ

őųŰťŶŤŦųġ

ĥIJĭĵĸĹĭĴijĵġ

ńŰŮŮŶůŪŤŢŵŪŰůŴġ

ŇŰųŦŪŨůġ ŎŢųŬŦŵŪůŨġ

ĥĸĭĴĶĶĭĸijĺġ

ŊůťŶŴŵųźġŊůŧŰųŮŢŵŪŰůġ

ĥIJĭĹIJĸĭĸķĹġ

ńŰůŴŶŮŦųġŊůŧŰųŮŢŵŪŰůġ

ĥĹĭĴķķĭIJĹijġ

œŦŴŦŢųŤũġ

ĥĸĭĺijĸĭĶĺĹġ

őųŰŮŰŵŪŰůġ Total expenses

ĥĺĭĵĴĹĭĴķĸġ $38,696,866

Audited numbers

* This total also includes CBB’s costs associated with Freedom of Information Act requests and legal fees associated with lawsuits.

NUTRITION RESEARCH HAS VALUE

BEEF EXPORT VALUE ON RECORD PACE

ŎŰųŦġųŦŴŦŢųŤũġůŰŸġŴũŰŸŴġŵũŢŵġŢġũŦŢųŵĮũŦŢŭŵũźġťŪŦŵġŵũŢŵġŪůŤŭŶťŦŴġŭŦŢůġ ţŦŦŧġŤŢůġųŦťŶŤŦġųŪŴŬġŧŢŤŵŰųŴġŧŰųġũŦŢųŵġťŪŴŦŢŴŦįġłġŴŵŶťźġŧŶůťŦťġţźġŵũŦġ ţŦŦŧġŤũŦŤŬŰŧŧġŢůťġŵũŦġůŢŵŪŰůŢŭġŊůŴŵŪŵŶŵŦŴġŰŧġʼnŦŢŭŵũĮŴŶűűŰųŵŦťġőŦůůġ ŔŵŢŵŦġňŦůŦųŢŭġńŭŪůŪŤŢŭġœŦŴŦŢųŤũġńŦůŵŦųġŢůťġűŶţŭŪŴũŦťġŪůġŵũŦġŋŶůŦġIJĺĭġ ijıIJĵġŪŴŴŶŦġŰŧġŋŰŶųůŢŭġŰŧġʼnŶŮŢůġʼnźűŦųŵŦůŴŪŰůġŧŰŶůťġŵũŢŵġŢġťŪŦŵŢųźġ űŢŵŵŦųůġųŪŤũġŪůġŧųŶŪŵŴĭġŷŦŨŦŵŢţŭŦŴġŢůťġŭŰŸĮŧŢŵġťŢŪųźġŵũŢŵġŪůŤŭŶťŦŴġ ŭŦŢůġţŦŦŧġȸġŦŷŦůġťŢŪŭźġȸġŤŢůġųŦťŶŤŦġųŪŴŬġŧŢŤŵŰųŴġŧŰųġũŦŢųŵġťŪŴŦŢŴŦĭġ ŪůŤŭŶťŪůŨġŦŭŦŷŢŵŦťġŤũŰŭŦŴŵŦųŰŭġŢůťġţŭŰŰťġűųŦŴŴŶųŦįġ

ńũŦŤŬŰŧŧġġ ŶůťŦťġŦŧŧŰųŵŴġ Ūůġ ŵũŦġ ŪůŵŦųůŢŵŪŰůŢŭġ ŢųŦůŢġŢųŦġŧŰŤŶŴŦťġŰůġ ŴŰŮŦġŰŧġŵũŦġŸŰųŭťȽŴġŮŰŴŵġ űųŰŮŪŴŪůŨġŮŢųŬŦŵŴġ ŧŰųġ ŖįŔįġţŦŦŧĭġŢůťġŦŹűŰųŵŴġŵŰġ ŵũŰŴŦġŮŢųŬŦŵŴġŢųŦġŨųŰŸŪůŨġ ųŢűŪťŭźįġŇŰųġŪůŴŵŢůŤŦĭġŴŵųŰůŨġ űŦųŧŰųŮŢůŤŦŴġŪůġŬŦźġłŴŪŢůġŮŢųŬŦŵŴġŢųŦġűŶŵŵŪůŨġŖįŔįġţŦŦŧġŦŹűŰųŵġŷŢŭŶŦġ ŰůġŢġųŦŤŰųťġűŢŤŦġŪůġŤŢŭŦůťŢųġźŦŢųġijıIJĵįġŕũġ ŰŶŨũġŋŶŭźĭġŦŹűŰųŵŴġŵŰŵŢŭŦťġ ĥĴįĹĺġţŪŭŭŪŰůĭġŶűġIJĴġűŦųŤŦůŵġŧųŰŮġŢġźŦŢųġŢŨŰįġņŹűŰųŵġŷŰŭŶŮŦġŸŢŴġŶűġĵġ űŦųŤŦůŵġŵŰġķĹĸĭĸĶijġŮŦŵųŪŤġŵŰůŴįġ

łŤŤŰųťŪůŨġŵŰġŭŦŢťġųŦŴŦŢųŤũŦųġőŦůůźġŎįġŌųŪŴĮņŵũŦųŵŰůĭġȾŵũŪŴġųŦŴŦŢųŤũġ ŢťťŴġŵŰġŵũŦġŴŪŨůŪŧŪŤŢůŵġŦŷŪťŦůŤŦĭġŪůŤŭŶťŪůŨġŸŰųŬġűųŦŷŪŰŶŴŭźġťŰůŦġ ŪůġŰŶųġŭŢţĭġŴŶűűŰųŵŪůŨġŭŦŢůġţŦŦŧġȽŴġųŰŭŦġŪůġŢġũŦŢųŵĮũŦŢŭŵũźġťŪŦŵįȿġ œŦŴŦŢųŤũŦųŴġŴŶŨŨŦŴŵŦťġŵũŦġŦŷŪťŦůŤŦġŴŶűűŰųŵŴġŵũŦġŪťŦŢġŵũŢŵġŪŵȽŴġ ŵũŦġ ŵŰŵŢŭġűųŰŵŦŪůġŪůŵŢŬŦġȸġůŰŵġŵũŦġŵźűŦġŰŧġűųŰŵŦŪůġȸġŵũŢŵġŪŴġŪůŴŵųŶŮŦůŵŢŭġ Ūůġ ųŦťŶŤŪůŨġ ţŭŰŰťġ űųŦŴŴŶųŦįġ ġ

A NEW PRODUCT WITH OLD ROOTS ŊŵġŭŰŰŬŴĭġŢŤŵŴġ ŢůťġŴŮŦŭŭŴġŭŪŬŦġ ţŢŤŰůġȸġţŶŵġŪŵȽŴġţŦŦŧįġŔŤũŮŢŤŰůƚġ ŪŴġŰůŦġŰŧġŵũŦġŭŢŵŦŴŵġŤũŦŤŬŰŧŧġ ŧŶůťŦťġġ ťŦŷŦŭŰűŮŦůŵġġ űųŰūŦŤŵŴġ ġ ŵũŢŵġ űųŰŷŪťŦŴġ ţŦŦŧġ űųŰťŶŤŦųŴġ ŸŪŵũġ ŦŹŵųŢġ ŢŭŵŦųůŢŵŪŷŦŴġ ŧŰųġ ţŦŦŧġ ŤŶŵŴįġ ŕũŦġŴŮŰŬŦťġŢůťġŤŶųŦťġŨŭŢŻŦťġţŦŦŧġ ŴŭŪŤŦŴġųŦŤŦŪŷŦťġŵũŦġűųŦŴŵŪŨŪŰŶŴġijıIJĵġ ŇŰŰťġŢůťġŃŦŷŦųŢŨŦġŊůůŰŷŢŵŪŰůŴġĩŇłŃŊĪġłŸŢųťġţźġŵũŦġŏŢŵŪŰůŢŭġ œŦŴŵŢŶųŢůŵġłŴŴŰŤŪŢŵŪŰůġŢŵġŵũŦŪųġųŦŴŵŢŶųŢůŵĭġũŰŵŦŭġŢůťġŮŰŵŦŭġŴũŰŸįġ ŔŤũŮŢŤŰůġũŢŴġŭŦŴŴġŧŢŵġŢůťġŴŰťŪŶŮġŵũŢůġţŢŤŰůĭġŢůťġŢŴġŢġűųŦĮŤŰŰŬŦťġ űųŰťŶŤŵġųŦŢťźġŧŰųġŤųŪŴűŪůŨġŪůġŢůġŰŷŦůġŤŰŰŬŴġŪůġŢġŧųŢŤŵŪŰůġŰŧġŵũŦġŵŪŮŦįġ ŊůġŸŪůůŪůŨġŵũŦġŇłŃŊġŢŸŢųťĭġŪŵġŸŢŴġũŦųŢŭťŦťġŢŴġŢġűųŰťŶŤŵġŸŪŵũġȾţŰŭťġ ŪŮŢŨŪůŢŵŪŰůȿġŢůťġȾŨųŦŢŵġűŰŵŦůŵŪŢŭġŵŰġũŦŭűġŰűŦųŢŵŰųŴġŤŢűŪŵŢŭŪŻŦġŰůġ ŤŰůŴŶŮŦųġŵųŦůťŴġŢůťġťųŪŷŦġŰűŦųŢŵŰųġŴŶŤŤŦŴŴįȿġŕũŦġűųŰťŶŤŵġůŰŵġŰůŭźġ ŧŪŵŴġŪůŵŰġũŦŢŭŵũźġŭŪŧŦŴŵźŭŦġŵųŦůťŴĭġŪŵġŢŭŴŰġŮŦŦŵŴġťŪŦŵŢųźġůŦŦťŴġŰŧġŵũŰŴŦġ ųŦŭŪŨŪŰŶŴġŰųġŦŵũůŪŤġŨųŰŶűŴġűųŰũŪţŪŵŦťġŧųŰŮġŦŢŵŪůŨġűŰųŬġűųŰťŶŤŵŴįġ

ŊůġijıIJĴĭġŋŢűŢůġųŦŤŭŢŪŮŦťġŪŵŴġűŰŴŪŵŪŰůġŢŴġŵũŦġŏŰįġIJġŪůŵŦųůŢŵŪŰůŢŭġ ťŦŴŵŪůŢŵŪŰůġŧŰųġŖįŔįġţŦŦŧġŸũŦůġŢůġŪůŤųŦŢŴŦġŪůġŵũŦġŢŨŦġŭŪŮŪŵġŧŰųġŦŭŪŨŪţŭŦġ ŤŢŵŵŭŦġŧŶŦŭŦťġŢġŭŢųŨŦġŪůŤųŦŢŴŦġŪůġŦŹűŰųŵŴįġŖįŔįġŦŹűŰųŵŴġŵŰġŋŢűŢůġũŢŷŦġ ţŦŦůġŮŰŴŵŭźġŴŵŦŢťźġŵũŪŴġźŦŢųĭġŸũŪŭŦġŋŢűŢůȽŴġŪŮűŰųŵŴġŧųŰŮġŰŵũŦųġŮŢūŰųġ ŴŶűűŭŪŦųŴġŴŶŤũġŢŴġłŶŴŵųŢŭŪŢĭġŏŦŸġśŦŢŭŢůťġŢůťġńŢůŢťŢġũŢŷŦġťŦŤŭŪůŦťįġ ʼnŰůŨġŌŰůŨĭġŔŰŶŵũġŌŰųŦŢġŢůťġŕŢŪŸŢůġũŢŷŦġŢŭŴŰġţŦŦůġŴŵųŰůŨġ ŨųŰŸŵũġŮŢųŬŦŵŴġŧŰųġŖįŔįġţŦŦŧġŪůġijıIJĵįġŊůġŋŶůŦĭġʼnŰůŨġŌŰůŨġŨųŢůŵŦťġ ŧŶŭŭġŢŤŤŦŴŴġŧŰųġŖįŔįġţŦŦŧġŧŰųġŵũŦġŧŪġ ŴŵġŵŪŮŦġŴŪůŤŦġŵũŦġŅŦŤŦŮţŦųġijııĴġ ŃŔņġŤŢŴŦįġ ŕũŦŴŦġųŦŴŶŭŵŴġŵųŢůŴŭŢŵŦġŪůŵŰġųŦŮŢųŬŢţŭŦġųŦŵŶųůŴġŧŰųġŖįŔįġŤŢŵŵŭŦġ űųŰťŶŤŦųŴįġņŹűŰųŵġŷŢŭŶŦġűŦųġũŦŢťġŰŧġŧŦťġŴŭŢŶŨũŵŦųġŸŢŴġůŦŢųŭźġĥĴııġġ ŪůġŋŶůŦġŢůťġŋŶŭźĭġŢůťġŢŷŦųŢŨŦťġĥijĸĴġŧŰųġŵũŦġŧŪųŴŵġŴŦŷŦůġŮŰůŵũŴġŰŧġŵũŪŴġ ŤŢŭŦůťŢųġźŦŢųįġőŦųĮũŦŢťġŦŹűŰųŵġŷŢŭŶŦġŪŴġŶűġIJĴġűŦųŤŦůŵġŧųŰŮġŢġźŦŢųġ ŢŨŰġŢůťġũŢŴġŮŰųŦġŵũŢůġťŰŶţŭŦťġŪůġŵũŦġűŢŴŵġŧŪŷŦġźŦŢųŴįġ ŘũŦŵũŦųġ űųŰŮŰŵŪůŨġ ţŦŦŧġ ŪůŵŦųůŢŵŪŰůŢŭŭźġ Űųġ űųŰŷŪťŪůŨġ ŮŢųŬŦŵŪůŨġ ŴŶűűŰųŵġŧŰųġŵũŦġűųŰťŶŤŵġŪůġŵũŦġŖůŪŵŦťġŔŵŢŵŦŴĭġŵũŦġŃŦŦŧġńũŦŤŬŰŧŧġ őųŰŨųŢŮġũŢŴġţŦŦůġŤŰŮŮŪŵŵŦťġŵŰġűųŰŨųŢŮŴġŵũŢŵġţŶŪŭťġţŦŦŧġťŦŮŢůťġ ŴŪůŤŦġIJĺĹķįġŕũŦġųŦŤŦůŵġųŦŴŦŢųŤũġŴũŰŸŪůŨġŢġųŦŵŶųůġŰŧġĥIJIJįijıġŧŰųġŦŷŦųźġ ťŰŭŭŢųġŪůŷŦŴŵŦťġŪŴġŢġŴŵųŰůŨġŷŢŭŪťŢŵŪŰůġŰŧġŵũŢŵġŸŰųŬįġ

THE VIRGINIA CATTLEMAN, JANUARY 2015, PAGE 25

Twelve presentations to a total of 213 students were made to Culinary Arts classes at community colleges. The purpose of the presentations was to educate students about beef production systems both in Virginia and nationally and to dispel myths and misinformation associated with beef as a high quality source of protein. After each presentation, students were provided with a copy of The Healthy Beef Cookbook, a laminated beef cuts wall chart, a copy of Creating Crave, and other resources they can use as they pursue careers in the food service industry.

Cattlemenâ&#x20AC;&#x2122;s Beef Board Representatives (Ex-Officio)

INDUSTRY SERVICES PROGRAM HIGHLIGHTS

Dr. David Gerrard, Virginia Tech Department of Animal & Poultry Science Mike Carpenter, Virginia Department of Agriculture and Consumer Sciences Deborah Snead, New Castle Lisa Lloyd, Virginia Department of Agriculture and Consumer Sciences

Virginia is a feeder cattle producing state and not heavily involved in the finished segment. In order to have a better understanding of finished cattle and the final product, the Virginia Master Cattlemen Program teaches participants about the meat side of the cattle business and how practices used in the supply chain, including those made on the farm, affect the product we deliver to the consumer.

Participants learn how carcasses are fabricated and where the newer value added cuts come from.

The Girls Night Out program educated working mothers with families in the areas of meat selection, meat preparation, industry myths and facts, and food safety. The Grilling Fresh Beef segment educated the women on how they could select and prepare less expensive beef when they are on a budget.

BOARD OF DIRECTORS Members of the VBIC Board of Directors assist with beef promotional events throughout the state and work with beef producers and businesses to extend programs of the VBIC to the local level.

Mark Gwin Chairman, Vinton, Packers/Processors George Jones Vice Chairman, Brookneal, Region VII H. Shirley Powell Colonial Beach, Cattle Feeders Mark Sowers Floyd, Dairy Seth Umbarger Marion, Dairy David Coleman Amelia, Markets Barry Price Pearisburg, Markets Pete Henderson Williamsburg, Purebred Dennis Pearson Warrenton, Purebred J.S.Staley Marion, Region I Joe Guthrie Dublin, Region II James Sponaugle Doe Hill, Rregion III Marnie Caldwell Lexington, Region IV Rick Matthews Browntown, Region V John Goodwin Orange, Region VI

Joe Guthrie, Dublin Hank Maxey, Chatham

Federation Division Representative Mark Gwin, Vinton

ADVISORS

Staff Jason Carter, Executive Director Anne Jones, Director of Industry Communications Valerie Van Dyke, Director of Consumer Marketing

VIRGINIA BEEF INDUSTRY COUNCIL Statement of Revenue and Expenses October 1, 2013 â&#x20AC;&#x201C; September 30, 2014 Virginia Checkoff Receipts...................................................$830,213 Interest Income ............................................................................. $305 Gross income .........................................................................$830,518 Returned to Other States (State of Origin) ..........................$47,874 Revenues Remitted to National Beef Board.......................$391,169 Net Revenue to Virginia .......................................................$391,475

7% 12%

50%

14%

17%

National Programs Industry Communications Promotion Industry Services Administrative

PAGE 26, JANUARY 2015, THE VIRGINIA CATTLEMAN

Virginia Simmental Association PRESIDENT Kathy Freeman-Walters: Wytheville, VA, (276) 620-6762 VICE-PRESIDENT Chad Joines: Blacksburg, VA, (540) 231-6280 SECRETARY/TREASURER Dana Campbell: Lowesville, VA, (434) 277-9104 JUNIOR LEADER Farrell Jones: Chilhowie, VA, (276) 759-5581

DIRECTORS Joe Robinson Marion, VA (276) 782-1839 Mark Campbell Lowesville, VA (434) 277-9104 David Haulsey Sugar Grove, VA (276) 677-3055 Toria Brown Brownsburg, VA Allen Heishman Edinburg, VA 540) 335-1174 Kathy Freeman-Walters Wytheville, VA (276) 620-6762 Farrell Jones Chilhowie, VA (276) 759-5581 Jared Burner Luray, VA (540) 743-3446 Chad Joines Blacksburg, VA (540) 231-6280 Floyd Hawk Maidens, VA Glenn Wheeler III Atkins, VA

VIRGINIA SIMMENTAL ASSOCIATION Dana Campbell, VSA Secretary/Treasurer 4nelsoncampbells@gmail.com 3764 Lowesville Rd. Lowesville, VA 22967 434-277-9104

www.virginiasimmental.com

THE VIRGINIA CATTLEMAN, JANUARY 2015, PAGE 27

FDA Plan For Antibiotics In Food-Producing Livestock Has A Loophole?

By Ed Silverman Last year, the FDA released a new plan to strengthen oversight of antibiotics that are used in food-producing livestock. The issue is of growing concern because humans are becoming increasingly resistant to antibiotics used for this purpose and antibiotic resistance has been blamed for at least 2 million illnesses and 23,000 deaths in the U.S., according to federal health officials.

But the FDA plan, which relies on voluntary cooperation among drug makers and food producers, has been criticized for falling short. A group of U.S. Senators recently asked the agency to develop ways to collect data on how antibiotics are used on farms. And now, an advocacy group claims the FDA plan, which goes into effect in 2016, has a potentially troubling loophole in how antibiotics may be used.

Specifically, 66 of nearly 300 different medicines that are to be regulated as part of the plan now have product labeling that would allow for use that is later to be prohibited by the FDA, according to the Pew Charitable Trusts. Under the FDA plan, drug makers are supposed to remove language from labeling that indicates their antibiotics can be used for weight gain, which makes animals better suited for increased food production.

The problem is that many antibiotics approved for weight gain – or growth promotion, as some call it – are also approved for preventing disease. And as Pew notes, the lines between these usages are not always clear. The advocacy group notes that 26 drugs approved for disease prevention are labeled to include maintaining weight gains in the presence of “vague illnesses,” such as respiratory disease.

“Even if the (FDA plan) is fully implemented, we are concerned that dozens of products could still be added to animal feed or water throughout the animals’ lives in the absence of any threat from a specific bacterial disease,” says Gail Hansen, a

veterinarian and senior office at the Pew human health and industrial farming project, in a statement.

“If a drug is approved for use at 50 grams per ton for growth promotion, that use will become illegal and go away as of 2016. But if the label continues to say its approved for disease prevention or control at the same dosage level, we’re concerned that we won’t have accomplished anything,” Hansen tells us.”The growth promotion wording will come off the label but the dosage at which the drug can still be legally used won’t change.”

Pew notes that the FDA does provide criteria for veterinarians to follow when distinguishing between uses, such as looking for evidence that preventive uses are effective and can target specific bacteria.

But the group also maintains that, since the FDA approved many of these drugs decades ago, there is “minimal or no published evidence” since then that levels given for preventive use thwart infections.

So what does the FDA say?

An agency spokeswoman notes

that, once the three-year transition period ends in 2016, the medicines “will only be available to farmers on the order of a veterinarian, and it will be illegal to use them for growth promotion. Prior to the

initiation of this policy, all of the affected products had been available over the counter and most were labeled for growth promotion indications.”

The spokeswoman then acknowledges that “there is still

work to be done to ensure that these products are used as judiciously and appropriately as possible. We are confident that veterinarians have the appropriate scientific knowlContinued on Page 30

Augusta County’s Skillaton Team Won The National Skillaton Contest at the North American International Livestock Convention in Louisville, KY. From left: Team Members Cole Leonard, Cassie Simmons, Jake McCall, Simon Liggett, and Coach Eric Stogdale.

MLS TUB SUPPLEMENTS Amaferm£ Advantage 9 Added B-Vitamins Controlled Consumption All Natural Protein Added Vitamin C Weather Proof More Convenient Cattle-Horses-Sheep-Goats

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Less Waste Decreased Labor Extend Summer Grazing Better Utilize Marginal Hay Balanced Nutrition Wean Heavier Calves Increase Conception Rates Faster Breed Back

www.mlstubs.com Valley Feed Company

316 New Hope Road, Staunton, Virginia 24401 Susan Lambert 540-280-5770 540-886-2311 (Office) 888-886-2311 (Toll Free)

PAGE 28, JANUARY 2015, THE VIRGINIA CATTLEMAN

V IRGINIA C HAROLAIS A SSOCIATION 2013-2014 VCA Officers

Our next Virginia Charolais seed stock sale will be at the Virginia Beef Expo on April 17th, 2015 in Harrisonburg, VA

Bill Thompson – President 1295 Park Avenue Clifton Forge, VA 24422 540-968-1987 Kaitlin Smith – Vice President 454 Old Farm Road Lexington, VA 24450 540-463-6778

Just over $27,000 in donations was raised for Sam Walker during our November 2014 sale.

Deidre Harmon – Secretary 1445 Pipers Gap Road Galax, VA 24333 276-233-8852

more pounds at weaning!

Walt Winkler – Treasurer 124 Kindig Road Waynesboro, VA 22980 540-943-6144

more pounds at yearling!

Data from the Spring 2012 Across-Breed EPD Genetic Trends presented at the Beef Improvement Federation documents Charolais and Charolais-influenced genetics lead all major breeds compared for both weaning and yearling weights. In fact, Charolais cattle were proven to excel at adding more pounds at weaning and yearling.

Rob Farmer – Past President 8030 Greenwich Road Catlett, VA 20119 540-270-3886

Every beef producer knows profitability starts with more pounds.

More pounds. More profits.

Simple math.

Chad Joines – Southwest Director Junior Advisor Virginia Tech Dept of Animal & Poultry Science Blacksburg, VA 24061 540-557-7263

Increased Red Meat Yield Optimum Growth Q Moderate Stature Hybrid Vigor Q Consistent Breed Identity Reproductive Efficiency Q Docility AMERICAN-INTERNATIONAL CHAROLAIS ASSOCIATION 11700 NW Plaza Circle Q Kansas City, Missouri 64153 816.464.5977 Q Fax: 816.464.5759

www.charolaisusa.com © American-International Charolais Association 2014

We would like to invite anyone interested in becoming a member of our association to call one of the officers listed above.

D o W h a t Wo r k s

River Croft Charolais Breeding Polled-Registered Performance Charolais Cell 540-968-1987 Fax 540-962-7508

William and Agnes Anderson P.O. Box 304 Altavista, VA 24517 (434) 369-5366 “Keeping the commercial producers in mind”

Charolais bulls for the most discriminating buyer

124 Kindig Road Waynesboro, VA 22980 Walt Winkler (540) 943-6144

Cross Mountain Cattle Co.

Robert Farmer 8030 Greenwich Rd. Catlett, VA 201195 540-270-3886 Gerry Scott 540-379-1975

If you are a member of our association or have been consigning cattle to our sales, you should receive an invitation to consign in 2015. If you would like to enter cattle in our spring sale, but do not receive an invite, please contact the sale manager, Dennis Adams, at outfrontcattle@ gmail.com cell 979-2294472 or Bill Thompson at MountainMeadows@ HighlandComputers.com 540-968-1987.

Just a reminder that it is a new year and it is time to pay the 2015 dues.

Dues may be sent to our Treasurer, Walt Winkler, listed on this page. If you would like a membership form, please contact Bill Thompson (noted above).

All members of the Virginia Charolais Association are entitled to join all the sales we sponsor.

CREWS FARMS Registered Charolais 784 Payneton Rd Chatham, VA Billy Crews, Barry Crews Billy C. Crews, Brent Crews (434) 656-2361 (434) 656-3771

THE VIRGINIA CATTLEMAN, JANUARY 2015, PAGE 29

Working for Virginiaâ&#x20AC;&#x2122;s Cattle Industry ž Marketing Virginia feeder cattle through special graded sales, tel-o-auctions, and special board load sales ž Supporting Virginiaâ&#x20AC;&#x2122;s cattle industry through representation at regional and national industry events ž Providing educational opportunities to Virginiaâ&#x20AC;&#x2122;s cattle producers on a local and state-wide level ž Representing the cattle industry in regulatory and policy issues ž Working with industry groups, media and government to insure Virginiaâ&#x20AC;&#x2122;s Cattlemen have a voice Membership benefits include a one year subscription to The Virginia Cattleman newspaperâ&#x20AC;&#x201D;providing valuable and timely information to VCA members!!

For more information call our office at (540) 992-1009 or visit http://vacattlemen.org/membership_join.php

Name ___________________________________________ Farm/Business Name ________________________________ Address __________________________________________ Town/City __________________________ State ________________________________ County: ____________________________ Zip Code: ____________________________ Phone: _______________________ Email: _____________________________________ _____ General Membership: $50.00 ______

(Includes subscription to The Virginia Cattlemen newspaper)

Allied Industry Member: $300.00

(Local Cattlemen groups and breed associations with budget <$10,000)

______

Allied Industry Member: $600

______

Associate Member: $300

(Livestock Markets, Agribusinesses, Lenders with budget <$1 Million)

____ Associate Member: $600

(Livestock Markets, Agribusinesses, Lenders with budget >$1 Million)

____ Associate Member: $1000

(Local Cattlemen groups and breed associations with budget >$10,000)

(Livestock Markets, Agribusinesses, Lenders with budget >$10 Million)

_____Please renew my membership

(Current members only)

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PAGE 30, JANUARY 2015, THE VIRGINIA CATTLEMAN

California’s Water Crisis Puts Grazing In The Hot Seat

By Traci Eatherton, Western Livestock Journal Despite recent rains and cooler weather throughout much of the state, California’s drought persists, and the powers that be are still on a mission to find a way to curb water use, with the latest discussion focused on livestock grazing. The California State Water Resources Control Board (State Water Board) has proposed a statewide action plan “to enhance environmental benefits from grazing, protect beneficial uses of surface and groundwater, and address water quality impacts related to livestock grazing in California.”

While the proposal is just that— a proposal—the topic has generated some interest and concerns on what exactly it may mean for grazing in the state, and

Antibiotics Continued from Page 27 edge and training to make appropriate treatment decisions, but we also intend to take steps to address concerns about products that may be used continuously.”

However, the spokeswoman did not indicate which steps the FDA may take, other than to say more detailed information will be gathered to ensure there is compliance.

Meanwhile, she adds that the FDA is working with the U.S. Department of Agriculture and others to develop ways to gather this information.”

Many of the 66 products cited by Pew are sold by Elanco, the Eli Lilly animal health unit, and Zoetis. An Elanco spokeswoman sent us a note saying the company will comply with the FDA plan. “Once the labeling transitions are complete by the end of 2016, it will then be illegal to use these medically important antibiotics for growth or performance. There are no loopholes.”

“It is illegal for a veterinarian or a producer to use antibiotics in the feed other than what is on the label,” since labeling and usage are regulated by the FDA. “These labeling changes will also apply when

the State Water Board has put together a timeline that includes implementation by 2016. Grazing is an important economic commodity in California, resulting in over $3 billion in food and fiber annually, according to the State Water Board. Over 85 percent of California’s drinking water supply is generated and/ or stored within watersheds that include rangelands.

The State Water Board recently held several outreach listening sessions to get the process started. The meetings were to discuss the statewide issue of water quality impairments associated with grazing, solicit input on what types of management practices have been effective, and hear concerns and suggestions or other feedback on the approach for this project. There seem to be more questions than

answers, with the initial outreach sessions adding to them, and some stakeholders being left out, according to Wilbur. So far, Wilbur says “The process has been somewhat flawed.”

The invite-only sessions were not publicized. Individuals and organizations from selected agriculture organizations, the government, tribes, environmental groups and academia were invited to different sessions, and asked questions ranging from how to define grazing to who else the State Water Board should be collaborating with to achieve successful regulation.

“We really don’t know much about it,” said Kirk Wilbur, California Cattlemen’s Association (CCA) Director of Government Relations. “We’re not getting a lot of information.”

In California, there are more

than 40 million acres of rangeland (approximately 38 percent of the state’s surface area) and the board seems to recognize the benefits of grazing, at least in part, but they are starting to point fingers. “In some instances, however, grazing operations contribute to impairment of water quality and impact beneficial uses” according to the State Water Board’s GRAP proposal. “Developing a TMDL for each impaired water body is not a practical solution.

To date, the Water Boards have chosen to regulate livestock grazing through Water Board orders, grazing waivers, Water Quality Control Plan (Basin Plan) prohibitions, TMDLs and enforcement actions. These approaches have varied in their application and effectiveness, and have resulted in inconsistencies

statewide” the board wrote.

But a plan is already in place, according to Noelle Cremers with the California Farm Bureau Federation. In 1990, leaders in the livestock industry initiated an effort with the state’s Range Management Advisory Committee (RMAC) and the State Water Resources Control Board (SWRCB) to develop a nonpoint source pollution control plan for nonfederal rangelands. This 1995 plan directs rangeland owners and managers to voluntarily develop and implement ranch waterquality plans for their private land, helping them fulfill statutory requirements of the Clean Water Act. “The issue is out there, and people are aware,” Cremers said, referring to the proposal.

But the unknowns are a bit daunting.

these antibiotics are used in any approved combination with other drugs.”

Zoetis did not respond to a request for comment.

[UPDATE: A Zoetis spokeswoman sent us note to say the

company “supports FDA’s efforts to phase out growth promotion indications for medically important antibiotic products in food producing animals. We are already working with the FDA to implement

[its guidances]. This reflect our continued commitment to the responsible use of antibiotics medicines. When the guidances and revision to the Veterinary Feed Directive go into effect, it will be illegal for

a veterinarian to use a medically important medicated feed additive product for any use other than its approved indications. A prevention indication is not a substitute for growth promotion use.”]

THE VIRGINIA CATTLEMAN, JANUARY 2015, PAGE 31

Watch These Things To Predict Cattle Market Behavior Next Year

By Darrell Peel, Oklahoma State University Beef markets set price records throughout this year and one economist thinks the same factors as this year will drive beef markets in 2015.Derrell Peel, Oklahoma State University livestock marketing specialist, said on Monday that he expects cattle and beef prices to maintain 2014 levels in 2015, but not increase as much or as fast as in 2014. The average for next year should be higher than the average for 2014, and it’s likely we’ll see new record prices seasonally.

“The beef cow herd almost surely began expanding in 2014, though final confirmation will come in the annual cattle report due out January 30, 2015,” Peel said. “The question is more one of how much herd rebuilding happened in 2014. An increase of one-half to one percent in the beef cow herd is expected.”

Peel said it’s a good bet herd expansion will continue in 2015 and for several more years but it is by no means guaranteed. Severe drought conditions persist in the far west and marginal to severe drought areas remain in the Southern Plains and the Southwest. These areas have the most potential for herd expansion, having been most depleted during the drought and continued drought or slow recovery in these areas will limit herd expansion in 2015, he said.

Peel noted that feeder cattle supplies will continue to tighten into 2015 with a smaller 2014 calf crop, increased heifer retention and likely less cattle imports from Mexico and Canada.

Results Continued from Page 15 a 120 RE at 14.89, along with the highest SimAngus test YW ratios of 113, +17.1 CED EPD, +13.9 DOC EPD, +0.63 RE EPD, and a +82.9 TI index. Lot 404, consigned

by Quaker Hill Farms, LLC of Louisa, VA. Lot 404, a homozygous black son of GAR Daybreak M5721 commanded $4500. This September 2013 bull posted a test ADG ratio of 123, and EPDs of -1.9 BW, +103.9 YW. Lot 402, also consigned by Quaker Hill Farms, LLC sold for $4200. This AAR Ten X 7008 SA son, had strong growth and carcass EPDs of +127.6 YW,

The 2015 calf crop may grow with limited herd expansion in 2014 but continued heifer retention in 2015 will keep feeder supplies tight.

Decreased production He also said beef production is expected to decrease another 1-2% in 2015 following the 5-6% year-over-year decrease we have seen this year. This likely will be brought about by a decrease of 1.5-2.5% in cattle slaughter, with fewer cows and yearlings in the slaughter mix.

“Steer and heifer carcass weights will remain large following the sharp increase in late 2014 and will average higher in 2015 but are unlikely to increase much above current record levels,” Peel said.

Beef demand under these tight supply conditions will be the topic again this year as it was all this year, Peel said. It appeared stronger than expected in 2014 but additional meat supplies from increased pork and poultry production in 2015 will add pressure. Retail beef prices are expected to continue increasing but feedlots and packers will struggle to make a profit as high feeder- and fed-cattle prices will outpace wholesale and retail price adjustments.

International trade International beef trade will remain important to domestic prices and could have problems because of high prices and the relatively strong dollar.Beef exports are important to overall U.S. beef demand because they offer strong markets for products such as offal, which are undervalued in the U.S., Peel said. They also add demand for whole-muscle cuts,

+1.04 MB, and +0.86 RE, along with index values of 162.9 and 93.1 for API and TI, respectively.

All bulls in the test and sale were consigned by members of the Virginia Beef Cattle Improvement Association. Bulls were tested at the Culpeper bull test station operated by Glenmary Farm, owned by Tom and Kim Nixon of Rapidan, Virginia.

The sale was managed by Virginia BCIA and the Virginia Cattlemen’s Association, and the auctioneer was Mike Jones.

Additional details on the Virginia BCIA Bull program can be found at http://bcia.apsc.vt.edu .

including high-end products like branded steaks.

As we near the end of 2014, Peel said total beef exports are close to year-earlier levels, a tally which includes lower exports to Canada, slightly lower exports to Japan, and sharp increases into Mexico, South Korea and Hong Kong.

Record high US beef prices are rationing export beef demand but only modest decreases in beef exports are expected in 2015.

Peel explained that beef imports supplement supplies of specific types of beef in the U.S. market; particularly lean beef for ground beef production to support the enormous U.S. appetite for hamburger.

Beef imports this year are up sharply from drought-stricken Australia and up modestly from other major import sources including Canada, Mexico and New Zealand, he said. Additional increases in beef imports are likely in 2015, primarily to partially offset continued reductions in lean beef supplies because of reduced

cow slaughter.

Further, continued strength of the U.S. dollar against other currencies exaggerates the trade impacts of exchange rates, Peel

said. That makes U.S. beef exports more expense and beef imports cheaper, which tends to decrease beef exports and increase beef imports.

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THE VIRGINIA CATTLEMAN, JANUARY 2015, PAGE 33

Improved Feed Efficiency, Profitability The nationâ&#x20AC;&#x2122;s largest beef breed organization has released newly improved bioeconomic tools aimed at identifying animals with better performance and profit potential.

The American Angus Association on Friday, Dec. 5, released its national cattle evaluation (NCE) containing genomic-enhanced expected progeny differences (GE-EPDs) and information like percentile tables and breed averages â&#x20AC;&#x201D; along with updated economic assumptions used to calculate its suite of bioeconomic dollarvalue indexes, or $Values.

The report contained important first-time enhancements to the feedlot value ($F) and beef value ($B) indexes, made possible by a growing amount of feed intake data recorded

by producers during the last 10 years. â&#x20AC;&#x153;Since their introduction in 2004, these terminal dollarvalue indexes for sire evaluation have revolutionized beef cattle selection in the United States, allowing producers to select for a desirable combination of performance and product traits simultaneously,â&#x20AC;? says Dan Moser, director of the Associationâ&#x20AC;&#x2122;s performance programs and president of Angus Genetics Inc. (AGI). â&#x20AC;&#x153;This is an important next step in improving the ability of cattlemen to select for more efficient, betterperforming genetics.â&#x20AC;?

When multi-trait $Values for $F, $B and grid value ($G) were introduced a decade ago, very little feed-intake information was being collected, Moser

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explains. Today, however, the Associationâ&#x20AC;&#x2122;s database houses more than 13,000 individual animal feed-intake records, as well as dry-matter intake (DMI) molecular breeding values for more than 100,000 animals. â&#x20AC;&#x153;That increased data, along with a better industry-wide understanding, has led to advancements in how we evaluate cattle for feed efficiency,â&#x20AC;? says Tonya Amen, AGI director of genetic services. â&#x20AC;&#x153;The residual average daily gain (RADG) EPD, for example, has documented differences in genetic levels of feed intake and efficiency within the breed since 2010. Now, itâ&#x20AC;&#x2122;s logical to include feed-intake information in pertinent $Value calculations.â&#x20AC;? $Values are expressed in dollars per head and represent an estimate of how future progeny of each sire are expected to perform, on average, compared to progeny of other sires in the database. The values are derived using EPD data along with economic assumptions that consider a three-year average,

updated annually, for factors such as weaned-calf and fedcattle prices, feed costs, grid values and more.

Economic advisors work closely with Association researchers to update everchanging assumptions, like feed costs, that greatly influence profitability. The NCE updates released Dec. 5, with the newly introduced feed-intake component, result in $F and $B equations that Moser says better represent profit potential in an environment where 10-year breed trends show an increase in feed-intake requirements along with growth and carcass merit.

â&#x20AC;&#x153;This latest enhancement gives Angus seedstock producers and their commercial cattle customers even more advanced tools to characterize animals for how efficiently they perform and, ultimately, how they influence their bottom lines,â&#x20AC;? he says. â&#x20AC;&#x153;Thatâ&#x20AC;&#x2122;s a powerful capability in a time where Angus genetics are more profitable than theyâ&#x20AC;&#x2122;ve ever been.â&#x20AC;?

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THE VIRGINIA CATTLEMAN, JANUARY 2015, PAGE 35

American Beef Rebounds In Japan

By Rob Hotakainen McClatchy, South Bend Tribune When Manabu Matsumoto took his fiancee to dinner at the Kisuke cow-tongue restaurant in the Japanese city of Sendai recently, the Tokyo couple faced 28 menu choices.

Among them: mashed tongue, tongue sausage, tongue gravy, tongue salad, tongue stew, fried tongue, salted tongue, tofu slathered with tongue sauce, roasted tongue, smoked tongue, barbecued tongue, tongue mixed with fried egg and the traditional shabu shabu — thinly sliced tongue boiled in water.

In a country where many once regarded Americans as barbarians for eating meat from four-legged animals, Japanese consumers are gobbling up U.S. cow tongue as never before, signaling a rebound for the nation’s beef industry.

Only 11 years ago, Japan banned all American beef after the discovery of bovine spongiform encephalopathy, commonly known as mad-cow disease, in one cow in Washington state.

But after Japan last year loosened restrictions on the age of cattle it would accept, U.S. beef-tongue exports soared by 150 percent in 2013 over the previous year, according to the U.S. Meat Export Federation.

They’re on pace to go even higher this year.

Now you can find cow tongue at tasting events at upscale retail stores. You can grab some at fast-food joints while waiting for a train in downtown Tokyo.

One shop invented cow tongue ice cream. Cow tongue potato chips are set to hit the market next year.

But the hottest locale is Sendai, a city of 1 million people with more than 100 restaurants that serve gyutan, or beef tongue.

ADVERTISEMENT Matsumoto, a nursing assistant, and his soon-to-be wife, Akiko Hirama, a pharmacist, opted for the charcoal-grilled tongue, a regional favorite.

“It’s kind of like a crunchy texture,” said Matsumoto, 43, struggling to find the words to describe the appeal. He said he liked the texture and the deep

strong flavor that made it taste nothing like steak: “It’s just delicious — that’s it.”

At the Rikyu beef-tongue processing plant in Iwanuma, which employs 120 workers, forklifts move big pallets loaded with cow tongue, most of it imported from Texas and Nebraska, the top two beefproducing states.

For sanitary reasons, employees take “air showers” to blow off any debris from their bodies. They wear rubber boots, hairnets, face masks and pocketless uniforms to ensure that nothing can drop onto the meat as it’s sliced and prepared for packaging. With local restaurants eager to protect recipes, no photographs are allowed in the seasoning room. Before the meat is boxed, it goes through metal detectors to look for any shiny objects the animals ate that may have remained in their tongues.

In beef parlance, tongue is part of the category of meat known as offal. It includes internal organs — such as hearts, kidneys, livers — that have little value for U.S. consumers.

“The American consumer doesn’t want it, so let’s export it to somebody that does,” said Pete Bonds, the president of the 17,000-member Texas and Southwestern Cattle Raisers Association in Fort Worth.

Bonds, 62, recalled eating boiled cow tongue as a youth, topped with mayonnaise and horseradish. But he said times had changed.

“I really don’t know a lady, a woman, anymore that can cook it. … I haven’t had a tongue sandwich in, hell, 30 years,” he said.

U.S. beef growers have found plenty of foreign buyers for their offal, including South Koreans, who want the animals’ large intestines.

“That’s a big deal right now — it’s probably worth $140 or $150 a head,” said Pat Knobbe, a cattle producer from West Point, Neb., who traveled to Japan last year to inspect how cow tongue is processed and consumed.

“When we were there, it was worth $8 a pound, and here it’s maybe 50 cents a pound.”

If Americans don’t want the tongues, that’s fine with of-

ficials at the popular Kisuke restaurant chain, which goes through 1,500 tongues a day at its dozen establishments in Sendai, Tokyo, Osaka and Yokohama. All the tongues are imported from the United States.

“I don’t want you to eat them. … Only we Japanese want to eat,” said Hiroyasu Ono, Kisuke’s director of sales, speaking through an interpreter to an American reporter. An average entree costs $12 at the chain, which has roughly 2,500 daily customers.

Kiyoshi Okawara, the chairman of the Sendai Beef Tongue Association and the owner of the Kisuke chain, said cow tongue restaurants had suffered when Japan banned U.S.

beef after the mad-cow scare.

He fought to end the prohibition.

Now competition is growing.

Ono said Japanese restaurants must face restaurants in Mexico that use U.S. tongue in tacos.

And he said one Japanese chain had opened a beef tongue restaurant in Los Angeles. With U.S. beef demanding top prices, he said, many restaurants are looking to New Zealand and Australia for cheaper meat.

“American beef is very high quality, so the price is also very high,” Ono said.

U.S. officials have spent a lot of time and money to try to convince Japanese citizens that beef is a good investment.

It hasn’t been an easy task in a nation that historically has

relied on fish for protein and rice for calories.

For over a thousand years before Japanese law changed in 1868, eating meat from fourlegged animals was prohibited, mainly for religious reasons.

Buddhists frowned on the practice because of their belief that people could be reincarnated as animals, while those practicing Shinto feared that meat would pollute the body, according to a 2009 report by the U.S. Department of Agriculture.

The first U.S. envoy to Japan, Townsend Harris, caused a stir in 1856 when he had a cow butchered in Japan to accommodate his fondness for steak dinners. The report said the incident caused great concern Continued on Page 36

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Rebuilding The Cattle Industry

By Logan Hawkes Ask any cattle, pork or poultry producer how they fared in recent years and chances are more than good you will get a negative response. The truth is, with major problems like increased costs for feed, a notable drop in consumption of meat products in recent years, and problems associated with a multiyear drought, producers have taken a beating, resulting in smaller herds and tough times across the industry.

But the silver lining to those dark days may be on the horizon according to economists and a return to a more favorable period for rebuilding may already be getting a kick start thanks to lower grain prices and early signs of increased demand.

In a recent report from Purdue extension economist Chris Hurt, a multi-year trend of less meat consumption in the U.S. is showing some early signs of recovery and as more Americans return to work and the economy slowly improves, it may signal a time for rebuilding

herds as market prices indicate improvements for producers.

Hurt says it’s no secret times have been tough in recent years. U.S. meat consumption per person in 2007 was 219 pounds for the big four of beef, pork, chicken, and turkey. Current USDA estimates for this year are down to 199 pounds per person, nearly a ten percent decrease over the last seven years. Of that 20 pound reduction, beef was down 11 pounds, pork was down five pounds, and chicken and turkey were down about two pounds each.

In percentage terms consumption of beef has been down 17 percent, followed by 10 percent for both pork and turkey and a more modest three percent for chicken.

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Economists say the reason for the drop in demand, while diverse, largely is the result of rising input costs that forced retail prices higher and a slug-

Beef In Japan Continued from Page 35 among the Japanese, with farmers hiding their cattle so they wouldn’t be taken for food by the “barbarians.” In 1931, Tokyo butchers erected a statute to mark the spot where the first cow was slaughtered; it’s known as “The Temple of the Butchered Cow.” After bombing Japan in World War II, U.S. officials started giving beef to malnourished Japanese children as part of their school lunches. It prompted an epidemic of hives before the children adjusted, but U.S. officials say it paved the way for the American beef industry.

Japan, which didn’t begin importing beef in significant quantities until the late 1970s, now ranks as the top foreign market for U.S. cattle producers, both in volume and value, with shipments worth $1.4 billion last year, according to the U.S. Trade Representative’s Office.

Seeking more business, beef

producers want to get rid of Japan’s tariffs on meat as part of the Obama administration’s push for the Trans-Pacific Partnership, a trade pact involving 12 nations that would rank as the largest in history if it passes Congress. Currently, most beef cuts carry a 38.5 percent duty, while beef tongue has a tariff of 12.8 percent.

U.S. cattle producers say eliminating the added costs

gish to stale economy that left consumers with less money to spend. As a result, some U.S. consumers became more frugal and careful on where and how to spend their money, many of them making lifestyle changes that included less meat in their diets.

Higher consumer prices Retail prices of beef and pork in 2014 are about 40 percent higher than in 2007. This rate of increase averages about 5 percent per year, far above the general inflation rate. With many Americans out of a job and with a recession that has required years to turn around, it comes as little surprise that family budgets dictated consumer choices at the grocery store.

But the rapid reduction in U.S. consumption, combined with serious drought conditions, producers have been struggling to keep their heads above water in spite of smaller herds. While not a significant help, a rise in foreign incomes has aided the demand in U.S. beef exports, but the hope for

would be a big boon for their industry, which is dominated by five states that account for more than half the nation’s cattle sales: Texas ranks first, followed by Nebraska, Kansas, California and Oklahoma.

“It’s going to be a battle, but if we can get them to lower the duty on beef, the people that are really going to benefit from it are the Japanese consumers,” Bonds said.

brighter days for the industry require more domestic demand for meat products on the home front, shuffling in what Hurt refers to as the next era for the animal industry, a time for rebuilding herds and flocks. He predicts it will be a multiple-year process and will be characterized as a role reversal for the crops sector and the animal sector.

He says 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 says during the “Grain Era,” some pasture land and forage production were converted to cash crop production, but in the coming years there will be some incentive to convert cash crop land back to animal industry use. He theorizes the three important causes of declining per capita consumption are shifting from

negative to positive drivers.

Feed prices are much lower, drought continues to abate in the Southern Plains, and the U.S. economy continues a slow but steady process of bringing more families back into the work force.

Positive Outlook Hurt suggests animal industries finally have a positive multiple-year outlook. But he warns the favorable income prospects will be based on feed prices re-setting to lower levels, continued reductions in drought affected pastures, and the strengthening of domestic incomes. He hope animal industries will enter a mini-boom phase, led by rising per capita consumption, continued small growth in U.S. population, and growing export demand.

He says an important determining factor on how big the boom will be will depend on where feed prices re-set. He adds that it may not be too early for producers to consider their strategies for brighter days ahead.

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THE VIRGINIA CATTLEMAN, JANUARY 2015, PAGE 37

Several Thousand Cattle Quarantined Near Yellowstone

By Laura Zuckerman Several thousand head of cattle have been quarantined in Montana after a cow near Yellowstone National Park tested positive for brucellosis, the livestock disease much feared by ranchers and also carried by elk and bison, state livestock officials said on Friday.The disruption comes at a crucial moment for the region’s beef producers, who are in the midst of readying the bulk of their herds for sale at a time of record high prices for the cattle they bring to auction.The quarantine will for the time being place

off-limits livestock belonging to the rancher whose cow tested positive - likely infected by an elk - and neighboring producers whose herds may have been exposed through intermingling of livestock, officials said.

But the finding will not cost Montana its prized brucellosisfree status, which allows cows to be shipped across state lines without vaccination or testing, he said. Several thousand head in all are affected by the quarantine, a fraction of the more than 2 million cattle raised throughout Montana, state veterinarian Dr. Marty Zaluski said. Exposure to brucellosis, a disease

that can cause pregnant cows and other animals to miscarry their young, is at the center of an ongoing dispute between ranchers in Montana and wildlife advocates over management of Yellowstone’s famed bison population and vast elk herds in and around the park.

Many of those animals have been exposed to the disease, first brought to the region by cattle. Bison that wander from Yellowstone into neighboring Montana each winter in a search for food are targeted for hunting or capture and slaughter to prevent them from transmitting brucellosis to cattle that graze in

Beef Producers Vote For Another $1 Per Head Kentucky beef cattle producers voted to assess themselves an additional $1 per head on cattle marketed in Kentucky in a statewide referendum held in November. The final tally was 1,816 in favor of the state check off and 1,423 against. The assessment will take effect April 1, 2015. Producers who pay the assessment may request a refund from the Kentucky Cattlemen’s

Association in writing within 30 days of the date that the assessment is collected. The Kentucky State Board of Agriculture called for the referendum in August at the request of the KCA. State law requires the Kentucky Department of Agriculture to carry out a referendum at the direction of the board.

In a letter to the board requesting the referendum, Dave

Texas State Beef Checkoff Program Underway Collections under Texas’ new state beef checkoff program began Oct. 1, 2014 after Texas beef producers voted to establish a state-level beef checkoff program, which was approved by a wide margin of 66 percent of voters. The Texas Department of Agriculture conducted the referendum upon petition by cattle industry organizations under the authorities designated by the Texas Legislature.

The program is funded through a refundable $1 per head assessment on cattle at each point of ownership transfer in Texas.

The funds are managed in accordance with Texas law by the Beef Promotion Research Council of Texas (BPRCT). The BPRCT consists of 20 Texas cattle producers appointed by the Texas commissioner of agriculture. All state beef checkoff programs are overseen by the BPRCT. The BPRCT contracts with the Texas Beef Council to conduct demand-building pro-

grams in the areas of promotion, research and education.

“I am confident in our new state beef checkoff program and proud of my fellow cattlemen and women for standing up for our industry and recognizing the importance and need for this program,” said Dave Edmiston, BPRCT chairman and cattle rancher from Brady.

“As beef and dairy farmers and ranchers, every dollar we invest into the program goes to help increase profit opportunities by keeping beef top-of-mind with consumers and by working to ensure a wholesome, quality beef-eating experience every time. We are working to continue to grow beef demand by investing in program areas such as retail and foodservice, international export marketing and digital consumer marketing.”

The fiscal 2015 year began Oct. 1, 2014 for the BPRCT with a budget of $5.67 million.

Maples, executive vice president of the KCA, said the assessment would be used “to promote [and] stimulate, by research, market development, and education, the use and sale, domestic and foreign, of bovine animal products.” The entire $1 state check off will be used for programs in Kentucky, whereas the $1 national check off is divided between the state and the national Cattlemen’s Beef Promotion and Research Board.

For more information, contact Dave Maples at (859) 278-0899 or dmaples@kycattle.org.

ALLEN E. STRECKER, DVM MICHAEL L. HEPNER, DVM MELISSA J. FERRIS, DVM KATHRYN S. CASH, DVM NATHAN L. PUTMAN, DVM

the vicinity.

The program is fiercely opposed by environmental groups and wildlife activists, who routinely sue to stop the culling.

Under a U.S. Department of Agriculture rule designed for livestock in the vicinity of Yellowstone, which spans parts of Wyoming, Montana and Idaho, testing and quarantining of cattle is required to prevent

the spread of brucellosis when it is found, Zaluski said. Cows in Montana counties just outside Yellowstone have tested positive for brucellosis just five times during the past eight years without triggering larger outbreaks or risking the state’s brucellosis-free classification.

“The infection rate is very low because we identify these cows very quickly,” Zaluski said.

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PAGE 38, JANUARY 2015, THE VIRGINIA CATTLEMAN

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THE VIRGINIA CATTLEMAN, JANUARY 2015, PAGE 39

PMS’s New Tranz Former Pasture Management Systems, Inc. is pleased to introduce the NEW TRANZ FORMER™ manufactured by Jobe Valves, New Zealand.

The Tranz Former™ is a new concept in water valves that transforms the common lowflow valve into a high-flow valve.

The new Tranz Former™ simply screws into the common valve inlet, using the clamp on valve as the bracket, pilot and

float. A revolutionary threaded locknut tail unscrews from the Tranz Former™ main body and attaches to the garden hose tail thread eliminating the twisting of hose pipes when attaching the water supply.

The Tranz Former™ is suitably named as it can increase the flow of a common valve supplying 4 gallons per minute, up to an astonishing 18 gallons per minute. This from a water supply capable of

delivering 20 GPM from the hose before it is connected to the valve.

The diaphragm technology is gleaned from the successful Megaflow and Topaz range of trough valves produced by Jobe Valves.

All materials used in con-

Contact us for more information or the dealer nearest you.

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THE VIRGINIA CATTLEMAN, JANUARY 2015, PAGE 41

Flowing Spring Gelbvieh

LITTLE WINDY HILL Farms

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Money Making Mathematics:

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PAGE 42, JANUARY 2015, THE VIRGINIA CATTLEMAN

By Trey Keyser, Commercial Ag Loan Officer Farm Credit of the Virginias, Petersburg, W.Va. In the past couple of years, cattle prices have had a remarkable resemblance to the Energizer bunny. Prices just keep going and going and going! Proving my assumption wrong several times that weâ&#x20AC;&#x2122;ve seen the top.

There have been times when cattle prices seemed to stall or even slide back, but they seem to gain traction again and continue their incline. This reminds me of an old adage my father-in-law uses: â&#x20AC;&#x153;It just backed up a bit to get a better hold.â&#x20AC;?

So Whatâ&#x20AC;&#x2122;s Going On? There are several reasons for continued rising prices; the smallest national cattle herd since the 1950s, strong U.S. consumer demand, the tremendous overseas demand for U.S. beef (export market), and the significant decline in grain prices and feed costs.

The massive drought of the past few years, particularly in the Southwest, has caused a sharp reduction in the nationâ&#x20AC;&#x2122;s cow herd. As weather conditions improved, and with unprecedented prices for market livestock, it appears weâ&#x20AC;&#x2122;ve started a slow climb to building the cattle herd back. But herd expansion is not an overnight process, nor an easy decision.

Iâ&#x20AC;&#x2122;ve overheard and been part of numerous conversations with producers debating whether to keep replacement heifers or to cash them in during these record highs. For those who choose to sell their heifer calves, do they buy back bred heifers or cows to maintain the herd?

What is Your Plan?

Several factors can drive a producer to sell replacements.

Whether your decision is related to family influence, financial situation, or limitations set by your labor force, feed, facilities or real estate, it should be supported by your plan.

Is your intention to downsize? Expand? Hold the Status Quo? Have you thought it through? And if you do sell your heifers that normally would have been put back in the herd, how are you going to maintain your herd if you plan to stay in business long term? If you do

Beef Cow Economics

indeed plan to downsize, for whatever reason, I could argue that â&#x20AC;&#x153;maybeâ&#x20AC;? you are doing the right thing by unloading some of your most marketable cattle now. But donâ&#x20AC;&#x2122;t get me wrong, taking advantage of the up market to sell heifers, is not necessarily wrong even if you are not looking to downsize or get out of the business. It depends on your situation and your business plan (which is a living, breathing thing in itself, that changes). My point here is that if you sell your heifers, yet still plan to hold your herd size constant, and even more importantly, if your plan is to grow the operation, you have to have a plan on how to maintain or increase the number of the true producing members of the operation, your â&#x20AC;&#x153;mommaâ&#x20AC;? cows. To achieve this, youâ&#x20AC;&#x2122;re left with one option, purchase them.

Lots of folks have a hard time determining a reasonable purchase price when buying cows or bulls. Much of what drives how much a producer will spend for breeding heifers, cows, or bulls depends largely on their wallet, their need for additional females, quality of the animal, and/or relationship with their banker.

Letâ&#x20AC;&#x2122;s focus a bit on the latter.

Whatâ&#x20AC;&#x2122;s Your Lender Got To Do With It??

For starters, the better your lender and loan officer understands your operation and the cattle business, the more likely

they will be able to help when you have a borrowing need. Itâ&#x20AC;&#x2122;s important that you have a team around you who understand you and your business, and your lender is a vital part of that team.

Building and maintaining a solid relationship with a lender takes time and effort, both on your part and the lenderâ&#x20AC;&#x2122;s. A key piece in the process is to make sure youâ&#x20AC;&#x2122;ve got good records, and that youâ&#x20AC;&#x2122;re willing to share them with your advisory team.

Keeping good financial records will help you and your lender be prepared, in the event that you need to borrow capital for the purchase of livestock or any other reason.

A good lender will also want to understand your financial management style and spending habits. Most have heard the saying â&#x20AC;&#x153;you gotta make hay when the sun shines.â&#x20AC;? Well, the sun has been shining pretty brightly on the cattle industry the last few years. If you have cows or have been involved in any segment of beef cattle production, you should have made some money in the last while. What you did with that money sends a pretty strong message to your lender.

Did you spend it wisely, or even better, did you save it for when, not if, the cattle market goes the other way? During good times, itâ&#x20AC;&#x2122;s important to work on reducing your debt load and building liquidity, or cash reserves, to help

you weather the tough times that are sure to return eventually.

Some good decision-making now, can go a long way towards helping you continue to be profitable when the tide turns, as it always does.

Put a Pencil to It Now back to the decision making process concerning your breeding stock. Here is some basic math and some things to consider when you purchase cows or bulls. Keep in mind that every operation is different, all cows (or bulls) are not created equal - you â&#x20AC;&#x153;usuallyâ&#x20AC;? get what you pay for and none of us have a crystal ball telling what the future holds.

There are several methods for determining what a cow should be worth and there are many things to consider. There isnâ&#x20AC;&#x2122;t a set in stone rule or guide. Nor is there a set value that works across the board. So, the following is a very basic way of thinking about it and a simple way of qualifying your plans.

For breeding heifers or young cows, a good rule of thumb is to keep your investment dollars to a rough figure of approximately what you expect to receive for the first two calves (if open), maybe three if sheâ&#x20AC;&#x2122;s bred already. But with that in mind, it might not be wise to base your figures on todayâ&#x20AC;&#x2122;s market prices.

While itâ&#x20AC;&#x2122;s great while it lasts, itâ&#x20AC;&#x2122;s probably going to take you at

least two to three years to pay off those cows or heifers you are looking at buying. A much safer method for estimating what you might be willing to pay for a good breeding female, is to use a more conservative figure, closer to historical levels, for the value of her calves. For example, rather than $1200 - $1500, you might want to base your calculations on a value of calves more in the $700 - $800 range. Every year is not going to be a home run, itâ&#x20AC;&#x2122;s important to remember to take history into account when making projections. You can do the math, but donâ&#x20AC;&#x2122;t forget, your lender will want most of the income you make on the calves in the first few years, and you need to consider your costs to keep the cow (feed/labor/vet/interest).

For bulls, you can ponder it in the same method as we did with cows and heifers. For bulls of breeding age, ready to go home and go to work, they should be worth somewhere in the neighborhood of expected revenue generated off of four to six calves.

Decisions, decisions!

There is no better or more urgent time for you to have a sound risk management strategy. Price protection is available for home raised calves just like bought calves, and when your bottom line on the calf crop is covered; you are also protecting Continued on Page 43

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THE VIRGINIA CATTLEMAN, JANUARY 2015, PAGE 43

Beef Cow Economics Continued from Page 42 your investment in the cow herd as well. Market risk protection is particularly important if your cow herd is leveraged much at all, since youâ&#x20AC;&#x2122;re going to need to make sure you can cover operating costs plus handle the debt service on your cows.

For those who are still on the fence trying to determine if you are better off making cows out of your heifers or selling them in todayâ&#x20AC;&#x2122;s market, consider this.

What does it cost to make a cow?

Here are some more numbers for you to think about. Say youâ&#x20AC;&#x2122;re starting out with a 500 lb. heifer just after sheâ&#x20AC;&#x2122;s been weaned. If you were to sell her today, she may be worth in the neighborhood of $1,200. Keep this upfront opportunity value in mind.

In reality, to get a true feel for what that heifer will cost to develop into a cow, youâ&#x20AC;&#x2122;ll need to figure the cost associated with her mother from the time she was bred till the heifer calf is weaned. For this example, weâ&#x20AC;&#x2122;ll use a time period of 15 months.

Winter months generally dig into the pocket book deeper than summer months due to feed expenses, but most experts say it takes at least $650 a year to keep a cow. If we figure this for the 15-month period, youâ&#x20AC;&#x2122;re looking at a bare minimum of $810 cost so far. Tack on another year of growing the heifer at $650.

Suddenly weâ&#x20AC;&#x2122;re already up to nearly $1,500 and this is on the conservative side. After adding some vaccine and med expense along with other odds and ends, youâ&#x20AC;&#x2122;re easily at $1,600. Now sheâ&#x20AC;&#x2122;s ready for the bull. In a perfect world, the bull does his job and she catches on the first cycle. Itâ&#x20AC;&#x2122;s 10 months till a calf hits the ground and then roughly another six months till we have a marketable product. This could easily add another $850 to the cost of developing that heifer until she starts earning her keep.

In case you havenâ&#x20AC;&#x2122;t been tallying up the number as we go, you can easily have $2,450 in that first calf heifer and that is really a pretty conservative number.

Sure, you can speed up the process some, and maybe save a little here or there, but this is a fairly reasonable baseline projection to get you started.

But consider that if you go too

fast, or penny-pinch too much, it can have a negative effect on the productivity and longevity of that heifer.

Consider only the time from which you could have sold the heifer at the $1,200 mark with very little investment (in comparison), to the investment of time and money youâ&#x20AC;&#x2122;ll have till she weans a calf. You have to decide whether that investment, or â&#x20AC;&#x153;pass,â&#x20AC;? if you will, on opportunity value is worth the reward of having that cow in your herd long term. If done right, she will produce you numerous marketable calves in the years to come.

Of which should generate far greater than the $2,450 that it took to develop her.

Itâ&#x20AC;&#x2122;s in the Genes Now that weâ&#x20AC;&#x2122;ve talked a little about the â&#x20AC;&#x153;opportunity costâ&#x20AC;? of keeping a heifer that youâ&#x20AC;&#x2122;ll make into a cow, letâ&#x20AC;&#x2122;s talk a little about genetics. Bull selection is key here, since half of all your calvesâ&#x20AC;&#x2122; genetics will come from him, but letâ&#x20AC;&#x2122;s stay focused on the cow herd. How do your cattle compare with the quality of heifers that could be purchased for the same money that itâ&#x20AC;&#x2122;s going to take for you to develop your own heifers? If you can purchase a superior bred heifer or young cow, that will improve your herd and move you in the direction you want to go, for the same or less money that it would take for you to make your own heifers into cows, this may be a good time to look at cashing in on your

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PAGE 44, JANUARY 2015, THE VIRGINIA CATTLEMAN

U.S. Appeals WTO COOL Ruling Back The Office of the U.S. Trade Representative (USTR) has appealed the World Trade Organization (WTO) finding that the Agriculture Department did not properly comply with a 2012 ruling against its countryof-origin labeling (COOL) regulations. Don’t look for a speedy resolution to the case.

A new WTO panel will have to be formed to consider the USTR’s appeal, and that could take months, dragging well into summer. Then, if the appeal fails, Canada and Mexico are expected to present the evidence of damages to their meat and livestock exports and

ask for a decision allowing the countries to retaliate.

The National Farmers Union — a farm group that has long supported the origin labeling effort — believes the U.S. has strong grounds for appeal.

“The decision by the USTR to appeal the WTO ruling on COOL is the right thing to do for American family farmers, ranchers and consumers,” said NFU President Roger Johnson.

“The October WTO ruling found once again that the COOL law is WTO-compliant and acknowledged that the May 2013 USDA regulations were a significant improve-

ment in terms of providing more accurate information to consumers. Nonetheless, the WTO incorrectly found the rules were noncompliant and an appeal is the obvious course of action.”

Opponents to USDA’s COOL rule have asked it to be completely overhauled, requesting congressional intervention, and say the USTR’s appeal is a waste of time. “The WTO was very clear in its ruling, COOL discriminates against our trading partners, and we do not see any merit for appeal,” said NCBA President Bob McCan, “An appeal only continues

Beef Cow Economics Continued from Page 43 home-raised calves and invest in some improved genetics.

And obviously, if your goal is to increase your cow numbers, you can do it a lot more quickly through purchasing females that are “ready to go” than you can by retaining and breeding your own.

Make Hay While the Sun Shines Finally, let’s take a quick look at one of those “lender terms” we touched on earlier.

Equity, or how much you owe on an asset vs. what the asset is worth, is a key factor lenders look at on every loan request.

It’s something that you should keep a close eye on as well.

The value of a “paid for” cow is often taken for granted. For instance, say you paid $2,500 for a bred cow and borrowed the money to do so. In the first year, it could cost you $650 to keep her and the calf, while you are also obligated for a $700 payment to your lender on her.

So just in the first year the cow cost you $1,350. Even in today’s record high cattle market, selling a weaned steer calf is going to make things pretty tight.

But, if you have other cows in the herd that are paid for, those cows can help absorb the burden of that $700 payment on the new cow. It’s always easier to win the race when you have a head start, and building equity in your cow herd by having more of them paid for than not, is a good way to give you a head start on growing your herd, regardless of market conditions.

With this said, I’ll go back to making hay while the sun shines.

While it’s nice to have a little extra jingle in your pocket, it makes more sense to use your profit on cattle to get ahead on your financial obligations. The faster you get cattle paid for, the more profit potential you’ll have in the long run. On top of this, if you have paid ahead on cattle loans and/or stashed it away, while the market was good, you’ll be more prepared and better able to cash flow the lower debt load in times when your level of profit drifts down.

The long and short of it is simple. As a cattle producer, whether you’re into cow/calf, stockers, feeders, or a combination of the segments, it’s important to know what you and your operation is

capable of handling and having the intuition and courage to realize what it’s not. Make sure your plan is realistic and obtainable.

Keep your records up to date, so you’re prepared when you need to borrow money, and to make sure you’re making wellinformed decisions. And most importantly, take advantage of “the sunshine” we’re experiencing to set yourself and your operation up for a bright future.

By combining these things, you can develop your own recipe for success.

Most of us who farm have a passion for what we do, but not many folks I know are willing to do it for free or at an additional expense. Until next time, work smart, do a little figuring, have a plan, and enjoy the ride!

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along the current path and brings us closer retaliatory tariffs from Canada and Mexico; a path that will damage our economy and our relationship with our largest trading partners. Congress needs to act to bring a permanent solution to this failed legislation.”

However, groups like NFU, Public Citizen’s Global Trade Watch, Food & Water Watch and the U.S. Cattlemen’s Association are all strong sup-

porters of the COOL rule and hope it can be salvaged. “We are pleased that the United States is defending its country of origin labeling rules and believe there are strong grounds for appeal,” Wenonah Hauter, executive director of Food & Water Watch, said. “This case is not finished and Congress should not attempt to short circuit the WTO process at the behest of the meatpackers and their special interest allies.”

THE VIRGINIA CATTLEMAN, JANUARY 2015, PAGE 45

Slaughter Weights Increasing The cattle market reached record levels in 2014. But the records didnâ&#x20AC;&#x2122;t stop at the prices.

Cattle producers also saw record weights. According to USDAâ&#x20AC;&#x2122;s Livestock and Slaughter Report, the average weight of cattle slaughtered in The United States is increasing.

Itâ&#x20AC;&#x2122;s been a year of high prices within the cattle market. Those prices have yet to show any strong signs of retreat. â&#x20AC;&#x153;Cattle markets are ending the year at basically record levels in terms of prices. Interestingly enough we started the year at record levels but levels at the end of the year are significantly higher,â&#x20AC;? said Oklahoma State Livestock Marketing Specialist,

Derrell Pell.

The big driver is cattle supply. â&#x20AC;&#x153;Beef production is down about six percent so far this year.

Slaughter is down over seven percent so tight supplies will continue into 2015,â&#x20AC;? said Peel.

Because of supply and low feed costs, carcass weights on slaughter cattle are significantly climbing.

According to USDAâ&#x20AC;&#x2122;s Livestock Slaughter Report, from September 2013 to 2014, the average dressed weight of the carcass rose from 799 pounds to 822. In September 2011, it was around 775.

Oklahoma State Livestock Marketing Specialist Derrell Continued on Page 46

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Edgewood Angus Bulls Selling Saturday, March 28, 2015 in the BCIA SW VA Senior Sale Edgewood Angus - BCIA SW VA Senior - Performance Tested Bull Sale Bull Info.

Lot Tattoo 31

3159

32

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3194

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49

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PAGE 46, JANUARY 2015, THE VIRGINIA CATTLEMAN

A Stocker Hand’s Wish List

By John B. Rhudy Well, another Christmas has come and gone. Once again Santa has been pretty good to me. My health, family, and friends are always the best gifts for which I could ever ask. With that being said, there are a few things on a stocker outfit that I could use if the jolly old elf could bring them next Christmas.

Some on this list are tongue-incheek, some are common sense, and some, well, let me just say there will be some feet in need of moving.

• Market tags that come off after two days. This can be accomplished with dissolving tag glue.

• Truck drivers that can deliver a load in a timely manner, yet have every single steer walk off dry and on its own power • Federal ban on calfhood bands. While not possible, maybe cattlemen can be trained to count to two since removing a missed testicle through scar tissue is not the highlight of a busy day processing steers. Along

the same lines, an electronic testosterone monitor on the chute might help catch all stags and bulls without the green stained sleeves of the past. Even better, an automatic $0.10/lb deduction on all bull calves sold would help reduce the headache.

• Branding required nation wide for all producers of ten head or more. This solves the desire for a federal point-oforigin program fraught with red tape and impracticality. Plus, if we repeatedly received inferior cattle from a sale barn/buying station,it would be a no brainer as to their farm/ranch of origin.

• All ear tags in the left ear.

We process from the left side of the chute, so this would speed up the job.

• Time released/break away biodegradable fly tags. This serves two purposes. First, one less tag to remove. Second, less chance of insecticide resistant flys.

• All cattle with previous exposure to stock dogs.

• Horses born four-year-olds, broke to ride, and gelded.

Slaughter Weights Continued from Page 45 Peel says this could create some demand problems if we’re not careful.

“These carcasses are very big, creating large cuts of meat and in some cases, those run counter to what consumers really prefer in terms of size of cuts,” said Peel.

Pro Farmer’s Julianne Johnston says the extra weight shouldn’t be a problem next year because supplies are that tight.

“USDA is projecting beef production to be down 3 percent from 2014 levels and if we continue to add that tight of a situation, adding weight won’t be an issue,” said Johnston.

Yet Johnston says those extra pounds could eventually be an issue.

“Coming down the road, two or three years, adding weight could become an issue with over production, but not over production next year,” said Johnston.

Regardless of carcass weights, both analysts expect supplies to remain tight for a number of years.

Johnston says most packers aren’t concerned about the

weight right now because of the low numbers.

If plants continue to close, that could change. USDA’s report also says fewer heifers are in feed lots, meaning there is a larger portion of steers up for slaughter.

• Day help that understands that the old westerns were Hollywood creations and are not documentaries on proper cattle driving techniques. Cattle are not driven wide open and hellfor-leather, be it on foot, ATV, or horseback.

• Built in backup lights on all stock trailers • A pet monkey trained to sit on the worktable and reload eartags in the tagger.

Some of these wishes are feasible, some make too much sense to ever fly, and some may be a little far-fetched. But Roger, I would really like to have that monkey.

•

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THE VIRGINIA CATTLEMAN, JANUARY 2015, PAGE 47

Bill Aims At Better Coordination Of Chesapeake Bay Cleanup The Senate unanimously approved a bill in December that will, if enacted, provide a new route for accountability in the Chesapeake Bayâ&#x20AC;&#x2122;s preservation. The Chesapeake Bay Accountability and Recovery Act of 2014, sponsored by Sen. Mark Warner, Dâ&#x20AC;&#x201C;Virginia, will create a large interagency crosscut budget that definitively lists bay restoration effortsâ&#x20AC;&#x201D; along with their projected timeline and costsâ&#x20AC;&#x201D;from fiscal 2013 onward. The bill will go back to the House for reconciliation with an earlier version and a final vote and Rep. Rob Wittman, Râ&#x20AC;&#x201C;1st District, said he would push for passage of the bill before the end of 2014.

This is the most recent iteration of a bill first introduced in the House by Wittman in 2008 and by Warner and thenSen. Jim Webb in 2011 for the

200-mile bay, which is fed by tributaries in six states from New York to West Virginia to Virginia. Wittman called the Senateâ&#x20AC;&#x2122;s passage â&#x20AC;&#x153;a tremendous step forwardâ&#x20AC;? and said the bill will lead to effective coordination of restoration efforts at all levels. â&#x20AC;&#x153;This bill will allow us to overcome obstacles that already exist in not knowing exactly where and how much money is spent in all bay restoration programs,â&#x20AC;?

Wittman said in an email. â&#x20AC;&#x153;In turn, it will improve bay cleanup going forward.â&#x20AC;?

If the bill is signed into law, the director of the Office of Management and Budget will work with the Chesapeake Executive Council and the Chesapeake Bay Commission to create and implement the crosscut budget, which will include detailed information

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on restoration efforts at the federal, state and local levels from four fiscal years: the two preceding, the current and the succeeding year. The first three years of reporting will require disclosure of federal and state efforts with funding levels of at least $300,000; after that, the funding threshold for reporting federal and state efforts will change to $100,000.

The bill also creates an independent evaluator position to review and report on the restoration efforts and accepts suggestions from the Chesapeake Executive Council, which is staffed by government leaders along the Chesapeakeâ&#x20AC;&#x2122;s waters.

A news release from Warnerâ&#x20AC;&#x2122;s office said the large collaborative effort â&#x20AC;&#x153;involves at least 10 federal agencies, Virginia and

five other states, the District of Columbia and more than 1,000 local governments.â&#x20AC;? â&#x20AC;&#x153;A crosscut budget and an independent evaluator will

provide clarity, transparency and more effective management,â&#x20AC;? Wittman wrote, â&#x20AC;&#x153;in the broad effort of restoring and preserving the Bay.â&#x20AC;?

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PAGE 48, JANUARY 2015, THE VIRGINIA CATTLEMAN