Virginia Cattleman - September 2016

The Virginia Cattleman

Volume 38 Number 9 Circulation 8,000 September 2016

Photo Taken By: Daniel Ratliff, Boothe Farm, Dublin, VA.

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

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

Opportunities

PAGE 2, SEPTEMBER 2016, THE VIRGINIA CATTLEMAN

By: Jason Carter Each August, prior to the true fall run of feeder cattle in Virginia sale barns is the run of Virginia Quality Assured feeder cattle through VCA sponsored Tel O Auction and Board sales.

Many local producer groups cooperate each year to sell these reputation driven weaned and preconditioned calves that are reliably underpinning Virginia’s reputation as a source of quality genetics and performance.

Buyers in August of VQA cattle range for 1000+ miles north and west of locales both east and west of the Blue Ridge. The VQA program was conceived many years ago when the cattle market and the dynamics influencing it were considerably different, however despite the changes in the value of cattle and the factors playing into that, so far going into the fall, these Virginia Quality Assured feeder cattle are averaging +$70 - $100/head across sex and weights for graded cattle sold the same week.

The most remarkable thing

about cooperation among cattle producers is the positive results most often obtained after the anxiety of gaining consensus. Cattle producers tend to be conservative, skeptical and most concerned with what happens within the fence rows of home than outside of it. Marketing of cattle has not been an exception. Over many years producers often had a “roundup” resulting in a trip to the local sale barn to accept what was offered that week by mostly a handful of order buyers.

Certain times of year there were other influences such as famers in need of grass calves or plain sect buyers from Pennsylvania and Ohio that changed the basis, however for the most part many of us were raised to believe that the packers maintained a type of “trickledown economics” that yielded week to week feeder cattle value.

The Virginia Quality Assured feeder cattle program proved that notion wrong.

There are now over a dozen local cattle producer associations across the Commonwealth that

WHAT’S INSIDE PAGE 5 - 9 THINGS TO KNOW ABOUT YOUR FARM LEASE PAGE 7 - RABOBANK PREDICTS A WALL OF MEAT PAGE 16 - 5 THINGS YOU SHOULD KNOW ABOUT ROUND BALES PAGE 18 - READY FOR GOURMET BURGER AT GOLDEN ARCHES PAGE 23 - MASTER CATTLEMEN COURSE TO BE OFFERED PAGE 25 - ADVANCED MASTER CATTLEMEN MEATS COURSE

work together once or several times a year to produce high quality loads of weaned and preconditioned VQA calves averaging every year, and all year long, close to $100 more per head added value. That’s real money that not only pays for the extra labor, feed and risk of weaning and preconditioning but also is market impervious.

Some of the biggest payoff years for VQA are down cycle years. Certainly 2016 is not a disaster economically speaking for most cow/calf producers but compared to the record highs of 2014 & early 2015, it is a “down cycle” of sorts.

Despite that, the added value of VQA is consistent and now self-promoting for producer groups wishing to sell improved management and build strong reputations and marketing alliances. VQA is a “no-brainer” for many folks. Cooperation is the key along with strong local leadership.

VCA is

appreciative of the cooperative mentality that has established the VQA program and is currently growing the Virginia Cattlemen’s Association. If you are reading this editorial and are not a dues paying member, please consider rectifying that with a $50 check. Cooperation enhances our reputation for our industry as well as our cattle.

Speaking of added value themes, it would be irresponsible for me not to mention as well the value that trade of beef and beef products has grown our business in the world we live in. USDA reported in June that total live cattle value from exports of beef and beef products was down 14% or $250/head compared to June 2015. Again, that’s real money gained from producing a quality product that is competing with unfair trade tariffs, nonscientific sanitary barriers and a strengthening US Dollar compared to foreign currencies.

Congress returned to the Hill

after Labor Day and it is indeed our hope for the betterment of nearly all agriculture that our leaders support the Trans Pacific Partnership trade agreement.

Never before has a multi-lateral trade agreement for such a large share of the world economy also so positively supported agricultural commodities.

Unfortunately in an election year, many solid issues become political fodder subject to candidate sound bites and shaky left leaning media interpretation of issues. Trade is real dollars and represents real markets for a variety of American beef products, particularly offal and hides, which most Americans wouldn’t use or eat. Hopefully our Congressmen and women, as well as our Senators, will not let an irrelevant NAFTA past, self-serving labor unions or isolationist theories of economics prohibit American agriculture from prospering through TPP.

VIRGINIA CATTLEMEN'S ASSOCIATION Sponsored Graded Sales Schedule Check our Website at www.vacattlemen.org for updates CONTACT LIVESTOCK MARKETS OR VCA STAFF FOR QUESTIONS VCA 540-­‐992-­‐1009 BUTCH FOSTER 423-­‐360-­‐0434 TROY LAWSON 540-­‐430-­‐0042 SEPTEMBER 2016 Radiant 9/6/16 10:30 AM FEEDERS Virginia Cattle Company 540-­‐622-­‐4889 Front Royal 9/6/16 7:30 PM FEEDERS Virginia Livestock LLC 540-­‐622-­‐7752 Wytheville 9/6/16 7:00 PM FEEDERS Wytheville Livestock Exchange 276-­‐223-­‐0003 Harrisonburg 9/8/16 7:00 PM FEEDERS Rockingham Livestock Sales 540-­‐490-­‐9050 Tel-­‐O-­‐Auction 9/12/16 6:00 PM FEEDERS Virginia Cattlemen's Association 540-­‐992-­‐1009 Radiant 9/13/16 10:30 AM FEEDERS Virginia Cattle Company 540-­‐622-­‐4889 Dublin 9/14/16 7:30 PM FEEDERS Pulaski Livestock Market 540-­‐674-­‐5311 Harrisonburg 9/15/16 7:00 PM FEEDERS Rockingham Livestock Sales 540-­‐490-­‐9050 Tel-­‐O-­‐Auction 9/19/16 6:00 PM FEEDERS Virginia Cattlemen's Association 540-­‐992-­‐1009 Radiant 9/20/16 10:30 AM FEEDERS Virginia Cattle Company 540-­‐622-­‐4889 Front Royal 9/20/16 7:30 PM FEEDERS Virginia Livestock LLC 540-­‐622-­‐7752 Wytheville 9/20/16 7:00 PM FEEDERS Wytheville Livestock Exchange 276-­‐223-­‐0003 Moneta 9/24/16 7:00 PM Holstein Steer Springlake Livestock Market 540-­‐297-­‐1707 Tel-­‐O-­‐Auction 9/26/16 6:00 PM FEEDERS Virginia Cattlemen's Association 540-­‐992-­‐1009 Radiant 9/27/16 10:30 AM FEEDERS Virginia Cattle Company 540-­‐622-­‐4889 Dublin 9/28/16 7:30 PM FEEDERS Pulaski Livestock Market 540-­‐674-­‐5311

THE VIRGINIA CATTLEMAN, SEPTEMBER 2016, PAGE 3

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CED

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WW

YW

RADG

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+14

-.5

+61

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+1.16

+5

+13

CW

MARB

RE

FAT

+34

+.35

+.87

+.030

$W

$F

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+77.53 +55.30 +29.79 +111.99

DSB 120W PROVEN 418B ET

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PAGE 4, SEPTEMBER 2016, THE VIRGINIA CATTLEMAN The Virginia Cattlemen’s Association Affiliated with the National Cattlemen’s Beef Assoc.

P.O. BOX 9 Daleville, Va 24083-0009 www.vacattlemen.org The Virginia Cattlemen Phone: 540-992-1009 Fax: 540-992-4632 jdavis@vacattlemen.org 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……….Lousia Region 6 Tom Nixon……….Rapidan Region 6 Brett Stratton……….Evergreen Region 7 Andy Smith……….Rosedale Director at Large POLICY & INDUSTRY ADVOCACY BOARD Gene Copenhaver……….Meadowview District 1 Joey Davenport……….Glade Spring District 1 George Stovall……….Stuart District 2 OPEN SEAT 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……….Lousia District 5 Jay Calhoun……….Callands District 6 Mike Henry……….Chesterfield District 6 Editor……………Jason Carter jcarter@vacattlemen.org Publications Coordinator…Jacquelynn Davis jdavis@vacattlemen.org Issued the first week of every month.

Copy deadline the 15th Of 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

Virginia Cattlemens Association Feeder Cattle Tel-­‐O-­‐Auction 7/25/16 Lot #

#Hd

Description

144

82 Steers(VQA ,

145

70 Steers(VQA ,

Location

Grades

Botetourt County

Avg. Wt.

Price

L&M1,L&M2

610 $150.00

Botetourt County

L&M1,L&M2

710 $144.00

Home Raised Home Raised 146

34 Steers, Home Raised

NewRiver Valley

L&M1,L&M2

725 $140.00

147

70 Steers, Home Raised

Bland County

L&M1,L&M2

725 $141.00

148

57 Steers

Wythe County

L&M1,L&M2

910 $134.00

149

53 Steers

Russell County

L&M1,L&M2

940 $129.50

150

35 Steers

Mongomery County

L&M1,L&M2

990

$125.25

50 Steers

Pickaway, WV

L&M1,L&M2

1025

$125.75

Botetourt County

L&M1,L&M2

605 $133.50

NewRiver Valley

L&M1,L&M2

650

Christiansburg

L&M1,L&M2

825 $127.50

150A

451 Total 151

58 Heifers (VQA, Home Raised

152

39 Heifers (VQA,

$129.25

Home Raised 153

60 Heifers 157 Total

8/8/16 Lot #

#Hd

Location Campbell & Amherst Counties, VA Campbell & Amherst Counties, VA

Grades

155

Description Steers (VQA Tag, Home 60 Raised, Natural & GAP) Steers (VQA Tag, Home 63 Raised, Natural & GAP)

156

54 Steers

157

Avg. Wt.

Price

L&M1; L&M2

655 $162.50

L&M1

750 $157.25

Radford, VA

L&M1

925 $140.00

54 Steers

Christiansburg, VA

L&M1; L&M2

925 $140.00

158

53 Steers

Bland County, VA

L&M1

940 $139.75

159

52 Steers Steers (VQA Tag, Home 64 Raised) Steers (VQA Tag, Home 61 Raised)

Draper, VA Mecklenburg & Halifax Counties, VA Mecklenburg & Halifax Counties, VA

L&M1

950 $137.75

M1; Few L&M2

635 $153.00

L&M1

770 $145.50

Heifers (VQA Tag, Home 60 Raised, Natural & GAP)

Amherst County, VA

L&M1; L&M2

625 $137.75

58 Heifers Heifers (VQA Tag, Home 59 Raised)

New Castle, VA Mecklenburg & Halifax Counties, VA

L&M1

860 $132.25

L&M1; L&M2

600 $138.75

154

159A 159B Total

160 161 161A Total

461

177 8/15/16

Lot # 162

#Hd

Description Location Steers (VQA Purple Tag, Home Patrick Co., VA 78 Raised)

Grades L&M1; L&M2

Avg. Wt.

Price

605 $156.00

THE VIRGINIA CATTLEMAN, SEPTEMBER 2016, PAGE 5

It’s a time-honored tradition in the cattle business that a man is as good as his word and a handshake seals the deal. And in some instances, that’s still a common practice from cattle deals to grazing and hunting leases. But the world and the cattle business is changing and the person you may think you know very well may not be the person you meet when the chips and dollars are down and the financial pain is off the charts. That’s why you need to get it in writing, says Tiffany Dowell Lashmet, Texas AgriLife Extension agricultural law specialist in Amarillo.

Regardless if you have known the person all your life or are just meeting them, a written lease clarifies things, she says.

“You never know what might happen between two folks with an oral lease, even if they are family or the best of friends,” she says. “Lease agreements certainly do not have to be lengthy and complex, but there are some terms you need to include to protect both sides.”

Dowell Lashmet says writing things down can also remind both parties of issues or situations they need to agree on before they shake on the deal.

Some she pointed out include: 1. Forum clause: “If you have a tenant who doesn’t live in your area, you are identifying where you want any legal forum to be if there becomes an issue that requires court action.”

2. Dispute resolution clause: “Suing people is expensive; consider a method of avoiding court and settling the case beforehand through mediation or arbitration. These are two very different things; mediation has a third party involved and if both parties agree to settle, it’s written up and everyone goes home, or if they don’t, they go to court. But in arbitration, the arbitrator hears both sides of the case and then the arbitrator picks a winner and you are done.

Generally you can’t go to court after that. Make sure you know what you are agreeing to.”

3. Fee provision: “If you clarify that in a court situation, the prevailing party can recover

9 Things To Include In Your Ag Lease

attorney fees, you can pursue that, otherwise each are on their own.”

4. Setting a stocking rate: “If you lease me 300 acres and don’t tell me how many cattle I can put on it, I will likely put everything I own on that land.

The landowner wants this term, the tenant probably does not.

Also be very clear on size, weight or animal units allowed.

Be aware that this number may need to change based on drought or wildfire.”

5. Term of lease and cancellation: “There are two typical lease types when dealing with grazing leases – tenancy for term or periodic tenancy. Term has a start and end date, that’s it. Periodic has a start and end date that renews itself unless one party gives written notice.

Make notice of cancellation be in writing. Set a time when the notice is due.”

6. What may be done on the property?: “If limitations are not included on the lease, they don’t exist. Put it in the lease if you want it clarified. Can kids ride four-wheelers? Can anyone hunt or is it for grazing purposes only? Do they have access to corrals or just pasture? Spell out who has hunting rights or you will have a tense situation when deer season opens.”

7. Maintenance of fixed assets: “Who has to maintain things?

Who has to pay for it? You can do whatever you want, but spell it out in the lease. Fences are a big deal. Who is required to maintain those fences and make sure periodic inspections are done?”

8. Hunting leases: In the area of hunting lease pointers, she said to require everyone to sign a lease and waiver. “You want them bound by the terms of the lease, so if they breach one of those terms, you can sue for breach of contract,” Dowell Lashmet says. “But if they didn’t sign a lease, no contract exists for a claim to be based upon. A landowner might consider requiring that no parties beyond the lease may be brought onto the land without written permission from the landowner. “Consider

whether you will allow hunters to bring and utilize tree stands and deer blinds,” she said.

“From a liability standpoint,

landowners may want to tree stands and deer blinds. consider not providing these, “You might also want to clarify due to the number of injuries what weapons and vehicles can occurring each year related to Continued on Page 6.

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PAGE 6, SEPTEMBER 2016, THE VIRGINIA CATTLEMAN

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Rabobank Predicts A Wall of Meat US consumers are facing a wall of meat, and all meat prices over the next couple years are expected to fall with beef taking the largest hit, say analysts at Rabobank. A new report from the Rabobank Food & Agribusiness Research and Advisory group called “Chickens, Cows, and Pigs …

Oh My!” said protein production in the US is projected to grow at a rate of 2.5% annually and then decline to about 1.5% per year. In fact, those analysts say much of this protein production will have to be consumed here at home, ultimately driving prices so much lower by 2018 there could be some industry restructuring, or at least opportunities for some wily producers and meat companies.

They wrote: “We expect U.S. protein production growth of 2.5% per annum through 2018 -- down from 3% in 2015 -with beef being the largest contributor relative to pork and poultry. Trade appears to have stabilized in 2016 thus far; however, we don’t foresee international markets absorbing all of this production growth, thus requiring further increases in domestic consumption toward the all-time peak of the mid-2000s, which will ask a lot of US consumers and will come at the cost of lower prices. “By the end of this expansion cycle in late 2018, we expect a more challenging profit environment across the US meat industry, providing strategic opportunities for those producers with the capital and foresight to take advantage of them.”

Report author and Rabobank senior analyst Will Sawyer added, “While we don’t foresee margins falling to the lows of 2008 and 2009 as prices decline through 2018, any producer considering a possible sale or divestiture should move quickly, as the outlook for margins and valuation multiples isn’t moving in their favor.”

The report also said the next couple years will be difficult for all protein markets due to the strengthening of the dollar.

In particular, they expect the US dollar to strengthen against currencies such as the Canadian dollar, Japanese yen, and Mexican peso, which are the currencies of major trading partners.

The report noted exports continue to be important, though, and offered the example of high-path avian influenza (HPAI) and losses to the poultry industry. “According to our math, after a state is found to have a case of HPAI, that state loses as much as 75% of its export potential as a result,” the report says. The report also noted sagging energy prices in oil exporting countries have in many cases hurt US poultry exports, citing the example of Angola in West Africa, which has cut poultry imports by 40%.

Rabobank analysts called the overall market situation for beef “a real mixed bag.

Australian beef imports are bound to slow as the country’s drought abates, so that will decrease the US supply. In addition, Australian herd rebuilding has helped US exports to Vietnam, South Korea, Taiwan and Hong Kong rise into double digits.

Brazil and Argentina could become significant exporters to the US, but are still facing some regulatory problems, the report said, adding that could change in the future. Further, beef is likely to continue in the next few years as the largest driver of the big three in US protein production.

Overall, the need to consume much of the increases in animal protein at home is problematic, Rabobank analysts said.

“The US is a mature market, with high levels of historically stable protein consumption. In fact, 1.5 percent average annual meat consumption growth

would be the highest threeyear growth rate in the US in a decade,” they said. “And if you take into account the growth

seen in 2015, it would be the consumer preferences, an highest four-year growth rate extremely weak economy, high since the 1970s.” feed costs, plus drought and The analysts noted that changing Continued on Page 8.

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From Page 7. - A Wall of Meat. related beef-herd liquidation all weighted basis, and that beef contributed to a large decline prices will be the major driver of in US protein consumption in that downtrend. The prediction the past decade. In fact, from is based on modeling work done 2005 to 2015, US per capital by Rabobank, which analyses meat consumption fell by 9% historical consumption, income overall, with beef declining by growth, and retail food-price 18% and even chicken losing trends to develop what the 1.4%. “One could argue that the analysts call an “equilibrium expected increase in US protein level” for US animal protein consumption is a result of demand. lower prices competing to bring “Of the three major proteins, we consumption back to historic expect beef to have the largest levels,” the analysts wrote. amount of deflation at retail, “However, the rate of industry to the tune of 22%, followed expansion may very well be too by pork at 7% and chicken at much too fast, as it is unclear 5%,” analysts said. “Relative to as to whether consumers are historic levels of US retail meat willing to exceed the historical prices, this cycle of US protein high point in consumption seen deflation will bring prices back in 2005.” to near-2012 levels, which is The report concludes with the not the worst thing, as feed costs prediction US retail meat prices have generally halved since will decline by 14% by 2018, then.” from 2015 on a consumption2016 - 2017 COVER PAGE PHOTO CONTEST. PLEASE START SENDING IN YOUR PHOTOS. PHOTO DEADLINE ENTRY DEADLINE SEPTEMBER 15, 2016. PLEASE MAIL IN OR EMAIL YOUR FAVORITE PHOTOS IN. P.O. Box 9, Daleville, VA 24038 jdavis@vacattlemen.org ANGUS MEANS BUSINESS. A reliable business partner is difficult to come by. At the American Angus Association®, a team of skilled Regional Managers can guide your operation toward success.

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THE VIRGINIA CATTLEMAN, SEPTEMBER 2016, PAGE 9

VA Angus Beats the Heat At Breeders Show

By Elizabeth Nixon The 55th Annual Virginia Angus Breeders Show was held at the Olde Dominion Ag Complex in Chatham, Va., July 22-24.

A passion for Angus cattle united juniors, their families and Angus breeders from across the state at the Breeders Show, where they enjoyed fellowship and good competition. This year on July 22, the show kicked off with a Community Night at the complex.

There were a variety of things for both children and adults to enjoy including a Certified Angus Beef demonstration, the South Land Dairy Farmers mobile dairy classroom, a bounce house, face painting and area agriculture vendors.

Visitors could also walk through the cattle barn and learn more about showing Angus cattle.

“We decided to add this event to the weekend to

bring more awareness to our community about Certified Angus Beef, Angus cattle and the agricultural industry as a whole,” said Dennis Eastin, cochairman of the Breeders Show.

“Agriculture is a vital industry in our region and we want to make people aware that we have a great facility that supports agriculture-related events.

“We had over 200 people in attendance. Considering the extremely hot temperatures we endured and that it was our first time doing something like this, it was successful.”

The following morning, the Junior Show began and was judged by Scott Shaacke of Manhatten, Kan. Cody Boden of Clear Brook, Va., was named supreme and champion senior showman.

Zach McCall of Greenville, Va., was the champion intermediate showman. Ryan Continued on Page 11.

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From Page 9. - Angus Breed Show.

Borer of Buchanan, Va., was the champion junior showman and Hannah Smith of Churchville, Va., was champion junior novice showman.

The Junior Show supreme champion and also grand champion owned cow-calf pair, Buchanan’s Enamel T311 with a bull calf at side, was shown by Bryce Bowman of Barboursville, Va. The reserve grand champion owned cowcalf pair, PVF Proven Queen 4026 with twin bull calves at side, was shown by Robert Nixon of Rapidan, Va. Cody Boden exhibited the grand champion steer with Buchanan’s Pablo U365. Jake Snyder of Vesuvius, Va., exhibited the reserve grand champion steer with KC’s Take a Chance.

The grand champion bred and owned bull, DCF Prince 1502, was shown by Catie Hope of Berryville, Va. The reserve grand champion bred and owned bull, Ridgeview Stroker Ace 16, was shown by Jenna Hamilton of Buena Vista, Va. Zach McCall exhibited the grand champion bred and owned heifer with MC PVF

Blackcap 5228. Callie Eastin of Gretna, Va., exhibited the reserve grand champion bred and owned heifer with CME Blackbird 505.

Gordon Clark of Gretna, Va., exhibited the grand champion owned female with PDV Princess Kira 366C. Robert Nixon also exhibited the reserve grand champion owned female with PVF Lucy 5054.

Saturday evening, there was a surf and turf dinner and Virginia Angus Association president, John Repair, presented the show dedication to Naomi Smith. In addition, the Juniors presented the Third Annual Virginia Junior Angus Association Embryo Auction. Ten lots including various groups of embryos, a heifer calf pregnancy, semen and a semen tank were sold for a total gross of $22,500. Fifty percent of the sale proceeds went to the Virignia Junior Angus Association and the remaining fifty percent went back to the consignor.

“This event is such a benefit for not only condignors and buyers, but also the juniors,” said Catie Hope, chairman of the Embryo

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THE VIRGINIA CATTLEMAN, SEPTEMBER 2016, PAGE 11

Auction Marketing Committee and newly-elected National Junior Angus Association Board member. “The auction allows juniors to work together to obtain quality embryo packages and then market them. This event gives them numerous life skills along the way.”

In the open show judged by John McCurry of Burrton, Kan., Bryce Bowman once again exhibited the grand champion cow-calf pair. Bo Ashworth of Forest, Va., exhibited the reserve grand champion cowcalf pair with Pine Hill Lucy 401 and a bull calf at side.

The grand champion bred and owned bull, Wood Gambino 5100, was shown by Wood Angus of Willow Spring, N.C. The reserve grand champion bred and owned bull, Silverado Talon 5499, was shown by Silverado Cattle Company of

Orlean, Va. Zach McCall exhibited the grand champion female with MC PVF Blackcap 5228.

Robert Nixon exhibited the reserve grand champion female with PVF Lucy 5054.

McCall’s grand champion female was also named Supreme Champion of the Open show.

Callie Eastin of was named premiere breeder in both the Junior and Open Shows and she also won best six head during the Open Show.

“Other than the heat, this Breeders Show was one of the better shows we have had in some time,” Dennis Eastin said.

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Do the small things that add up into a well functioning system

By: Matt Poore I have spent my whole career working with beef producers to help improve their production efficiency, and doing applied research where information gaps hindered my ability to make good locally workable recommendations.

One thing that has been difficult in this is that each small thing you do (such as having a good mineral program, using an appropriate herd health program, soil testing, forage testing, etc.) makes a difference in your system, but each practice applied by itself makes only for small improvements. That fact makes it hard to show research that proves each of these things we “recommend” really will have an impact.

One of the barriers to beef producers adopting new practices and technologies is that you don’t usually see a dramatic payback in a short

period of time when you start a specific practice. For that reason, many producers never take the effort to start, and many quit after they try it a little while and don’t see dramatic results.

When you go to a well managed operation and see really good pastures, and healthy and productive cattle it is often difficult to put your finger on just what they are doing right. The answer is that they are probably doing a lot of little things that by themselves don’t make much difference.

However when these practices are all combined and continued for a number of years, the system “blooms” into a well managed operation.

This month I have spent a little extra time at home, walking pastures with my nephews, thinking about our pasture condition, how species composition has shifted, scouting for weeds and trying to decide on how we should

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From Page 12. - Do the Small Thing Add Up?

rotational grazing and the prevention of overgrazing during dry weather. Despite the high fertilizer costs, we have been spoon feeding a little nitrogen on this week where we know that phosphorus and potassium indexes are at least medium, and adding a little additional phosphorus along with the nitrogen where we know from soil tests that phosphorus is still on the low side. We are on clay soils and naturally have sufficient potassium on almost all the pastures.

While adding a little fertilizer is more expensive than it used to be, it is still more economical to use some of these inputs than to leave them off. The important thing at home is not that we occasionally add a little nitrogen to stimulate growth, but that the grass is growing even without any nitrogen and that is from the manure nutrients and legume nitrogen that has built up in the system over the years. We

are using the nitrogen to push a little extra growth where we need the grass for our cows and the yearlings we are finishing for the local beef market.

The big question for me is if there is long-term profitability in the system even when you do everything right, but I do know one thing and that is if we don’t grow much grass, or if it takes a lot of feed and fertilizer inputs to get through each year we might as well hang it up.

I think the key for you as a producer is to make a decision about what your future holds in this business. If you are in it for the long run, start to study and implement these management practices I continually write about. Not all of them are workable for you, but most of them are if you put your mind to it. If you don’t feel you have the time or interest to put management into your system, you should seriously consider whether there is a future in the

THE VIRGINIA CATTLEMAN, SEPTEMBER 2016, PAGE 13

business for you or not. Finding a young person to work with and helping them learn the new management techniques is perhaps your best bet and building a sustainable system.

Having made that little speech, I want to focus on some thoughts on the fertility management issue. If you are in a location where you can get poultry litter count your self among the blessed and use it wisely.

Generally we tend to apply litter to get the nitrogen on the pastures, but by doing so over apply phosphorus and potassium. I have run across a number of producers recently who have either lost their litter source, or that are having a much harder time getting it. If your soil tests show desirable pH, phosphorus and potassium levels then you can continue to do quite well even if you do have to reduce litter applications or go to another nitrogen source.

One thing to consider about fertility management is what time during the year you put the fertilizer on. When I was growing up we used to apply

a big dose of fertilizer in the spring (on fescue pastures) and then grown a lot of grass we could not utilize which had to be harvested for hay and then fed back during the winter.

Often times we had so much to cut that we got behind and then ended up with low quality hay that needed to be supplemented with protein and energy.

This spring fertilization/haying system used to work, but now with the high cost of fuel, equipment, fertilizer, feed and labor it is a very expensive way to do business.

The same goes for warm season pastures. Putting on a big dose of fertilizer and then letting the bermudagrass get way ahead of you is a very inefficient process as it results in a lot of wasted forage and/or low quality hay.

Poultry litter allows you to build up slow release nitrogen in the soil and that is another blessing.

In systems where litter is not available, we will have to think in terms of applying lower levels of fertilizer and working hard to get it on grass that is of the ideal height to grow

aggressively and just ahead of a rain. We also need to time it so that we keep growing grass just in time for when we need it. Again as I think about our system, that means putting most of our fertilizer out in small doses, and especially in the fall to stimulate growth for winter grazing.

Let’s seriously consider the nutrients that a cow eats and excretes back to the pasture.

During a typical year a cow consumes approximately 200 lbs of nitrogen, 60 lbs of phosphate, and 160 lbs of potash. Of that approximately 180 lbs of nitrogen, 50 lbs of phosphate, and 150 lbs of potash are returned to the soil as urine and feces. If you had to go out and buy those nutrients as fertilizer with today’s prices it would cost you about $250!

Where those nutrients end up will make a big difference in the economic survival of your system. In a rotational grazing system where cattle are moved frequently (every 1 to 3 days) much of those nutrients will go Continued on Page 14.

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From Page 13. - Do the Small Thing Add Up?

where they can do some good.

In a continuous grazing system, many of those nutrients will go where they can’t do any good as cattle tend to loaf in the same general areas day after day.

Once you get into the winter feeding season, if you feed on the same spot year after year (like right inside a gate nearest to the barn) then many of those hay nutrients that are converted to manure (plus the wasted hay) will build up year after year on that same spot and again, they will not do you any good. Keep your eye on where that feces is going while cows are grazing and do what you can to get them to put it on growing grass. When you feed hay, either unroll the hay in a new spot each day, or move your feeding rings around so you can get better utilization of those nutrients. Of course there is a trade off with tearing up a lot of pasture feeding vs. damaging a small area, but with these higher fertilizer costs, it shifts the balance to spreading out the feeding.

Nitrogen in manure and urine will in general not be as efficiently captured as the phosphorus and potassium simply because it will volatilize, but the P and K will stay put and eventually as the system ages you will build fertility and can then spoon feed a little nitrogen on, and/or do your best to keep legumes in the system, and will be able to grow some inexpensive grass at times when it does rain like it has recently.

As you ponder whether this business is still for you, study on what has happened to input costs.

The cheap fertilizer and lime that used to make it easy to grow a lot of grass, the inexpensive equipment and labor that made cheap hay available, and the low cost of feeds that could be put out to make up for poor quality forages are pretty much gone.

What we still have is our interest and management ability to do all those little things that even without a lot of expensive inputs allow you to grow grass and raise good cattle.

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A DIRT ROAD DIARY - Life.

young return to the safety of a roadside pond. They collect their new neighbor’s wandering pets, feed them until they are picked up and refuse compensation. Life has a special meaning to farmers and ranchers; it is the core of their existence.

Under their sometimes tough façade, folks who make their living in the livestock business beat tender hearts. They grieve as they watch the soft florescence of a lightning bug fade as he dies on a windshield. They move turtles struggling They see life come into the world in a to cross busy highways and hold up traf- calf being licked clean by his mother, fic to let a mother goose and her downy and the pecking and peeping of a chick

THE VIRGINIA CATTLEMAN, SEPTEMBER 2016, PAGE 15

struggling to break its way out of a hard shell. They see life leave the world with a mama cow’s confused bawling as she searches for her still born calf, or the last breath as the vet’s syringe finds a vein.

Life is precious to these folks. Enduring rain and snow, heat and cold are just part of daily routines of assuring their animals’ welfare. Social gatherings, rec-

reation, and vacations take a back seat to the needs of the animals. Discomfort, danger, and even death are the hallmarks of the devotion to the calling of animal husbandry.

You won’t hear the voices of the livestock community amid the clamor of the squabbling of whose lives matter most.

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PAGE 16, SEPTEMBER 2016, THE VIRGINIA CATTLEMAN

Five things you should know about round-bale feeding

There exist so many variables in round bales as a feedstuff that common pricing by the bale or by some guesstimate of tonnage is seriously flawed.

Further, these variables together with feeding inefficiencies make cost-effectiveness of hay feeding even more difficult, says Derrell Peel, Oklahoma State University livestock marketing specialist.

Peel recently authored a pair of stories on wise purchasing and use of round bales as a feedstuff, and he offers these four remedies, plus some added tips for good hay management.

Size matters Round bales are often priced by the bale but the amount of hay in a bale depends on bale size and density. For example, assume a 5x6 round bale (5 feet wide and 6 feet in diameter or height) is priced at $52.50 per bale. If the bale weighs 1,500 pounds, the price is equivalent to $70 per ton. A comparable 5x5 bale with equal density would weigh 1,046 pounds and be priced at $36 per bale to have a value of $70 ton. A 4x5 bale with equal density would weigh 833 pounds and would be priced at $29 per bale to equal that same $70 per ton of forage.

Density matters The density of round hay bales varies considerably and typically ranges between 9 and 12 pounds per cubic foot (lb./ ft3). In the example above, the bales are assumed to have a density of 10.61 pounds per cubic feet. But bale density varies depending on the type of forage, adjustment of the baler and skill of the baler operator.

Bales with lower density weigh less. They also are more difficult to handle and transport, and they have more storage losses. If the 5x6 bale in the example above has a density ten percent less (9.55 lb./ft3), the bale weighs 1,350 pounds while a density 15 percent less (9.02 lb./ft3) results in a bale weight of 1275 pounds. If the 5x6 bale is priced at $52.50/bale, the resulting perton price increases to $78 and $82 for the lower-density bales as we just outlined, Peel notes.

Subtract storage losses Round bale use inevitably results in storage and feeding losses. Hay loss with round bales varies widely depending on storage and feeding management, Peel says. Wellmanaged bale storage and feeding might limit losses to 10% but combined storage and feeding losses frequently range up to 50% or higher. There is a lot of good research on this.

Round bales stored outside, uncovered and on the ground and fed in unrolled, exposed bales or in simple open-sided ring feeders will have the biggest losses, easily 30 -50%.

In contrast, bales stored inside or covered, off the ground and fed unrolled or in cone-style feeders can limit losses to 5-15%.

Subtract feeding losses The amount of hay actually consumed by cows drops dramatically with increased storage and feeding losses. At 10% loss, hay consumption is 1,800 pounds for each ton of hay; at 25% loss, hay consumption is 1,500 pounds and at 40% loss, hay consumption is 1,200 pounds, Peel says. From a cost standpoint, this makes big differences. At $70/ton, storage and feeding losses increase the effective hay price to $78 per ton for a 10% loss); $93 per ton for a 25% loss, and $117 per ton for a 40% loss. “Storage and feeding losses combined with low bale density increases hay price further,” Peel says. The low-density bale mentioned above -- 5x6 at 1275 pounds, priced at $52.50 per bale --

results in a hay cost of $91 per ton with a 10% loss; $110 per ton with a 25% loss; and $137 per ton with a 40% loss. “The combination of low bale density and high storage and feeding losses result in actual hay cost nearly double ($137 versus $70) the stated per-ton price of hay in this example,” Peel says. It’s the same whether hay is purchased or produced, Peel notes. “Without knowing the weight and the storage and feeding losses associated with round bales, producers cannot possibly know the true cost of hay nor manage the quantity of hay consumption and cow herd nutrition,” he says.

Put a value on quality The cost of hay also heavily depends on the pounds of crude protein and energy delivered to

the cow, Peel says. Considering the variety of forages harvested as hay, the management and condition of the forage, baling conditions, and quality degradation during storage, this is a highly variable feedstuff.

An example is well-fertilized bermudagrass, harvested early, will have 12-15% crude protein, with total digestible nutrients (TDN) over 55%. Crude protein in under-fertilized, mature bermudagrass will drop below 6%, with TDN less than 50%. Prairie and meadow hay typically has crude protein values of 6-9% and TDN of 5052%. If harvested late and very mature these values may drop to 4-5% for crude protein, with TDN below 50%.

Continued on Page 17.

v Selling 25 Performance Tested i50k Profiled Bulls. Eight bulls are coming twos; remainder long yearlings. Sires represented: Ten X, Traction, Early Bird, Discovery, Consensus, All In, Advance, Progress, Ingenuity, Prophet, Black Granite, & Generation v Also selling 20 Angus females and one elite donor/embryo package v Educational Speaker: Kelli Retallick, Genetic Service Director, American Angus Association, “Breeding Cattle in a Genomic Era” at 10:30am v More details on individual bulls at website: www.millergustinangus.com Sale Managed by: Tom Templeton (540) 421-8341 Miller Farm LLC Craig Miller (540) 820-9818 cnkcfarm@comcast.net

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5510 Rawley Pike, Harrisonburg, Virginia 22801

From Page 16. - 5 Things to Know.

Considering many nutritionists say rumen fermentation may be compromised at levels under 7% crude protein, this presents problems.

A 1,400-pound beef cow in the middle third of pregnancy on dry forage and hay, eating 23 pounds of forage per day, could not get the 1.6 pounds of crude protein she needs each day from these lower values (23 x 0.06 = 1.38 pounds). Once she calves, those needs go up to 3.1-3.9 pounds of crude protein, depending on her milk production. Peel says round bale technology is obviously convenient and saves labor, but this may have brought the industry to a poorer state. “Unfortunately, the convenience of round bales has also frequently encouraged production of low quality hay and poor storage and feeding management,” he suggests.

As a possible sign of this, hay production per beef cow has more than doubled in the past 40 years in Oklahoma, he adds. “It appears that now significantly

more hay is wasted and that poor pasture management has increased the number of days that cows are fed hay.”

Optimize hay feeding Peel suggests four ways to make the best of round bale feeding.

• Manage pastures to extend grazing and minimize hay needs.

Consider stockpiling pasture for fall and winter grazing.

Feeding hay costs 2.5 to 5 times as much as grazing. Every day that cows graze instead of receiving hay will save 50 cents to $1.50 per head in feed costs.

• Know the quantity and quality of purchased or produced hay. Buy tons of hay… not bales. Weigh it and test it.

• Know how much hay cows are actually eating.

Measure storage and feeding losses in order to know actual consumption and the true cost of

THE VIRGINIA CATTLEMAN, SEPTEMBER 2016, PAGE 17

your hay.

• Calculate the cost of hay nutrients compared to other supplemental feed sources.

Projected record grain crops mean energy and protein from other feed sources will likely be cheaper this winter.

Supplements using grain and/ or byproduct feeds may actually be less expensive than poor quality hay.

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PAGE 18, SEPTEMBER 2016, THE VIRGINIA CATTLEMAN

Ready for a gourmet burger at Golden Arches?

By: Chuck Jolley, Jolley & Associates SARAH Whitten, social media writer for CNBC, ran a headline on a story that should get the foodies doing a double-take: “McDonald’s Franchisees Fear Fresh Beef Push Is Food Safety Disaster in the Making.”

Here’s some background on the matter. McDonald’s has always been the king of the frozen beef patty. Every Big Mac you’ve ever eaten — or regretted eating — came into the store as a frozen nugget of beef, a hockey puck of a thing that’s almost indestructible. In fact, if you’re playing a pickup game of hockey and discover that no one brought a puck, you can pick up a reasonable replacement by making a strange request at the nearest drive-thru: “One all-beef patty. No special sauce.

Hold the lettuce, cheese, pickles and onions. Keep the sesame seed bun. No cooking necessary, please. Just give me the meat — cold, hard and straight out of the freezer, please.”

It’s a system that has served the chain well. Recalls have been as rare as a good burger used to be. Even after serving billions and billions (imagine hearing that said in Carl Sagan’s voice) of burgers, the chain has a remarkably good bill of health. The reason behind McDonald’s success is simple: The company holds its suppliers to extremely stringent sanitary requirements — think clean room environments that would be the envy of computer chip manufacturers.

It’s true that freshly formed, never-frozen beef patties — the stuff of Wendy’s burgers from the very beginning — are what some consumers demand.

McDonald’s customers are not those consumers, though.

They’re not passing under the Golden Arches for a gastro-pub experience. They aren’t seeking out a $25 wagyu beef burger garnished with pink Himalayan sel de mer. They want it hot, cheap and right now. Food safety is important, too; they aren’t looking for an evening embracing the porcelain throne.

Whitten wrote about franchisees who were concerned that a major change to the chain’s operations could give way to a major food safety disaster. They’re also afraid that the changeover to fresh beef will “not only impact the speed at which burgers could be served but open up the chain to potential foodborne illness outbreaks.”

Whitten quoted one franchisee as warning about “an uncaring employee doing something that puts the entire system at risk. We are the lightning rod. Chipotle will be a walk in the park if we have an incident” — a reference to the foodborne illness outbreaks at Chipotle stores over the winter.

McDonald’s has been testing the success of fresh ground beef patties in Dallas, Texas, for about a year, and a decision on whether or not to try rolling them out to the rest of the world might be imminent. Let’s consider the trade-offs. Will the perception of quality be important to the chain’s core audience? Will potential production slowdowns cause those same folks to walk across the street to visit a nearby Burger King? Will the noise made by a minority affect the decisions for everyone else?

Therein lies the real stumbling point of this industry (and every

other industry, too). Listening to the vocal few — especially those who aren’t likely to buy your product — and following their lead often leads to business failure. McDonald’s might do better talking with its lunch pail patrons instead of hanging out at the burger bar at Ruth’s Chris Steak House. What’s important to a consumer who wants a

quick meal and is paying for it McDonald’s.” out of his own pocket is a lot different from the guy buying $25 burgers for his business acquaintances and putting it on his expense account.

Whitten wrapped it up with an apt quotation from one McDonald’s franchisee, who said, “The only ones who care are the ones who don’t eat at

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Trump looks to drum up support in rural America

By: Jacqui Fatka, Feedstuffs Republican presidential candidate Donald Trump is pulling in a wide range of advisors representing rural America to help surge his candidacy forward. On August 16th, he announced a list of more than 60 individuals from across the country ranging from influential farmers to state and national congressional members.

The Agricultural Advisory Committee is being chaired by Charles Herbster, a rancher from Nebraska. Sam Clovis, national chief policy advisor for the Trump campaign and Iowa resident, has surrounded himself with a team to advance Trump’s agenda which has focused on rolling back excessive regulations and fairer trade.

“The members of my agricultural advisory committee represent the best that America can offer to help serve agricultural communities,” said Trump in a statement. “Many of these officials have been elected by their communities to solve the issues that impact our rural areas every day.” The executive board members will convene on

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a regular basis.

Among the members of the committee include several governors including Terry Branstad of Iowa, Sam Brownback of Kansas, Jack Dalryumple of North Dakota, Dennis Daugaard of South Dakota, Pete Ricketts of Nebraska and Mary Fallin of Oklahoma as well as former governor of Nebraska Dave Heineman, former Texas governor and presidential nominee Rick Perry and Jim Gilmore who previously served as governor of Virginia.

Other notables to the list include Mike McCloskey, chief executive officer of Fair Oaks Farms; Marcus Rust, chief executive officer of Rose Acre Farms; Chuck Conner, chief executive officer of the National Council of Farmer Cooperatives and long-time undersecretary of agriculture during the George W. Bush administration; former secretary of agriculture John Block and several state secretary of agriculture members.

Current House members include Rep. Robert Aderholt Continued on Page 20.

THE VIRGINIA CATTLEMAN, SEPTEMBER 2016, PAGE 19

PAGE 20, SEPTEMBER 2016, THE VIRGINIA CATTLEMAN

Union delegates vote to meet with West Coast employers

By: Krissa Welshans, Feedstuffs More than 100 delegates from 30 West Coast ports from San Diego, California to Bellingham, Washington, who were elected by rank and file members of the International Longshore and Warehouse Union (ILWU), convened in August to consider an employer request to discuss the possibility of an extension to the 2014-2019 collective bargaining agreement between the ILWU and the Pacific Maritime Association (PMA).

“The caucus made a tough decision under current circumstances amid a wide range of concerns and opposing views on how to respond to PMA’s request,” said ILWU international president Robert McEllrath. “This is a directive to go and have discussions with the PMA and report back to the membership, and we’ll do just that, with the wellbeing of the rank and file, our communities, and the nation in mind.”

Nearly 130 agriculture, trade,

From Page 19. Trump (R., Ala.), Mike Conaway (R., Texas), Rodney Davis (R., Ill.) and Bob Goodlatte (R., Va.).

Senate Agriculture Committee chairman Pat Roberts (R., Kan.) is also on the team.

The latest Farm Futures survey shows farmers prefer Republican Donald Trump to Democrat Hillary Clinton in the 2016 presidential race.

Trump led Clinton 73% to 10% in the survey of 1,178 farmers conducted July 18 - August 3, 2016. But one in six growers responding to the survey said they may not vote for either one.

Survey respondents put “none of the above” in third place, with 7%. Libertarian candidate Gary Johnson received 4% of the vote in the survey. Trump started the cycle with 20% of the farm vote, and by the Farm Futures March poll, he was the leader among Republicans with 29% support.

and transportation organizations recently sent a letter to the ILWU and PMA, urging them to begin early negotiations on a new labor contract in hopes of avoiding trade disruptions that occurred during previous negotiations. U.S. Meat Export

Federation (USMEF) said that while there is still a long road ahead for negotiators, the willingness of both parties to explore an early contract extension is encouraging. “It suggests they want to avoid a repeat of 2014-2015, when

many U.S. industries suffered significant losses due to the stalled contract negotiations,” the group added.

The West Coast disruption that occurred for nine months during 2014-2015 cost U.S. exporters of agricultural products

approximately $1.75 billion each month. The American Meat Institute and the National Pork Producers Council estimated the West Coast delays cost each industry $40 million per week.

HUCKLEBERRY BEEF

Production Cow Sale * 1st Saturday each December Commercial Bull Sales Each Spring Out of AI Sires & Dams All Home Bred & Raised Our young stock program makes the difference.

For further information call: Curtis Sowers @ 540-230-6957 Mark Sowers @ 540-230-0177 1145 WILLS RIDGE RD. FLOYD, VA 24091 HuckleberryCattle.com Quality Breeding Stock you can count on!

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8FT Concrete Feed Bunks J and U Bunks are $160-170 Calf Bunks $110 Water Troughs $175 - $250 276-620-1821 All Prices FOB Wytheville, VA, Subject to change.

Lease a Roseda Black Angus bull and become a partner in an innovative branded beef program.Roseda Farm will purchase your Roseda sired calves at competitive prices plus a premium based on your level of management and record keeping. Bulls start at $2500 with bull leases at $1500/season. For information contact: Dean Bryant Roseda Farm 410-472-2697 www.roseda.com roseda@roseda.com

THE VIRGINIA CATTLEMAN, SEPTEMBER 2016, PAGE 21

VIRGINIA SIMMENTAL ASSOCIATION Plan to Attend the Legends of the Blue Ridge Sale to be held at The Pratt Sale Facilty in Atkins, VA on October 8, 2016. See Ad on Page 35 for more information.

VSA Holds Field Day Virginia Simmental Association held a field day at the Virginia Tech Beef Center on July 23, 2016. Simmental breeders from across the state heard talks by Dr. Bert Moore of American Simmental Association, who gave an update on news from ASA and also spoke about genomic enhanced EPDs; VSA member Lynda Stuart, who spoke on her family’s experience with the ASA Carcass Merit Program; and Dr. Alan Strecker of Blue Ridge Animal Clinic, who spoke on embryo transfer and in-vitro fertilization. The youth attendees were given a show cattle fitting demonstration by several Virginia Tech Beef Center student-employees. VSA thanks the Virginia Tech Beef Center, Dr. Dan Eversole, and VSA President Chad Joines for hosting us this year. We also thank Bayer Animal Health for sponsoring our luncheon and all the companies and individuals who donated door prizes.

Field day attendees enjoy information presentations.

VIRGINIA SIMMENTAL ASSOCIATION

Youth Field Day Attendees watching a fitting demonstration.

Dana Campbell, VSA Secretary / Treasuer 4nelsoncampbells@gmail.com 3764 Lowesville Road Lowesville, VA 22967 434-277-9104 * www.virginiasimmental.com

PAGE 22, SEPTMEBER 2016, THE VIRGINIA CATTLEMAN

VIRGINIA CHAROLAIS ASSOCIATION

2015 - 2016 VCA Officers

Our next sale, the 16th Fall Herd Improvement Sale, at Virginia Tech Nov. 5, 2016 @ 1pm

Bill Thompson - President 1295 Park Avenue Clifton Forge, VA 24422 540-968-1987 Kaitlin Smith - Vice President 454 Old Farm Road Lexington, VA 24333 540-463-6778 Deidre Harmon - Secretary 1445 Pipers Gap Road Galax, VA 24333 276-233-8852 Walt Winkler - Treasurer 124 Kindig Road Waynesboro, VA 22980 540-943-6144

more pounds at weaning!

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

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.

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

Every beef producer knows profitability starts with more pounds.

More pounds. More profits.

Simple math.

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D o W h a t Wo r k s

It is time to get your consignments entered for our fall sale. Our 2015 Fall Sales was listed by AICA as the 19th highest average female sale in 2015 with 20 or more lots.

The purebred Charolais you consign should be a quality that will promote your herd and the Charolais breed. This sale has been considered a female sale, but a consigner may now consign one breeding aged bull per each female lot that they consign. Our sales manager again this year is Dennis Adams of Outfront Cattle Service. If you do not receive an invite from Mr. Adams to enter cattle in our sale, please feel free to contact him at 979-229-4472 or outfrontcattle @gmail.com.

If you want Dennis Adams to screen for your consignments, you are encouraged to contact him soon. You may also contact Bill Thompson at 540-9681987 or mountainmeadows@ highland computers.com

Charlottesville, VA, 434-566-2750

M

ountain eadows

William (Bill) Thompson 1295 Park Ave Clifton Forge, VA 24422 CELL 540-968-1987 MountainMeadowsCharolais.com FOR SALE Quality Charolais Embryos

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River Croft Charolais

Breeding Polled - Registered Performance Charolais William and Agnes Anerson P.O. Box 304 Altavista, VA 24517 434-369-5366 “Keeping the commerical producers in mind”

Charolais bulls for most discriminating buyer

Colonial Farms

3/10/14 1:04 PM

Cross Mountain Cattle Co.

Robert Farmer 8030 Greenwich Rd. 124 Kindig Road Catlettt, VA 20195 Waynesboro, VA 22980 540-270-3886 Walt Winkler Gerry Scott 540-379-1975 540-943-6144

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, SEPTEMBER 2016, PAGE 23

Myers Hereford Farm

Master Cattleman Course to be Offered

Virginia Cooperative Extension will be offering the Virginia Master Cattlemen program at two locations in Southwest Virginia this fall. The locations are Abingdon and Stuart. This program will consist of seven sessions that provide essential information for beef producers in the areas of Economics, Genetics, Reproduction, Nutrition, Forages, Herd Health, and Marketing. Participants will receive a certificate as a Virginia Master Cattleman upon successful completion of all seven sessions of the program. The goal of the program is to use the initial sessions as a foundational on which to build more advanced beef educational programs in the years to come. The dates for the Abingdon program are as follows; October 6, 20, 27, November 3, 10, 17, and December 1. The dates for the Stuart are as follows; October 3, 10, 17, 24, 31, November 7, and 14. The class sessions run from 6:30 p.m. till 8:30 p.m.

The cost of the program is $50 per participant. If you are interested in this program please

call Phil Blevins in the Washington County Extension Office at 276-676-6309 or Travis Bunn in the Patrick County Extension Office at 276-694-3341.

December 10, 2016 @ 12:00 NOON Myers Sales Barn - 449 Elmwood Road, Statesville, NC *Selling* 10 Bred Hereford Heifers 20 Open Horned Hereford Heifers 20 Yearling Hereford Heifers 60 Yearling Black Baldie Heifers Myers Hereford Farm 321 Elmwood Rd, Statesville, NC 28625 Home - 704-872-7155 Cell - 704-450-1598

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Email - harrymyers122@att.net www.myersherefordfarm.com Online Bidding Through Cattleinmotion.com

PAGE 24, SEPTEMBER 2016, THE VIRGINIA CATTLEMAN KNOLL CREST FARM JAMES, PAUL, JIM, BRIAN BENNETT 17659 RED HOUSE RD. RED HOUSE, VA 23963 434-376-3567 OFFICE 434-376-7008 FAX JAMES BENNETT - 434-376-7299 PAUL BENNETT - 434-941-8245 JIM BENNETT - 434-664-7935 DALTON G. BENNETT - 434-664-7946 BRIAN BENNETT - 434-664-8309 SCOTT BENNETT - 434-660-7268 WINTERFEILD FARM BARBARA & JASON KNABE 2074 GRAVEL HILL RD DILLWYN, VA 23936 Barbara 434-983-3110 barbaran2teeth@gmail.com Jason 434-547-9878 jasonknabe@gmail.com 2.2 MI. EAST OF U.S. 15 ON 617

FAUQUIER FARM

6470 BEVERLYS MILL ROAD BROAD RUN, VA 20137 HOME 540-347-4343 OFFICE 540-905-2667 NORTHERN VA area CATTLE FOR SALE fauquierfarm@yahoo.com

CEDAR PLAINS FARM

R.E. BALTIMORE, OWNER, MANAGER, FEILD HAND 150 CARTERSVILLE EXT. CARTERSVILLE, VA 23027 HOME 804-375-3071 OFFICE 804-399-7409 “All Cattle Made in America”

MAPLEWOOD FARM

JOHN AND KAREN FLEISHMAN DANIEL AND ELIZABETH 5442 DANIEL CUPP ROAD DAYTON, VA 22821 JOHN 540-421-9511 DANIEL 540-383-1688 jdfdeere@att.net

MOUNTAIN LION MEADOW

TODD, LYDIA, LAYLA, AND LILLY SCOTT 1191 SPRING MILL ROAD CONCORD, VA 24538 434-665-1224 434-993-2502

OAK CREEK FARM

BILLY AND JACKIE KOONTZ 25840 INDEPENDENCE ROAD UNIONVILLE, VA 22567 540-854-6567 oakcreekfarm@gmail.com

POTTS CREEK FARM

JASPER & ALICE PERSINGER, JR. 2917 POTTS CREEK ROAD COVINGTON, VA 24426 540-747-3261 PottsCreekFarm@netelos.net

DOUBLE J FARM, LLC

LOOKING FOR MORE INFORMATION ON OUR FALL SHOW??

VISIT EASTERNSTATESJACKPOT.COM Schedule: SATURDAY, OCTOBER 15

AM - Mid-Atlantic Fall Round Up Junior Hereford Show PM - Shenandoah Classic Open Hereford Show **At the Rockingham County Fairgrounds**

REGISTERED POLLED HERFORDS “QUALITY CATTLE FOR QUALITY PEOPLE” JOHN WHEELER CATTLE IN TRAPHILL, NC HEADQUARTERS: 775 CLACTON CIRCLE EARLYSVILLE, VA 22936 OFFICE: FAYETTEVILLE, NC 910-489-0024 doublejfarm@yahoo.com

DIAMOND “W” FARM

KEN & DORIS WORLEY 25052 RICH VALLEY RD ABINGDON, VA 24210 276-944-3458 CELL 276-356-3458 kworley123@earthlink.net

DEER TRACK FARM

3320 DEER TRACK RD SPOTSYLVANIA, VA 22551 BOB SCHAFFER 540-582-9234 FARM bob@deertrackfarm.com www.deertrackfarm.com “Virginia Finest” Performance Tested Bulls for sale

QUAIL HOLLOW FARM

COTTAGE HILL FARM

MIKE TAYLOR 20 COTTAGE HILL ROAD PETERSBURG, WV 26847 mwta.ylor@frontiernet.net HOME 304-257-1557 CELL 304-668-0580

NORVUE FARM

JACK SHEEHAN 4442 FACTORY MILL RD DABNEYS, VA 23102 PHONE 804-556-4947 EMAIL norvujack@gmail.com

FROGTOWN ACRES

JERRY FUNKHOUSER REBECCA WEBERT 417 FROGTOWN LANE EDINBURG, VA 22824 HOME 540-984-8833 JERRY CELL 540-333-1020 REBECCA CELL 540-333-1019 EMAIL jerry@shentel.net

MEADOW RIDGE FARMS, INC. DOUG & MELISSA HARRISON 2184 HILLYARD DRIVE BROADWAY, VA 22815 540-896-5004 harrisonmeadow@aol.com

SUNDAY, OCTOBER 16

Eastern States Jackpot Show - Open show for all breeds!! **At the Rockingham County Fairgrounds**

And Don’t Forget:

BAY BROOK FARM

RODNEY & BARBARA PHILLIPS 4277 FACTORY MILL ROAD DABNEYS, VA 23102 804-556-3810 rodney@baybrookherefords.com “Hereford Bulls for sale at all times.”

FRIDAY, NOVEMBER 11

Virginia Hereford Association Annual Meeting **Location to be Determined

SATURDAY, NOVEMBER 12

Virginia Hereford Association Mid-Atlantic Fall Bonanza Sale **At the Rockingham County Fairgrounds**

www.virginiaherefords.org

PIONEER FARM

CHARLES, MEREDITH AND OLIVIA WILLIAMS 485 HEREFORD CROSSING FAIRFIELD, VA 24435 herefordxing@gmail.com 540-460-8803

Diane Wilson 6636 Monumental Mills Road Rixeyville, VA 22737 Home - 540-937-3428 Cell - 540-551-2116 QuailHollowHerefords@gmail.com www.QuailHollowHerefords.com

ROCK MILLS HEREFORDS PAUL AND KIM NOVAK 240 THUNDER VALLEY LANE CASTLETON, VA 22716 540-937-5553 rockmillsfarm@hughes.net

HEREFORD HILLS FARM ROY AND KIM DEAN 9311 BRADY LANE HARRISONBURG, VA 22802 540-432-9805 Rdean81333@aol.com

DUNROVIN

DON & SHEILA RICHARDSON 3473 DUNROVIN FARM CROZET, VA 22932 434-823-4438 EMAIL dunrovinva@hotmail.com THICK, DARK RED, HEAVY MILKING COWS DR WORLD CLASS DR MR CONSERVATIVE

LVP LIVESTOCK, LLC KENT FIRESTONE 33525 NEWSTEAD LANE UPPERVILLE, VA 20184 561-603-0133 lvplivestock@gmail.com

THE VIRGINIA CATTLEMAN, SEPTEMBER 2016, PAGE 25

Advanced Master Cattleman Meats Course to be Offered An Advanced Master Cattleman Workshop centering on the meat side of the cattle business entitled “It’s All About The Final Product” is planned for those individuals who have been through the Virginia

Master Cattleman program.

The two day program will be held beginning at 8:30 a.m. on Friday, October 21 and end at 3:00 p.m. on Saturday, October 22. An outline of the program is listed below. Many parts of the program (especially the carcass fabrication) will be hands-on.

Meat Center) · Registration – 8:30 a.m. · Our beef supply Jason Carter Virginia Cattlemen’s Association

· Federal beef inspec- systems – Dr. Scott Greiner tion – VDACS Inspector · What can the VA · Beef safety and han- Beef Industry Council do for dling exercise – Dr. Rob Wil- You? – Virginia Beef Industry liams Council

Beef carcass anatomy · · Beef Cattle Growth · and Factors Affecting Car- – VA Tech Meat Center Staff · cass Composition– Dr. Scott · Beef carcass grading Greiner

Dinner Factors affecting beef

Contiuned on Page 27.

· Fed beef cattle evaluation –Dr. Scott Greiner

Program Day 1 – (Alphin- · Lunch Stuart Animal Science Arena · Demonstration of and VA Tech beef harvest and food safety procedures –MaxQ VAPays Tech Ad Meat 4.625x4.875 Center Staff

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PAGE 26, SEPTEMBER 2016, THE VIRGINIA CATTLEMAN

Flowing Spring Gelbvieh 6235 LEE HWY. ATKINS, VA 24311 CHARLES E. ATKINS OWNER 276-780-3979

MONEY MAING MATHEMATICS:

2+2=5 Add as much as $1,000 over the life of a crossbred cow with planned crossbreeding.

Doug & Sue Hughes 6916 Peppers Ferry Road Max Meadows, VA 24360 lwhf@wiredog.com CELL - 276-620-4271

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Registered Gelbvieh Red and Black Polled Bulls & Heifers 13052 Ivor Rd., Sedley, Va 23878

2157 BLACK LICK RURAL RETREAT, VA 24368 JUDITH A. SWEETEN BRUCE SWEETEN REGISTERED NO. 48890

Alan Diggs 757-328-8161 Milton Diggs (H) 757-859-6118 Milton Diggs (C) 757-328-8459 EMAIL tridlaser@yahoo.com www.wd-trid.com

HOME 276-228-6347 CELL 401- 714-6812

Treble W Ranch

SOUTHFORK FARMS

Registered Gelbvieh Cattle

GELBVIEH & BALANCER CATTLE

17462 Fenton Drive Abingdon. VA 24210

Nathan and Sue Ellen Haver 969 Little River Rd Goshen, VA 24439

Joe & Gwen Wilson 276-628-4163 treblewranch@aol.com

540-460-0526 CELL) EMAIL nathan.haver@yahoo.com

James D. Bennett 434-376-7299

LITTLE WINDY HILL Farms

HANDFULA GELBVIEH

Paul S. Bennett 434-941-8245

Black, Polled, Purebred & Balancer Gelbvieh Cattle Stephen, Vivian, Megan & Caltlin Fanning 7278 East Blue Grass Trail Bland, VA 24315 276-722-2034

17659 Red House Road Red House, VA 23963 Office 434-376-3567 Fax 434-376-7008 Jim G. Bennett Brian R. Bennett 434-664-7935 434-664-8309 Dalton G. Bennett Scott Bennett 434-664-7946 434-660-7268

LAST CALL GELBVIEH Tom Lavelle, DVM 2984 Peppers Ferry Rd. Wytheville, VA 24382 Breeding for a Optimum not a Maximum.

Cell - 276-620-4042

GELBVIEH BREEDERS OF VIRGINIA, INC. 2157 Black Lick Road Rural Retreat, Va 24368

President:: Tom Lavelle - 276-620-4042 Vice President: Bruce Sweeten - 276=228-6347 Treasurer: Judith Sweeten 276-228-6347

REGISTERED POLLED GELBVIEH C.H. Morris & Sons 928 Morris Road Appomattox, Va 24522 Roger L. Morris 434-315-4294 C.W. Morris 434-391-4458

From Page 25. Advanced Meat Master Course. palatability and sensory eval- pleted the Virginia Master Cattleman program will be uation given preference. The cost of Day 2 (VA Tech Meat Center) the program is $50 per partic· Beef wholesale cut ipant. Due to limited space we fabrication lab (forequarter will only be able to accommohands-on in teams) – 8:00 a.m. date the first 20 registrations received. Please make checks · Collect quality and payable to the Southwest VA yield data on carcasses Ag Assn. and mail to Washington County Extension, c/o · Lunch Phil Blevins, 234 W. Valley St., · Beef wholesale cut Suite B, Abingdon, VA 24210. fabrication lab (hindquarter) This program is being · The program will be sponsored by the Virginia Beef held at Virginia Tech due to Industry Council and Virginia the need for slaughter and Cooperative Extension. meat processing facilities and animals to use for the program. Those who have com-

SMITH REASOR Auctioneer

Reasor Simmentals 276-620-3123 skrlkr@embarqmail.com

Calendar of Events 9/3 - NC Fall Harvest Simmental Sale, Union Grove, NC 11/19 - Southwest Cattlemen’s Classic Sale, (Simmental, SimAngus, Galbvieh & Balancer Genetics, SW Bull Sale Faclitiy, Wytheville, VA

THE VIRGINIA CATTLEMAN, SEPTEMBER 2016, PAGE 27

Springwood Livestock Management Services COMPLETE ULTRASOUND SERVICES Cattle & Sheep Repro & Carcass HERD HEALTH, A.I. PROGRAMS Andrew W. Meadows, MS, DVM 1891 Rockdale Road Wytheville, VA 24382 ameadowsdvm@yahoo.com * 540-520-2609

We Feed What We Sell Economically priced and more feed value for your money.

PERFORMANCE FEEDS YOUR PROFITABLE FEED SOLUTION *16% Performance Extra *Soyhull Pellets *Corn Gluten Feed S.G. Spangler Farm Supply P.O. Box 310 Scottsville, VA 24590 434-286-3200 A.W. Tomlin 826 Possum Island Rd. Madison Heights, VA 24572 434-213-5572 Coleman Farm Supply 152 Main Street Appomattox, VA 24522 434-352-7298 West End Feeds 2065 W. Lee Hwy Wytheville, VA 24382 276-620-1821 Donald Price 1058 Turkey Island Rd. Crew, VA 23930 434-294-1772 Angell's Feed & Supply Zonne Angell Nimitz, WV 25978 304-466-3100

SR Ms BU70 sells as lot 40 at NC Fall Harvest Simmental Sale on 9/3/2016 in Union Grove, NC. This coming 2yr old PB Simmental Heifer is an Upgrade Daughter out of an awesome Dream on cow. She is Homozygous Black and sells heavy in calf to ASR Augustus.

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Find the Dealer nearest you:

G & E Feed George Winn Grenta, Va 434-489-4458 Dodd’s Farm Supply 1103 Lynchburg Avenue Brookneal, VA 24528 434-665-7591

Moneta Farm & Home Center Crop Production Services P.O. Stuart Woodford Box 64 11739 Moneta Rd. 501 West Danville Moneta, Va 24121 South Hill, VA 23970 540-297-5558 434-447-7603 Amelia Equipment R.G. Cattle, Co. Tanyard Branch Feed Service, L.P. Stephen Hite Floyd, VA 24091 732 Hite Drive 18085 Genito Rd. Amelia, VA 540-651-8626 Nelson, VA 24580 23002 804-561-5885 Carroll County Coop. Inc. Carroll County Coop. Inc. 201 Meadow Street 505 East Stuart Drive Galax, Virginia Hillsville, VA 24343 276-236-2181 276-728-2912 Frank Walton 222 Smokey Haven Rd. Amherst, VA 24521 434-944-1830

Call toll free 888/777-5912 Family owned and operated Mark Pendleton Jason Pendleton

Hoof N Paws Feed & Farm Supply 35529 Gov. G. C. Perry Hwy North Tazewell, VA 24630 276-322-3604 S&S Feed Kenny Lambert Princeton, West Virginia 304-445-7000

Non bagged bulk feed available for delivery • MUST order a min. of 3 tons • Call for pricing and scheduling 50 Years of Protable Stocker Cattle Operation Visit www.performancefeedco.com

PAGE 28, SEPTEMBER 2016, THE VIRGINIA CATTLEMAN

Beef Council Update Enhancing consumer preference for beef & sustaining Virginia families.

30 Day Food Waste Challenge seeks to add beef education to food waste conversation

SIMPLE CHANGES,

BIG IMPACT. Food waste by the numbers

On August 1, the Beef Checkoff launched the Food Waste Challenge as a collaborative effort between the Beef Advocacy Training and Engagement Team, the Consumer Engagement Team and the Consumer Influencer Team.

The goal of the Food Waste Challenge is to ask participants to join in the fight against food waste by implementing minor day-to-day changes while simultaneously sharing their journey on their personal blogs, Facebook, Twitter, Instagram or other social channels to help create a big impact. The Food Waste Challenge is the Beef Checkoff’s way of challenging users to fight food waste by raising awareness in their communities and making small changes to their daily routine. It will also spark conversations about food safety, meat packaging and storage, and recipe ideation. The campaign promotes beef as a healthy breakfast option, bringing beef into a new daypart, and provides innovative recipes for participants.

40%

of all the food brought home in America goes uneaten. 1

That’s enough to fill a 90,000 seat Rose Bowl stadium every day. 2

Save money by wasting less.

Food waste costs the average American family

$2,500 annually.

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Use what you have.

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Creativity begins with leftovers.

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Need an ally in the fight against food waste?

Try your freezer.

Let’s see how long some of your favorite foods last at the peak of freshness when stored in your freezer properly.

Raw beef, steak and roasts ........................ 6-12 months Cooked carrots and spinach .................... 10-12 months Milk ................................................................. 3 months Bacon .............................................................. 1 month

Did you know...

Cattle help mitigate food waste by eating things like beet tops and bruised and misshapen vegetables?

Join the

Food Waste Challenge and share ideas and images of your commitment to fight food waste.

#WasteLess 1.

2.

3.

4.

5.

Food Waste: The Facts, WorldFoodDay.org, 2015.

Food Waste Facts in the U.S., FoodShift.net, 2014.

Sustainability Executive Summary, BeefBoard.org, 2015.

U.S. Food and Drug Administration, Protecting and Promoting Your Health, 2011.

From farm to fork to farm: Recycling grocery food waste into cattle feed, The University of Georgia College of Agricultural & Environmental Sciences, 2012.

5

4

• The average American family wastes approximately $2,500 in food annually.

• Fight waste with awareness. Did you know that the film packaging used for store bought meats is not moisture-vapor resistant? If the meat you purchase is not wrapped in a heavy-duty film, make it last longer by putting it in a freezer safe bag or container.

• Protein is an essential macronutrient, which means, it’s not just for dinner. Use last night’s steak in breakfast tacos or throw leftover fajita strips in a baggie with your favorite veggies for a well-balanced midafternoon snack.

• Meal prep and menu planning are great ways to waste less food. Do you know how to portion your food?

Take action in the fight against food waste and encourage others to do the same on social media using #WasteLess.

THE VIRGINIA CATTLEMAN, SEPTEMBER 2016, PAGE 29

Research: No Link Between Drug-Resistant Bacteria and OnFarm Antibiotics Use

As controversy continues concerning the use of antibiotics in food animals and the relationship to drug-resistant infections in humans, a team of interdisciplinary scientists at the Medical University of South Carolina and the Charleston VA Medical Center Research Service reviewed published literature for evidence of a relationship between antibiotic use in agricultural animals and drug-resistant foodborne Campylobacter infections in humans, commonly known as campylobacteriosis. According to the 2013 CDC Antibiotic Resistance Threats Report, two of the eighteen pathogens that are of concern in the United States may have a direct link to agriculture – one of them being Campylobacter. Campylobacter can cause foodborne illness when food is not properly handled and cooked, regardless of whether it carries any specific antibiotic resistance. It is of concern because some people infected with Campylobacter develop severe arthritis; while others may develop GuillainBarré Syndrome (GBS), which is one of the leading causes of acute paralysis in the U.S. The study – conducted by veterinary and nutrition scientists and an infectious disease physician – reviewed 195 articles in the U.S., Canadaand Denmark over the past five years and has been published in [volume 56, issue 13] of Critical Reviews in Food Science and Nutrition. Animals included in the reviewed studies were chicken, turkeys, pigs, beef cattle, and dairy cows.

The research team found no conclusive evidence of a definitive link between use of antibiotics in food animals and emergence of drug-resistant Campylobacter.

However, their findings did lead the team to important concerns about Campylobacter. For example, recent cases of Campylobacter infections have been linked directly to drinking raw milk or eating food products made from raw milk. It is important

to note the USDA and FDA do not recommend consuming raw cow’s milk.

Richard A. Carnevale, V.M.D., Vice President for Regulatory, Scientific and International Affairs at the Animal Health Institute (AHI), who funded the study, refers to the medical and veterinary collaborative approach as an “integrated, ‘one-health’ approach.”

“The agriculture community recognizes that there is more that can be done to protect the effectiveness of antibiotics, which is the goal of both the animal and human health communities. By the end of the year, the agriculture community will be in full compliance with the FDA mandates—Guidances 209 and 213—which eliminate the use of medically important

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antibiotics for growth promotion purposes and requires veterinary approval for all remaining uses in feed through the veterinary feed directive,” said Dr. Carnevale.

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PAGE 30, SEPTEMBER 2016, THE VIRGINIA CATTLEMAN

What does McDonald’s sustainability pilot mean for beef producers?

Amanda Radke, BEEF Magazine it

What does sustainability mean really? It depends on who you ask. A beef producer might define sustainability as being able to make a living and support his family. He might also view it from the perspective of the land and the steps he makes toward caring for that land, which will ultimately become his legacy to pass on to future generations. A consumer might place different values on sustainability depending on his priorities. The hipster on the coast might think of sustainability as reverting back to the romantic farms of yesteryear. Another might think of animal welfare when they think of the word sustainability.

And another might think about the feed given to the animals, the antibiotics used and the way the beef was raised to get to her dinner table. Sustainability and the meaning of that hotlydebated word all depend on the values of who you talk to; however, are we getting closer to a true definition?

Retailers are a business, just like ranchers, and so sustainability means listening to their customers and meeting their demands. McDonald’s is one of those retailers that has heard the buzzword “sustainability” and has taken actionable measures to define it and serve their customer base. In 2014, the burger giant promised to serve sustainable beef in its stores by 2016. Two years have passed, and we are seeing McDonald’s vow turn into reality, at least in Canada.

According to Krissa Welshans for Feedstuffs, “McDonald’s recently announced that

successfully achieved a commitment it made in 2014 to source a portion of its beef from verified sustainable sources by 2016, marking a major milestone in its collaborative partnership with the Canadian beef industry to advance more sustainable beef practices and support the global company’s broader aspirational goal to source all of its food and packaging sustainably.

“As one of the country’s largest purchasers of Canadian beef, McDonald’s Canada, through the pilot, tracked the journey of nearly 9,000 head of Canadian cattle, or the equivalent of 2.4 million patties. The cattle spent their entire lives — from “birth to burger” — raised on or handled by verified sustainable operations. Over the duration of the project, 121 cow/calf operations, 34 backgrounders, 24 feedlots, two packers and one patty plant achieved verified status.”

So what do we know about McDonald’s definition of sustainable beef? McDonald’s is the first pilot project to follow the Global Sustainable Beef principles to fruition, and the criteria outlined address “environmental responsibility, animal health, food safety, worker safety, community responsibility and innovation,” according to Welshans.

Despite the fact that the U.S. has the most environmentally friendly livestock industry in the world, the consumer is demanding more. And although McDonald’s asked for producer help in defining exactly what sustainability means, I fear that modern agriculture is

2016 - 2017 COVER PAGE PHOTO CONTEST. PLEASE START SENDING IN YOUR PHOTOS. PHOTO DEADLINE ENTRY DEADLINE SEPTEMBER 15, 2016. PLEASE MAIL IN OR EMAIL YOUR FAVORITE PHOTOS IN. P.O. Box 9, Daleville, VA 24038 jdavis@vacattlemen.org

losing ground in defining and explaining the ways we are already sustainably raising beef to provide to the world.

It’s not too late for us to join in on the conversation; however, times are changing whether we like it or not. We better brace ourselves for a new world where the consumer drives production methods to unchartered territories. Like it or not, consumers determine our success or failure; we can either choose to be a part of the conversation, or we can be left in the dust.

(276) 646-2320 Hours: M-F 8-5 Sat 8-12 1517 HWY 107 Chilhowie, VA 24319

Welcome to the ‘Meat Casino’!

Kelsey Gee, The Wall Street Journal Wild swings in the cattle futures market have prompted some traders to call it “the meat casino.”

In response, the world’s largest futures exchange has refused to list new contracts, leaving ranchers with fewer tools to hedge the $10.9 billion market. CME Group Inc. said that is because trading of physical cattle has become so scant that the futures market can’t get the signals it needs to set prices. The decision to delay new contract listings is the culmination of alarms raised by the exchange and industry groups this year that problems in the physical marketplace have affected futures—a highly unusual meltdown in a market that has attracted more speculators.

Few producers complained as cattle prices surged to record highs in 2014 and early 2015.

But as prices this summer sank to five-year lows, financial strain on the industry has highlighted the extent of the problem.

Revenue from cattle sales is forecast to drop 3.9% this year to $73.6 billion, after falling

5.7% in 2015, according to U.S. Department of Agriculture data.

Live-cattle futures climbed as high as $1.4155 a pound before free-falling to $1.1580 over seven weeks this spring. That represents a more than $10,000 drop in income for a single contract. Many producers have lost money as prices tumbled to a five-year low of $1.07525 a pound this summer.

“Guys like me who have been around a long time aren’t putting as many positions on,” said Dan Norcini, an independent livestock-futures trader in Coeur d’Alene, Idaho. “It’s just not worth the risk anymore, when there’s no rhyme or reason to these price swings.” Through July, futures volume fell 1.9% compared with the same period in 2015, and was down 9.7% from 2014, according to CME data.

Each futures contract represents the obligation to buy or sell 40,000 pounds, or around 35 head, of cattle. While few traders actually deliver or receive livestock, they look to the price of cattle sold at auctions and at feedlots to keep futures prices anchored to the real world. But

DUBLIN FEEDER CATTLE ASSOCIATION GRADED SALES Sale 7:30 PM September 14th & 28th

structural changes to the way cattle are bought and sold have made it harder to see physical market prices.

For nearly a century, meatpackers and producers would haul animals to stockyards and auction barns, to physically buy and sell thousands of cattle almost daily for cash. But over time they found it inefficient and expensive to travel miles with cattle in tow to barter over pennies and nickels per pound, so many buyers and sellers gave up negotiating each day.

The number of participants negotiating prices started to decrease in the 1980s and today, only small number of cash trades—which take place just once or twice a week—serve as a proxy for the base price used by

THE VIRGINIA CATTLEMAN, SEPTEMBER 2016, PAGE 31

the rest of the industry. Most of the cattle delivered to slaughter plants today are priced using a formula that incorporates the cash market value as a base, plus or minus premiums and discounts.

“Someone sells 40 head in Iowa and it has the potential to revalue all the cattle in the nation,” Mr. Albers said.

The deals that do take place between cash market buyers and sellers frequently end up being completed on Friday after the 2:05 p.m. ET close of the futures market. That means financial traders spend most of the week with limited upto-date data. “There is very little underlying information to use,” said David Lehman, CME’s managing director of commodity research. The CME

has listed only one live-cattle contract since March and it is set to expire in October 2017.

The CME has formed a working group with cattlemen to discuss fixes, including ways to increase the number of cash traders. The exchange shortened trading hours for the livestock futures contracts in February to confine market activity to the daytime, when liquidity is higher, after ranchers complained that speculators had too great an impact on prices in the evening trading. “Every aspect of the cattle futures contract is under review to see if there’s a way to redesign so it’s a more effective tool for risk management,” Mr. Lehman said.

The failure to list contracts after Continued on Page 32.

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PAGE 32, SEPTEMBER 2016, THE VIRGINIA CATTLEMAN

From Page 31. - Meat Casino.

October 2017 is a problem for ranchers buying calves this summer. They typically need around 18 months to grow to slaughter weight, meaning ranchers are exposed to possible price swings in the 2017 winter.

Steve Sunderman, a partner at a feedlot in Norfolk, Neb., recalls watching cattle futures prices earlier this year rise and fall by more than one cent in just 15 minutes, unprecedented leaps in a market more accustomed to daily moves of fractions of a penny. The swings made him uneasy about locking in a hedge for his cattle on a Friday, when prices had climbed over $1.15 a pound only to settle at $1.12975, thinking the market would likely climb further.

“You lose confidence in your decision,” he said.

Some in the cattle industry blame high-frequency traders who can place or receive orders more quickly, and with more money, than bona fide commercial hedgers—often located in rural ranching communities.

But CME said that opening up markets to a diverse group of investors, including hedge funds and algorithmic traders, adds liquidity to products like cattle futures, which tend to be more thinly traded than gold or oil. Just 10% of the total volume in live-cattle futures came from high-frequency trading in 2015 for which the latest data is available, the exchange said.

“We need to figure out why the cattle market can go from $1.30 in one week to $1.15, when we haven’t added more cattle to the marketplace,” said Ed Greiman, an Iowa farmer who sells about 100 cattle a week and is leading a cattle-marketing committee at the National Cattlemen’s Beef Association. The solution will have to involve addressing the level of activity in the barns and feedlots, according to cattle industry groups and the exchange.

Some producers are trying to find their own solutions.

Superior Livestock Auction LLC, an Oklahoma City-based livestock-marketing firm, piloted a video auction program to broker sales of slaughter-

ready animals that would mirror sales in the cash markets, showing bids and offers in the middle of the week. Interest in streaming the auction online has been so strong that it has crashed Superior’s website in the most recent sales. “The hope is to add a transparent venue for price discovery,” said Jordan Levi, a cattle feeder based in Oklahoma City who spearheaded the initiative. “It’s not a playground. This is U.S. agriculture, and futures should be a risk management tool.”

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THE VIRGINIA CATTLEMAN, SEPTEMBER 2016, PAGE 33

Corn Silage Might be the Top Feedstuff This Year Even with corn prices way down, good corn silage might be the top ration ingredient for many feeders and backgrounders this year. That’s a recent summary

by Terry Klopfenstein, retired University of Nebraska animal scientist. Speaking at a silage conference in Nebraska earlier this summer, Klopfenstein said in the right scenario, silage can represent a better buy per ton of total digestible nutrients (TDN) than corn or hay. Of course, it all depends on the many variables, he said.

Generally, he assumed the feedlot or backgrounder would be close to the fields to be ensiled, and also that manure would be hauled back out to the same fields once every four years to replace the extra nutrients removed by the

silage, thereby cheapening the cost. Klopfenstein said he and coworkers have conducted four finishing experiments where corn silage was fed at 15% of diet dry matter to supply roughage (about 7.5%) versus silage fed at 45%.

The cattle fed 45% silage gained slower and less efficiently and took more days and more feed.

They adjusted the days on feed to achieve the same total gain.

These data were used for the economic calculations.

Silage price Klopfenstein based silage price on the value of the corn grain in the field, and included a share of corn storage costs, which is about the normal price appreciation from harvest to beginning of the next production year. They also used April’s futures price minus

the basis for Nebraska, resulting in a net price in the field of $2.96, which puts the cost at $25.33 per ton of 38%-dry-matter silage.

The corn price has fallen lower now, of course, but Klopfenstein says the relationships still hold.

Manure value back Typically the value of the plant nutrients in the forage part of the silage is added to the price of the silage. However, in this case, Klopfenstein calculated putting those nutrients back on the fields, which nearly erases those added silage costs. “When credit is given for the manure nutrients, the price of silage is 52% to 55% the price of corn, so silage would be very economical,” he says.

“However, the manure credit includes P at about four times the level needed for annual plant

growth.” They considered three options, but said rotating fields each of the four years is most economical.

Finishing economics In a nutshell, Klopfenstein said for finishing diets, if silage costs 80% the price of corn or less, it should be profitable to feed.

With silage priced at $25.33 per ton in the field and considering four ways of accounting for

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the manure credit and storage losses, the price of the silage into the feed trucks varied from 52% the price of corn to 80.4%.

“Accounting for the manure nutrients has a large effect on the cost of the silage,” Klopfenstein said.

Grower economics

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PAGE 34, SEPTEMBER 2016, THE VIRGINIA CATTLEMAN

From Page 33. - Corn Silage

ALDI’s $57 million project to create 145 jobs in Virginia

Lighter cattle in the growing stage produce fewer manure nutrients, and that affects price and returns but still offers opportunities, he adds. Silage priced to the feed truck is 71-75%

did not have a control group, he calculated the cost per pound of TDN for several feedstuffs.

Because distillers grains with solubles (DGS) has 130% the energy of corn in growing diets, Virginia Gov. Terry McAuliffe announced in August that grocery chain ALDI will invest $57 million to establish a division headquarters and 500,000-square-foot distribution facility in Dinwiddie County that will create 145 new jobs. The announcement comes amid ALDI’s growth plan to operate nearly 2,000 stores by the end of 2018 and serve as many as 45 million customers.

The company currently operates more than 1,500 US stores in 34 states and serves more than 32 million customers each month.

ALDI CEO Jason Hart said his company, which has 32 stores in

the cost of corn, depending upon the amount of silage shrink. The Grower Economics table (Figure 2) reflects the economics using the data from a recent growing experiment by Henry Hilscher, a UNL graduate student and feedlot manager. Cost of gain was 50 cents per pound with 10% silage shrink and 52 cents with 15% shrink.

Klopfenstein said because he

it is the least expensive source of energy when priced equal to corn per pound of dry matter.

In Figure 3, you can see corn silage is 83% to 88% the price of corn. This suggests corn silage supplemented with DGS is an economical way to grow calves in a lot.

Virginia, plans to open another 60 in the commonwealth over the next five years.

The Virginia Economic Development Partnership worked with Dinwiddie County to secure the project for Virginia, which competed with North Carolina. McAuliffe approved a $450,000 grant from the Commonwealth’s Opportunity Fund to assist Dinwiddie County with the project. The Virginia Tobacco Region Revitalization Commission approved $680,000 in Tobacco Region Opportunity Funds. The company is eligible to receive state benefits from the Virginia

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THE VIRGINIA CATTLEMAN, SEPTEMBER 2016, PAGE 35

Lower Fed Cattle Prices to Continue; Commercial Beef Supplies to Rise fluctuations in fed cattle prices, but relatively large supplies of cattle on feed and higher cattle marketings from the previous year have kept fed cattle prices in check through much of 2016.

Beef production This year’s ample supply of beef is primarily driven by year-overyear increases in commercial cattle slaughter and heavy dressed weights. First-half commercial cattle slaughter was estimated about 4 percent higher than the previous year’s slaughter, while dressed weights averaged about 7 pounds heavier than first-half 2015 dressed weights. Commercial beef production for the first half of 2016 was about 5 percent above the previous year at just over 12 billion pounds.

Lower overall feed costs are

expected to encourage feedlot operators to feed animals longer and to heavier weights. USDA raised its forecasts for third-quarter 2016 total cattle slaughter on expectations of larger marketings and slaughter rates of steers and heifers, but the fourth quarter forecast remains unchanged. Forward projections show a continued gain in beef production into 2017 as the increased availability of slaughterready cattle and generally heavier carcasses result in more beef.

Annual beef production is forecast to reach 25 billion pounds in 2016, up 5.3 percent from last year. Total commercial beef production in 2017 is forecast 3.4 percent higher at nearly 26 billion pounds.

L

Beef packers have not had much incentive to bid fed cattle prices higher because of lower cutout values through much of the summer, and the expectation of higher cattle marketings during the second half of 2016 is expected to keep fed cattle prices under pressure, according to USDA. In its August Livestock, Dairy and Poultry Outlook report, USDA predicted lower cattle prices in 2017 due to continued expansion in domestic cattle inventories , which will result in higher slaughter and beef production in 2017 than is forecast for 2016. During July, fed steer prices were quoted approximately 21 percent below the previous year and between 22 and 30 percent below July 2014 levels.

Volatile futures markets may have contributed to some of the

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PAGE 36, SEPTEMBER 2016, THE VIRGINIA CATTLEMAN

Virginia’s Weekly Market Report

July 29, 2016

age 125.84

State Graded Feeder Steers, Medium and Large 1 400-500 lbs 127.00-150.00, mostly 127.00-139.00, average 136.99 500-600 lbs 126.00-142.50, average 135.89

600-700 lbs 111.00-143.00, 700-800 lbs 113.00-121.00, mostly 130.00-143.00, aver- average 118.83 600-700 lbs 108.00-118.50, age 136.28 average 114.33 Slaughter Cows 700-800 lbs 120.00-132.00, 700-800 lbs 106.00-111.50, average 129.39 Boning, 800-1200 lbs, average 109.49 51.00-81.00, average 65.35 State Graded Feeder HeifSlaughter Cows Breakers, 1200-1600 lbs, ers, Medium and Large 1 60.00-79.50, average 67.92 Boning, 800-1200 lbs, 400-500 lbs 121.00-144.50, 60.00-76.00, average 67.13 average 136.96 August 12, 2016

Breakers, 1200-1600 lbs, 600-700 lbs 121.00-150.00, 63.00-74.00, average 69.55 mostly 139.00-150.00, average 138.08 August 5, 2016 700-800 lbs 110.00-131.75, mostly 131.75, average State Graded Feeder 129.20 Steers, Medium and Large State Graded Feeder Heif- 1 ers, Medium and Large 1 400-500 lbs 121.00-155.00, 400-500 lbs 118.00-130.00, mostly 139.00-155.00, average 147.29 average 126.62 500-600 lbs 77.00-135.00, 500-600 lbs 131.00-154.00, mostly 119.50-135.00, aver- average 142.45

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mostly 147.00-157.00, average 152.91 500-600 lbs 101.00-159.50, mostly 146.25-159.50, average 149.06 600-700 lbs 123.00-152.00, mostly 140.00-152.00, average 141.86 700-800 lbs 115.00-147.50, mostly 135.00-147.50, average 138.23

500-600 lbs 116.00-137.00, State Graded Feeder average 129.40 Steers, Medium and Large State Graded Feeder Heif600-700 lbs 104.00-131.00, 1 ers, Medium and Large 1 mostly 111.00-128.50, aver400-500 lbs 120.00-157.00, 400-500 lbs 95.00-144.00, age 117.18

THE VIRGINIA CATTLEMAN, SEPTEMBER 2016, PAGE 37

Virginia’s Weekly Market Report mostly 130.00-144.00, average 137.26 500-600 lbs 85.00-140.50, mostly 130.25-140.50, average 133.29 600-700 lbs 69.00-139.50, mostly 119.00-139.50, average 122.53 700-800 lbs 91.00-124.00, mostly 114.00-124.00, average 118.75 Slaughter Cows Boning, 800-1200 lbs, 56.00-82.00, average 68.84

700-800 lbs 105.00-135.50, mostly 117.00-135.50, average 128.92

Slaughter Cows Boning, 800-1200 lbs, 58.00-77.00, average 67.16

Breakers, 1200-1600 lbs, 58.00-79.00, average 71.17

Playing the slots can sometimes be more predictable

than livestock market prices, fuel costs and even the weather…

Breakers, 1200-1600 lbs, 60.00-77.00, average 69.73 August 19, 2016 State Graded Feeder Steers, Medium and Large 1 400-500 lbs 123.00-159.00, mostly 150.00-157.00, average 152.91 500-600 lbs 120.00-162.00, mostly 139.50-162.00, average 153.46 600-700 lbs 121.00-155.50, mostly 128.00-155.50, average 143.59

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• Options (CME Traded Puts and Calls) • Gasoline, Diesel Fuel (2,000 gal. increments) and Natural Gas (2,500 mmbtu) Options • Private Margin Accounts to Manage Feed Costs • Daily Market Reports and Analysis • Weather Hedging (excessive or insufficient heat, insufficient or excessive precipitation)

700-800 lbs 124.00-149.50, mostly 127.50-149.50, average 139.85 State Graded Feeder Heifers, Medium and Large 1 400-500 lbs 127.00-145.00, average 138.56 500-600 lbs 110.00-149.75, mostly 125.00-149.75, average 138.14 600-700 lbs 109.00-144.75, mostly 116.00-144.75, average 130.34

United Producers, Inc. is a market-leading provider of livestock marketing, credit services and risk management services.

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PAGE 38, SEPTEMBER 2016, THE VIRGINIA CATTLEMAN

Auction

Estate of Leland Flory Springfield Farms Catlett, VA Sat. September 10th at 10 A. M.

Cole Jessee, Photo Taken By: Melody Jessee

Selling Virginia’s Best Farms

Tractors: Farmall 400 w/Fast Hitch & Int. 33A Loader, Farmall 400 w/Fast Hitch, McCormick W-9, Farmall H, Int. Cub w/ Woods 42 Belly Mower.

Trucks & Trailers: 1967 Chevy 60 (Cab-Over) Road Tractor, 1958 GMC 550 Road Tractor, 1976 Int. 1700 Truck w/ Midwest Twin-Cylinder Dumb Body, Fruehauf 20ft. Dump trailer, 20 ton Equipment Trailer (Pintel Hitch) 25 Ton Low-boy Trailer.

Combine: Massey Ferguson 8700 with 13ft.

Ridged Grain Head.

Hay Equipment: Case/IH 1190 Mower Conditioner, 2 Basket Tedder, Vicon 3pt. 4 Wheel rake, Case/ IH 8450 Round Baler(twine only), NH 450 3pt. 7ft.

Sickle bar mower, NH 273 Square Baler w/ NH 54A thrower, NI 175 Hay/Corn elevator (electric, could be PTO) Tillage Equipment: Miller 8ft. Off-set Disc, Pittsburg 12ft. Disc, IH 8ft. Mobile Disc, Graham-Hoeme 7 Shank Pull-type Chisel Plow, Oliver 3X16 Bottom Trailer Plow, JD 3pt. 3X16 Bottom Plow, JD 3pt.

2X16 Bottom Plow, Ford 309 2-row 3pt. Corn Planter, Ford 4-Row Corn Planter Also from the Overton Collection: Pequea 24ft. gooseneck Trailer, Big Tex 16 ft. Tag-A-Long Trailer, Carry-on 6X12 Utility Trailer, Kubota L 5740 4X4 Tractor w/ LA 854 Loader ( only 24 hrs) 2- Farmall F30, 2- Farmall F20, Farmall F12, Farmall Super C, Farmall A, Farmall Super A (Demonstrator), Farmall Cub (Demonstrator).

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THE VIRGINIA CATTLEMAN, SEPTEMBER 2016, PAGE 39

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PAGE 40, SEPTEMBER 2016, THE VIRGINIA CATTLEMAN

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