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F&R LivestockResource

Fall 2019 | Volume 3, Issue 1

Your direct source for livestock news and information

Published by Farmers & Ranchers Livestock, Salina, Kansas

In this Issue: 1 Shoving Mother Nature Around

We take a comprehensive look at the hot button topic of climate change. Divisive politics compounds the problem of finding a way forward using objective analysis and understanding incredibly difficult science.

9 Packer Suit Replay

This is a deep dive into a complicated issue that goes directly to the heart of how value-added cattle are marketed. Early this spring, two law firms filed a class action lawsuit against Tyson Foods, Inc., JBS S.A., Cargill, Inc. and National Beef Packing Co., LLC on behalf of R-CALF USA and four cattle ranchers.

14 Alternative Cattle Marketing

ACM’s are tools that emerged as a value-based marketing system evolved. ACM explores multiple marketing options to facilitate price discovery and communicate economic incentives. A direct result of ACM’s precipitated the evolution of a quality revolution that continues to drive consumer demand for beef.

17 What’s Up with Anaplasmosis?

Although recently graduated from K-State College of Veterinary Medicine, Dr. Mark Spare is continuing research into the causation and treatment of a disease that results in significant economic losses in the beef cattle industry.

22 Tyson Fire Clouds Already Weaker Market Outlook

The extreme volatility and rapid downward trend shook anyone with “skin in the game” after the fire at the Tyson plant in Holcomb, Kansas.

25 Bobcat Homecoming

Hooter McCormick finds himself smack dab in the middle of a high school football mascot showdown.

Shoving Mother Nature Around By Wes Ishmael

Much of the debate surrounding global warming focuses on who’s responsible rather than how to respond. Mark Twain was partially wrong when he said that everyone talks about the weather, but no one does anything about it. Turns out, all kinds of folks want to do something about it, at least

when it comes to the climate. “The United States is facing a climate crisis. We must speak that truth, and then we must take bold action to confront the existential crisis before us,” said Senator Kamala Harris (D-CA), in July. “In California and

Continued on page 4 ________________________________________

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F&R Livestock

From the Editor

Resource

Volume 3, Issue 1 Fall 2019 Published quarterly by

Farmers & Ranchers Livestock, Salina, Kansas 1500 W. Old Hwy 40 Salina, Kansas 67401 785-825-0211 • 785-826-1590 (fax) FandRLive.com

find us on Facebook

Facebook.com/FarmersAndRanchersLivestock/

Owner: Farmers & Ranchers Livestock, Mike Samples, Salina, Kansas (785) 826-7884 Editor: Deb Norton, Deb@CogentIdeasInc.com Production Coordinator: Julie Tucker Graphic Designer: Daric Wells Editorial Assistants: Dixie Russell, Dave Cumpton Contributing Editors: Wes Ishmael, Paige Nelson and Micah Samples Contributing Artist: Ted Foulkes Sales Jay Carlson Carlson Media Group, LLC (913) 967-9085

Subscriber Questions:

To be added or removed from our mailing list, contact Julie Tucker, Julie@ CogentIdeasInc.com or (785) 408-1214.

F&R Livestock Resource is published quarterly with mail dates of January 15, March 1, August 15 and October 1 by Farmers & Ranchers Livestock, Salina, Kansas.

By Deb Norton

’Tis the season. Not yet the Christmas season, but it is the season where the pace picks up drastically for all things related to beef production. Cow-calf producers with fall calving cow herds are checking their pastures throughout the day for newborns or problems. Producers utilizing artificial insemination or embryo transfer have rounded up the cows from summer pastures to pregnancy check, and hope they’ve checked all the boxes for adequate forage, health and nutrition, and the result will be a high conception percentage. Registered seedstock suppliers having fall production sales are in the midst of full scale, managed chaos in preparation for a successful payday. The recent Tyson processing fire at Holcomb, Kansas, and other extenuating factors are creating volatility and uncertainty in the markets. There appears to be a lot of trepidation moving into the fall, and more than usual finger pointing. Commodity cattle marketing is based on a reality that the producer has very little control over the market or the price received for their cattle. Regardless of the cattle producer’s marketing strategy, he or she is left with the challenge of managing risk. Controlling input costs and maximizing outputs are starting points, but even that has a point of diminishing

return. We have all heard the old adage, “you can’t starve profit into a cow.” So, what’s left in a producer’s toolbox to manage risks? Actually, more opportunity than ever before. Since the early 1990s, and the first National Beef Quality Audit (NBQA) identified end product dissatisfaction by the consumer and lobbed the proverbial grenade that if, as an industry, we couldn’t or wouldn’t move toward changing production paradigms to improve quality, we could expect a continued decline in consumption. Progressive producers knew the system wouldn’t change without a buy-in from all stakeholders. After years of committees, debates and disagreements, the 800-pound gorilla in the room was lack of transparency and information sharing throughout the supply chain. Another major prohibiting factor was lack of technology and the commercial producer’s access to available technology. Registered producers had the benefit of expected progeny differences (EPDs), but a couple of decades ago, they were largely disconnected from the impact of a “one size fits all” commodity marketing system. Commercial producers lacked a well-defined quality target to aim at, or a marketing system that legitimately and consistently rewarded quality. Commercial producers could purchase a registered bull and hope the EPDs were accurate but they didn’t have access to the same set of genetic evaluation tools as a registered producer. Eventually, progressive stakeholders did buy into the first and subsequent NBQA studies. Although producers and packers seldom ever agree, this time they agreed that creating a marketing system based on value would be a win-win for everyone. After all, the consumer’s voice was getting louder and demanding a better product in the meat case. The system in place at the time simply was not designed to recognize quality, much less improve it. The evolution of a strong value-based marketing system that rewards a higher quality product, commercial producers’ access to genomic tools, and the sharing of information up and down the supply chain has enabled a producer that previously had no control, tremendous risk management opportunity. Value-based marketing has opened wide and diverse options enabling producers to change marketing strategies. Pounds will always matter. Value-based marketing has proven there is a wide differential in the quality and value of pounds. Because information is shared from the processor down the supply chain, producers retaining ownership know even pounds have a maximum threshold

Continued on page 27 ___________________________________________________________________________________

Farmers & Ranchers Upcoming Sales and Events Horse Sales 11th Annual F&R Futurity......................................................................October 11 Fall Classic Catalog Horse Sale............................................................October 12 22nd Annual Fall Colt & Yearling Sale..................................................October 13

Calf Sales....................................................................... October 29, November 5 Buffalo Sale........................................................................................ December 7 Cow Sales............................................October 22, November 19, December 17 Hog Sales........................................................... 2nd & 4th Monday every month Weaned/Vaccinated Sales.... December 3; January 7, 2020; February 4, 2020 Chris Hoffman Estate Cow Sale.................................................... December 10

F&R Advertisers / Page / Sale Date

Produced by

www.CogentIdeasInc.com

Apex Cattle................................................. 26........................................................................................................ November 1 Bieber Red Angus Ranch........................... 20...................................................................................................... November 14 Dalebanks Angus....................................... 27...................................................................................................... November 23 Gardiner Angus Ranch................................11.........................Jan. 27, 2020; April 3-4, 2020; May 11, 2020; Sept. 28, 2020 GeneTrust................................................... 25.......................................................................November 1-2, November 15-16 Hinkle’s Prime Cut Angus.......................... 17..........................................................................................................October 21 Jamison Herefords..................................... 24........................................................................................................ November 1 Kansas Livestock Assoc. Convention....... 10.....................................................................................................December 4-6 Leachman Cattle of Colorado.................... 26........................................................................................................ November 9 Moser Ranch.............................................. 30........................................................................................................ November 1 Profit Proven............................................... 22...................................................................................................... November 25 Spur Ranch................................................. 21..........................................................................................................October 25 Seedstock Plus........................................... 29.................................................................................. October 19, November 2 Sutphin Cattle Company............................ 14................................................................................. October 22, November 19

F&R Livestock Resource page 3


Continued from page 1 ________________________________________

across the country, Americans are already seeing the impact of the climate crisis as unprecedented floods, wildfires, hurricanes and extreme weather events devastate their communities. I’m proud to join my colleagues in this resolution that affirms that the policy of the United States Congress will be based on science fact, not science fiction.” Hold that thought. At the time, Harris, Senator Bernie Sanders (I-VT) and others announced the introduction of a Climate Emergency Resolution (CER) in both

chambers of Congress to declare that the climate emergency facing the planet demands a, “national, social, industrial, and economic mobilization of the resources and labor of the United States,” in order to, “restore the climate for future generations.” “The lawmakers note in the resolution, ‘The United States has a proud history of collaborative, constructive, massive-scale federal mobilizations of resources and labor in order to solve great challenges, such as the Interstate Highway System, the Apollo 11 Moon landing, Reconstruction, the New Deal, and World War II,’ accord-

ing to a news release from Harris’ office. “And that the United Nations Intergovernmental Panel on Climate Change (IPCC) has warned that the global community has little more than a decade to stop the worst impacts of climate change.” Apparently, the projected short fuse for climatic destruction stems from industrious extrapolation of IPPC data presented last Fall, which became the foundation of what’s known as the Paris Climate Agreement. “The Paris Agreements central aim is to strengthen the global response to the threat of climate change by

keeping a global temperature rise this century well below 2 degrees Celsius above preindustrial levels and to pursue efforts to limit the temperature increase even further to 1.5 degrees Celsius,” according to United Nations Climate Change. Never mind the validity of that particular aim, or the data behind it, some (who can be sure in the anonymous ubiquity of the cyber world) got busy with their abacuses, multiplied ‘this’ by ‘something else’, carried the three and came up with headlines like: “Only 11 Years Left to Prevent Irreversible Damage from Climate Change… ”—United Nations “We have 12 years to limit climate change catastrophe… ”—The Guardian “We have just 12 years to limit devastating global warming.”—Vox Incidentally, the Climate Emergency Resolution is also tied to the Green New Deal. A couple of weeks after the aforementioned resolution, Harris and U.S. Representative Alexandria Ocasio-Cortez (D-NY-14) announced the Climate Equity Act, “a draft legislative proposal to ensure that the United States government makes communities on the frontlines of the climate crisis the foundation of policy related to climate and the environment, including the policies to build a Green New Deal…

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Farmers & Ranchers Livestock Commission Salina, Kansas

With the arrival of fall, also comes the daunting task of picking a marketing strategy for those spring calves that are ready to be weaned. For many producers there is always the question of what is more feasible, wean or sell directly off the cow? For producers who are not set up to handle the chores of weaning calves, the decision is easy. But for others, many other factors figure into the equation such as current and future market prices, feed availability, and time limitations the producers have to do a good job. Whether you pick to wean or sell directly off the cow, we hope to offer you some insight on possible sale dates for you to market your cattle. For those wanting to market their calves in late October or early November, we offer two special sales on Tuesday, October 29 and Tuesday, November 5. Both of these special sales start at 11:00 a.m. and sell in the order consigned, making it easy to schedule the gathering and shipping times for the producer. These two sale dates will offer both weaned and unweaned calves from our area producers ranging in size from 400 to 700 pounds. These sales are well attended by a variety of buyers looking to buy ranch fresh calves from our area. If you are looking to add extra value to your calves, being a part of a good weaning program would be the best bet to receive top prices. Just giving the first round of preweaning vaccinations could easily add $5 to $7 cwt to your calf crop. Even the simple task of knife cutting your bull calves versus banding before going to grass is information that can be beneficial to receiving more dollars per pound. Each of these Tuesday calf specials will generally offer 3,000-4,000 head of calves to be sold by a professional staff, in a timely manner. If

the Tuesday schedule doesn’t fit your program, always remember we sell hundreds of calves right along with our yearlings each and every Thursday. Those sales start at 10 a.m. and sell in the order unloaded. “Weaned-Vaccinated Sales” have probably become the most popular calf sales of the winter months. For producers who invest time and effort into vaccinating and weaning, we offer these special Tuesday sales that showcase only cattle that have been vaccinated and weaned over 30 days. They will be held December 3, January 7 and February 4. Each of these special sales start at 11 a.m. and sell in the order they are consigned. Buyers come from all over to these special sales as they know they can “buy with confidence” and get good healthy cattle. Once the calves are sold, or at least a marketing strategy has been implemented, it may be time to focus on replacing unwanted cull cows with bred heifers or young stock cows. There will be four opportunities to buy females and breeding bulls between now and the end of the year. Three normally scheduled Tuesday cow sales will be held October 22, November 19 and December 17. In addition, the Chris Hoffman Estate Cow Sale will be held on Tuesday, December 10. That sale will boast over 1,000 fancy young black Angus cows all Gardiner Angus-influenced from a closed herd. So whether you need to buy or sell your calf crop, or purchase or merchandise bred heifers or cows, feel free to give us a call. We will be glad to help accommodate you with a sale date that best fits your buying or selling needs. As always, we appreciate your past, present and future business.

Upcoming 2019 Special Sale Schedule Horse Sale

Friday, October 11 11th Annual F&R Futurity, 11:00 a.m. Rope Horse Preview, 6:00 p.m. Saturday, October 12 Fall Classic Catalog Horse Sale, 10:00 a.m. Sunday, October 13 22nd Annual Fall Colt & Yearling Sale, 10:00 a.m.

Calf Sales

Cow Sales

All Tuesday Special Sales Start at 11:00 a.m. Tuesday, October 22 Tuesday, November 19 Tuesday, December 17

Hog Sales will only be held the 2nd and 4th Monday of every month starting September 9. Weaned/Vaccinated Sales

All Tuesday Special Sales Start at 11:00 a.m. Tuesday, October 29 Tuesday, November 5

All Tuesday Special Sales Start at 11:00 a.m. Tuesday, December 3 Tuesday, January 7, 2020 Tuesday, February 4, 2020

Buffalo Sale

Chris Hoffman Estate Cow Sale

Saturday, December 7, 11:00 a.m.

Tuesday, December 10

Farmers & Ranchers • 785-825-0211

Mike Samples • 785-826-7884 | Kyle Elwood • 785-493-2901


Fall Classic Catalog Horse Sale Saturday, October 12

Rope Horse Preview Friday Evening n 15 red roan gelding by grandson of CD OLena—ranch n 10 bay grandson of Pep Up Hickory—heel horse Lot 6

n 15 gray gelding by grandson of Mr Trouble Step—ranch

n 16 buckskin gelding grandson of Hollywood Dun It—ranch

n 15 sorrel gelding grandson of Freckles Playboy—cute, rope n 16 red roan gelding by Royal Blue Quixote—HPI eligible

n 08 black gelding by grandson of King Fritz—ranch, rope

n 17 palomino gelding Show Me A Song Joes X Shining Spark—F&R futurity eligible Lot 61

n 2-2017 geldings grandsons of Real Gun

n 14 black gelding by grandson of Strike The Cash—ranch

n 17 buckskin gelding- grandson of Smart Chic Olena—90 days riding n 04 gray mare by Playin Stylish—broodmare

n 13 sorrel gelding by Oak Eyed—ranch, rope n 15 sorrel gelding by Playgun—ranch

n 13 sorrel mare by grandson of Dual Rey—ranch, rope Lot 71

n 10 grullo gelding by High Brow Hickory—ranch, rope

n 14 buckskin gelding grandson of TR Dual Rey—ranch, rope n 15 red roan gelding grandson of Boon A Little—ranch, rope n 16 bay roan gelding by Pep Up Hickory—futurity entry n 15 sorrel gelding by Reminic N Dunit—ranch, rope Lot 77

n 10 bay gelding grandson of CD Olena—heel horse

n 14 sorrel gelding grandson of Playgun—ranch, rope

n 14 sorrel gelding grandson of Real Gun—ranch, heel n 16 buckskin gelding by Blues Orphan Drift—ranch

n 14 bay gelding grandson of Play Gun—ranch, heel Lot 114

Lot 214

11th Annual F&R Futurity $12,000 added money Friday, October 11, 2019, 11:00 a.m.

21st Annual

Fall Colt & Yearling Catalog Sale Farmers & Ranchers Livestock, Salina, Kansas October 13, 2018, 10:00 a.m.

Selling 250 baby colts and yearlings representing great bloodlines like Pat Cowan, Peptoboonsmal, Dash Ta Fame, Dash For Cash, High Brow Cat, Playgun, Docs Hickory, Docs Oak, Paddys Irish Whiskey, Three Dee Skyline, Sophisticated Cat, Shining Spark, Metalic Cat, Two Eyed Red Buck—just to name a few.

These colts and yearlings will be paid up in the 2021 and 2022 F&R Cow Horse Futurity. Come buy your next winner with us on October 13.

Lot 256

Lot 219

Lot 388

Your Kansas Connection for Ranch & Rope Horses

Visit our Website: www.FandRLive.com


Continued from page 4 ________________________________________

“At its core, a Green New Deal must be based on three principles: First, fighting climate change by ending the use of fossil fuels; second, building a clean economy with good jobs of the 21st century, and third, ensuring that no community gets left behind.” Keep in mind, this is after the U.S. Senate rejected a previous New Green Deal resolution.

Divided Views Plenty of folks believe just the opposite, of course: the climate is changing, as it always has, for whatever reasons it does, and its as daft as arrogant to presume that mankind can influence climatic change much, one way or the other. “The ‘scientific community,’ whatever

The Bald-Faced Truth About Hereford genetics It’s obvious – Hereford-sired calves deliver a $51 increase in net profit per cow, per year.* Hereford genetics bring legendary hybrid vigor, improved fertility, feed efficiency and easy-handling docility to your program. Read the research, and see why Hereford heterosis pays off, at HerefordTruth.com.

*Compared to Angus-sired calves. Source: Daley, David A. and Earley, Sean P. Impacts of Crossbreeding on Profitability in Vertically Coordinated Beef Industry Marketing Systems. American Hereford Association. Retrieved from https://hereford. org/wp-content/uploads/2017/02/HarrisHeterosisReport.pdf. 61883-A

61883_A_AHA_Truth_PrintAd_7x9_FRLR.indd 1

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8/28/18 9:15 AM

that is, is in no position to state the world has only 12 years to avert climate disaster. Government scientists, and those in the private sector who conduct research largely funded by government grants, have for years ignored the hard data showing humanity’s contribution to climate change is minimal at best. The proposals to fight climate change will have almost no effect on preventing temperatures from rising, sea levels from increasing, or hurricanes from forming,” says H. Sterling Burnett, Ph.D., senior fellow of environment & energy policy at The Heartland Institute. “Rather these proposals rely on computer models that have been repeatedly shown to be fundamentally invalid for making predictions about the climate, but great for giving power to politicians and bureaucrats who support expanded government control over the economy.” The Heartland Institute is a leading free-market think tank, with the mission of developing and promoting free-market solutions to social and economic problems. They have a long history of debunking political rhetoric. “The term ‘climate emergency’ is a construct in the minds of people who aren’t paying attention to reality and real climate data, but rather looking at projections from computer models. In June 1989, a U.N. official said, ‘Entire nations could be wiped off the face of the Earth by rising sea levels if the global warming trend is not reversed by the year 2000.’ That was based on a model forecast. Here we are 30 years later and those entire nations remain,” says Anthony Watts, a senior fellow at the Heartland Institute. “In reality, sea level data, temperature data, and rainfall data over the past 30 years don’t even come close to supporting these wild prognostications. We’d be better served by real-world decisions than fear based projections.” So, depending on your leanings, either mankind stands upon the precipice of self-destruction by the global warming he’s wrought, or the notion of manmade climate change is a lot of rot. Either way, much of the focus of the debate tends to center on who’s responsible for climate change and how to fix it, rather than how to respond to what science can tell us about climate change relative to the next decade, 50 years and so on. That’s what we’ll attempt in future installments to this Climate Change Series: see what credible science says about where the climate is today, and may be heading, not why, and what that might mean to future agricultural production around the world, especially here in the United States.


Packer Suit Replay By Wes Ishmael

Editor’s Note: Wes Ishmael has never been known to shy away from a challenge! The challenge posed to Wes included digging into the complexity of where the markets are today and the political demands by some to impose regulations that potentially become a disadvantage to a value-based marketing system affecting 80% of harvested cattle. Wes has dedicated his career to ag journalism and is one of the most astute market observers in the industry. Current litigation against the nation’s largest packers sounds a whole lot like previous unsuccessful cases. “It appears that five great packing concerns of the country… have attained such a dominant position that they control at will the market in which they buy their supplies, the market in which they sell their products, and hold the fortunes of their competitors in their hands… ” That’s not from the latest lawsuit against the nation’s largest beef packers (more later). It’s part of the Federal Trade Commission’s (FTC) 1918 report on the U.S. meat packing industry, which prompted the Packers and Stockyards Act of 1921 (PSA). That’s according to the third edition of The Packer and Stockyards Act of 1921— A History of Administration and Enforcement, prepared in 2009 for the Grain Inspection, Packers and Stockyards Administration (GIPSA). The author was S. Brett Offutt, director of the Policy and Litigation Division of the Packers and Stockyards Program. By the way, the five companies the FTC referred to were Swift, Armour, Morris, Cudahy and Wilson. The packers were responsible for harvesting and marketing the vast majority of the nation’s beef supply, just as four packers today ( JBS, Tyson, Cargill and National Beef) account for more than 80% of beef harvesting (GIPSA Annual Four-Firm Concentration Ratio). But, the early 1900s were nothing like today, if history is to be believed. Besides harvesting most of the cattle, according to the GIPSA history, “The report pointed out that the monopolistic position of the Big Five (packers) was based primarily upon their ownership or control of stockyards and essential facilities for the distribution of perishable foods and that control of the stockyards carried with it dominance over commission firms, dealers, cattle-loan banks, trade publications, etc.”

In other words, besides dickering for cattle prices, packers at the time could also set commission charges and fees at the yards, and presumably decide whether or not you could sell your cattle there at all. “The packers’ power is increased by the fact that they control all the facilities through which live stock is sold to themselves,” according to the summary of the 1918 FTC report, in the GIPSA history. “Control of stockyards comprehends control of live stock exchange buildings, where commission men have their offices; control

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F&R Livestock Resource page 9


KANSAS LIVESTOCK ASSOCIATION

CONVENTION

& TRADE SHOW

DECEMBER 4-6, 2019

HYATT REGENCY & CENTURY II | WICHITA

SCHEDULE AT A GLANCE

Wednesday, December 4 4:00 p.m.-6:15 p.m. ~ Trade Show Open 5:00 p.m.-6:15 p.m. ~ Trade Show Welcome Reception 6:30 p.m.-9:00 p.m. ~ Cattlemen’s Banquet, Magician Devin Henderson

Thursday, December 5

Regi

ster o 6:00 a.m.-7:00 a.m. ~ Kansas Beef Endurance Team Run nline 7:00 a.m.-8:00 p.m. ~ Trade Show Open 7:00 a.m.-8:30 a.m. ~ Coffee & Donuts 7:00 a.m.-8:30 a.m. ~ Early-Riser Breakfast 8:30 a.m.-10:00 a.m. ~ KLA Beef Industry University 10:00 a.m.-11:30 a.m. ~ Committee Meetings: Natural Resources; Animal Health & ID 11:30 a.m.-1:30 p.m. ~ Trade Show Lunch 1:00 p.m.-2:30 p.m. ~ Committee Meetings: Tax; Consumer Trends 2:30 p.m.-4:30 p.m. ~ Council Meetings: Stockgrowers; Cattle Feeders; Dairy 4:30 p.m.-6:00 p.m. ~ Trade Show Reception 4:30 p.m.-8:00 p.m. ~ Cattlemen’s Crawl 6:00 p.m.-7:30 p.m. ~ Cattlemen’s Crawl Dinner 8:30 p.m.-10:30 p.m. ~ Cattlemen’s Barn Party with Jared Daniels Band

www.kl

at

a.org

Friday, December 6 6:30 a.m.-7:45 a.m. ~ Coffee with Colleagues 7:45 a.m.-10:30 a.m. ~ Membership Breakfast and Business Meeting CattleFax Market Outlook by Randy Blach

125

YEARS

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Fall 2019

of assignment of pens to commission men; control of banks and cattle loan companies; control of terminal and switching facilities; control of yardage services and charges; control of weighing facilities; control of the disposition of dead animals and other profitable yard monopolies; and in most cases control of all packing house and other business sites. Packer-owned stockyards give these interests access to records containing confidential shipping information, which is used to the disadvantage of shippers who have attempted to forward their live stock to a second market.” In fact, the FTC recommended governmental ownership of the stockyards and their related facilities. Keep in mind, this was a time in history when packing plants were often next to major stockyards, as opposed to current reality where beef packing facilities reside near the densest populations of fed cattle supplies.

Packer and Stockyards Act Today “The Packers and Stockyards Act of 1921, as amended, is designed to insure effective competition and integrity in livestock, meat, and poultry markets,” according to an overview by the National Agricultural Law Center (NALC). “As stated by Congress, the purpose of the Packers and Stockyards Act is, ‘to assure fair competition and fair trade practices, to safeguard farmers and ranchers… to protect consumers… and to protect members of the livestock, meat and poultry industries from unfair, deceptive, unjustly discriminatory and monopolistic practices… ’” according to USDA’s Agricultural Marketing Service. More specifically, the PSA enumerates practices deemed unlawful, “for any packer or swine contractor with respect to livestock, meats, meat food products, or livestock products in unmanufactured form, or for any live poultry dealer with respect to live poultry.” Think here of things like deceptive or discriminatory practices aimed at manipulating prices, restraining commerce and creating monopolies. GIPSA administers the PSA through its Packers and Stockyards Programs. The aim is, “…to ensure fair trade practices and competitive markets for livestock, meat, and poul-

Think here of things like deceptive or discriminatory practices aimed at manipulating prices, restraining commerce and creating monopolies.


“The quality or state of being accountable; an obligation or willingness to take responsibility or to account for one’s actions.”

Gardiner Angus Ranch is accountable. We willingly accept responsibility for the product we produce and the production methods we utilize. The Gardiner Guarantee is the center piece of our customer service program. Henry Gardiner was quick to say, “if you have a problem, WE will take care of it” and that philosophy hasn’t changed. We are constantly asked for advice about cattle breeding, management and marketing. How can we be confident our advice is useful and relevant? In addition to our breeding program, we breed, manage and track our own commercial cattle through feedlots and processing facilities to assess the reliability of our advice and our genetics. Gardiner Angus Ranch is accountable. We believe you should expect accountability from your seedstock supplier. We have four sales each year in an effort to offer bulls and females during the seasons that best fit our customers.

If we can be of any assistance, please don’t hesitate to contact us.

3rd Annual “Early Bird” Bull Sale January 27, 2020

April 3 & 4, 2020

5th Annual “Meating Demand” Bull Sale • May 11, 2020 16th Annual Fall Bull Sale September 28, 2020

Watch the sale and bid live online.

1182 CR Y • Ashland, Kansas 67831 • Office (620) 635-2156 • gar@ucom.net • www.GardinerAngus.com • The Henry & Nan Gardiner Family Mark (620) 635-5095 • Greg (620) 635-0233 • Garth (620) 635-5632 • Grant (620) 635-0382 • Cole (620) 635-0727 • Kayla (661) 747-3824 • Ransom (620) 635-0283 Proud to be a founding member of U.S. Premium Beef. More than $9 million in premiums and dividends have been paid to GAR customers using USPB delivery rights.

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(commission men) operating at the Chicago Union Stockyards brought suit to restrain the Secretary of Agriculture from enforcing the Packers and Stockyards Act because it exceeded the authority under the Commerce clause of the U.S. Constitution.” That suit proved unsuccessful. There have been other high profile legal cases surrounding the PSA, involving everything from definitions of specific terms within the act, to alleged conspiracy by packers to force auction yards to change terms applied to fat cattle, to arguments over production contracts, etc.

Modern Cattle and Beef Marketing Under Trial

try, including fostering fair and open competition and guarding against deceptive and fraudulent practices which affect the movement and price of meat animals and resulting products,” according to the NALC.

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From its beginning, necessary interpretation of PSA language and concepts, not to mention inherent structural differences between livestock sectors, have created plenty of controversy and a bottomless money

trough for litigators. “Stafford v. Wallace (258 U.S. 495) was the first case to test the constitutionality of the P&S Act,” according to the GIPSA history. “It came about when the dealers and market agencies

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In April, two law firms filed a class action lawsuit against Tyson Foods, Inc., JBS S.A., Cargill, Inc. and National Beef Packing Company, LLC. The lawsuit was filed in federal district court in Chicago on behalf of R-CALF USA and four cattle-feeding ranchers from Iowa, Nebraska, Kansas and Wyoming. The suit alleges the nation’s four largest beef packers violated U.S. antitrust laws, the Packers and Stockyards Act and the Commodity Exchange Act by unlawfully depressing the prices paid to American ranchers. The class action lawsuit seeks to recover the losses suffered by two classes believed harmed: 1) cattle producers

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who sold fed cattle to any one of mentioned packers from January 2015 to the present; 2) traders who transacted live cattle futures or options contracts on the Chicago Mercantile Exchange from January 2015 to the present. The suit was subsequently consolidated with two others in the Federal District Court for the District of Minnesota. This current class action suit likely sounds familiar, reminiscent of Pickett vs. Tyson Fresh Meats, Inc. That class action lawsuit was filed in 1996, against IBP, which was subsequently bought by Tyson. In broad terms, the plaintiff claimed that Tyson drove cash fed cattle prices lower through the use of captive supplies, created by acquiring cattle outside of the spot market. Alternative marketing arrangements (AMAs), in other words, tools such as forward contracting, formula purchasing. Initially, in 2004, the court sided with the plaintiffs and returned a $1.28 billion verdict against Tyson. “Following the verdict, the district court granted Tyson’s renewed motion for judgment as a matter of law, ruling that [Pickett’s] evidence is insufficient to support a finding that [Tyson] lacked a legitimate business justification for its use of [marketing agreements]. It entered final judgment for Tyson,” according to the GIPSA history. Ultimately, the matter came to a close in 2006, when the U.S. Supreme Court denied subsequent appeals of Pickett. In between the Pickett case and the current one, AMAs were at the heart of a protracted analysis resulting in the congressionally mandated Livestock and Meat Marketing Study (LMMS), published in 2007. In part, the mandate grew from the 2002 Farm Bill debate and legislation aimed at restricting how packers could procure livestock. Bottom line, for beef, the LMMS concluded that reducing or eliminating AMAs would reduce revenue for producers of feeder cattle, feedlots and packers, while increasing consumer prices for a lesser quality product. Getting rid of all AMAs would result in billions of lost dollars across the beef industry, according to the study’s empirical analysis. “The cost savings and quality

improvements associated with the use of AMAs outweigh the effect of potential oligopsony market power,” according to that report. “In model simulations, even if the complete elimination of AMAs would eliminate market power that might currently exist, the net effect would be reductions in prices, quantities,

and producer and consumer surplus in almost all sectors of the industry because of additional processing costs and reductions in beef quality. Collectively, this suggests that reducing the use of AMAs would result in economic losses for beef consumers and for the beef industry.” Yet, USDA moved forward with

rule making in the 2010—mandated by the 2008 Farm Bill—resulting in what became known as the Farmer Fair Practices Rules. In essence, the provisions enabled producers to file a lawsuit under the PSA without proving injury to overall market competition. It also clouded if, and under what conditions, packers could pay more for some livestock versus others. In other words, the die seemed cast to force packers to pay the same money for every head walking or risk lawsuits. U.S. Agriculture Secretary, Sonny Perdue rescinded the rules last fall. But, following a subsequent lawsuit, USDA is reopening the rule making process. So, the nearly decade-long, convoluted journey of the proposed rules continues.

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Chat with cow-calf producers about beef packers. It likely won’t be long before the conversation encompasses related but disparate issues like concentration, consolidation, captive supplies and the thinning cash market—all part of the evolution of fed cattle marketing and fat cattle buying over the last few decades. For the sake of this article, concentration is defined as the degree to which production is dominated by a few large firms. There’s no question that beef packing in the U.S. is highly concentrated with four firms accounting for about 80% of fed cattle harvest each year. Much of the concentration occurred during the last three decades of the last century as packers responded to waning beef demand. “Meatpacking is a margin business. It has often been called a high-volume, low-margin business,” explained Clem Ward, an emeritus economist and professor at Oklahoma State University, in the Extension bulletin, Packer Concentration and Captive Supplies. “In a margin business, if all meatpackers pay about the same price for cattle, labor, and other inputs, and if they all receive about the same price for the sale of meat and by-products, then their gross margin will be about the same. So the difference between being more or less profitable (i.e. having higher or lower net margin) is their operating costs. Higher cost firms will be less profitable and lower cost firms will be more profitable. To a limited extent, meatpackers do not care whether cattle and beef prices are high or low, only whether or not their gross margin remains about the same or increases over time. If gross margins remain about the same, they can control net margins by managing their costs. During the 1980s and 1990s, one of the driving forces in the meatpacking industry was striving to be a low-cost firm.” Along the way, due to some of the same economic drivers, the feedlot sector consolidated and grew more concentrated, as well.

Depending on how long you’ve been in the business, you remember a few decades ago when less than a dol-

lar separated the price for every head standing in the feedlot each week. This average-price model meant that the cream of the crop received a far lower price than their value, while subsidizing and awarding far higher prices to the bottom suckers. It also meant that beef consumers got what they happened to get. All of that became more apparent with the industry’s first National Beef Quality Audit (NBQA) in 1991. For the first time, the industry had a benchmark for how well its product was performing relative to customer demand. That audit basically indicated that beef was too fat, too inconsistent and too tough to remain competitive. Moreover, the audit identified almost $280 per fed animal lost each year due to quality non-conformities (approximately $7 billion annually) for everything from too much waste and seam fat, to carcasses that were too heavy or too light, to insufficient palatability, to hide defects and injection site blemishes. That was followed by the landmark Strategic Alliances Field Study (SAFS) in 1993 to see if some of the lost dollars identified in the NBQA could be recovered if industry segments worked together, sharing information, rather than against one another protecting their own information. Ultimately, producers clamored for mechanisms by which cattle could be valued and rewarded on the merits of pens and individuals, rather than accept the same average price as everyone else. The result were the alternative marketing arrangements (AMAs) that dominate how fed cattle are traded today, things like formula pricing and forward contracting, which contribute to captive supplies—packers having more supply locked up further ahead of time—and fewer cattle trading in the spot cash market.

Along the way, due to some of the same economic drivers, the feedlot sector consolidated and grew more concentrated, as well.


complete system was less formal and complete in a business model. “Formula operations communicated a necessity to move away from cash market use. Participating in the cash market disrupted operations. Cash market information was often important but participating in that market was a detriment to the business and the cash market information value was substantially less than the value of the formula. No formula operation expressed any interest in returning to the cash market or in marketing any animals through cash markets. The cash market had value in terms of price information but not in terms of opportunity.” That echoes findings from the congressionally mandated Livestock

and Meat Marketing Study (LMMS), published in 2007. “The beef producers and packers interviewed believed that some types of AMAs helped them manage their operations more efficiently, reduced risk, and improved beef quality. Feedlots identified cost savings of $1 to $17 per head from improved capacity utilization, more standardized feeding programs, and reduced financial commitments required to keep the feedlot at capacity,” according to the LMMS volume, Fed Cattle and Beef Industries Final Report. “Packers identified cost savings of $0.40 per head in reduced procurement cost. Both agreed that if packers could not own cattle, higher returns would be needed to attract other investors and that beef quality

AMAs Offer Multifold Benefits “Volume will not return to cash markets. There are strong incentives for individuals to market fed cattle through methods other than negotiated cash trade,” says Stephen Koontz, agricultural economist at Colorado State University, in the executive summary of the Price Discovery Research Project (PDRP). “For those that use that business model, the overwhelming individual economic incentive is to use formulas and forward contracts more and use the cash market less. The cash market has value in terms of opportunities and information, but that value is small.” The PDRP was a multi-year study conducted for the National Cattlemen’s Beef Association several years ago. As more fed cattle trade via AMAs, while using spot cash prices as their anchor, the wonderment then and now is how thin cash markets can become and still discover price effectively. That’s what the PDRP attempted to answer, along with discovering why cattle feeders choose one marketing method compared to another. Based on interviews with cattle feeders and packers who utilize formulas, Koontz says, “These operations could routinely construct $25 per head values associated with formula marketing. Animals and pens were more efficiently managed while on feed. Business operations were more efficient with less overhead. Throughput of animals—percent capacity utilization—was higher. Animals and pens were paid more premiums and fewer discounts associated with carcass characteristics. Costs were lower and revenues were higher. Businesses that made substantial use of cash markets disbelieved this evidence. And well-run cash operations could have similar efficiencies, animal valuations, and overhead but the

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would suffer in an all-commodity marketplace.” Intrinsic within the value and reality of AMAs is that packers can procure more homogenous groups of cattle that fit tighter carcass and

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ic incentive to hit them. Along the way, consumers are more likely to get what they expect. “The producers surveyed that used AMAs identified the ability to buy/ sell higher quality cattle, improve supply management, and obtain better prices as the leading reasons for using AMAs,” according to the LMMS. “In contrast, the producers surveyed that used only cash markets identified independence, flexibility, quick response to changing market conditions, and ability to buy at lower prices and sell at higher prices as primary reasons for using only cash or spot markets.” It’s tough to argue against there being more value differentiation between cattle today than ever existed; value differentiation that extends from fed cattle to the related calves and feeder cattle. More recently, Warren Preston, USDA deputy chief economist, addressed the issue last year, in a report to Congress regarding Livestock Mandatory (price) Reporting (LMR). “In many ways, AMAs are driven by spot markets,” Preston explained. “Fundamental economic forces have driven the adoption of AMAs by industry, specifically to reduce the market transaction costs. Negotiation takes time and effort; two people

haggling face to face over the price of a commodity is costly in price, time, and energy for everyone. Historically, livestock and meat markets have relied on negotiated spot markets for price discovery. But, through the freely available information provided to all market participants through LMR, AMAs can play a larger role in price discovery. “If the market is thin, with few trades, then observed prices and quantities may not represent the bulk of the trade and the underlying market supply and demand conditions. However, while thin negotiated markets are a concern, it does not necessarily mean the negotiated market prices are not representative of overall supply and demand conditions. As described in Mathews, et al. (2015), the volume of negotiated cash transactions has trended downward and the volume of AMAs have trended upward. Studies have shown that negotiated spot and alternative marketing arrangement prices move together…Through the use of AMAs, market participants may not negotiate a price every day, but AMAs will align with market conditions over time. If AMAs became misaligned with market realities, then market participants would simply renegotiate.”

“If the market is thin, with few trades, then observed prices and quantities may not represent the bulk of the trade and the underlying market supply and demand conditions.”


What’s Up With Anaplasmosis? By Mark Spare

is not hard and fast, with stories of young, quickly growing cattle becoming severely sick with anaplasmosis, which can include decreased performance, abortion and death. These signs can be common with adult animal infection, in addition to jaundiced (yellowed) mucus membranes and sclera, aggression, lethargy, respiratory distress, fever and weight loss. These outward signs are all associated with the progressive destruction of the cow’s red blood cells. Your veterinarian may measure the total number

Editor’s Note: Dr. Mark Spare is a 2019 graduate of K-State School of Veterinary Medicine. In addition to vet school, Mark is in the final year of his Ph.d. Program at K-State. Since the summer of 2016, Spare has been conducting epidemiological research relative to anaplasmosis. His research will be the foundation for his doctoral dissertation and, no doubt, greatly contribute to his clinical skills as a large animal practitioner. Raised in a veterinary family and actively engage in the cattle industry throughout his life, Dr. Spare is focused on diagnosis and treatment of diseases that result in significant loss to food animal producers.

What Is It? A disease of cattle caused by Anaplasma marginale which is a Gram-negative facultative anaerobe that infects the red blood cells of host animals. The bacteria takes up residence on the edge, or margin, of the red blood cell (hence the name), and proceeds to replicate in small packets in the cell until the packets rupture out of the cell and the bug can spread to new cells. The red blood cells are recognized by the immune system within the animal’s spleen and the infected cells are destroyed along with the bacteria.

What Does It Do to Cows? The disease can cause many different signs and symptoms in infected animals. Generally, the severity is thought to depend on the age of the animal, with younger cattle showing less severe signs and cattle older than two years showing the most severe signs. As with most biology rules, this

of red blood cells, called a packed cell volume (PCV) and find that a severely affected animal may have a PCV of 12%. The progression in the host animal is a relatively slow process, beginning with a small number of bacteria in the blood—undetectable at first—and increasing over the first one to three weeks of infection, depending on the size of the initial infection. After three to four weeks following the initial infection, the number of bacteria per milliliter (cc) of blood skyrockets to as many as one billion,

and the PCV is decreased to the lowest point. At this time, the clinical signs mentioned above (aggression,

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jaundice and weight loss) become apparent. The death loss experienced following this height of infection may be as many as 30 to 50% of infected animals or 1 in 2 to 3 may die.

How Does It Spread? Because Anaplasma marginale lives in the red blood cell of the animal, any transfer of blood between animals has the potential to transmit the bacteria from infected to naive animals. Commonly referred to as mechanical vectors, needle pokes, calfhood tattoo gun, stable flies and horse flies all have the ability to transfer infected blood components from infected animals to another herdmate. Unlike bovine leukemia virus, transmission via OB sleeve is not likely and not reported in literature. Ticks are a special type of vector, referred to as biological vectors, due to their ability to take the bacteria and multiply it in their mid-gut (GI tract). Ticks can be infected with anaplasmosis, but flies can only carry it. This characteristic is important when considering the amount of bacteria in the environment, region or ranch. An uninfected tick—generally a larvae, nymph or an adult male—can feed on an infected cow and become infected, multiplying and spreading it to the cow that provides their next blood meal. Larvae and nymphs, the first and second of three life-stages, can become infected and carry the infection into the next life stage. Adult males and females can also become infected; only adult males are likely to feed on more than one host (cow). Female ticks cannot spread it to her offspring (all 4-7,000 larvae that are laid following her final blood meal). Not all ticks can be infected. The American Dog Tick is a recognized vector in the state of Kansas. To the south, Oklahoma and Texas will see some of these ticks, but also have the Moose Tick or Winter Tick that can be infected. In the West and Northwest U.S., the Rocky Mountain Tick is a known biological vector. The Texas Cattle Fever Tick is also able to be infected, however these two ticks are largely confined to the Rio Grande buffer zone since the eradication efforts in the south before WW II.

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Where Is It? Although a hot topic in Kansas, anaplasmosis has been present for many years outside areas of stereotypical endemic infection of the southeastern United States. Publications have been made in Montana, Idaho, California and Canada regarding outbreaks of anaplasmosis, or descriptions of cases since 1965. Currently, cases have been reported in nearly all 50 of the United States and the disease is one of the most common tick-borne illnesses worldwide. page 18

Fall 2019

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Many states have performed prevalence studies, or research, to determine where or how much of a disease is present at a certain point in time, to describe the status of their state. Kansas State University performed such a study over the winter from 2016 into 2017. The study was successful due to the massive amount of participation from local veterinarians and producers. Researchers at KSU were able to describe the distribution of anaplasmosis across the state using submissions from each of nine agricultural districts. The disease was present in each of the nine districts. The lowest was 17.4% of herds infected in the west central district, and the highest

level of infection was 87.2% of herds infected in the southeast district. The researchers also utilized a survey to identify any management practices associated with infection status of those herds that participated. Of the management strategies investigated, three were associated with herds being infected; those were prescribed pasture burning, use of insecticide ear tags, and vaccination for anaplasmosis.

Is It Moving? A commonly asked question about the disease is, “Is the disease spreading, and if so, why?” It is a fact that ranchers and veterinarians find anaplasmosis in unexpected regions and cow herds. It

has shown up during all four seasons of the year, and in areas of high and low rainfall. Debate continues on whether climate has an impact on the movement of the ticks (vectors), and the spread of the disease into these unexpected areas. However, the disease has historically been found across the United States where cattle have been grazed and where competent vectors live. These areas include the southeastern states, much of the Midwest, northern and northwestern states, and even Canada has had outbreaks of the disease in the past. This distribution may indicate that the disease follows infected cows more than it follows infected vectors (ticks).

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What Research Have We Done? Excellent research has been performed and published by many different entities and many different facets of this disease and its widespread impact. As mentioned before this includes models showing where the disease is and if it is moving, transmission studies comparing flies and ticks, and several different methods of treatment and prevention. Looking at the studies and the published research, veterinarians and producers must think critically about the differences and similarities between their cow herd and the population included in the study in order to place accurate emphasis on the data. Kansas State University in partnership with Kansas State Veterinary Diagnostic Laboratory and Dr. Dan Thomson’s DocTalk research group, recently conducted a large-scale study to describe the presence of the disease in Kansas. Some readers may have participated in the study when their veterinarian sampled cows at the ranch to screen for the presence of anaplasmosis. Over 900 producers and more than 160 veterinarians participated in the study and the results showed the disease is indeed present in cow herds all across the state, with lower levels in the west and the highest levels in the east. Another study at Kansas State in 2010 examined feeding chlortetracycline to infected Holstein calves and found that they were able to reduce the infection level in calves substantially to the point of testing negative for anaplasmosis. The levels of antibiotic used are illegal to use today, but more research in this area will be pursued. A third study examined cattle comsuming medicated mineral on pasture and found that individual consumption of the mineral is highly variable and leads to very different levels of the drug in individual cows.

What Does This Mean for Me (My Ranch)? This is a disease that refuses to “read the book” when it comes to presentation in a cow herd. Adult animals can live through it with no apparent effects, or they can be severely affected by losing weight, losing pregnancies, or found dead in a pasture with little warning. The best recommendation is to work with a local veterinarian to track clinical signs that could be associated with the disease, and get a solid diagnosis to begin making management choices to mitigate the effects of the disease. One important point to consider is each ranch and each set of F&R Livestock Resource page 19


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Not many tools are available today, and most are controversial in efficacy and utility. Again, working with a local veterinarian can help to sift through the utility of these tools and put strategies in place that have merit in your region. At this time, viable options include judicious use of antibiotics, specifically tetracycline antibiotics. These antibiotics have a bacteriostatic effect on Anaplasma marginale; they do not kill the bacteria outright, but they stop the ability to continue to increase in numbers in the host. Injectable LA-200 or LA-300 are good choices for treatment of clinical cases. They can be used as a mass medication at the labeled dose in the face of an outbreak to stop the development of new cases. It should be noted this injection is not likely to “clear” an animal of the disease. Second, chlortetracycline antibiotics, when fed at legal levels, are efficacious at slowing the development of new cases in infected herds and suppressing the bacterial levels of persistently infected cattle.

Remember, the label for the control of active infection of anaplasmosis is for the hand feeding of 0.5 mg per pound of bodyweight each day for cattle greater than 700 lbs. and 350 mg per head per day for cattle less than 700 lbs. Free choice feeding (loose mineral based) should be in accordance with the labeled products only, and your veterinarian can help suggest if that is sufficient for control in your herd. In order to feed this legally, your local veterinarian should be consulted for a veterinary feed directive (VFD) and he or she will be able to discuss the duration of feeding for best efficacy. Another tool available is a vaccine produced in Louisiana and is provisionally licensed in many states in the U.S., including Kansas. This vaccine has been reported to be safe and has been well received on many operations. Important to note, is this vaccine is utilized to decrease the severity of clinical signs (weight loss, anemia, abortion, death) in vaccinated cattle, but it does not prevent infection. This means that cattle that receive the vaccine, and the initial year booster, are still susceptible to infection with anaplasmosis. Again, working with your local veterinarian is important to consider the economic cost of the disease to your operation and the success of the vaccine in your area.

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Fall 2019


A final tool to consider is conducting diagnostic testing in your herd. The diagnostic tests available today are considerably more advanced and accurate than tests that were available even 25 years ago. Using the available diagnostic tests, there are two important questions that can be answered regarding your operation. The first question is, “Do I have the problem, and are there any infected cattle in my herd?” Remember, those infected cattle pose a risk to the naive or susceptible cattle in your herd by harboring the bug nearby. The second question is, “How big of problem do I have?” This is important to consider when we think about the likelihood of a naive animal becoming infected. For instance, one infected animal out of 100 may not pose as great of a risk for new infection as having 50 or 70 infected animals out of 100. Using diagnostic testing, that single animal could possibly be removed to reduce the risk for the naive animals. These scenarios help to remind us of the importance of the environment. In the case of this disease, something is necessary to transmit infected blood to a naive animal. Tick pressure, fly pressure and needle pokes are all methods of transmission, but they require infected cattle to be a problem.

What Things Do We Not Know? As diagnostics continue to improve, researchers continue to ask good questions about the disease, its significance, and its management. One question that is currently being answered is, “What is the impact of strain and strain development within a herd over time?” Due to the ability of the bacteria to mutate and evade the immune system for a time, these strains can be important indicators for length of time that a herd or individual animal has been infected. Therefore, questions remain, “Do new strains have the same susceptibility to antibiotics?” “Do all the strains produce the severity of infection?” “Are all these strains transmitted the same way and with the same frequency as each other?” New research in this area could impact the long term management of the disease in your herd.

What Research Should Be Done? Another question that remains unanswered for veterinarians and producers is, “Just how big of an economic impact does anaplasmosis have in my herd?” This is an area that academic and private research should investigate as there are examples of the impact of an outbreak in a herd, but few numbers to put with the impact of carrier cattle and the presence of the chronic disease within the herd.

Another question that remains unanswered for veterinarians and producers is, “Just how big of an economic impact does anaplasmosis have in my herd?” In terms of economic impact, cow-calf profitability depends significantly on reproduction, calf performance, and replacement costs (due to premature culling). If these economic factors are

dragged down due to the presence of any disease, intervention should be considered, and anaplasmosis is no different. However, the effects of anaplasmosis are unknown and difficult to

SPUR

tease out from other chronic diseases. This area of research would present a great tool for producers to consider the true cost/benefit of the different management opportunities available for controlling the impact of anaplasmosis in a herd. Bovine anaplasmosis is a significant disease worldwide and close to home. Even though it has been around for a long time, veterinarians, researchers, and producers continue to learn about the disease and its management. As emphasized in this article, veterinarians and producers need to work through the questions and challenges of managing anaplasmosis on the individual ranch or farm, as each ranch has unique challenges and intervention opportunities.

RANCH

Performance Herd of the Heartland Sale Friday, October 25, 2019

1 p.m. at the ranch…15 miles west of Vinita, Oklahoma

Over 500 Head Sell...

140 Registered Angus Performance Tested Bulls 250 Commercial Black Angus Fall-Calving Heifers • 70 Commercial Black Angus 3-year-old Fall-Calving Cows

SPUR FOREMAN 7610

SPUR PROSPERITY 7390

SPUR SURE SHOT 7578

19064079 • 9/30/17 • VAR Foreman 3339 x EXAR Denver 2002B

19066470 • 9/20/17 • Spur Prosperity 1036 x H&H CC&7 0070

19064074 • 11/9/17 • Spur Sure Shot x EXAR Consensus 2825B

CED

BW

+4

+4.4

HP

CEM

+9.1

+13

$Maternal

WW

+88 Milk

+24 $Wean

+41

+75

YW

+162 MW

+115

SC

+1.99 CW

+86

$Feedlot

Doc

+.56

Marb

+1.10

$Grid

+138

Claw

+10

RE

+.93 $Beef

+81

Angle

+.54 Fat

+.001 $Combined

+219

+325

CED

+3 HP

+10.4

BW

+3.7 CEM

WW

+68 Milk

+8

+33

$Maternal

$Wean

+50

+70

YW

+121 MW

+75

SC

+0.38 CW

+65

$Feedlot

Doc

+22 Marb

+.80

$Grid

+120

Claw

+.51 RE

+.68 $Beef

+66

Angle

+.56 Fat

–.030 $Combined

+186

+291

CED

+11 HP

+9.6

BW

+0.7 CEM

+7

$Maternal

WW

+75 Milk

+39 $Wean

+56

YW

+139 MW

+68

SC

+0.46 CW

+68

$Feedlot

+93

Doc

+.57

Marb

RE

+.79

$Grid

+121

Claw

+19

+.87 $Beef

+67

Angle

+.53 Fat

–.019 $Combined

+188

+300

SPUR BRAGGING RIGHTS 8050

SPUR CONSENSUS 8038

SPUR DIVIDEND 8090

19105659 • 1/25/18 • 44 Bragging Rights 4372 x Spur Prosperity 1036

19102194 • 1/28/18 • Spur Consensus 4540 x H&H Success 9165

19105470 • 1/1/18 • Spur Dividend 4270 x H&H Franchise 0061

CED

+10 HP

+9.5 $Maternal

+46

BW

+1.0 CEM

+8

WW

+62 Milk

+21 $Wean

+60

YW

+114 MW

+58 $Feedlot

+103

SC

+1.52 CW

+49 $Grid

+91

Doc

Claw

+18 Marb

+.56

+1.39

RE

+.79 $Beef

+195

Angle

+.60 Fat

+.018 $Combined

+299

CED

+10 HP

+10.9 $Maternal

+56

BW

–0.1 CEM

+12

WW

+69 Milk

+37 $Wean

+85

YW

+132 MW

+63 $Feedlot

+96

SC

+2.49 CW

+59 $Grid

+68

Doc

+10 Marb

+.87

Claw

+.51 RE

+.64 $Beef

+164

Angle

+.52 Fat

–.018 $Combined

+269

CED

+5 HP

+11.6 $Maternal

+64

BW

+1.3 CEM

+10

WW

+61 Milk

+29 $Wean

+70

YW

+107 MW

+46 $Feedlot

+99

SC

–0.01 CW

+46 $Grid

+78

Doc

Claw

+17

+.41

Marb

RE

+.95

+.88 $Beef

+177

Angle

+.52 Fat

–.049 $Combined

+294

Spur Ranch — Grow, Gain & Grade Since 1930 CLAY HARTLEY OWNER (918) 633-2580 cell chartley@spurranch.com JEFF OWEN RANCH MANAGER Mailing address: (918) 244-2118 cell P. O. Box 307 jowen@spurranch.com Vinita, OK 74301 CYNDI OWEN OFFICE MANAGER spurranch.com (918) 256-5850 office

Catalog will be available for viewing on our website and mcsauction.com. To request your mailed copy, please contact the ranch or the sale manager.

incorporated

Matt C. Sims, Sale Mgr. (405) 641-6081, cell/text matt@mcsauction.com www.mcsauction.com

F&R Livestock Resource page 21


Tyson Fire Clouds Already Weaker Market Outlook By Wes Ishmael

Monday, November 25, 2019 • 12 Noon At the Henry & Nan Gardiner Marketing Center At the ranch near Ashland, Kansas

Selling approximately 1,000 commercial females Majority sell with Method Genetics data.

Early Consignors to the Profit Proven Sale John & Lisa Adams Adams Cattle Co. • Plains, Kansas Giles Ranch Co. • Ashland, Kansas Watch the sale and bid live online at LiveAuctions.tv Margie Mayer Rice & Paul Mayer, and SuperiorClickToBid.com. Mayer Legacy • Guymon, Oklahoma Register to bid prior to sale day. Craige Means • Dublin, Texas Daryl Sales, Sales Farms • Valley Falls, Kansas Ross Humphreys, San Rafael Ranch • Tucson, Arizona Roger, James & Jane Skelton, Skelton Beef Company Texhoma, Oklahoma Randall Spare • Ashland, Kansas Kent & Tyler Woolfolk, Woolfolk Ranch, LLC Protection, Kansas

The Profit Proven group represents generations of family owned ranching operations. These commercial cow-calf producers also represent generations of Gardiner Angus Ranch genetics throughout their cow herds. The Profit Proven members are early adapters of using data such as EPDs, artificial insemination and genomic technology as a benchmark for selecting replacements and managing risk in a retained ownership environment. Similar focus on health, nutrition and temperament make this offering an unprecedented opportunity for anyone seeking to make genetic improvement in their present cow-calf operation.

Buy with confidence! For more information, visit MarketMakersBeef.com and look for the Profit Proven cattle selling on Nov. 25. Or, call Mark Gardiner at (620) 635-5095.

Fall 2019

PP 4.5x12.875 4c-Farmers & Ranchers.indd 2

page 22

9/17/19 7:04 AM

“While the impacts of the Tyson plant fire will likely diminish relatively quickly in the next few weeks, feeder cattle markets are still nervous and defensive about the corn market situation, increasingly shaky macroeconomic conditions, and continued global economic turmoil,” explained Derrell Peel, Extension livestock marketing specialist at Oklahoma State University, toward the end of August. “The uncertainty and volatility impacting feeder cattle markets is likely to continue this fall and winter.” That was about three weeks after the August 9 fire that temporarily shuttered Tyson Foods beef processing facility at Holcombe, Kansas, removing approximately 30,000-35,000 head from the nation’s fed cattle harvest capacity. Market reaction was instant, with cattle futures plunging limit-down the first two days after the fire. For perspective, the average five-area direct fed steer price for the week ending August 9 was $111.43/cwt. on a live basis and $182.23 in the beef. October Live Cattle futures were at $106.750; $111.450 for December. Choice boxed beef cutout value was $216.37/cwt. and Select was $193.81. The CME Feeder Cattle Index (FCI) was $141.10. September Feeder Cattle futures were $138.450, with October at $138.250. A week later, the average five-area direct fed steer price was $105.72/cwt. on a live basis and $170.95 in the beef. October Live Cattle were at $98.05 with December at $103.525. Choice boxed beef cutout value was $238.69/cwt. and Select was $213.26. The CME FCI was $136.33. September Feeder Cattle futures were $132.375, with October at $132.850. The divergence between fed cattle prices and wholesale beef values, unsurprisingly, caused plenty of consternation among cattle producers. Ultimately, U.S. Agriculture Secretary, Sonny Perdue announced an investigation. “As part of our continued efforts to monitor the impact of the fire at the beef processing facility in Holcomb, Kansas, I have directed USDA’s Packers and Stockyards Division to launch an investigation into recent beef pricing margins to determine if there is any evidence of price manipulation, collusion, restrictions of competition or other unfair practices,” said Secretary Perdue,

on August 28. “If any unfair practices are detected, we will take quick enforcement action. USDA remains in close communication with plant management and other stakeholders to understand the fire’s impact to industry.” Logic suggests there won’t be much to find.

Markets Work “The market did exactly as I would have expected, doing what it needed to do to fix a serious problem,” Peel says. “Markets manage supply so we don’t run out of things, and we never think about that in this country because we never run out of things because the market works so well.” In this case, markets rationed the lost harvest capacity, as well as the perceived reduction in beef supplies as spot beef buyers competed with packers trying to ensure sold-ahead orders. “With fresh beef production suddenly decreased, boxed beef prices rose sharply to ration a suddenly limited supply,” Peel explained. “With less supply available, the market uses higher prices to determine how limited beef supplies will be allocated. It is a common market reaction. When a freeze hits Florida, orange juice prices begin to rise immediately, not because there is an immediate shortage of juice but to make sure that the current supply continues to be available over time. Markets will never tell a consumer that they cannot have a product but prices will rise enough to convince some consumers not to consume as much of the product at this time.”

Markets Ahead “Core downward pressure on fall 2019 feeder cattle prices was at play before the Tyson fire,” says Glynn Tonsor, agricultural economist at Kansas State University. “For instance, the October CME Feeder Cattle price peaked in mid-April at around $162/ cwt., fell to $132 in late June and was $139 Aug. 8. As of September 5, the contract was trading at $133, reflecting some post-fire recovery. The point is that feedlot margins and associated summer corn market developments put downward pressure on feeder prices that were then extended by the Holcomb fire event.” Likewise, before the fire, Peel and other analysts were expecting calf and feeder prices to drop further below


of wheat pasture and value of gain projections suggested it’s worth cowcalf producers’ time to evaluate the economics of keeping calves beyond usual weaning or shipping times. “I always recommend producers consider their options, and in this case, selling at weaning versus some form of retained ownership is a key assessment worth making,” Tonsor says. “This year, the market (September 5) was projecting values of gain for backgrounding (selling in January) or full wintering (selling in April) of about $83-$93/cwt. Hence, if a producer has cost of gain below this and is comfortable with remaining exposed

to feeder cattle price markets, not selling at weaning in the fall is worth consideration.” Peel believes calf and feeder price impacts from the Tyson fire will be gone by October into November. So, he says you’ve got to consider where the market will be seasonally, realizing the calf crop coming to town this year will likely be as bountiful as last year. “Retained ownership, at least through backgounding or a stocker phase deserves some penciling,” Peel says. “We’ve grown lots of forage this year. A lot of the decision on backgrounding and growing the calves goes back to how you plan to manage

last year, compared to earlier year projections. That was due in part to the spike in early summer corn prices Tonsor mentions. Depending on how wheat pasture prospects develop, Peel believes there could be a brief price bounce for lightweight calves, compared to August and before the heart of the fall run. In other words, rather than 6-7% below last year’s prices, maybe they wind up 5-6% less in that window, he says. “The biggest threat to bigger feeder cattle, and it could filter down to calves, is the corn market,” Peel says. For specific perspective, Tonsor used BeefBasis.com—a tool he highly recommends to producers—to run projection for mid-October prices at Salina, Kansas. As of September 5, the projected prices were $150/cwt. for steers at 550 lbs. and $136 at 700 lbs. “Ongoing pressure on feedlot margins continues to put downward pressure on the feeder cattle market,” Tonsor says. “Any increases in feeder cattle prices would most likely follow from improved fed cattle prices or further reduced corn prices relative to the current situation (September 5).” Even though feeder cattle prices languished and never got the expected seasonal bounce over the summer, Peel expects prices to follow a seasonal pattern going forward. He explains the seasonal for feeder cattle (700 lbs. and heavier) is to bottom in the February-March time frame, then begin climbing toward a peak in July-August, before trailing off into the fourth quarter. “We struggled a lot in May and June, bottomed in July and then saw some seasonal increase until the fire, but then began going back up, although there is probably still some risk premium in the market related to the fire,” Peel says. “The best we can hope for is a little more fire recovery, and then holding things together, depending on the corn market.” Heading into the middle of September, ample forage, the promise F&R Livestock Resource page 23


cow costs.” For instance, there were widespread challenges to putting up hay this summer. He also notes a big corn crop and lower corn prices would dilute stocker opportunity. Incidentally, during a presentation at the early September Barclays Global Consumer Staples Conference, Noel White, Tyson Foods’ president and CEO said, “By the time we get through our Q1, which would be December, we expect that issue (fire) to be behind us and to resume business as usual.”

Cull Cow Prices are Stronger In the meantime, one bright spot for cow-calf producers is the fact that

less cow slaughter and lighter dressed cow weights continue to boost cull cow prices, says David Anderson, Extension livestock economist at Texas A&M University, in a recent issue of In the Cattle Markets. “Prices in the Southern Plains reached their high of the year, so far, at $54.36/cwt. at the end of August,” Anderson says. “That was 12.5% higher than a year ago. There is some good reason to think that prices may continue to be above a year ago.” After increased dairy slaughter drove total cattle slaughter to multi-decade highs during the first few months of the year, Anderson explains it moderated and was 1% less year-to-

year over the last month. Likewise, he points out beef cow slaughter was 1% less year over year for the last two months. “Beef cow culling typically hits its seasonal peak for the year in the fall. It’s likely some earlier culling this year may have pulled some cows ahead into slaughter,” Anderson says. Total cow slaughter was 0.5% less over the last two months, compared to the same time last year, according to Anderson. At the same time, he explains cow dressed weights averaged 7.6 lbs. less so far in 2019, compared to a year earlier. “So, not only have fewer gone to market, but they have weighed less, as

well,” Anderson says. “The overall effect has been less cow beef production in recent weeks, supporting the 90% lean fresh beef price, the wholesale cutout value, and the cull cow price.”

International Demand Offers Support U.S. beef exports in July (most recent data available) held mainly steady with the previous year’s strong pace, according to data released by USDA and compiled by the U.S. Meat Export Federation (USMEF). Beef exports increased 1% in volume year-over-year at 117,842 metric tons (mt), while export value of $720.4 million was down slightly from a year earlier, but still the seventh-highest monthly total on record. For January-July, beef exports were 2% less than the same period last year at 766,607 mt. Beef export value of $4.75 billion was slightly below last year’s record pace. Beef export value per head of fed slaughter averaged $308.47 in July, down 7% from a year ago, while January-July export value averaged $311.51 per head, down 2%. U.S. cattle producers received added positive news in August with the announcement that the U.S. and Japan reached agreement, in principal, on a bilateral trade pact. In terms of value, Japan continues to be the leading customer for U.S. beef. The U.S. tariff disadvantage in Japan increased when the U.S. withdrew from the Trans-Pacific Partnership (TPP), while the other 11 nations involved in TPP ultimately agreed to the Comprehensive and Progressive Trans-Pacific Partnership (CPTPP). With it, key U.S. beef export competitors, including Australia and Canada, gained tariff advantage over the U.S. on beef exports to Japan. “This announcement is tremendous news for U.S. farmers and ranchers, and for everyone in the red meat supply chain, because it will level the playing field for U.S. pork and beef in the world’s most competitive red meat import market,” said Dan Halstrom, president and CEO of the USMEF. “It is also a very positive development for our customer base in Japan, which USMEF and our industry partners have spent decades building. These customers have been very loyal to U.S. pork and beef, but our exports to Japan could not reach their full potential under Japan’s current tariff structure.” Editor’s Note: In addition to his writings for F&R Livestock Resource, Wes Ishmael also writes and produces Cattle Current—a convenient, one-stop glance at daily cattle markets. The website, daily e-mail newsletter and daily podcast include market highlights. For more information, visit CattleCurrent.com.

page 24

Fall 2019


Bobcat Homecoming

Humor

By Wes Ishmael

Editor’s Note: Hooter’s ability to entertain and remind us not to take ourselves so seriously has been a welcome respite for decades. Welcome to the latest episode of Hooter McCormick’s misadventures. If your appreciate high school football, even as much as a teetotaler admires an attractive bottle, and if your heart says America is more than an address, then you’d enjoy watching the Apache Flats Bobcats. They begin every game—practice too, for that matter—with prayer. Folks here never thought to consult the Supreme Court on the matter. And, as Lonnie Johnson is wont to say, “If anyone around here ever does while I’m alive, God help them.” The opening invocation is followed by the Pledge of Allegiance and the Star Spangled Banner. Nobody’s going through the motions; everyone, players included, mean the words they say and sing. You can still buy a cup of soda pop or hot chocolate for less than a buck and Frito pie for less than two dollars—from the snack-shack, manned by junior high students chomping at the bit for the day they get to play in real games. They’re under the supervision of the high school home economics teacher, Mildred Mugwamp, whom current students suspect carried out the same duties before popcorn was invented. So, even if you never attended a single class at Apache Flats High School (which used to be Rio Rojo County Secondary), it’s easy to be swept up in the whirlwind of camaraderie. That’s especially true on Senior Homecoming Night—held for parents and alumni the next home game after the traditional students’ homecoming. Even folks from the opposing side get caught up in the festivities of Senior Night. This year promised to be extra special, pitting the Bobcats against their oldest non-conference rival, the Worster Bull Weevils from Oklahoma. As was customary, the Rio Rojo Cattlemen’s Association commandeered the center section of the bleachers and served as the unofficial social coordinators. This included having Delmar Jacobs lead the crowd in the school’s fight song at halftime. Typically, deep into his battered flask by the end of the second quarter, an entire generation of Rio Rojo County youth had grown up singing the verse, “Go, Fight, Hith, The Caths Can’t

Mith,” rather than, “Go, Fight, Hiss, The Cats Can’t Miss.” So, with the scoreboard showing a goose egg for both sides, Delmar wove his way to the 50-yard-line, bullhorn dangling from his right hand. As always, Mildred Mugwamp was close at

hand to help Delmar if need be. “Ladies and Gehhnt… Ladies and Gheent… Folks,” started Delmar with a broad smile and a bow so low you’d have bet on a somersault, “Welcome to Senior Homecoming.” Practiced eyes could see the almost

imperceptible way Mildred inched forward just in case she needed to field the wayward emcee. Loud applause, accompanied by the Bobcat Band. “Welcome Weevilths, too,” continued Delmar. “It’s a pleaas… it’s a

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NOT JUST A BREED. 2019 FALL SALES

NOVEMBER 1-2

NOVEMBER 15-16

Chimney Rock Cattle Co. • Concord, AR 150 Brangus & Ultrablack Bulls 100 Registered Females 350 Commercial Females

Cavender Ranches • Jacksonville, TX 220 Brangus & Ultrablack Bulls 25 Charolais Bulls 550 Commercial Females

MARCH 26

Suhn Cattle Company Eureka, KS 160 Brangus and Ultrablack Bulls

Steve Harrison • (208) 270-3065 steve@genetrustbrangus.com Craig Green • (870) 834-1976 craig@genetrustbrangus.com

Vernon Suhn • (620) 583-3706 vern@genetrustbrangus.com Cody Gariss • (417) 425-0368 codygariss@gmail.com

www.GENETRUSTBrangus.com • 1-877-GENETRS (436-3877)

F&R Livestock Resource page 25


Leachman’s Fall Harvest Sale Saturday, Nov. 9, 2019

Leachman Bull Barn • Fort Collins, CO 225 Age Advantaged Angus, Red Angus & Charolais Bulls

Plus, over 100 Leachman Elite herd females and commercial bred heifers.

Feed Efficiency Tested, High $Ranch and $Profit!

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Age Advantaged • Feed Efficiency Tested • 1 Year Guarantee Some of the industry’s highest $Ranch & $Profit bulls! We will also be offering a select group of seedstock cows, seedstock bred heifers, and commercial bred heifers selling with the same $Ranch and $Profit figures. Use them to build the best commercial herd in the country! Lee Leachman, Managing Partner Jerrod Watson, Bull Customer Service (303) 827-1156 2056 West County Road 70 • Fort Collins, CO (970) 568-3983 • www.leachman.com

DISPERSION

pleaas… happy you’re here.” More warm applause. By now he was teetering back and forth like the pendulum on a newly wound grandfathers clock. Sensing the impending disaster, not for the first time in these many years, Mildred Mugwamp looped a spindly arm around Delmar and grabbed the squack box. “What I believe Mr. Jacobs was trying to say before his excitement overcame him, and you’ll soon see why he’s so excited, is that for a special treat this evening, we want to introduce you to the newest member of our team, a brand new mascot—Fuzzy the Bobcat—under the expert guidance of our very own Cosmo Carlson.” A hush fell over the crowd. It had been the better part of five years since the Bobcats and Weevils mascots started a bleacher-clearing brawl. Both schools later agreed to never bring their mascots to the same field again. Now, on the same field, against the same team… introducing a new mascot was questionable enough, but Cosmo Carlson? He was an Apache Flats alumnus, who literally went off to join the circus 32 years ago. His lengthy list of extracurrcular high school exploits were well documented, likely embellished by time, but never verified. These days, Cosmo was an itinerant circus clown. He passed through

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Fall 2019

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page 26

ASA #3254156

FIRST Progeny Sell!

Progeny Sell!

town from time to time, but not in a long while. “I didn’t even know he was back,” said Hooter with glee. “Me, neither,” said Lonnie. “This may be one for the ages.” Drums rolled. Cosmo appeared at the far end of the field, decked out in his finest, including those same purple floppy shoes that had been a trademark from the beginning. Sure enough, trotting obediently alongside him, at the end of a purple leash, was what looked for all the world like a genuine bobcat. “I’ll give him this,” said Izzy Franklin loudly from two rows back, “He’s got that cat sure enough looking the part.” Once Cosmo and Fuzzy got to midfield, the clown took a gallant bow while the cat sat at his master’s feet, answering all questions about his ancestry. Mildred Mugwamp handed Cosmo the bullhorn. “Fellow bobcats!” squeaked Cosmo through both a real and garishly pinted grin, “It’s a privilege to be back among my roots. And, it’s with pride I dedicate Fuzzy the Bobcat to you.” Monster applause. “I know of the little incident that occurred between our schools a few years back,” Cosmo continued. “And I want to make it plain to all you Weevils fans, the school has nothing

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to do with this. This is just something I wanted to do for my alma mater, a small token of appreciation for the education this fine institution afforded me. I hope you’ll agree after seeing Fuzzy in action that we should all let bygones be just that, where our mascots are concerned.” More applause, albeit somewhat hesitant. With that, Cosmo began putting Fuzzy through his paces. He had him stand on his legs to walk. He had him doing frontward and backward flips. Rolling over and playing dead, feigning attack, you name it. As much as the crowd was admiring the display, though, you could hear the collective breath go out of them when Cosmo leaned down and unhooked Fuzzy’s leash. “Really now, Mr. Cosmo, I mean Carlson,” tried Mildred Mugwamp politely, “I think we’ve all had quite a thrill, and are quite impressed. But, judging by the time, best finish up.” Cosmo didn’t seem to pay any attention. On cue, the Bobcat’s quarterback trotted out onto the field, cradling a ball. Cosmo pointed toward the other end of the field and Billy Ray Johnson, looped a 20-yard spiral. A furry instant later, Fuzzy snagged the ball from the air and brought it back to Cosmo. The crowd was starting to warm up. Billy Ray launched the next one 25 yards, same results. Soon enough, the crowd was chanting, “Fuzz—ee, Fuzz—ee, Fuzz—ee… ” Finally, after Billy Ray reached the end of his range at 42 yards—he was a true freshman after all—he turned and booted a magnificent 50-yard punt that seemed to hang forever, one that Fuzzy appeared to climb to the clouds for and snatch from the sky. The crowd was going wild. The commotion was rattling Delmar Jacobs from his standing slumber. He abruptly grabbed the bullhorn from Mildred Mugwamp, as if he had dropped it a second before. He turned back to the crowd, “Ladies and gheent… ladies and gheent… ” Even in his relaxed state, Delmar could sense from the frozen mouths facing him and the horrified eyes looking behind him, something was amiss. He turned in time to see the plaid orange and green backside of Cosmo waving frantically to slow Fuzzy’s return trip. As if in slow motion, Fuzzy easily vaulted over the top of Cosmo’s waving hands and landed squarely in front of Delmar, depositing the now deflated football at his feet. Whereupon and immediately, Delmar Jacobs screamed loud enough to spook a banshee. He tipped over backward, followed by Mildred Mugwamp, while Fuzzy darted for the hinterland in his own scared daze, pursued by Cosmo, as fast as his floppy purple shoes would allow. Go Cats!

Editor’s message continued Continued from page 3 _____________________________________

before incurring discounts. More importantly, producers retaining ownership know the value of those pounds and can participate with the cattle feeder about when to place the heavies on the show list. CattleFax recently reported, “The feeder cattle and calf prices have fallen 4 to 6% following the Holcomb, Kansas, processing plant fire.” It appears that the plant will not regain full operations until January. Meanwhile, CattleFax indicates market

uncertainty will continue, although factors unrelated to the Holcomb fire are having an influence. Paul Dykstra, Certified Angus Beef, recently reported in the CAB Insider, “The Choice/Select spread will likely remain robust, ahead of holiday beef demand, only as long as supplies are reflective of this lower grade trend. The USDA grid premiums and discounts report lists values this week placing a 900 lb. CAB carcass at a $104/head advantage over the weighted average cash

price. Prime carcasses should be near a $245/head advantage. Today, more than 80% of fed cattle are marketed in a value-based or grid marketing system. Whether a commercial producer has the risk tolerance to retain ownership or not, if he or she has made management decisions based on the goals to improve quality through genetic improvements, the marketable outputs move through the supply chain with valuable information that translate to profitability.

Practical. real-world management and commonsense cows result in rugged, forage-developed bulls bred to work.

Profitable. multi-trait focus enables customers to limit costs and optimize returns, resulting in consistent profit.

Genetics. decades of honest, reliable data results in some of the most predictable genetics in the industry.

tom pErriEr: 620-583-6956 tperrier@dalebanks.com matt pErriEr: 620-583-4305 mattperrier@dalebanks.com

dalEbaNkS.com

AnnuAl Bull SAle Saturday, Nov. 23, 2019 12:30 pm. NW of EurEka, kS

150

BullS to Sell

Over half are coming 2’s!

F&R Livestock Resource page 27


Schaaf, Southwind District Team Win Brief Haydon Kansas 4-H Livestock Sweepstakes Southwind District 4-H Member Haydon Schaaf and the Southwind District 4-H Team topped the 2019 Kansas 4-H Livestock Sweepstakes in Manhattan Aug. 24-25. Approximately 300 Kansas 4-H members from 59 counties participated in the 2019 Kansas 4-H Livestock Sweepstakes in Manhattan, Kansas. The event was hosted by the Kansas State University Department

of Animal Sciences and Industry. Throughout the weekend 4-H members participated in the state livestock judging contest, meat judging contest, livestock skillathon and livestock quiz bowl.

Individual 4-H members who participated in all three activities (livestock and meat judging and skillathon) were entered in the Kansas 4-H Livestock Sweepstakes. Haydon Schaaf from Southwind District was

NO LIGHTWEIGHTS

named the 2019 Kansas 4-H Livestock Sweepstakes High Individual. Also placing in the top 10 were: 2nd: Brody Nemecek, Southwind District 3rd Clay Brillhart, Southwind District 4th Cord Dodson, Wildcat District 5th Sadie Marchiano, Southwind District 6th Keaton Herrmann, Wildcat District 7th Aidan Yoho, Southwind District 8th Damon Higbie, Frontier District 9th Calley Stubbs, Sunflower District 10th Jillian Keller, Southwind District

Simmental calves are champions of the scale. They reliably outperform straightbred calves in the feedyard – with better growth, better structure and fewer health problems.

STAND STRONG

They add pounds without sacrificing marbling, and they earn more with the IGS Feeder Profit Calculator,™ which factors genetics, health and management into true value.

SIMMENTAL

Want low-risk, high-potential calves with earning capability?

406-587-4531 • simmental.org

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Fall 2019

Southwind District No. 2 won the Livestock Sweepstakes Champion Team Award with the best combined team performance in livestock judging, livestock skillathon, livestock quiz bowl and meat judging. Teams in the top five included: Wildcat District No. 1, second; Southwind District No. 1, third; Frontier District No. 1, fourth; and Sedgwick County, fifth. Individual and team placings are posted to the Kansas State Youth Livestock Program website bit. ly/2vUYV3H and the Judging Card website judgingcard.com. The team champions for the meat judging, livestock skillathon and livestock quiz bowl will represent Kansas at their respective national 4-H contest, all of which will occur later this fall. Again this year, Kansas will be represented by an all-star team at the national 4-H livestock judging contest in Louisville. Based on their performance in the state livestock judging contest, a talented group of 15 young people were selected to advance to the team selection process. This will include a series of livestock evaluation workshops and opportunities provided by the K-State Livestock Judging Team. The Kansas 4-H Livestock Sweep-


Seedstock Plus RED REWARD

‘Fall Edition’ Bull & Female Sale

November 2, 2019 * 12 noon Wheeler Livestock Auction Osceola, MO Selling 40 RED Gelbvieh & Balancer bulls & 100 RED females - opens, breds & pairs registered & commercial • • • •

Seedstock Plus Fall Bull Sale

October 19, 2019 * 12 noon Joplin Regional Stockyards Carthage, MO Selling 150 - 18 month old Angus, Gelbvieh & Balancer bulls! ALL BLACK!

DNA tested for Genomic EPDs, coat color and polled status! Guaranteed sight unseen purchases and free trucking or 75$ back if picked up! Some bulls are RFI tested! All Bulls are Semen AND Trich Tested! Videos available the week prior to the sale at www.seedstockplus.com!

BOTH SALES! Bid & Buy at: DVAuction CALL TOLL FREE FOR YOUR CATALOGS TODAY

877-486-1160 or email john@seedstockplus.com

WHY DOES FERTILITY MATTER? Fertility is the backbone of a profitable cow herd. Shorthorn females reach puberty sooner and maintain a higher pregnancy rate. Using Shorthorn genetics will give you more fertile cows to improve your bottom line.

Sire Breed Shorthorn Angus, Hereford Charolais

shorthorn.org | 816.599.7777

% Reach Puberty by 330d 43

% Reaching Puberty by 360d 69

Predicted Age at Puberty (days) 338

% Pregnant at 550d 94.2

23

59

352

86.0

33

53

348

84.7

Source: Meat Animal Research Center (MARC)

F&R Livestock Resource page 29


stakes program is also sponsored by Kansas Pork Association, Kansas Beef Council, Kansas State University

2 8

T H

Moser Ranch

A N N UA L

B U L L

SA L E

College of Agriculture, Farm Credit Associations of Kansas and Konza Veterinary Clinic.

Top 10 Sweepstakes Contestants, 2019 Kansas 4-H Livestock Sweepstakes

PRIVATE TREATY OFFERING WITH BID-OFF BEGINNING AT 10:00 AM

FRIDAY, NOVEMBER 1, 2019 AT THE RANCH, WHEATON, KS

55-60 SIMANGUS, ANGUS AND SIMMENTAL BULLS

Our 5% repeat/loyalty customer discount will apply to bulls selling from November 1st-2nd

Moser Ranch LLC

Harry & Lisa Moser | Cameron & Carrie Moser & Family 3063 26th Road, Wheaton, KS 66521 Harry: 785.456.3101 / moserranch@moserranch.com

Look for pasture videos of bulls and sale updates on our website

WWW.MOSERRANCH.COM

Champion Sweepstakes Team, 2019 Kansas 4-H Livestock Sweepstakes

The First Hydraulic Corral and still the Largest! A Cowman’s Best Friend at Calving Time!

Rawhide Original

Designed for Processing Safety... - Enables quick and safe calf catching! - Convenient, step in access of producer! - Holder secures calf for easy processing! - User-friendly inside release of calf to cow! - Move calves easier with cow following! - Less cow stress, mother can see and smell calf! - Reduces danger while working new calves! - Quick Mount/Dismount on both ATV & UTVs!

Rawhide Processor by John McDonald

3 Sizes

Safe Processing!

page 30

Fall 2019

• Transport wheels are permanent, no sliding off the axles and rolling out of the way. • Permanent sheeted adjustable alley.

Rawhide Portable Corral 900 North WashiNgtoN st., abileNe, Ks 67410

785.263.3436

www.rawhideportablecorral.com

Justin Georg, KS – “Worked better than expected in rough ground, felt safe, and cows have never tried to come through or rock cage. Worked 80 calves by myself - banded, tagged, and gave blackleg – and never felt like I was going to die in the cage.” Robert Burry, PA – “I am 63 and work alone so I wouldn’t be calving without it. It may seem cumbersome at first, but like a zeroturn mower or a skid loader, once you get the hang of it, it’s a great asset. You can do a much better job of processing the calf when you don’t have to worry about momma! I would recommend it to anyone.” Jeff Hall, MO – “The Calf Catcher has turned tagging and working calves into a one man operation and made it safer to do it.”

Now available with a digital scale!

Available!

• Pull on highway at speed limit. • Fits through any gate your pickup will. • Stable on uneven terrain. • Wheels on each panel and electric over hydraulic jack eliminates lifting— saves time. • Frame gates for sorting.

-

Safe Release!

Easy and Safe Catching!

Watch action video at

SafetyZoneCalfCatchers.com For local dealers or to order, call 877-505-0914 today! DEALER INQUIRY INVITED FACTORY DIRECT PRICING

Towing’s Easy!

ONE PERSON can now SAFELY and EASILY process calves without concern of the protective mother cow!


THE BEST DEFENSE AGAINST

PI CALVES

HAPPENS BEFORE BREEDING BEGINS.

Prior to breeding, protect the herd by vaccinating with Express® FP, the only vaccine specifically labeled to protect against BVDV Type 1b, the most common subtype in persistently infected calves.

Talk to your BI Representative about keeping your herd PI free. ExpressVaccines.com

Ridpath JF, Lovell G, Neill JD, et al. Change in predominance of bovine viral diarrhea virus subgenotypes among samples submitted to a diagnostic laboratory over a 20-year time span. J Vet Diagn Invest 2011;23:185-193. Express is a registered trademark of Boehringer Ingelheim Vetmedica, Inc. ©2018 Boehringer Ingelheim Vetmedica, Inc. BOV-1876-RESP0219

F&R Livestock Resource page 31


Cattle Feeding Stressing You Out? Immunity Stress Oxidative Weather Stress Stress Environmental Stress Technology Stress

Latest Large-Scale Feedlot Comparison of Complexes vs. Amino Acid Chelates Study Found Amino Acid Chelate Use Resulted In:

30% Fewer Pulls in 86% Fewer the First 42 Days Liver Abscesses $53.13/Head Added Profit The Natural Remedy to Feedlot Stress. Don’t Feed Cattle Without It!

page 32

Fall 2019

www.tracerminerals.com • (620) 865-2041

Profile for F&R Livestock Resource

F&R Livestock Resource Fall 2019  

F&R Livestock Resource Fall 2019