FBP Jan/Feb 2010

A NEWS SOURCE FOR COMMERCIAL BEEF PRODUCERS

JANUARY•FEBRUARY 2010

VOLUME 2

ISSUE 1

FRONTLINE beef producer

Carcass Merit & Genetic Improvement

SELLING 50 FEMALES & 30 BULLS! Including the Get and Service of Garrett of Brinks.

CNF Miss Rocky 289R

BD: 2-26-03 Sire: Ultra Revolution MGS: Transformer EPDs––BW: 1 WW: 20 YW: 37 M: 16 TM: 26 REA: 0.37 IMF: 0 FT: 0.003

BD: 1-18-05 Sire: TJM John Wayne 44L MGS: CNF Hulk 77H EPDs––BW: 1.9 WW: 28 YW: 48 M: 13 TM: 27 SC: 1 REA: 0.45 IMF: 0 FT: 0.001

Ms Bar C 27N2

These powerful donors and super herd sire prospects sell!

BD: 9-14-08 Sire: Garrett of Brinks MGS: John Wayne EPDs––BW: 0.2 WW: 36 YW: 63 M: 10 TM: 27 SC: 1.4 REA: .34 IMF: .01 FT: .002

BD: 9-10-08 Sire: Garrett of Brinks MGS: CCC Braveheart EPDs––BW: -1.4 WW: 18 YW: 51 M: 17 TM: 26 SC: 1.15 REA: .20 IMF: .90 FT: -.002

QCB 188U2

BW: 82 WW: 546 YW: 1142

QCB 289U2

BD: 9-28-08 Sire: Garrett of Brinks MGS: Newsmaker 584K3 EPDs––BW: -1.6 WW: 21 YW: 50 M: 14 TM: 24 SC: .89 REA: .13 IMF: .02 FT: .002

QCB 89U

BW: 60 WW: 536 YW: 971

BW: 88 WW: 668 YW: 1258

BD: 9-18-08 Sire: Garrett of Brinks MGS: John Wayne EPDs––BW: -0 WW: 32 YW: 61 M: 10 TM: 27 SC: 1.4 REA: 0.35 IMF: .02 FT: .007

QCB 289U3

BW: 85 WW: 636 YW: 1226

For more sale info contact: JOHNNY & DONNA VINES 41190 Hwy. 231 • Steele, AL 35987 (205) 594-5307 • (205) 283-0365 cell 1 FRONTLINE Beef Producer jrvines@windstream.net • www.quailcreekbrangus.com Ashville, Alabama

Sale managed by: Doug Williams (336) 998-8125 • (336) 745-5252 cell Patrick W. Simmons (336) 998-6827 • (336) 287-4950 cell FRONTLINE Beef Producer 1

TABLE OF CONTENTS FEATURES

15 Moving Target:

Carcass data maintains producer focus

by Clifford Mitchell

FRONTLINE Beef Producer Commerical Marketing Programs

Grant Keenen Administration/Circulation

17 Capturing Value from Carcass Merit while considering Genetic Evaluation

by Marcine Moldenhauer

18 NCBA Carcass Merit Project Completed

by Dan W Moser

19 Real World Carcass Results

by Grant Keenen

Frances Miller Contributing Editors

Dr. Dave Anderson Dr. Mark Enns Dr. Matt Hersom Dr. Joseph Massey Clifford Mitchell Marcine Moldenhauer Advertising

Melanie Fuller 979.828.5300

DEPARTMENTS

Copy Editor

Carolyn Kobos

4 Out Front

Is Brangus a Growth Breed or a Maternal Breed or Both?

by Dr. Joseph Massey

6 Genetic Strategies

Genetic Improvement: Staying Focused

by Mark Enns, PhD

8 The Bottom Line Industry Trends

by Grant Keenen

10 Nutrition Strategies

Implications of Selection for Decreased Residual Feed Intake in the Cow Herd

by Dr. Matt Hersom

Proofreader

Jim Bulger Operations

Mary Douglass Rosanne Sralla Patti Teeler

FRONTLINE Beef Producer is a product of:

Brangus Publications, Inc. P.O. Box 696020 San Antonio, Texas 78269-6020 Phone: 210.696.8231 Fax: 210.696.8718 Brangus Publications, Inc. Directors: Don Cox - Chairman Dr. Joseph Massey - President David Vaughan - Secretary/Treasurer Dale Kirkham Angelo Zottarelli Information appearing in this issue may be reprinted only with written permission of Brangus Publications, Inc.

LPC Livestock Publications Council - Member

On the Cover: 20 STATE DIRECTORY 25 SERVICES 26 ADVERTISER INDEX 26 CALENDER OF EVENTS

2 FRONTLINE Beef Producer

Brangus influenced cattle can be fed anywhere, even harsh winter weather.

Cattle belonging to Rolke Ranch, Franklin, TX, being fed at Decatur County Feed Yard in Oberlin, KS.

F o r a g e Te s t e d O C F B u l l S a l e Saturday, October 30, 2010 • 12:30 pm at Oak Creek Farms Sale Facility • Chappell Hill, TX

160 OCF Brangus & Red Brangus Bulls

Forage Field Day & Cattle Viewing Friday, October 29, 2010

All S ale B ulls are B red a nd Deve lope d by Oak Cree k Far ms

MERITS OF FORAGE DEVELOPED BULLS: 4 Practical - raised without creep feed

4 Structurally Sound - less feet & leg problems

4 Forage Testing - eliminates hard doing bulls

4 Healthy Development - less fat forms around scrotum

4 Profitability - less feedlot time for progeny

4 Longevity - can extend by one to three breeding seasons

4 Adaptability - thrive in our hot humid climate

4 Libido - tends to be higher in good pasture ready bulls

4 Pasture Ready - do not fall apart

4 Finish - excellent breeding condition not real fat

Bulls Forage Tested at OCF beginning on March 1st and ending September 1st under guidelines of Texas Forage & Grassland Council. Weights and Measures recorded by Texas A&M Extension Service.

Grass + Forage Efficient Easy Fleshing Cattle = Profit Sale Bulls DNA tested with Complete DNA Profile This3isFRONTLINE the 7th year weProducer have used DNA test results Beef as a tool in selecting genetics.

Breeding Brangus Since 1967 John & Carolyn Kopycinski Chappell Hill, Texas • 979/836-6832 www.oakcreekfarms.com

DNA Proven with 6 Years of Data!

FRONTLINE Beef Producer 3

OUT FRONT | by Dr. Joseph Massey

Is Brangus a Growth Breed or a Maternal Breed or Both?

I

get asked on a constant basis how I would define Brangus. Is it a growth Breed or is it a maternal Breed? This is difficult for me to answer because I grew up in South Texas and I formulated many of my thoughts working on our commercial cattle operation as a young kid. My family cattle operation was part of a large Spanish land grant that got its start in about 1880. As a young kid, I could not wait every year for cattle round up time; I would be one of about twenty or more extended family members on horseback for three or four days rounding up cattle.

One of my earliest observations was that cattle with Brahman and Angus influence had the best calves at side versus straight breed cattle.

breeding is very important for the production of commercial females. Data on heterosis clearly demonstrates the advantages of maternal traits, such as increased calving rates and maternal longevity; in addition Brangus females produce calves with increased survival to weaning and increased birth and weaning weights. So there is no doubt in my mind that Brangus represents highly superior maternal characteristics.

As a young person I would have said that Brangus type cattle were the best mothers and produced the most milk. Today I would say that Brangus cattle have some of the best maternal characteristics of any cattle breed.

We didn’t pull calves then and we still don’t today and yes, birth weights have increased over the last thirty or so years, but Brangus have stayed consistently free of calving difficulties. Recently a number of quantitative geneticists and I were discussing calving ease at a scientific conference; they noted that we as Brangus breeders focus on birth weight when we should be looking at maternal calving ease. This is where Brangus has an advantage over most continental and European breeds of cattle as multibreed EPD data continues to confirm. In addition, there is plenty of scientific data that point to the advantage of heterosis for calving ease and milk production.

That being said, we cannot forget that Brangus is a superior growth breed and they make a great terminal cross on many straight bred commercial cattle as well as other crossbred females. Several of the advantages of heterosis on individual animals are increased birth weight, weaning weight, yearling weights and average daily gain for that individual and for the generations that follow. So yes, Brangus is a growth breed. So what the answer? Is it growth? Is it maternal? Or is it both?

I am also reminded that the Beef Sire Selection Manual produced by the National Beef Cattle Evaluation Consortium points out that cross

ABOUT THE AUTHOR Dr. Massey has served as Executive Vice President of the IBBA since 2004. In 2007, he started Genetic Performance Solutions, LLC, a breed registry services and performance analysis company serving the cattle and breed association industry— a joint venture between the IBBA and the Red Angus Association of America. GPS manages online registry programs for breed associations and the data base management of performance data like multibreed EPDs.

As breeders, we sometime try to classify breeds into a growth breed or a maternal breed but in the case of the Brangus breed, it is both. Brangus represents a unique breed that has a very broad range of application in the commercial cattle industry. We as Brangus producers need to distinguish our cattle from just a Brahman cross or just a crossbred cow; we need to emphasize the uniqueness of the Brangus breed.

Today in these economically tough times in the beef cattle industry, we have the perfect opportunity to promote the Brangus breed for what it is; a breed with excellent growth, outstanding maternal characteristics and an extremely efficient producer: a combination which produces feeder calves that will grow, yield and grade benefiting the commercial producer’s bottom line. Know your customer and know what traits he values in building his herd.

Remember your customer must succeed for you to be able to succeed. 

4 FRONTLINE Beef Producer

Brangus is Our Business CRC SPECIALIST 392T2 29BN0018

BEST BET OF BRINKS 535H38 x TROOPER OF BRINKS

No Miss Calving Ease Genetics

4 Combines muscle, calving ease and forage efficiency like few others 4 Proven, dependable calving ease genetics confirmed by a -6.5 Birth EPD 4 Dam is #1 in the breed for BW 4 Full brother to the dam Jesse of Brinks 4 Sexed semen available reversed

TRAIT EPD

BW -6.5

ACC

.35

WW YW MILK TM SC +14.0 +39.0 +17.0 +24.0 +0.6 .34

.29

.24

.26

REA %IMF FAT +.36 +.11 +.008 .31

.28

.30

❍ TOP 25%

SUHN’S DISTINCTION 331T48 29BN0019

SUHN’S NExT STEP 331R7 x NIMITZ OF BRINKS 75L12

The Cattleman’s Kind

reversed

4 Excellent disposition and phenotype with balanced performance 4 Useful birth to weaning spread with positive maternal values 4 Extra wide based, big topped and wide from behind 4 Should moderate frame while keeping underlines clean 4 Combines two of the breed’s most elite cow families: 331 and 416 4 Sexed semen available

TRAIT EPD

BW -0.7

ACC

.30

WW YW MILK TM SC +23.0 +45.0 +21.0 +33.0 +0.2 .30

.25

.15

.22

REA %IMF FAT +.32 +.00 -.005 .26

.23

.26

❍ TOP 25%

CR HOMBRE 541T3 29BN0020

SUHN’S AFFIRMED 416N4 x BRIGHT SIDE OF BRINKS 789G5

Performance, Soundness and Excellent Disposition

reversed

4 Powerful weaning and yearling growth in a moderate package 4 Additive carcass value with big scrotal value 4 Will work well on cleaner made cows 4 Traced to the famed 416E and 541H8 cows 4 Very sound moving, excellent joint structure and with more bone 4 Sexed semen available

TRAIT BW WW YW MILK TM SC EPD +2.7 +45.0 +70.0 +9.0 +32.0 +1.4 ACC

.31

.31

.26

.18

.24

REA %IMF FAT +.43 +.02 +.010 .28

.25

.27

❍ TOP 25%

Contact your local ABS Representative or call 1-800-ABS-STUD to find out how ABS Sexation® may fit into your program or for more information on the entire ABS Brangus line-up.

©2010 ABS Global, Inc. · 1525 River Road, DeForest, WI 53532 · Ph: 1-800-ABS-STUD · Fax: 608-846-6392 · www.absglobal.com FRONTLINE Beef Producer 5

GENETIC STRATEGIES | by Mark Enns, PhD

Genetic Improvement: Staying Focused

A

s we begin a new year, many of us begin to think about making purchases to improve our bull battery. What are the weaknesses in our herd? Can we identify and purchase bulls to help fix these weaknesses? Because of the number of progeny produced by each bull as opposed to the single calf from each cow, appropriate selection of bulls becomes even more critical. Bulls are the drivers of genetic improvement of the whole herd. Given the emphasis of this issue on carcass merit and genetic improvement, I thought it appropriate to discuss “balanced selection” in that context.

As you decide which bulls to buy and try to decipher all of the EPDs, the actual measurements in the sale catalog, structural characteristics and “eye appeal”, the amount of information is often overwhelming. So how do you wade through all of this? The first key is to focus on those traits that directly influence profitability—traits for which a change in production always either improves the value of your calves or reduces your costs of production. These are the economically relevant traits.

cally relevant. But remember we are retaining replacement females, so other traits need consideration as well such as heifer pregnancy (fertility) and calving ease. While there may not be EPDs for these traits we can use the EPDs for traits that are indicators of genetic merit such as scrotal circumference and birth weight. For our scenario, balancing selection decisions based on these traits as well as carcass merit is critical because the bulls are also influencing our herd’s future performance through the daughters they are leaving in the herd and these daughters will hopefully be ABOUT THE AUTHOR producing calves for upwards of 10 years.

The first key is to focus on those traits that directly influence profitability—traits for which a change in production always either improves the value of your calves or reduces your costs of production. These are the economically relevant traits.

To set the stage, consider a producer who retains replacement females from within his herd, retains ownership of excess heifer and steer calves through the feedlot, and markets those animals on carcass merit basis. Many of you might immediately think this situation doesn’t apply to you, but anyone who receives either a premium or a discount on their calves because of their reputation for carcass quality, yield, and weight are similarly affected by carcass merit. Clearly, an area of emphasis for selection would be on the carcass trait EPDs, trying to remedy any deficiencies in the genetic level of carcass merit in the herd. In this scenario, carcass trait EPDs are economi-

Dr. Enns’ research focuses on methods to genetically evaluate and select animals that fit their production environment both biologically and economically. These efforts include development of new methods for evaluating and improving cow and heifer fertility, cow maintenance requirements, time to finish in the feedlot; and development of methods to better use economic information in selection decisions for increased profitability of beef production.

In a balanced selection program, we may also want to monitor milk EPDs of our potential bulls. Too much milk in an environment with limited feed resources and cows can end up thin for breeding season and pregnancy rates can drop. The key is focus on the EPDs for the economically relevant traits and put the most selection emphasis on the traits where performance deficiencies are the greatest and have the greatest economic impact.

Focus on the economically relevant traits is critical, however, we don’t want to take this to the extreme and practice single trait selection. Single trait selection is never recommended as this often will have unintended consequences on other traits. In our example above, if we focused our selection decisions solely on yearling weight— trying to improve carcass weight, we would likely see birth weight increase rapidly resulting in more calving problems.

The key is to simultaneously balance selection on the traits that directly influence your profitability, emphasizing those with the greatest need for improvement and with the greatest economic impact on your profitability. 

6 FRONTLINE Beef Producer

At Mound Creek Ranch We know that it is $$$ intensive to be in this business!

Put your trust in the program that gets it. We put our money and effort into raising the best Beef Type Brangus Bulls in the country. For us it is:

Black and White Quality of product trumps hype.

Our new sale dates are March 19th & 20th and will feature 150 sons, 75 daughters, and the service of these incredible herd sires and others:

MC Rock Star 924U6

MC Jethro 00S3

MC True Grit 889T20

MC Real Deal 541R3

Be assured this will be the greatest sale offering we have ever presented at Mound Creek Ranch!

Contact information and evolving sale details can be found at:

www.moundcreekranch.com 7 FRONTLINE Beef Producer

THE BOTTOM LINE | by Grant Keenen

Industry Trends

W

ell, 2010 is here! It is not only a new year, but a new decade and I hope that it has started off well for everyone and that each of you enjoyed the Holiday season. I’m sure most people have made New Year’s Resolutions, and so far those diets and quitting bad habits are probably going really well. I know mine are, but it is just January. Nevertheless, the new year always brings somewhat of a new

start. A new beginning if you will. And as the economy and the beef industry are most definitely in unchartered water we could sure use a new start.

Unfortunately, it is not quite that easy.

We cannot just erase last year and start over and pretend that everything is fine and that the beef industry and entire economy are thriving. A person who ABOUT THE AUTHOR does that is riding Grant Keenen is the Direcfor a fall. We must tor of Commercial Marketbe realistic and op- ing Programs for the IBBA. For any questions or inquitimistic at the same ries regarding IBBA Comtime. I know that mercial Programs, such as is easier said than OptimaxX and Brangus done, but to sur- Gold, Grant can be reached vive in this business by phone at 210.696.8231 right now a person or by email at grant@intmust realize and understand the factors facing the industry. And it is of upmost importance to be optimistic about the future and the extremely great potential our business has.

Reality: Demand Beef demand is down, both domestically and abroad. But all meat protein sources have suffered, not just beef. The high unemployment rate coupled with a higher savings rate (people saving money to pay down debt) and a decline in personal income are the main factors that have resulted in less consumer spending on beef. Domestic demand is down 10% from a year ago which was already down about 6% from 2007.

This totals about a $200 decline in value for every beef animal harvested. Foreign demand is still below pre-BSE levels as well.

Optimism: Demand Domestic stabilization of demand is in sight for 2010. Foreign demand should expand sometime this year with hopes of a 4% increase.

The world GDP is growing faster than the US economy and people will spend more money for a higher-quality diet. The industry also expects growth due to an increase in age and source supplies, like the IBBA’s OptimaxX program, especially if Japan opens their age restriction to 30 months. Export volume to China, Vietnam and the European Union are also more than likely to increase. The EU has already expanded their

Continued on page 19 8 FRONTLINE Beef Producer

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NUTRITION STRATEGIES | by Dr. Matt Hersom & Trey Warnock*

Implications of Selection for Decreased Residual Feed Intake in the Cow Herd

O

ne of the current buzz phrases in the beef cattle industry in residual feed intake (RFI). This month let’s take a look at the implications of RFI on the cow herd from a genetic and carcass basis. Residual feed intake is defined simply as the actual feed intake of the animal minus the expected feed intake of the animal based upon body size and growth potential. The concept was first introduced by Koch in 1963. Negative RFI values imply that the cattle consumed less feed than predicted for their given level of performance, whereas cattle with a positive RFI consumed more feed than predicted for their level of performance. So, cattle with a negative RFI would be desirable in so much as they consume less feed and perform at a desirable level. One criticism of the RFI concept I have is that RFI is predicated on utilizing prediction equations for cattle intake and performance. Most predictive equations are created to be fairly robust in their application to service a broader industry. This broad application for equations would be true of the intake and performance equations that are developed by the National Research Council and the Beef Cattle Nutrient Requirements. In that light, more accurate predictive equations would minimize the impact of calculated RFI. That said let’s examine some of the aspects of RFI in the cow herd and subsequent offspring.

The heritability of RFI is considered to moderately to highly heritable (h2 = 0.40). The concept of RFI needs to be separated from feed conversion ratio (FCR) which many producers may be more familiar with. Feed conversion ratio is defined as feed intake divided by average daily gain. There are several problems with the utilization of FCR. First FCR can be misleading because cattle with drastically different intake and average daily gain can have the same FCR (20 lb intake / 4 lb gain = 5:1 FCR, compared to 7.5 lb intake / 1.5 lb gain = 5:1 FCR). Secondly, selection for FCR can potentially lead to an increase mature body weight. In contrast, research is demonstrating that selection for decreased RFI can improve FCR with minimal effects on mature body size.

Obviously there must be some biological basis for the RFI to accurately assess cattle’s characteristics.

Richardson and Herd (2004) indicated that 37% of RFI can be explained by differences in protein ABOUT THE AUTHOR turnover, tissue me- Dr. Hersom is currently tabolism, and oxi- an Assistant Professor dative stress, 21% and Extension Beef Cattle by digestion, heat of Specialist at the University fermentation, and of Florida, specializing in the development of feeding patterns, strategic nutritional and 15% by activity and supplementation programs body composition, to optimize beef cattle and 27% of the bio- performance utilizing logical basis for RFI forage and roughage based is yet to be defined. diets and evaluation of calf Carstens and Kerly production and growing (2009) detailed practices to improve animal performance in integrated some characteristics beef production systems. of low and high RFI cattle. Low RFI *Trey Warnock is a graduate cattle have greater student at the University diet digestibility, of Florida, Department of decreased oxygen Animal Sciences. use by body tissue, more efficient protein deposition and less protein degradation, and decreased energy expenditure related to feeding activity compared to high RFI cattle. There exists in this breakdown vast opportunities for genetic selection to manipulate the physiological process in our cattle. Indeed, cattle breeders and research related to cattle have for a long time worked to improve selection techniques to address just these characteristics.

What if any relationship exists between RFI and cattle carcass composition and quality? Baker et al. (2006) determined that classifying cattle into low, medium, and high RFI categories did not result in differences in hot carcass weight, ribeye area, back fat thickness, carcass yield grade, or marbling score. They concluded that

Continued on page 12 10 FRONTLINE Beef Producer

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FRONTLINE Beef Producer 11

NUTRITION STRATEGIES

Continued from page 10

BEST IN THE WEST REGISTERED BRANGUS BULL AND REPLACEMENT HEIFER SALE Figure 1. Relationship of RFI and Breed Type.

Selling 75 Registered Brangus Bulls 200 Commercial Replacement Heifers 25 Registered Heifers

MARANA LIVESTOCK AUCTION Marana, Arizona (20 minutes East of Tucson on I-10) SATURDAY, FEBRUARY 13, 2010 10:00 AM

This sale is sponsored by the Southwest Brangus Breeders Association and offers the best in the west Brangus genetics from consignors in California, Arizona and New Mexico.

For more information please contact any member of the sale committee:

Rick Skaarer (AZ) 520-820-5210 Bart Carter (AZ) 928-348-8918 or 928-348-4030 RL Robbs (AZ) 520-384-3654 Jon Ford (NM) 575-799-7546 Diane or Larry Parker (AZ) 520-403-1967 Bill Morrison (NM) 575-760-7263 or 575-482-3254 Alex Dees (AZ) 928-920-3800

12 FRONTLINE Beef Producer

 

carcass parameters were not different between RFI categories and that RFI could potentially be utilized as a selection tool without compromising meat quality. Work at Texas A&M by Lancaster et al. (2009) demonstrated similar results in that low, medium, and high RFI cattle had similar ribeye area and intramuscular fat content. However, low RFI cattle had decreased backfat relative to high RFI cattle. Somewhat puzzling is the report of McDonagh et al. (2001) that indicated decreased muscle fiber fragmentation and increased calpastatin activity in low RFI cattle compared to high RFI cattle. The exact mechanism that caused the decrease in potential tenderness is uncertain, but definitely warrants further investigation.

What relationship does RFI exert on the cow herd? Interestingly, several reports (Herd et al., 1998; Arthur et al., 1999) have indicated that low RFI cows have heavier bodyweight than high RFI cows. The finding may support the idea forwarded by Carstens and Kerly that low RFI cattle have increased protein deposition and decreased protein degradation that results in more lean body tissue. In several studies by Meyer et al. (2008) low and high RFI cows had similar bodyweight and body condition score change and pre-weaning calf average daily gain during summer grazing.

While not significant, low RFI cows had 11 to 21% lower forage intake when grazing compared to high RFI cows. Unfortunately, there is currently little data that incorporates measures of RFI on high forage or grazing diets for beef cattle. Work at the University of Florida examined the effect of calf breed type on RFI. Figure 1 from Elzo et al. (2009) indicates the great variety of the dam and offspring breed type. The factors and implications of breed type are still under investigation and demand additional scrutiny. Purebred Angus, Brahman, and the F1 cross had the greatest proportion of calves that were classified as low RFI cattle. In addition, in this data set, Brangus cattle scored well having the lowest proportion of high RFI cattle compared to other breed types. More data will be forthcoming from university research, but the difficulties in obtaining forage-based RFI measures will limit the application of RFI on cow herd management for the foreseeable future.

Published research to date suggests that classifying cattle according to RFI can have large impacts on feed intake and measures of feed efficiency in growing cattle. In contrast, RFI appears to have minimal impact on the carcass performance and overall carcass merit. Currently the scope of research data is limited regarding the effect of RFI status on cow herd performance. The complications of measuring forage intake and animal performance will continue to limit the availability of that data. Residual feed intake may well be a valuable tool to select cattle that have the ability to grow and perform despite decreased total feed intake. Tools that provide cattle producers the ability to select genetically superior cattle, reduce costly feed inputs, optimize land resources, and minimize the environmental impact will increase in importance for the beef cattle industry. 

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FEATURE | by Clifford Mitchell

Moving Target

Carcass data maintains producer focus

T

he humbling nature of the beef business has changed more than one rugged, tough cowboy. As cattlemen work away from authoritarian into more of a listening mode, most try to soak up each nugget of information that may help establish future production parameters. The elusive word profitability always tied to most of this information.

Industry changes, drought and difference in consumer appeal have brought a few unforeseen challenges. The depressed economy has certainly played a role, but most have taken the tougher times in stride working to improve the product to position the outfit for prosperity when the market turns.

Over capacity, volatile corn and energy prices not to mention decrease in consumer demand have put a choke hold on the industry. Reduced profit and red ink have caused a significant loss in equity for the feeding industry. Partners the cow/calf man can ill afford to lose and are imperative to fulfill his genetic plan. Progressive operators take this not as a time to sit tight, but as a time to keep moving forward. Maintaining some knowledge of the end product is vital to future success.

“Producers need to think about retaining ownership on a portion of the calf crop or partner on them through the feeding process. Most are trying to buy what are supposed to be the best genetics. When we feed them, those genetics sometimes aren’t as good as we thought,” says Dan Dorn, Decatur County Feed Yard, Oberlin, Kansas.

“As seedstock producers we have to be cognizant of carcass data even though we may not be getting paid right now. We have a responsibility to our customers to know our genetics. I think we’ll get paid in the future because we know something about our cattle,” says Ben Spitzer, Salacoa Valley Farms, Fairmount, Georgia.

“It’s always important to know what you’re producing. Even though the markets have changed quite a bit from a year or two ago,” says Mike Healy, LU Ranch, Worland, Wyoming.

As cattlemen tighten their belts, obviously profit is still the number one goal. Making genetic improvement is a long term commitment. For most, knowing is half the battle.

“We had been concerned about percent choice as we re-stocked the ranch after a bad drought. We selected heifers that had better marbling through ultrasound data,” Healy says. “It didn’t take long to figure out we had improved marbling and increased the percentage of yield grade 4s.

It took several years to realize this and it will take several years to make a change. If we didn’t feed our cattle and get data, this could have gone on for a long time. Buyers would have discounted our calves and we wouldn’t have known why we couldn’t improve.”

“We are in the infancy of getting data back on our genetics. We have sent cattle to Decatur County Feedyard to be evaluated on an individual basis. Our customers have participated in the Tri County Carcass contest in Iowa,” Spitzer says. “We have also gotten gain data from a local backgrounder. It’s important to have benchmark data.”

“Producers need to focus on “return to the ranch” every year. How many dollars do I put in my pocket? For most, carcass data ABOUT THE AUTHOR is pretty humbling,” Dorn says. “The indus- Clifford Mitchell is a second try needs to maintain quality and muscle in generation cattleman who these cattle because it takes so long to get it currently owns and operates back. Benchmark and keep getting data back Elkhorn Creek, a freelance communicationsbusinessin on the herd.”

Brahman-influenced breeds have taken Guthrie, Oklahoma. Upon their share of criticism from the feeding sec- graduation from Oklahoma State University he began a tor. Brangus genetics have made progress career in communications, through the years working to find the balance starting as a field reporter. and having a successful product.

Mitchell currently writes “Brangus genetics bring some good things for a wide range of beef to the table. Feed efficiency, carcass weight publications. and carcass quality, are all profit indicators.

I don’t see a problem with these cattle coming north and adapting to different environments,” Dorn says. “Breeders, over the years, have placed too much emphasis on marbling and lost some power. We’ve fed Brangus cattle that work. Seedstock producers need to help commercial cattlemen cultivate these top genetics and the only way to do it is to get some harvest data back.”

“It’s kind of an uphill battle and historically we haven’t helped ourselves as much as we could. Sometimes we as breeders select for one trait at the expense of another. We have to take a balanced approach,” Spitzer says.

“Our Brangus cattle seem to work well in the northern climates. We’re just trying to be proactive in proving the carcass merit in these cattle. It will help our customers in the long run.”

Genetic improvement comes with a laundry list of “tried and true” ways to overcome adversity. Constantly looking for ways to get better is at the forefront for most operations. The line must be drawn to stick with long term goals and not try to adjust to different market trends.

“Producers can’t chase the market by changing genetics. Maintain focus on the long term goals for quality and yield grade,” Dorn says. “Find what works from a grade and muscle standpoint, ask yourself “Am I efficient” and cull the bottom 20 percent of the herd based on carcass data.

Producers who can do this year-in and year-out will make the most genetic progress.”

“Our mission is to be focused on genetic improvement any way we can. We can’t ignore carcass data or carcass traits just because we’re not getting paid for it right now,” Spitzer says. “If we can break even in this market and get carcass data, it’s worth it. Our production cycle is so extended Continued on page 16 FRONTLINE Beef Producer 15

MOVING TARGET

Continued from page 15

we have to take advantage of every tool we can as long as we’re taking steps in the right direction.”

“We’re under pressure to find the profitable model and continue making genetic improvement. The only way to do this is to keep plugging away. We have tried different things, but I don’t think we really understand what the market wants today,” Healy says. “It’s good to discover non-performers or outliers in the herd. If she produces Standards and costs you money it’s time to get rid of those cows. Even though we’re retaining a smaller percentage of our steer calves, at least I still have the opportunity to remove some of these outliers.”

On the coat tails of genetic improvement, producers need to realize where their genetics fit in the big picture. Finding peace of mind will help establish long term goals.

“Brangus is a maternal breed, with above average carcass merit.

I look at reproductive efficiency first; no calf at all has pretty bad feedlot performance. Growth and carcass traits are next. Our Brangus calves have competed real well against their counterparts in feedyard efficiency,” Spitzer says. “I expect my bull customers to take advantage of heterosis and breed complementarity through crossbreeding. We have to hold up our end from a carcass quality standpoint.”

Cattlemen have never before seen the amount of data or the paper trail they have today. A good brand or identification is still important, but not enough information to follow your calves through the production process.

“There will be a day when consumers demand age and source documentation. Unfortunately, I don’t know if this information will be at a premium or just for producers to avoid that discount,” Dorn says. “Producers need to pay attention to the little things and keep doing what they do well. Health and nutrition are as important to quality and yield grade as genetics.”

New technology is always evolving in the beef business. From reproduction improvements to trying to improve the odds of knowing carcass potential, the research arm of the industry has been moving forward with a full head of steam. Much like new diesel engines, there will be a few bugs in the system. However, producers, at some point, must take a chance on these new scientific methods.

“The industry has some neat tools available to it that I am not sure we know how to use yet. Things like DNA markers are going to be a factor in the future,” Spitzer says. “Tenderness seems to be a hot topic right now. We aren’t really getting paid for tenderness, but we alienate a customer every time they get a bad steak. It’s hard to pencil the costs of some of these tools, but we have to start somewhere.”

“We are buying some bulls that have been tested for feed efficiency. It’s still going to take a while to replace the herd bull battery. That will have an effect on genetic improvement. I have to be careful. I want a bull that can be efficient with feed, but he needs to grow at an acceptable rate. We have to make changes when change is available. It’s easy to make

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16 FRONTLINE Beef Producer

mistakes at the beginning of a change with new data,” Healy says. “There is obviously a demand for higher marbled meat and tenderness. As we improve our ability to measure these traits we’ll start meeting that demand.”

“DNA will play a role as the technology continues to improve.

In the future, I’ll know more about what a producer has before he feeds them,” Dorn says. “Tenderness is a trait we’re all looking to improve. DNA markers will help us do this at some point. Maybe through DNA, we’ll know how to better manage the cattle.”

Along with new technology, producers face a different consumer. Today’s consumer is more concerned with things like where was it grown or a raising practice, rather than quality grade. Brand names or brand recognition should continue to be an important part of the buying decisions.

“It will be interesting to follow the beef industry and how it treats this “new age” customer. The beef industry is fortunate to be conducted in a healthy, outdoor atmosphere,” Healy says. “We have a natural, healthy product and we need to keep it that way. Take the criticism and turn it into opportunity.”

“Consumers are training themselves through media or food safety, faster than we thought. It will be interesting to see how the industry reacts,” Dorn says. “The consumer will go to the grocery looking for a certain brand. Each brand will have its own specifications. Producers need to know what they have so they get paid for what they produce.”

As the beef industry struggles to find its identity, most will agree the days of placing carcass value on a small percentage of middle meats are over. New thoughts and revelations will come as the consumer speaks.

Hopefully, this time the industry will listen.

Profitability, at some point, has to return to the feeding sector.

Cattlemen that stay on the correct path to genetic improvement could position themselves for tremendous gain. Remaining focused and patient will test the will of even the most positive thinkers.

“Our Brangus cattle will work in a variety of markets, if people will take balance, moderation and multiple trait selection to heart. It’s not real sexy, but it seems to work,” Spitzer says. “Markets and recessions have a lot to do with producers making bad decisions. The balanced approach catches the market both ways.”

“It’s a time where even though it’s costly in the feedlot, we can’t afford to make drastic changes, because we don’t know if the market has changed,” Healy says. “Our efforts are to target long term goals and don’t try to change quickly. Stay the course. That target may have to change eventually, but we can’t be jumping back and forth.”

“The frustrating thing about genetics is one mistake takes a long time to overcome. Producers have to keep their eye on the ball and don’t drop it,” Dorn says. “Focus on efficiency, carcass quality and pounds. Select cattle that do the best job in your environment. If producers can find that balance where cattle work on the ranch and in the feedyard, they should be well positioned as profitability returns to the industry.” 

FEATURE | by Marcine Moldenhauer

Capturing Value from Carcass Merit while considering Genetic Evaluation

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here has been much energy and effort put into research, papers written, and discussion, let alone the independent “on ranch” trial and error toward Carcass Merit and Genetic Evaluation. As technology continues to improve, Genetic Evaluation will continue to be a focus with increasing opportunities and incentives for the average producer to participate in.

Before I go any farther, let’s define Carcass Merit

Carcasses which do not meet packer and retail attributes for fed cattle and are generally discounted as not acceptable by the major packers are: 1. No Roll or Standard Quality Grade 2. Carcass Weights over 1000 3. Yield Grade 4 & 5 4. Ribeye area over 16 square inches Understanding the resulting Carcass Merit from Genetic Evaluation is without question in great demand…particularly as the industry continues to push toward producing beef products to increasingly rigid specifications.

realizing the value of your genetics.

Incentives are there for those who are able to gain a competitive understanding of what drive carcass merit from genetic evaluation.

The notion of the best practices they create and can repeat for production, management, feeding, days on feed, use of growth technologies, nutrition, and the environment, while also understanding the impact each of these factors has on the other, will continue to be important and valuable for those who are able to perfect it.

ABOUT THE AUTHOR Marcine Moldenhauer, Owner and President of Meat≈Link Management, a Livestock and Meat Business Consulting Firm; Contact Information: Wichita, Kansas 67230, Office 316-7338506, marcine_moffice@att. net

As an industry we will be pulled farther away from a pure commodity system and toward a more focused value-based system as genetic evaluation of carcass merit and accurate measures create multiple value and benefits. These benefits are incentivized today if there is repeatability, ratable supply, and coordination from production to packer in meaningful volume. For this to be a normal on farm production practice, technology must be more affordable, and accuracy will be demanded.

This may seem off topic, but reducing technology cost while adding value is where many of the supply chains or alliances are winning the game. Most of the supply chains are vertically coordinated, are charged

Producers must keep in mind that there many branded beef programs with definite specifications but not all specifications are or have to be the same. Matter of fact, if you go back to the definition, they are quite broad.

As retail continues to drive for tighter more reliable products through specifications (repeatable and ratable supply of carcass with merit) this does not mean that all cattle must hit a small bull’s eye target, again, quite the opposite.

As each of the packers have different branded programs, and a differing and diverse customer base, producers must learn what their cattle perform like on the rail, which brand most likely fits their production, breeding/genetics, and where they are going to get paid the most dollars for those cattle (carcass merit). It is easier and currently less costly for a producer to market cattle to the right packer or feeder than to make dramatic genetic shifts.

Feed yards are very aware of what type of cattle each of the packers want, will pay a premium for, and which cattle have virtually no value to a particular packer. This might seem like a harsh reality, but if the packer can buy cattle to meet their customer specs, why would they purposely buy any cattle that do not. Gaining this type of marketing intelligence is invaluable before deciding what changes to make…if any. Without this type of marketing intelligence, you are at a disadvantage of knowing or

Continued on page 18 FRONTLINE Beef Producer 17

CAPTURING VALUE FROM CARCASS MERIT WHILE CONSIDERING GENETIC EVALUATION

Continued from page 17.

with meeting targeted specifications repeatedly with a ratable supply 365 days of the year. Through understanding the objective, the specs, and being paid to deliver, most are the heaviest users of multiple technologies in regard to genetic evaluation of: carcass merit, feeding performance, on farm production traits, efficiency, and sustainability of the system.

Continual change will increase the need for carcass merit through genetic evaluation to be repeated more frequently at less cost and have the ability to deliver on the rigid specifications more quickly.

With multiple new and convenient beef products reaching the market every year, the demand for cattle that can fill those needs is on the rise. Industry analysts estimate that cattle marketed

through some form of vertical coordination program will reach 25 percent of the national total this year, with rapid growth projected over the next few years.

But whatever the specific objective, each supply chain seeks to add value to cattle by eliminating variability and defects while focusing on the incentives to increase consumer acceptance of beef by producing satisfying eating experiences.

To learn more about comprehensive industry Carcass Merit projects, read the NCBA carcass merit project completion article written by Dan W. Moser, September 15, 2004 Drovers Journal. 

FEATURE | by Dan W Moser

NCBA Carcass Merit Project Completed

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n 1998, the U.S. cattle industry initiated the Carcass Merit Project to evaluate the genetics of tenderness in the U.S. beefcattle population. Funded in part by the $1-per-head beef checkoff, 14 participating breed associations and MMI Genomics, the project generated data for tenderness EPDs and evaluated DNA markers discovered in previous checkoff-funded research. Cornell University, Kansas State University, Texas A&M University, Colorado State University and the U.S. Meat Animal Research Center collaborated on the project.

Each breed inseminated commercial cows to their most widely used AI sires. Over 7,200 progeny of 279 sires were fed at commercial feedyards and harvested at cooperating packers, then measured for carcass traits and shear force, and in some cases, sensory-panel characteristics like flavor and juiciness.

Final results of the project were released in May 2004. Carcass measurements of the project cattle were typical, but 26 percent of the steaks had WBSF values greater than 11.0 pounds (considered tough). The project was not designed to compare breeds. A breed’s performance relative to the project average is due to management of that breed’s groups as much as genetics.

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ABOUT THE AUTHOR Every breed showed significant variation Dan W. Moser, Dept. of for shear force. The relationship between Animal Sciences and Indusshear force and marbling score was weak, try, Kansas State University, indicating selection for marbling alone will Manhattan not significantly improve tenderness. Shear force was moderate to high in heritability, so genetic improvement of tenderness is possible, if adequate shear-force data can be collected. Data were provided to the breed associations, and four breeds (Simmental, Simbrah, Shorthorn and Hereford) have released shearforce EPDs on more than 200 sires.

The project also evaluated whether candidate gene locations could be used to improve carcass traits in the general cattle population. Of the 11 locations evaluated, five showed highly significant effects on carcass traits such as tenderness and marbling, and two others also appeared promising.

With additional research, these locations can be developed into diagnostic tests that can be widely used.

The economic portion of the project also revealed useful findings. Improvement of tenderness would both increase the value of beef and stimulate greater demand. A 10 percent improvement in tenderness should result in a 1 percent improvement in industry revenue.

Likely the most significant result of CMP is the large phenotypic database and archive of DNA samples. These samples are currently being used to validate commercial gene tests, and in the future, they may be used to create additional tests to accelerate the genetic improvement of carcass merit in beef cattle.

More information on CMP can be accessed at www.beef.org/documents/ACF4913.pdf. 

industry trends

Continued from page 8.

quota of US beef from 34 million pounds to 60 million pounds. We could see a great increase in beef exports this year.

Reality: Supply Cow numbers are at historic 47 year lows. The beef cowherd going into the new year is expected to be down 300,000 head from 2008 totaling about 31.4 million head. 2010 will be the fourth year of global decline in cow numbers, but at a slower pace compared to the previous two years.

Lower prices, higher operating costs and extreme weather in certain regions have contributed to this decline. Profit margins, if any, have been extremely narrow and it will take an improved operating environment before the beef herd shows any signs of growth.

Of course a smaller cow herd results in less total number of cattle being harvested, but not necessarily less total pounds of beef being produced. As we saw in 2009, an increase in carcass weights has a significant effect in total volume. The industry expects carcass weights to be up 6 or 7 pounds again in 2010.

Optimism: Supply Simple economics says if there is a constant demand and less supply, prices should be pressured higher. With less beef being produced and domestic demand expected to become steady in 2010 and foreign demand to increase the results should prove profitable for the cattle producer. Even with the increased carcass weights, total pounds of beef supply will be down. In fact, experts forecast per capita beef supply to decline nearly 2 pounds. If this holds true, it will be the first time since 1952 that the beef supply has been less than 60 pounds per person. So, with the industry moving into the fourth year of global beef decline, the expectation is that

prices will be, at the least, equal to but more than likely slightly higher than 2009. Demand remaining stable is extremely important and any large rebound in demand could result in higher than projected prices.

The simple reality of the beef industry is that we are in a tough situation. The short-term outlook is not what we would like to see. 2010 is expected to be another tight year with narrow margins and no ease of input costs. Every operation should plan ahead based on today’s beef industry forecast. Pay close attention to costs and manage risk wherever there is a chance. Every operation that weathers this storm is riding for the greener pastures ahead as there is great opportunity coming.

This might seem optimistic, but the beef industry could be approaching some of the best times any one has ever seen. It might be 18-24 months away, but times could get really good for the cattlemen. When the economy turns around and protein demand gains strength it will be an excellent time to be in the cattle business. People have to eat! People love beef! Short supply and greater demand for our product results in better prices and times for the beef industry.

Hold on and ride tall. The trail looks a little rough, but the green grass is just ahead!

Grant R. Keenen International Brangus Breeders Association Director of Commercial Marketing Programs Statistics quoted in the above article are from the December 2009 CattleFax Long Term Outlook, Special Edition 

FEATURE | by Grant Keenen

Real World Carcass Results

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he best way to monitor and measure genetic improvement is by evaluating real world performance and carcass quality. Brangus genetics continue to improve as does the quality of beef our commercial customers are raising and supplying to the industry.

I was recently given a close-out on 90 head of Brangus sired steers and

heifers fed at Decatur County Feeders in Oberlin, KS. Decatur County is extremely experienced in feeding quality Brangus influenced cattle and is proficient in grid marketing as well as capturing Age & Source premiums for their customers.

Here are the Real World facts on those 90 head of Brangus sired cattle…

Average Daily Gain Feed Conversion Percent Choice or Better Percent Certified Angus Beef Percent Yield Grade 1‐3 Percent No Roll Average Rib Eye Area

3.78 5.55 65.2 23.9 96.0 0.0 13.38

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ADVERTISERSINDEX ADVERTISER

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ABS

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800.ABS.STUD

Camp Cooley Genetics

9, 13

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Circle X Land and Cattle Co., Ltd.

IBC

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979.776.5760

Genesis Ranch

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IGENITY

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7

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Quail Creek Brangus

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The Oaks

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CALENDaROFEVENTS JANUARY • 2010

23

9

Lake City Invitational Brangus Bull Sale, Lake City, FL

APRIL • 2010

23

TBBA Bull & Commercial Female Sale, Navasota, TX

17

TBBA Spring Sale, Brenham, TX

24

GENETRUST at Cavender’s Neches River Ranch, Jacksonville, TX

FEBRUARY • 2010 13

Best in the West Sale, Marana, AZ

27

Spitzer Ranch Performance Tested Bull Sale & Commercial Female Sale, Calhoun, GA

MARCH • 2010 3-5

IBBA Annual Convention, Houston, TX

5-6

International Brangus & Red Brangus Show

5

Global Collection Sale, Houston, TX

6

Genetic Edge XV, Houston, TX

7

Global Roundup, Richmond, TX

13

“Cut Above” Production Sale, Cullman Alabama Stockyard

13

Camp Cooley Genetics Customer Appreciation Sale, Franklin, TX

19-20

Mound Creek Sale, Leona, TX

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GENETRUST at Suhn’s Cattle Company, Eureka, KS

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GENETRUST www.genetrustbrangus.com

GENETRUST Performance Genetics. Trusted Cattlemen.