Gate Cuts

Paul Walker, DI Walker Consulting

ARE YOU READY... for these major changes that will affect how you manage your operation?

Change number 1: No more over-the-counter antibiotics

Beginning in June 2023 antibiotic pharmaceuticals will no longer be available over-the-counter. All antibiotics sold will require a veterinarian’s prescription. The days of finding a cow with foot rot and running to the local farm supply store to purchase penicillin or L.A. 200® to treat her will be over. Within the near future purchasing antibiotics for injection, oral or topical treatment will require a veterinarian prescription – like a veterinarian feed directive (VFD) for purchasing antibiotic containing feed. Consequently, everyone that owns livestock (cattle, swine, sheep, poultry, rabbits, equine, etc.) will need a viable veterinary-client-patient relationship (VCPR). Every producer already should have such a relationship but beginning in 2023 every producer, large or small scale, will need one or more veterinary practices that are familiar with their livestock operation. A VCPR means more than a veterinarian casually knowing that you exist. A VCPR means the veterinarian is familiar with your operation including your location, roughly how many cattle are in your operation, your herd health program, the type of operation you have, etc. This means the veterinarian has made a site visit at least once during the past year.

If your operation does not currently enjoy a viable VCPR, you should develop one ASAP. Site visits or farm calls are not inexpensive. Most site visits cost $60 - $120 in trip charges plus a treatment charge and the cost of any pharmaceuticals administered – kind of pricey to treat a cow with foot-rot. Having a viable, on-going VCPR will soon be cost efficient - actually it already is – too many producers just do not realize it.

How do producers build a VCPR? It really is up to the producer to initiate this relationship. If a veterinarian has never been to your operation or the last farm visit was two years ago or more, then scheduling a veterinarian farm visit may be necessary to remind the veterinarian that they are your farm vet. The next time the veterinarian makes a farm call inform them about your operation and begin buying your pharmaceuticals through your veterinarian office. If you have had a VFD within the last year – all of these things already may have been accomplished.

Change number 2: Cattle diets without distillers grains

Over the past 20 years the cattle industry has become very dependent on using dried distillers grains with solubles (DDGS), modified wet distillers grains with solubles (MWDGS) or wet distillers grains with solubles (WDGS). Really, dried distillers grains has been around for about 45 years – remember gasohol in the 1970s? But, beginning in the early 2000s when ethanol addition to gasoline was mandated, dried distillers grains became available in much larger quantities and its use in cattle diets was embraced by university researchers, feedlot nutritionists and cattle feeders. During these two decades dried distillers grains has not been a static feedstuff. The composition of distillers grains has: 1. Varied by ethanol plant and technology used to produce ethanol and hence to make dried distillers grains.

TABLE 1. AVERAGE COMPOSITION AND PRICE OF DISTILLERS GRAINS (APRIL 6, 2022)

TYPES OF DGS AND % MOISTURE PRICE PER UNIT ($) PRICE PER DM LB. (¢) PROTEIN % AND ¢/LB. PROTEIN DM BASIS

FAT % DM BASIS ME MCAL:KG ¢/LB. ME DMBASIS

NDF% DM BASIS

DGS – 10 220:TON 12.22 25.0/48.9 8 3.48/7.7 44 MWDGS – 55 102:TON 11.33 26.0/43.6 8 3.47/7.2 44 WDGS - 70 80:TON 13.33 26.0/51.3 8 3.47/8.4 44 SHELLED CORN - 12 7:BU 14.21 9.0/157.9 4.2 3.34/9.4 9 SBM – 10 460:TON 25.56 48.0/53.3 1.5 3.29/17.0 0 SB HULLS – 10 119:TON 6.61 9.0/73.4 2.1 2.98/4.9 67

2. Has changed over time as ethanol plants began to remove more of the corn oil on the “back end” of production.

Distillers grains of the early 2000s contained 10-12% crude fat on a dry matter basis. Around 2008–2010 ethanol plants began removing more of the oil and the crude fat of distillers grains began to routinely be on the order of 6-8% crude fat. Consequently, the energy density of distillers grains has decreased over time but generally speaking this lower crude fat content has not altered how the industry utilizes distillers grains in cattle diets.

But change seems to be continuous as technology advances. Today, technology exists that can alter how ethanol is produced on the “front end”. This technology allows the germ containing protein and oil to be removed on the “front end” of producing ethanol prior to fermentation. This technology allows ethanol plants to produce a valueadded high protein feed product, containing upwards to 60% protein, to capture more of the corn oil, leaving less than 4% of the oil behind. Thank goodness for the cattle industry, refitting existing ethanol plants with this technology is expensive and plants have been slow to adopt this technology.

Removing protein and oil from distillers grains leaves a highly digestible, high fiber feedstuff low in protein and energy with limited use in cattle diets. Several years ago, during an invited presentation before the Distillers Grains Council, I told them the cattle industry liked distillers grains just the way they were. Lowering the crude fat and corn oil percentage in dried distillers grains was not in the cattle industry’s best interest.

Table 1. shows the average composition and price at Midwest plants of selected corn and soybean feedstuffs using April 6, 2022 prices. It is entirely possible that your cost of these feedstuffs is higher or lower than the prices quoted in Table 1. Several points can be gleaned from Table 1. On a dry matter basis, soybean hulls are less expensive per pound than any of the corn products. On a dry matter basis distillers grains costs less per pound than shelled corn - but on occasion since January, 2022 shelled corn has been less expensive than distillers grains; and modified wet distillers grains with solubles is generally the most economical purchase of the corn feedstuffs whether one is considering cost per pound of dry matter, cost per pound of protein or cost per pound of metabolizable energy. If the producer is feeding distillers grains at 20% or less of the diet dry matter, it is considered a protein source as distillers grains can replace both shelled corn and soybean meal. If distillers grains is fed at rates greater than 20% of diet dry matter it is generally considered an energy source, though it still provides dietary protein. At inclusion rates greater than 20% of the diet dry matter, distillers grains over supplies the protein requirement for cattle but is still more economical than shelled corn and soybean meal. For beef cows on a corn silage-based diet, distillers grains is the most economical choice because corn silage is low in crude protein containing 8% crude protein on a dry matter basis and the dry beef cow requires a diet containing 9% - 10% protein while a lactating beef cow requires a diet containing 10.5% to 12.0% protein. For beef cows on a grass hay-based diet where the hay contains at least 9.0% protein, soy hulls are the most economical energy supplement. Finally, Table 1 shows that based on neutral detergent fiber content, distillers grains products with the corn oil and protein removed have less digestible fiber than soy hulls, suggesting that degermed distillers grains is worth less per pound as a highly digestible fiber or energy source compared to soy hulls. The great thing to remember about beef cattle is they can be fed so many feedstuffs not directly consumable by humans and still provide a wholesome, nutritious, tasty product in a sustainable way. Regardless of coming change, the cup is still half full for the cattle industry.