Beef Tips and Cow Chips

Transcription

1 Beef Tips and Cow Chips An Educational Series To Enhance Beef Production Adding Value to Your Calves Presented By: Bryan Cave Extension Agent, Agriculture and Natural Resources Surry County Beef Cattle Improvement Series January 4, 2000 Adding value, this is a term in today s society that means many things depending on who you ask. You hear the term from corporate board rooms to farmer s fields and pastures. Why is this concept so important? Webster s defines value as the quality of a thing that makes it wanted or desirable. In other words what makes a product sell. We in the cattle business have long thought of selling as hauling a load of calves to the weekly market. Most of us have discovered that this is not the best way to market our calves and many are beginning to look for options. In today s society however, the marketing of cattle does not involve just selling the calves. We must begin to add value to our calves from the moment of birth if we want to remain viable in the future. So, what does adding value mean? Perhaps it means not adding value, but decreasing the discounts we receive. Any current magazine that discusses the production of meat for human consumption will contain at least 1or 2 articles on adding value. These articles can be on topics from tenderizing meat to developing microwavable beef roasts. Many producers if asked would tell you that they have nothing to do with value added products, they are DEAD WRONG! We all have everything to do with Added Value, our very livelihood in the beef business depends on it. Let s discuss this a little further from a producer s standpoint and approach it from an angle we can all understand, DOLLARS!!! As I stated earlier, perhaps adding value is decreasing the discounts we receive at sale time. What I mean is, What can we do to receive more money for our product and make it more desirable? We need to make our product desirable not only to the cattle buyer, but the American consumer as well.

2 As we enter this new millennium, and the technology advances, we will be forced to be more accountable for the product we produce, in our case, beef. In the past few years we have seen cattle slaughtered based on ultrasound more than by looks. We have seen cattle microchipped and data gathered on the from the time they are chipped until they are slaughtered. In many countries, the food scares such as the outbreak of Mad Cow Disease in Europe will make the use of animal tracking systems mandatory. How long until that happens here? Not long, systems are available now, they are just a little too expensive still for mass use. This leads to the following questions. Are you proud enough of your calves from this year or last to stand behind them as they enter the human food chain? Have you done all that you could to keep your calves healthy? Have you followed beef quality assurance practices? Would you eat that cull cow you sent to market? If you can t answer yes to ALL of the previous questions, you need to rethink your production system. For this discussion we will discuss some NC statistics. Table 1. Interesting NC Statistics Average Farm Size 172 acres Average Farmer Age 55 years % of Jobs Farm Related 20 % of Jobs Ag. Production 2.4 # of Beef Cows 500,000 Rank in US (Beef Cows) 24th Acres of Farmland 8.9 million Population 7.5 million Acres of Pasture 400,000 As you can see from Table 1, we are still considered a rural state with a respectable number of cattle. There are, however, some problems with the reputation of calves from North Carolina. We have discussed some of the problems before, but they bear repeating now. They are listed in Table 2.

3 Table 2. Why NC Calves Have a Bad Reputation Stress of Marketing System Stress of Weaning Calves not Bunk Broke Change in Diet/Rumen Environment Bruising and Injection Site Blemishes Incomplete/Improper/No Vaccination Programs Mixing or Co-mingling of Calves Exposure to Disease Without Immunity All of the problems listed in Table 2 can and should be solved through the use of basic and recommended management practices. To discuss the practices necessary to solve the problems in Table 2, we will discuss each item separately. Stress of Marketing System. The weekly cattle auction is a tradition that will never disappear. It is a gathering place and a social affair for many people in North Carolina. While it is probably not the best marketing system available to producers, it is a necessary and functional system for many producers. The absolute best way to market calves in most cases is directly from the farm in tractor-trailer lots. This can simply not be accomplished on many farms where adequate numbers of calves aren t produced. This problem can be solved with the cooperation of several producers in an area mixing their calves and making a truck load lot. This can and has worked in many areas of the country and the biggest obstacle in this area is the lack of a defined calving season on most farms in Surry. The development and use of a defined breeding season is a very necessary one on a well managed farm in order to optimize income. This is perhaps the greatest problem seen on farms in this area, and is one that can be overcome with proper management of beef farms. Stress of Weaning. Weaning is a stressful time for calves, cows, and producers. The problem in this area is the lack of a weaning program. Most producers say their weaning program is getting the calves up on one day and selling them the next or even the same day. In order to solve this problem, a program should be initiated to wean calves and background them beyond the stress period. As earlier, this problem

4 is compounded by the lack of a defined calving season. Without a defined season, weaning can and does become a nightmare due to having to wean several times per year instead of just once. This leads to no weaning program at all, and a loss at market time of weight and price received. Not Bunk Broke. Most calves are raised on pasture as they should be for optimum returns. This system does however, lead to a problem at sale time, the calves don t know how to eat out of a feed bunk or trough. This may not seem to be much of a problem to cow-calf producers, but to feeders who buy the calves from cow-calf producers, it is a major cause of sickness and death in calves. This leads to reduced prices paid to cow-calf producers. To solve this problem, most calves should be fed a feed at times while they are still nursing to introduce them to dry feed from a bunk. This will lead to less time needed to go on feed and reduced weight loss at weaning and ultimately less death loss for the purchaser. This will, over time, result in a better price to the cow-calf man. This will be the reason that many producers will want their calves identified, so they don t get lost in the shuffle of the marketing system where calves are mixed together and individual producer information is lost. Change in Diet/Rumen Environment. This is typically a reason for sickness, poor performance, and even death loss to feeders. As earlier, most calves are used to a full forage diet prior to sale. When a calf is sold to a feeder, they are usually put on a diet fairly high in concentrates resulting in a necessary shift in the rumen microbe population. This shift takes a few days to accomplish in order for the calf to utilize their new diet. To solve this problem, the best thing producers can do is to creep feed prior to weaning or feed at weaning. This will lessen the time needed to adjust to their new diet. Bruising/Injection Site Blemishes. This problem is not a problem linked solely to the cow-calf producer, it is a problem at every level of the beef industry. This problem results in millions of lost dollars each year to producers. The best way to solve this problem in a cow-calf situation is to follow quality assurance guidelines when processing cattle. Also, producers should monitor their fences, gates, and handling facilities to remove protruding objects which can cause bruising etc. when cattle are moved or worked.

5 Incomplete/Improper/No Vaccination Program. This problem results in sick calves. These calves end up performing poorly or dying and give a bad reputation to calves from any particular area. The biggest problem in Surry is the lack of a vaccination program. Some research in this area indicates that calves actually grow faster after vaccination than they do if they are not vaccinated. Many calves are lost each year to Clostridial diseases such as Blackleg which are easily and economically vaccinated against. This leads to lost income to producers. To solve the problem, producers should work with someone to develop a herd health program for their herd to reduce their losses. The added health benefits will lead to healthier calves and a better reputation for the calves after they are sold. Mixing or Co-mingling of Calves. This problem is basically a function of the marketing system that most producers use. This system involves loading healthy and growthy calves onto a trailer and hauling them to the local weekly sale. At the sale, the calves are mixed or mingled with other calves who are healthy as well but that have been exposed to different diseases and immunological challenges. This mingling effect results in calves who are otherwise healthy developing a sickness that they have no immunity for. The solution for this problem is less clear. If a producer can ship his calves direct, the chance of mingling effects are lessened. The other option is to make sure that the calves you sell are properly vaccinated against the most common diseases in your area. Exposure to Disease Without Immunity. This problem is self explanatory. The problem is not so much one for the cow-calf producer as it is for the feeder. The calves he receives are typically not vaccinated so he must vaccinate all of them. Also, the cowcalf producer must make sure that his calves are properly vaccinated for the most common diseases they will face in their home area. This will pay dividends for the producer with enhanced growth rates. In most cases, the extra gain and healthier calves will more than pay for the vaccine.

6 Improving Marketability Now that we have discussed the problems leading to the poor reputation and subsequent discounting of our calves, The question of how to improve marketability arises. Table 3 lists some possible options/answers to this question. Table 3. Potential Marketability Options NC Certified Beef Producer Program Improved Handling Facilities Proper Storage/Handling/Administration of Vaccines Better Parasite Control Dehorn/Castrate/Implant With the exception of the NCCBPP, the practices listed in Table 3, are basic management practices that for the most part are self-explanatory. If we as beef producers take advantage of these time tested management practices, we will improve our bottom line and improve the reputation of our calves. In all cases, the calves you produce will develop a reputation. This reputation can be of two types, good or bad. If we do our job, we will develop a good reputation; if we don t, we will develop a bad reputation. In many cases, producers have had buyers compete to buy their calves off the farm in order to reduce the competition they would face at a local market. Imagine having buyers come to your door trying to buy your calves. What an interesting concept! Table 4 lists several measures and the related price discounts or premiums from actual sale barn data. Take a look and see if you could have improved your income this year. Keep this information in mind when deciding what to do and how to manage your calves.

7 Table 4. Dollar Values for Selected Production Practices Discounts and Premiums Horned Calves Lack of Uniformity Bull Calves Excess Fill Excess Flesh Stale Bad Eyes Small Frame Thin Muscle Sick Lame Increased Lot Size -$1.94/cwt. -$2.35/cwt. -$3.56/cwt. -$4.15/cwt. -$4.28/cwt. -$8.75/cwt. -$13.38/cwt. -$18.86/cwt. -$24.48/cwt. -$28.96/cwt. -$30.48/cwt. +$ /cwt. So, by looking at Table 4, did you miss any opportunities to increase your bottom line? In most cases, the answer is yes. How do we solve the problem, Basic Management Practices. These practices were developed originally to help the producer and the truth is, they still work. Put them to use on your farm and increase your income. Another tried and true way to increase your income is the Graded Sale concept. Every Spring and Fall, these sales are held throughout North Carolina. These sales take the place of truck load lot selling. Calves are taken in, sorted by weight, sex, breed, frame size, and muscling; then grouped into similar pens and sold as a group. Historically, this marketing method increases the price received by the producer by about $5/cwt. on most weight calves. Table 5 illustrates these differences.

8 Table 5. Fall 98 Graded Sale Prices vs. Weekly Auction Prices Steers and Heifer Steers Heifers Wt. $/cwt. $/hd $/cwt. $/hd As exhibited in Table 5, Graded Sales are a viable marketing option. These sales are open to any producer, but calves must be consigned prior to sale day, and rules vary by sale. Check with your local Extension Agent for details such as date, consignment forms, and rules for the sale you are interested in. Not only are there Graded Sale price differences, there are price differences based on Breed of Calves. These differences are displayed in Table 6. Table 6. Breed Effect on Price Received for Calves Fall 98 Graded Sales (5 wt. M-1 Calves) Angus Angus X Hereford Hereford Exotics Other Cross Brahman Cross Straight Continental $70.50/cwt. $70.85/cwt. $59.11/cwt. $66.16/cwt. $56.80/cwt. $61.10/cwt. $55.25/cwt. As evidenced in Table 6, there are some dramatic Breed Effects on price received for calves. These considerations should be kept in mind when planning a breeding program. Summary In short, producers do have a great effect on the price they receive for their calves. The management decisions made can have a tremendous effect on the economics of an operation. This program is designed to give producers the information they need to make better informed management decisions. In summary, producers should: 1) Take advantage of proven practices; 2) Strive for uniform, desirable cattle types; 3)Increase lot size irregardless of sale method; 4) Use Graded sales as a method of increasing lot size; and 5) Look for new opportunities to Add Value to Their Calves.