COW/CALF
CORNER
The
Newsletter
From
the Oklahoma Cooperative Extension Service
June
20, 2016
In
this Issue:
Dairy influence on
beef markets
Derrell S. Peel,
Oklahoma State University Extension Marketing Specialist
Follow
BQA guidelines when treating and selling cows
Glenn
Selk, Oklahoma State University Emeritus Extension Animal Scientist
Dairy influence on
beef markets
Derrell S. Peel,
Oklahoma State University Extension Marketing Specialist
Beef
is a by-product of the dairy industry and rarely has a major influence on dairy
industry production decisions. However, dairy animals contribute a
significant portion of total animal slaughter and beef supply. The impact
of dairy on beef markets varies over time depending on long term trends and
short term market conditions in both beef and dairy markets. This article
summarizes the dairy industry’s impact on beef production in the 20 years since
1996.
The
dairy cow herd has been relatively stable over the last 20 years varying less
than 4 percent from 9.0 to 9.3 million head. By contrast the beef cow herd has
varied by over 18 percent from 29.0 to 34.5 million head over the same
period. Dairy cows as a percent of all cows have averaged 22.3 percent
but have been at a record high of 24 percent in 2014 and 2015 as a result of
low beef cow inventories.
The
nature of dairy production means that basic herd dynamics are very different
for dairy compared to beef. Dairy cows are culled more quickly so dairy
herd turnover rates are much faster. Dairy cow slaughter averages 30
percent of the January 1 inventory of dairy cows each year compared to less
than 10 percent for beef cows. On average the number of dairy replacements held
each year is about 47 percent of the cow inventory. This represents about
48 percent of the estimated dairy calf crop and is nearly all the heifers born
to dairy cows. This compares to beef herds where replacements heifers are
roughly 18 percent of the cow inventory. About 64 percent of
replacement dairy heifers enter the herd, which implies that overall about 30
percent of the estimated dairy calf crop is used for breeding. For beef
herds, an average of 10 percent of the estimated beef calf crop is used for
breeding females.
The
primary contribution of the dairy industry to beef production is male calves
and cull cows, along with some cull heifers. Most veal slaughter is from
dairy calves. Adjusting for veal slaughter, male dairy calves average
about 10 percent of the total (beef + dairy) calf crop. In 2015, that
percentage was a record large12.1 percent due to a low beef calf crop compared
to a stable dairy calf crop and low veal slaughter. Veal slaughter has
trended down for many years but reached record low levels in recent years due
to the high value of feeder cattle.
New
technology provides the dairy industry other ways to adjust relative to beef
markets. Sexed semen and genomic testing are being used to target some
dairy cows for production of replacement heifers. Conversely, cows not
used to produce replacements are, in some cases, being crossbred to beef
breeds to produce a better feeder animal. Dairy feeder cattle are discounted
compared to beef breeds because of differences in productivity, efficiency and
yield. However, dairy animals have some advantages in
feedlots. Because of the uniformity of dairy genetics, these
animals are very predictable in finishing. Dairy calves are often placed
on feed at very light weights and may take a year to finish. Because of
the predictability, dairy cattle produce carcasses of consistent quality and,
for example, typically produce Prime carcasses at two to three times the rate
for beef breeds.
Although
dairy cows only represent about 22 percent of all cows, they represent an
average of 47 percent of total cow slaughter. In 2015, dairy cow
slaughter represented a record level of 57 percent of total cow
slaughter. Dairy cows typically have heavier carcass weights, though
increased beef cow weights over time has closed that gap somewhat.
Reported cow carcass weights are an average across both beef and dairy cow
slaughter and changes in cow carcass weights are sometimes more of a reflection
of changing proportions of dairy and beef cows being slaughtered than changes
in cow weights.
The
impact of the dairy industry on beef production is always significant and has
been larger than usual recently due to low beef cattle numbers. Increased
beef cattle inventories as the beef herd rebuilds will reduce this impact to
more typical levels in the coming years.
Follow
BQA guidelines when treating and selling cows
Glenn
Selk, Oklahoma State University Emeritus Extension Animal Scientist
Summer time often brings a few infectious ailments to beef
cows. Common problems include eye infections and foot rot.
Treatment of affected cows will often involve the use of antibiotics.
On very rare occasions violative residues of pharmaceutical
products have been found in carcass tissues of cull beef cows. Violations
of drug residue regulations can result in expensive fines (or even worse, jail
time) for the rancher and a “black-eye” for the entire beef industry. It
is vital that cow calf producers have a close working relationship with a large
animal veterinarian in their area. If a cow has an infection or
disease that must be treated, her owner should closely follow the
veterinarian's directions, and also read the label of the product used.
Most of these medications will require that the producer keep the treated
animal for the label-directed withdrawal time. The Oklahoma Beef Quality
Assurance Manual contains the following discussion of medication withdrawal
times.
"A withdrawal time may be indicated on the label of certain
medications. This is the period of time that must pass between the last
treatment and the time the animal will be slaughtered or milk used for human
consumption. For example, if a medication with a 14-day withdrawal period
was last given on August 1, the withdrawal would be completed on August 15 and
that would be the earliest the animal could be harvested for human
consumption. All federally approved drugs will include the required
withdrawal time for that drug on the product label or package insert.
These withdrawal times can range from zero to as many as 60 days or more.
It is the producer's responsibility to be aware of withdrawal times of any
drugs used in their operation. Unacceptable levels of drug residues
detected in edible tissues collected at harvest may result in traceback,
quarantine, and potential fines or jail time. Substantial economic losses
may result for the individual producer as well as negative publicity for the
entire beef industry…”
Producers are responsible for residue problems and should follow
these four rules:
1. If
ever in doubt, rely on the veterinarian-client-patient relationship you have
established with your veterinarian.
2. Use
only medications approved for cattle and exactly as the label directs or as
prescribed by your veterinarian.
3. Do not
market animals for food until the withdrawal time listed on the label or as
prescribed by the veterinarian has elapsed.
4. Keep
well organized, detailed records of pharmaceutical products given to
individually identified animals. Include in the record, the date of
administration, route of administration, dosage given, lot or serial number of
product given, person delivering the product, and label or prescription listing
of withdrawal dates. Examples of Beef Quality Assurance records can be
found in the Oklahoma Beef Quality Assurance Manual website at the menu item "Record
Keeping Forms" . Records should be kept for 3 years after sale
of the animal
Oklahoma State
University, in compliance with Title VI and VII of the Civil Rights Act of
1964, Executive Order 11246 as amended, Title IX of the Education Amendments of
1972, Americans with Disabilities Act of 1990, and other federal laws and
regulations, does not discriminate on the basis of race, color, national
origin, sex, age, religion, disability, or status as a veteran in any of its
policies, practices or procedures. This includes but is not limited to
admissions, employment, financial aid, and educational services.
References within this publication to any specific commercial product, process,
or service by trade name, trademark, service mark, manufacturer, or otherwise
does not constitute or imply endorsement by Oklahoma Cooperative Extension
Service.
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