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A Primedia Property
March 5, 2004

Table of Contents
A U.S. Cattle Industry Manifesto
International Council On Food Irradiation Formed
Mexico Agrees To Reopen Its Borders To U.S. Beef Trade
USDA Reopens Comment Period On BSE Border Issue
2004 Federal Grazing Fee Announced
An Arsenal Of Information To Counter Ag Adversaries
Illinois Plans Pasture Selection And Management Seminars
A Glossary Of Feedlot Terms For Cow-Calf Producers
Cattle-Fax Helps Producers Find Profits in Packer Grids
Find Fencing Information At www.beefcowcalf.com
Get Out Early For Better 2004 Grasshopper Control
Intervet Offers Free Parasite Evaluation Program
Industry ID Survey Is Available At www.beefstockerusa.org
Beef Improvement Federation Sets May 25-28 Meeting
NIAA Annual Meeting Includes One-Day BSE Symposium
How About Printing Anti-Tyson Messages?
Juries And Judges Make Decisions Based On Facts


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Our Perspective
A U.S. Cattle Industry Manifesto
The U.S. cattle industry is in the crosshairs of a cultural war being fought on a myriad of fronts ranging from the environment to nutrition. The activists allied against us have two goals -- to gain control of our production assets (land) for their use, or eliminate our existence by destroying the economic foundations that underpin the industry. Their tools to accomplish this are taxation, regulation and destroying consumer confidence in our product.

Our survival is dependent upon the industry's ability to speak with one voice, and to speak and act always with undisputed integrity. Unfortunately, the U.S. cattle industry has lost the ability to speak with one voice, the result of frustrations created by a commodity marketing structure characterized by an economic model that's highly capital intensive and produces narrow margins, thus fueling the forces of consolidation and concentration.

These frustrations have created a divide among cattlemen. One side believes the solution lies in government intervention in the marketplace. The other believes the market should be the final arbiter of success and failure, with governments and courts just ensuring the competition is fair.

This division has reduced the industry's political power. The result is that many of the issues critical to the future of our industry won't be decided within the industry but by the courts and political process -- venues far more likely to respond to the wishes of beef industry adversaries than to the beef industry.

The failure of the industry to unite behind the common cause we share must come to an end. The responsibility of regaining the momentum in this cultural war falls on every cattlemen to ensure that the industry will once again speak with one voice.

The following manifesto is a declaration of the fundamental principles that made the U.S. cattle industry the recognized world leader, and the American cattleman one of the most revered figures in history. These are standards we all should be in agreement on, and that should lead to the end of the internal battles we are foolishly engaged in.

  • The U.S. cattle industry must be structured so producers engage in making or forming policy that, following intense and open debate, will enable it to speak with unity.


  • The independence of producers and the right for U.S. cattlemen to make their own decisions on raising and marketing their product should be respected and embraced by all. This tenet must be the supreme, fundamental principle of the cattle industry's policy structure. The courts and the legislature are not the venues to hold industry debates but rather the places to advance and protect the desires and rights of the industry.


  • A democratic policy structure is the ultimate goal of every cattle producer. Those who hold minority viewpoints should not abandon this structure, nor should those in the majority forget to honor the rights of the minority to have legitimate concerns heard and applied when possible. The importance of speaking with one voice should always be considered paramount.


  • This industry is founded on the principles of honesty, integrity, truth, science, fair competition and minimal government influence. The beef industry's interest is served by policy that improves the competitiveness of all segments, not one segment in favor of another or one producer in favor of another.


  • The U.S. cattle industry must embrace the need to be competitive in a global marketplace and continue to expand market opportunities around the world. Yet, we must insist on maintaining not only the safety of the American consumer but also the health of the American cattle herd. We must recognize that fair trade and free trade are different economic principles and that our future is reliant upon fair trade.


  • As producers, we believe in protecting, preserving and improving the environment. We believe in maintaining the lifestyle and cultural characteristics that have created the unique ethos of this industry. We believe in a marketplace where winners or losers are determined by their ability to contribute, not by legislative decree. We believe in treating animals humanely and providing the safest, most wholesome beef products in the world.


  • In the case of competing visions for the industry, the goal should not be to force one side to conform to the other's viewpoint. It should be the recognition that both visions are allowed to compete fairly in the marketplace for acceptance. A unified policy will never 100% satisfy the majority of producers, but rather reflect what the majority of producers are willing to live with.
We, America's 21st century cattle producers, affirm these principles and call upon all cattlemen who love our industry to understand clearly and support completely this manifesto. It is time for our leadership to identify the common denominators that exist and to halt foolish internal conflict.
-- Troy Marshall


Beef Checkoff
International Council On Food Irradiation Formed
The International Council on Food Irradiation (ICFI), a network designed to help foster the gathering and sharing of science-based facts about food irradiation worldwide, debuted on Wednesday. Membership in ICFI is open to any individual, company, organization or institution having a professional interest in enhancing food safety, security and trade through the use of food irradiation.

Paisan Loaharanu, a 30-year veteran of the international food safety arena, including 20 years of food irradiation leadership for the United Nations Food and Agricultural Organization and the International Atomic Energy Agency, is ICFI's founder and executive director. Edward Mather, deputy director of the National Food Safety and Toxicology Center, is ICFI co-executive director.

"There's a lot of misleading, even false, information being disseminated to the public about food irradiation," Loaharanu says. "We're optimistic ICFI will help consumers everywhere to understand the benefits of irradiated foods and to embrace the technology without reservation."

The idea for ICFI was born during the First World Congress on Food Irradiation held in May 2003 in Chicago, Loaharanu says. Nearly 200 prominent experts and officials in the fields of food safety, food science and food trade, and representing 22 countries gathered for the meeting.

"Many Congress participants said they would like the momentum to grow and flourish through a bold, ongoing clearinghouse devoted solely to food irradiation. We're delighted ICFI came to fruition to fulfil those collective wishes," Loaharanu says.

For more information, check out www.icfi.org.
-- ICFI news release



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Foreign Trade
Mexico Agrees To Reopen Its Borders To U.S. Beef Trade
An agreement has been reached to resume some U.S. beef exports to Mexico. The first stage of this agreement will allow exports to Mexico of boneless beef products from animals of less than 30 months of age.

Mexican beef markets snapped shut in the wake of the bovine spongiform encephalopathy (BSE) incident in Washington state on Dec 23.

While it could be up to 30 days before beef begins crossing the Mexican border, the markets responded Wednesday with packers paying $85 for fed cattle. In the usually higher northern markets, packers paid $135-$136 in the beef for cattle -- $3 higher than last week.

The export certification language is currently being developed, and these products will be certified jointly by the USDA's Food Safety and Inspection Service and the Agriculture Marketing Service, says Phillip Seng, president and CEO of the U.S. Meat Export Federation (USMEF).

Seng says the present agreement only allows the U.S. to export veal and boneless beef from animals less than 30 months of age -- an estimated 75-80% of what the U.S. exports to Mexico.

USDA has provided assurances that this is only Phase 1 of the program, and that measures for other items such as trimmings and variety meat items for export to Mexico are currently being negotiated. USMEF and USDA both recognize how important offals and trimming exports to Mexico are to the industry.

"We applaud the Mexican government for reopening its market to U.S. beef," says USMEF vice president Homero Recio. He says Mexican officials made the decision based on sound scientific principles.

In 2003, the U.S. exported 335,847 metric tons of beef and beef variety meat products to Mexico, valued at $877 million.

The news was also welcomed by trade negotiators who see the reopening of the Mexican market as a big step in ongoing efforts to pressure other countries to reopen their borders for U.S. beef. Japan continues to hold fast to demands that U.S. packers initiate 100% BSE testing before they will consider importing U.S. beef.
-- Clint Peck


USDA Reopens Comment Period On BSE Border Issue
USDA's Animal and Plant Health Inspection Service ((APHIS) announced Thursday reopening of the ccomment period on the proposed rule to amend the regulations regarding importation of animals and animal products from countries that have had isolated cases of bovine spongiform encephalopathy (BSE). The proposed rule would include Canada in a category of regions that present a minimal risk.

The proposed rule was first issued on Oct. 31, 2003, before the discovery of a BSE-infected cow in Washington state and the implementation of amelioration measures announced Dec. 30. The initial comment period closed Jan. 5, 2004.

In the rule, APHIS proposed to allow the importation of certain low-risk live ruminants and ruminant products and by-products from minimal risk regions under certain conditions. This action will allow interested persons additional time to prepare and submit comments. This notice also requests comments on whether to allow importation from BSE minimal risk regions of beef from cattle 30 months of age or older in which the specified risk materials have been removed.

Also, APHIS has prepared an explanatory note discussing the detection of the Washington BSE case and its effect on the risk analysis conducted for the proposed rule. Both the original analysis and the explanatory note are available on the APHIS Web site at http://www.aphis.usda.gov/lpa/issues/bse/bse.html.

Notice of the extension is scheduled for publication in the March 8 Federal Register. APHIS documents published in the Federal Register and related information, including the names of organizations and individuals who have commented on APHIS dockets, are available at www.aphis.usda.gov/ppd/rad/webrepor.html.

The deadline for comments is April 7, and may be submitted by postal mail, commercial delivery or e-mail. Send an original and three copies of postal mail or commercial delivery comments to Docket No. 03-080-2, Regulatory Analysis and Development, PPD, APHIS, Station 3C71, 4700 River Road Unit 118, Riverdale, MD, 20730-1238. For e-mail, address comments to regulations@aphis.usda.gov. Comments must be contained in the body of the message; do not send attached files. Include your name and address in the message and use "Docket No. 03-080-2" on the subject line.
-- APHIS news release


Public Lands
2004 Federal Grazing Fee Announced
The grazing fee for lands managed by the Interior Department's Bureau of Land Management (BLM) and the U.S. Forest Service (USFS) will be $1.43/animal unit month (AUM) in 2004, up from $1.35 in 2003. The newly adjusted fee, which took effect March 1, applies to more than 18,000 grazing permits and leases administered by the BLM and more than 8,000 permits administered by USFS.

The formula used for calculating the grazing fee, established under the 1978 Public Rangelands Improvement Act, has continued under a 1986 presidential Executive Order that stipulates the grazing fee can't fall below $1.35/AUM. An AUM is the amount of forage needed to sustain one cow and her calf, one horse, or five sheep or goats for a month.

The annually adjusted grazing fee is computed by using a 1966 base value of $1.23/AUM for livestock grazing on public lands in Western states. The figure is then adjusted according to three factors -- current private grazing land lease rates, beef cattle prices and the cost of livestock production. Based on the formula, the 2004 fee rose primarily because of an increase in beef cattle prices in 2003.

The $1.43 grazing fee applies to lands in 16 Western states on public land administered by the BLM and USFS. USFS applies different grazing fees to national grasslands and to lands under its management in the Eastern and Midwestern states and parts of Texas.

The national grassland fee will be $1.52/AUM and also took effect March 1. The fee for East and Midwest states and parts of Texas will be announced later this month.
-- Clint Peck


Consumers
An Arsenal Of Information To Counter Ag Adversaries
Faces Of Agriculture is a nationwide, grass-roots organization designed to promote all of production agriculture by providing producers with empowering information so they can confidently champion their industry. Its Web site -- www.FacesOfAg.com -- is a storehouse of background information designed to bring agriculturalists up to speed on timely issues.

At the www.FacesOfAg.com site, you'll find backgrounders, myth-busting articles, producer profiles, some great links to other sources and a section on how to get involved in the fight to educate the public on the real agricultural record.

At www.FacesOfAg.com, you can also find thought-provoking articles by Trent Loos, a sixth-generation farmer and rancher and the creator of the "Loos Tales" radio show. His desire to bridge the gap between farmers and consumers led him to a career in radio broadcasting and public speaking. Check out his Web site at www.LoosTales.com.
-- Joe Roybal



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Grazing
Illinois Plans Pasture Selection And Management Seminars
University of Illinois (UI) Extension plans seminars in three locations on Pasture Species Selection and Management. Set for Lewiston, Springfield and Carrollton on March 31 and April 1, the pre-registration deadline is March 26.

"With the proper species, fertility and management, pastures can be one of the most profitable areas of agriculture," says Dave Seibert, UI Extension animal systems educator. "However, most pastures are not developed to their potential and the resulting performance of the livestock grazing those pastures is disappointing."

Some of the most knowledgeable forage agronomists in the Midwest will headline the meetings and discuss various pasture forage species, as well as mixtures to provide high-quality grazing throughout the year.

On March 31, the Lewiston seminar is set for 9 a.m. to 2:30 p.m. at the Fulton County Extension office, and from 5:45 to 8:30 p.m. at the Sangamon County Extension office on the Illinois State Fairgrounds in Springfield. The April 1 seminar in Carrollton runs from 9 a.m. until 2:30 p.m. in the Greene County Extension office.

Registration is $10 for the Lewiston and Carrollton locations, or $15 after March 26 or at the door. The Springfield seminar is free but participants must pre-register.

Register by contacting Rhonda Ferree at 309/547-3711 for the Lewiston seminar, Diane Duewer at 217/782-4617 for the Springfield seminar, or Rick Keim at 217/942-6996 for the Carrollton seminar.
-- Bob Sampson, UI Extension communications specialist


Industry News
A Glossary Of Feedlot Terms For Cow-Calf Producers
Greg Lardy, North Dakota State University beef specialist, has assembled "A Cattleman's Guide To Feedlot Lingo." It's a helpful list of common feedlot terms intended to familiarize cow-calf producers with the lingo and jargon that may be used by feedlot managers when discussing custom feeding and feedlots. You can find it by clicking on: http://www.ext.nodak.edu/extpubs/ansci/beef/as1161w.htm.
-- Joe Roybal


Tips for Profit
Cattle-Fax Helps Producers Find Profits in Packer Grids
Cattle-Fax has introduced a new tool designed to help beef producers compare, analyze and simplify grid marketing decisions, as well as identify additional marketing opportunities.

"Grid-Max" is an Internet-based program that allows producers to directly compare how their cattle will perform on several packers' public grids. The program users can input their own cattle, make direct comparisons between public grids and see the net return of each individual animal at specific plants during specific weeks. With a full year's data, it not only assists in weekly marketing decisions but can be an extremely valuable tool in benchmarking cattle performance relative to numerous public grids offered by today's packers.

Randy Blach, Denver, CO, executive vice president of Cattle-Fax, says Grid-Max has applications for every production segment of the beef industry from cow-calf producers to cattle feeders. Most of all, he says, it allows beef producers -- without assuming any financial risk -- to make accurate historical and weekly grid comparisons based on net returns.

"Grid-Max is one of the most effective methods of price discovery and base-price arbitrage that is currently available to producers," says Nevil Speer, Ph.D., associate professor of animal science at Western Kentucky University. "It serves to empower beef producers by facilitating delivery within an available network that provides maximum profit opportunity."

Market assessments in the program include updates on base prices, premiums, discounts and specifications while allowing producers to account for contingency factors such as freight costs, performance expectations and delivery date within the framework of specific grid-pricing components. The net result allows cattlemen to evaluate a variety of existing grids on a weekly basis, prior to any marketing commitment. On a broad scale, cattle and management attributes now can be strategically matched with appropriate grid alternatives.

For more information regarding Grid-Max, contact Bill Chandler or Mike Miller at Cattle-Fax. Call 800/825-7525 or e-mail bill@cattle-fax.org or mmiller@cattle-fax.org. The Grid-Max Web site is available through the Cattle-Fax home page or at www.grid-max.net.
-- Clint Peck


Find Fencing Information At www.beefcowcalf.com
Looking for the latest information on fencing and fencing products? Check out the March issue of BEEF magazine, which mailed this week. Or, go to www.beefcowcalf.com, BEEF magazine's one-stop Web site source for information on virtually any topic in cow-calf production and management.

Just plug "Fencing" into the "Title Search" box on the opening page of www.beefcowcalf.com, and you'll find plenty of information on theory, method and how-to. The Web site includes links to more than 2,000 research papers and fact sheets prepared by the top animal science teaching and research institutions in North America. Save yourself research time by bookmarking www.beefcowcalf.com for future reference.
-- Joe Roybal


Get Out Early For Better 2004 Grasshopper Control
Grasshoppers will be out in full force again this season across large areas of the West and Great Plains. Based on fall 2003 surveys, government forecasters predict grasshopper populations will be extreme in some areas of Montana, Nebraska and Texas.

That's a lot of ground to cover. While ground-based spraying to control grasshoppers has been largely disregarded in favor of aerial application, there's a viable alternative to the old truck- or tractor-based application methods these days, says Jeff Lockwood. He's an entomologist with the University of Wyoming Department of Renewable Resources.

"By combining Reduced Agent and Area Treatment (RAAT) application and heavy-duty, all-terrain vehicles, we've found a way to suppress grasshopper infestations," Lockwood says.

Lockwood's been involved in grasshopper research with USDA scientists, state departments of agriculture and weed and pest districts from 1995 to 2000. He says the following application tactics most often optimize economic returns and are recommended by the National Grasshopper Management Board:

  • Carbaryl (Sevin XLR®) at a rate of 8 oz./acre with an equal volume of water in alternating treated and untreated 100-ft. swaths.


  • Diflubenzuron (Dimilin 2L®) at a rate of 0.75 oz./acre with 8 oz. of water and 4 oz. of crop oil, in 100-ft. alternating swaths. Or apply at a rate of 1 oz./acre with 16 oz. of water and 8 oz. of canola oil, in 100-ft. swaths alternating with 200-foot untreated swaths.


  • Malathion (Fyfanon®) at a rate of 4 oz./acre in 100-foot swaths, alternating with 25-foot untreated swaths.
Pest managers say early scouting is essential in grasshopper control, particularly with Dimilin. The insecticide is most effective when grasshoppers are in the second to fourth instar stage of growth -- preventing young grasshoppers from molting.

In a RAAT program, the insecticide rate is reduced from traditional levels, and untreated swaths (refuges) are alternated with treated swaths, Lockwood says.

This Integrated Pest Management approach can reduce the cost and the amount of insecticide used by more than 50%. RAAT can be used in either aerial or ground application. And, the method normally results in 80-95% control, which is 5-15% lower mortality than with a standard, high-rate, blanket treatment.

Using RAAT can reduce cost by 50-60% depending on the agent and swath width. Plus, using canola oil rather than crop oil as a carrier may significantly improve the effectiveness of RAAT application.
-- Clint Peck


Intervet Offers Free Parasite Evaluation Program
Intervet is offering producers a free, fecal-analysis program designed to give producers unbiased information to use in making informed decisions on internal parasite control.

Producers can participate in the parasite evaluation program by calling 800/441-8272 to request a collection kit. The collected samples are shipped to one of four independent laboratories where parasitologists measure the level of parasite infection. Test results and consultation are free of charge provided producers return treatment information upon receipt of their test results. After receiving their results, producers then can compare their herd to aggregate data from their county, state or region.
-- Joe Roybal



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Animal ID
Industry ID Survey Is Available At www.beefstockerusa.org
In December, BEEF magazine debuted the beef industry's most comprehensive and timely survey of what's available, how it works and who's involved in electronic animal identification. That survey, conducted by Dale Blasi of Kansas State University (KSU), is available at www.beefstockerusa.org and is updated as new information becomes available.

A number of additions have been made to the table in the past few months. Plus, there is a lot more on ID available at the site. Check it out at www.beefstockerusa.org, a cooperative venture between KSU and BEEF magazine.

And don't forget about the KSU Beef ID Academy, a series of two-day seminars on animal ID being held at four locations this spring and summer. The first is June 2-3 in Manhattan, KS. Find out more at www.beefacademy.com/.
-- Joe Roybal


Industry Meetings
Beef Improvement Federation Sets May 25-28 Meeting
The 2004 Beef Improvement Federation (BIF) annual meeting is set for May 25-28 at the Sioux Falls, SD, Convention Center. Among the topics for the BIF's 36th annual meeting are:

  • A May 25, 7 p.m. session on developing technologies in animal agriculture includes a look at reproductive technologies, transgenics, and DNA fingerprinting and marker-assisted selection.


  • A May 26, 8:15 a.m. session looks at costs and potential profits of new technologies. A 10:15 a.m. session looks at leverage points for profit. Roundtable discussions at 2 p.m. focus on genetic prediction, producer application, and live animal, carcass and endpoint.


  • A May 27, 8 a.m. session discusses expectations of end users, and the costs of meeting consumer demands. At 10:30 a.m., the topic is the NCBA's Tenderness Project. Roundtable discussions at 2 p.m. deal with cow herd efficiency, emerging technologies and selection decisions.
The conference also features two May 28 tours of area beef operations and companies that service the beef industry.

Register online at http://www.BIF2004.com/ or ask for registration brochures at any county Extension office. Full registration costs $100. Registration is $85 for spouses and $65 for students. Send checks by May 1 to South Dakota Cattlemen's Association -- BIF, 435 S. Chapelle Ave., Pierre, SD 57501.

For more details, contact South Dakota State University (SDSU) Extension beef specialist Cody Wright at 605/688-5448, or Justin Stockall of the South Dakota Cattlemen's Association (SDCA) at 605/945-2333. SDSU, the South Dakota Cooperative Extension Service, and the SDCA are the conference sponsors.
-- Joe Roybal


NIAA Annual Meeting Includes One-Day BSE Symposium
The National Institute for Animal Agriculture (NIAA) will host a one-day symposium on bovine spongiform encephalopathy (BSE) in conjunction with its 2004 annual meeting, April 4-8, at the Marriott City Center in Salt Lake City. The symposium, entitled "BSE in North America: A New Era," will take place April 6 and its objectives are:

  • Provide first hand accounts of North America's first cases of BSE;


  • Provide a thorough overview of government actions to address BSE in North America;


  • Provide a global perspective of BSE and the world's view of North America's diagnoses;


  • Share actions taken throughout the food system to strengthen BSE protections and controls; and


  • Provide perspectives on economics, consumer response and assess risk communication efforts.
The symposium begins at 9 a.m., concludes at 5 p.m., and will be followed by a reception to allow participants an opportunity to visit with the program's team of BSE experts.

Confirmed presenters include: Ron DeHaven, USDA chief veterinary officer; Will Hueston, director of the University of Minnesota's Center for Animal Health and Food Safety and member of the International Panel of Scientific Experts; and David Ropeik, director of risk communication at the Harvard Center for Risk Analysis.

Complete program and registration information can be accessed at www.animalagriculture.org/BSE or by calling NIAA at 270/782-9798. For info and registration on the overall annual meeting go to: http://animalagriculture.org/annual_meeting/Annual_Meeting.asp.
-- Joe Roybal


Cow-Calf Weekly Mailbag
How About Printing Anti-Tyson Messages?
With the articles you publish about Tyson, it would be nice if what these people do for a living was printed with their names. My bet is that we would see how people who benefit from corporate activities are circling the wagons.

Anti-trust laws are on the books because monopolies are and do exactly what Pickett vs. IBP showed happens. I suppose Tyson proponents think juries and judges shouldn't decide murder cases, either, because of all the complicated reasons that go into that.
Victor Bulinski
Middleport, NY


Juries And Judges Make Decisions Based On Facts
This is in response to the reader letter on the Pickett vs. IBP decision in last week's issue of BEEF Cow-Calf Weekly. While it may be hard for judges or lay people to make decisions accurately about markets or monopolies, it's surely possible for them to view facts and make decisions based on the facts.

Anti-trust laws are without a doubt complex, as are market forces, but the fact remains that too few players are involved in the market to have true competition. And while inefficiency and greed may have toppled Standard Oil, how many smaller efficient oil companies were forced out of business by them first?

Should we as producers be forced to wait for Tyson and the others to fail of their own doing while they suck the life out of agriculture and destroy the American farm?

We should all ask ourselves if more or fewer players in the market is better? Will contracts help the industry or just me and the few others who were at the right place to land such contracts? We as farmers and producers should strive to see the end not just the beginning when we make our (business) decisions.

There are always winners and losers. This judgment will know doubt have plenty of both. But to stand back and let the cards fall where they may would create more losers than winners.

And while farming may be a business, it is far from on par with other businesses. I am aware of no other business that buys retail and sells wholesale. Few other industries are based so strongly on commodities, so surely farmers can expect a few breaks when dealing with the giants.
Albert Armand
Westport, IN
www.HarperValleyFarms.com


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