Page 24 - Demo
P. 24
The Midwest Cattleman %u00b7 October 24, 2024 %u00b7 P24SimAngus Bulls & HeifersLocated nearClinton & SedaliaLynn Snow 660/619-2867Call Matt McQitty660-924-8037TOP EPD%u2019slacking in the cattle industry right now. When a farmer decides to expand the size of their cowherd, they are trading income from the sale of heifers today for a stream of income from additional calf sales in the future. Weaned heifers are valuable in 2024 and passing up that income in the short run is difficult. Developing heifers is also costly and is an expense that is incurred well before additional calves can be sold. These same factors were largely present when our last expansion began in 2015, but interest rates were considerably lower than they are today. Higher interest rates increase cost of production and also increase the preference for income today, rather than in the future. Put another way, patience is at a premium in higher interest rate environments like the present.At some point, the three Ps will line up and we will expand this cowherd. When that will happen is a difficult question to answer, but it is safe to say there are no signs of heifer retention right now. The 2024 USDA traceability rule requiring electronic identification (EID) for certain classes of cattle to be moved across state lines goes into effect November 5. The rule applies to sexually intact cattle 18 months of age or older, all female dairy cattle, male dairy cattle born after March 11, 2013, and all rodeo or exhibition cattle. This rule amends a 2013 rule that required only visual ID tags for these same classes of cattle to move interstate. Currently, the only EID technology approved by USDA is an 840 tag. These tags are only encoded with a 15-digit animal identification number. They do not record or transmit owner-specific information, nor do the tags collect constant location data while cattle graze on the ranch. Producers can purchase 840 tags directly from any tag distributor or contact their veterinarian, as those accredited in Kansas may be able to obtain free 840 tags and applicators from the Kansas Department of Agriculture. More information on securing tags can be found on the Kansas Department of Agriculture website under Animal Disease Traceability. Cattle that fall under the 2024 rule, but already are tagged with a metal tag or a plastic, non-RFID official identification tag prior to November 5 will be grandfathered in. That tag will be considered acceptable for interstate movement for the duration of the life of that animal. Additionally, the 2024 rule does not apply to cattle of any age moving interstate to go directly to processing.More information on the 2024 cattle traceability rule can be found at www.kla.org/resources. A document for producers containing frequently asked questions, along with links to additional information, can be found under the Animal Disease Traceability section.KLA6) Provide Good NutritionDuring cold weather, cattle require more energy to maintain body temperature. A higher energy diet, particularly one with increased roughage, helps cattle produce heat through digestion. Undernourished cattle are more prone to cold stress due to reduced fat reserves and lower metabolic heat production.%u201cBasically, once the animal falls below her LCT, she%u2019s going to start putting energy toward thermoregulating herself. Obvious implications that if she%u2019s in survival mode instead of production mode, we lose opportunity revenue,%u201d Cassady says.He suggests two ways producers can combat this: supplement with energy dense grain products or increase their intake of hay. However, two problems with this exist, he says. First, they haven%u2019t been adapted to grain, so there will be a potential drop in rumen pH, which is where Amaferm, a prebiotic research-proven to increase digestibility, can help. Secondly, if the forage quality isn%u2019t high enough, the cows can%u2019t get enough hay consumed to meet this energetic demand because they are full. Amaferm helps break that down and increase VFA production. By increasing digestibility, your cattle are automatically increasing their body temperature internally, Cassady says.Providing proper winter cattle shelter and quality nutrition for the herd ensures their health, safety and productivity during cold months.Droverscontinued from page 19HOW TO PROVIDELimited heifer retention, combined with cow slaughter levels, suggest that another decrease in beef cow inventory is almost certain when the January 2025 estimates are released. So, supply fundamentals are encouraging and should continue to support calf prices next year. Many are also expecting some reductions in interest rates over the next several months, which may factor into this decision at the producer level.If weather cooperates, I do think increased heifer retention could be seen in 2025, but it is important to remember that this would just be the first step towards expansion. And the initial impact of heifer retention is actually a tightening of calf markets as those heifers are held back. There are always risk factors out there, but I remain optimistic about the next couple of years largely because cattle supplies are tight and likely to get tighter. We are not seeing signs up expansion yet, so all we can do is watch for the 3 Ps!AMENDED USDA CATTLE TRACEABILITY RULE GOES INTO EFFECT IN NOVEMBERcontinued from page 23THE THREE P%u2019S