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TheBeefSite Newsletter - 21 August 2013

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TheBeefSite
Wednesday 21st August 2013.
Michael Priestley - Editor

Michael Priestley
Editor


Zilmax Suspension Will Result in Lighter Cattle

The US beef industry has suggested that Merck’s decision to suspend Zilmax could result in an eight pound drop in average fed cattle weights.

Feeders are expected to switch to a ractopamine based beta-agonist capable of smaller lean weight gains following the cattle mobility and well-being scare to come from Tyson’s processing plants earlier this month.

Early predictions see the swap to Optaflexx leading to an overall drop in beef production for the year, down 0.92 per cent so far in 2013 on 2012 figures.

The two products differ in terms of active drug and the effect of liveweight gain although work similarly, both being beta-agonists.

Zilmax incorporates Zilpaterol and boasts liveweight gains of 19 pounds whereas Optaflexx contains ractopamine and claims to increase steer weight by 15 pounds.

Analysts have noted that the widespread adoption of beta-agonists in early 2012 coincided with cattle weights jumping ‘dramatically’ at the same time. This came some five years after the Food and Drug Administration approved Zilmax for US use in 2007.

Market commentators Steve Meyer and Len Steiner have said that one driver of year-on-year production increase must be beta-agonists.

They added that a year on year increase is evident from February 1 2012 of 19.08 pounds per head, an increase of 2.2 per cent.

While both products lead to superior weight gain in the final feedlot days, greater feed efficiency and lean muscle gain is achieved with Zilmax.

In their daily livestock report, Mr Meyer and Steiner said : “The economic benefit of these products for both feeders and packers is significant and we expect feeders that currently use Zilmax to switch to Optaflexx.

“Therefore, not all of that two per cent production increase will be lost. According to our sources, switching from Zilmax to Optaflexx will probably reduce weights by 6-8 pounds or about one-third of the increase observed in 2012.”

The jury is still out on why sightings of non-ambulatory cattle are being connected with Zilmax although, panels of animal health, nutrition and welfare experts are at work to formulate a concise answer to the Zilmax question.

Merck animal health has remained confident in the safety of the product and has maintained the issue is purely animal well-being and not food safety.

Dr Bradley Johnson, a feedlot and muscle biology expert said that Zilmax is safe as it does not stay in the animals long or accumulate in muscle or fat.


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This Week's Articles and Analysis

Feed Efficiency Research to Improve Beef Industry's Bottom Line
Feedlot data shows improvements in feed efficiency have been slow in recent decades which has prompted Canadian scientists to look into the weight gain genetics of eight breeds.

Can Beef Cows Milk Too Much?
Higher yielding beef cows require more feed both through lactation and also for year-long maintenance, according to Cow Calf Feed Specialist, Warren Rusche.

Beating the Fodder Crisis: Hydroponic Barley Sprouting
The Irish fodder crisis gave one quick witted producer in Ireland the opportunity to experiment with a contemporary solution - hydroponic barley sprouting.

Food Labelling and Veterinary Involvement Key to Meeting Improved Food Chain Transparency
An examination of welfare labels and the notion of objective welfare measurement was given by a list of leading experts including Dr Francesco Testa of Bergamo, Italy.

Company News

Merck Animal Health Statement on Five Steps to Responsible Beef
US - Merck animal health has laid out five-steps to responsible beef, a systematic review protocol that aims to answer the burning questions raised by the Tyson/Zilmax announcement.
Market Reports

QMS (Quality Meat Scotland) - August 2013
EBLEX Cattle Weekly - 16 August 2013
USDA Livestock, Dairy and Poultry Outlook - August 2013
UK June Agricultural Price Index - 15 August 2013
USDA Feed Outlook - August 2013
Irish CSO Reports: Agricultural Price Indices - June 2013

Global Beef Industry News

   Zimbabwe

FMD in Masvingo Affects More Cattle
FMD NEWS: FMD Outbreak Reported in Zimbabwe

   United States

CME: Futures Close Mostly Down, Tuesday
NFU Responds to Canadian Efforts to Undermine COOL
Zilmax Suspension Could Mean an 8 Pound Drop in Cattle Weights
Pasture Management: Make Sure of Adequate Leaf Area to Build Up Carbohydrate Levels
Allendale, Inc. Releases US Cattle on Feed, Cold Storage Estimates
Ethanol Boom Pulls Cattle Northwards
Daily Dairy Trading: September Class III Milk Closes Down 43 Cents, Monday
CME: Live Cattle Close Down, Monday
Chipotle Remains Unmoved on Meat Sourcing Policy
Weekly Cattle Summary : USDA Lower Price Forecast But Lift Production Outlook
CME: Early Lift in Futures Supported by High Beef and Cash Trade, Friday
What's Next for the CME Live Cattle Futures Market
CME: Futures See Profits But August Down 30 Cents, Thursday
Will Corn and Soybean Crops Get Finished?
Study Finds Electrified Water Kills Foodborne Pathogens on Beef
CME: August Live Cattle Closes up 10 Cents, Wednesday
CME: Jury Still Out on Zilmax
Texas A&M Establishes Bioinformatics, Genomics Systems Engineering Center
CME: Futures Higher Amid Tightening Supply
Weatherman Tells Texans to Prepare Drought Plans
CME: 'Greener' Light for Chicken, Pork Sectors to Expand
ISU Economists Have Cautious Message for Farmers
LMC: Cattle Shipments to GB Three Times Higher

   United Kingdom

Northern Irish Cow Slaughtering Up 4.5 Per Cent
LMC: Cattle Prices Remain Pressured as Throughput Lifts
Defra Publishes Guide to Farm Inspections in England
Securing Future Success of Farming
Research to Lower GHG Emissions from Northern Ireland Beef
Waitrose Praises NFU's Back British Campaign
NFU Announces Support for AWB Transition
UK Cattle Markets Stabilise

   Ireland

LMC: Economics Workshop Shows Growth in Chinese Beef Demand

   Namibia

OIE Reports FMD Outbreak in Caprivi

   Mexico

8.9 Billion Dollars to Go into Mexican Tuberculosis Battle

   Canada

Buy Local Programme to Boost Beef Profile
Alberta Delegation Successful in Kazakhstan
New Vibrio Test Available for Western Canadians

   Brazil

Brazil Declared 99 per cent FMD Free
JBS Revenue Rise from Organic Growth
July Hits Five Year Export High for Brazil
JBS Mercosul Appoints Gularte as New President

   Russian Federation

Foot and Mouth Disease in Amur

   Korea, South

Korea Launches Livestock Health Inspections

   Global

Merck Suspends Zilmax Sales in US and Canada
Food Labelling and Veterinary Involvement Key to Providing Food Chain Transparency
Hilton Beef Quota to EU Going Unused
Human MRSA Strains Traced to Cattle

   Indonesia

Minister Warns of Cattle Shortage

   Australia

Massive Throughput Lift Lowers Cattle Value, Friday
Australian Beef Export Values over A$5 billion
MLA: Weekly Cattle Summary

   Uruguay

Uruguayan Beef Shipments Up

   China

Chinese Food Prices Remain Stable
More FMD Reported in Tibet

   European Union

Commission to Recover €180 from Member States

   Georgia

Georgia Joins European Commission for Control of FMD

   Chile

Chilean Government Reports Higher Beef Output

   France

UK Farmers Observe Lucerne Potential

   Germany

Germany Measures Antibiotic Use on Farms

Events/Promotions

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The Drost Project - A Visual Guide to Porcine, Pig Reproduction.
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