Presentation is loading. Please wait.

Presentation is loading. Please wait.

Taking Dead Aim At The US Cattle Business. AN OVER-VIEW OF THE USA CATTLE MARKET & FUTURE THREATS Global Animal Products, Inc. (US Office) Ken Ridenour,

Published byHelen Taylor Modified over 9 years ago

Similar presentations

Presentation on theme: "Taking Dead Aim At The US Cattle Business. AN OVER-VIEW OF THE USA CATTLE MARKET & FUTURE THREATS Global Animal Products, Inc. (US Office) Ken Ridenour,"— Presentation transcript:

1 Taking Dead Aim At The US Cattle Business

2 AN OVER-VIEW OF THE USA CATTLE MARKET & FUTURE THREATS Global Animal Products, Inc. (US Office) Ken Ridenour, M.S.

3 TOPICS The USA Feedlot – Current Cattle Industry Beef Checkoff Program Future Threats Personal Opinion – Direction That The World Cattle Market Could Take In The Future

4 TOTAL CATTLE IN THE USA 97.1 million head (Jan. ’07) Average cow herd size – 35 head 97.1 million 3 rd consecutive year of expansion 33.3 million beef cows Heifers held back 5.9 million Calf crop estimated at 37.6 million head

5 TOTAL CATTLE AND BEEF PRODUCTION IN THE USA

6 USA FEEDLOT MARKET Cattle on feed February 2007 11,726,000 Cattle slaughtered – Week ending March 10, 2007 632,000 Average Live Weight – Week ending March 10, 2007 579 kg Average Carcass Weight – Week ending March 10, 2007 348 kg

7 FEEDER CATTLE (Steers) Amarillo, Texas Weight Price R/kg 10 MARCH 07 155kg23.39 205kg22.81 250kg20.75 295kg17.36 340kg17.36 Fat cattle on hoof 16.28 Avg. Carcass price 24.20

8

9 RATION COST MARCH 2007 Rand/Metric Ton Corn (Texas Panhandle) 1,485.00 Alfalfa Hay 1,408.64 Finisher Ration (DMB) 1,774.80 Cost of Gain with all charges/kg 14.05 Loss per head 225.00

10

11 ETHANOL 110 Operating Plants 8 of the above are expanding 73 plants are under construction 18.85 billion liters of ethanol were produced in 2006 42.987 billion liters are expected to be produced by 2009 49 to 57 billion liters of ethanol are expected by 2012

12 ETHANOL 2006 ethanol production required 2.56 million hectares of corn – 20% of the US corn harvest An estimated 4 to 6 million more hectares of corn will be planted in the 2007 crop year For the first time in history over 50% of the corn produced in the USA will be used for something other than animal production

13 Beef Checkoff Program  Established as part of the 1985 Farm Bill  Totally funded by the beef producers and no Government funds are utilized  Funding is $1 USD per head on both domestic and imported beef  Fifty cents goes to the National Organization  Fifty cents goes to the State Organization

14 Mission Of The Beef Checkoff Program  Check program is dedicated;  To improving producer profitability  Expanding consumer demands  Strengthening Beef position in the market place  Research funding for all phases of the Beef Industry

15 Beef Checkoff Program Funding  Revenue 2006 -- $45,238,376 USD  Expenditures:  Promotion $24,800,185  Research $6,233,497  Consumer Information $5,637,074  Foreign Marketing $3,997,592  Producer Communications $2,029,143  Industry Information $1,091,269  Program Evaluation $226,538  USDA Oversight $143,722  Program Development $123,661  Administration $1,547,899

16 Beef Checkoff Program Conclusion  Acts as a catalyst for Change.  Doesn’t own cattle or retail outlets.  Can’t single-handedly turn around a bad market.  Designed to stimulate others to sell more beef.  Stimulate consumers to buy more beef.  Initiatives are accomplished by consumer advertising, marketing partnerships, public relations, education, research, and new product development.

17 THREATS TO THE CATTLE INDUSTRY (BSE)

18 B.S.E. A Closer Look At Mad Cow Disease New vCJD is reported in 200 people world wide United Kingdom 164 France21 Ireland4 Netherlands2 Canada1 Italy1 Japan1 Portugal1 Saudi Arabia 1 Spain1

19 Science & Research

20 Observations made in 100% of subjects All gained weight Talked excessively without making sense Became overly emotional Could not drive Failed to think rationally Refused to apologize when wrong Could not preform sexually Had to sit down while urinating Study presented at Europe’s annual human reproductive conference Study design – 100 men consumed 6 pints of beer in 1hour

21 Conclusion of Study There has to be female hormones in beer

22 Bio – Terrorism Foot and Mouth Disease

23 PER CAPITA CONSUMPTION OF RED MEAT AND POULTRY (1909-2006) YEAR U.S. Pop., millions BEEFkgPORKkgLAMBkgPOULTRYkg 190990.49023.218.72.05.1 1916101.96118.419.21.74.8 1923111.94718.620.71.65.2 1930123.18815.318.62.05.6 1937128.96117.215.52.05.2 1944138.39720.924.32.18.0 1951154.28718.720.51.08.4 1958174.14125.420.51.210.9 1965194.30331.919.81.113.1 1972209.89636.521.81.016.1 1979225.05533.322.0.4518.2 1986240.65133.720.5.4521.4 1993260.25527.722.0.4528.1 2000282.38829.321.7.3630.8 2003291.04928.122.0.3632.3 2006300.00029.7622.3.4539.7

24 MATURING FEEDLOT INDUSTRY 3 Major Packers Cargill-Excel Swift (Monfort – ConAgra) Tyson (IBP) Vertical Integration Contract Growing for Packers

25 USA CATTLE INDUSTRY – LONG TERM Suburban Sprawl Land Price Government Land Environmental Impact and Regulations Government Subsidies

26 SUMMARY 30% of US feedlot head capacity is held in 10 companies Three beef packers control slaughter and marketing Maturing market for the feedlot industry – cattle business

27 CRYSTAL BALL PROJECTIONS Feedlot – Cattle will decrease More imports will be needed Australia South Africa Brazil Consumption – Beef will follow Lamb

28 Proud To Be Associated With The South Africa Feedlot Conference Beef It’s What’s For Dinner! Global Animal Products South Africa

Download ppt "Taking Dead Aim At The US Cattle Business. AN OVER-VIEW OF THE USA CATTLE MARKET & FUTURE THREATS Global Animal Products, Inc. (US Office) Ken Ridenour,"

Similar presentations

50 years of Pharmaceutical Technology and Its Impact On The Beef We Provide To Consumers.

50 years of Pharmaceutical Technology and Its Impact On The Beef We Provide To Consumers.
Prospects for U.S. Meat Exports The View From Washington Shayle Shagam World Agricultural Outlook Board U.S. Department of Agriculture.

Prospects for U.S. Meat Exports The View From Washington Shayle Shagam World Agricultural Outlook Board U.S. Department of Agriculture.
Brett Stuart Trade Analyst U.S. Meat Export Federation Future Potential and Challenges for U.S. Red Meat in the Global Marketplace UNL – ANSI Department.

Brett Stuart Trade Analyst U.S. Meat Export Federation Future Potential and Challenges for U.S. Red Meat in the Global Marketplace UNL – ANSI Department.
Grid Marketing Sorting out the numbers Cattle-Fax Mike Miller Bill Chandler.

Grid Marketing Sorting out the numbers Cattle-Fax Mike Miller Bill Chandler.
1 Lynn Heinze Vice President Information U.S. Meat Export Federation State of the World’s Beef Market 2007 & Beyond.

1 Lynn Heinze Vice President Information U.S. Meat Export Federation State of the World’s Beef Market 2007 & Beyond.
Livestock & Meat outlook China February 25, 2008 Prepared by Shiyao Investment Ltd Shanghai, ATO Oklahoma Agricultural Leadership Program.

Livestock & Meat outlook China February 25, 2008 Prepared by Shiyao Investment Ltd Shanghai, ATO Oklahoma Agricultural Leadership Program.
100 200 300 400 500 Grain Fed Beef Grass Fed Beef CAB™ Beef Production Tricky Marketing.

Grain Fed Beef Grass Fed Beef CAB™ Beef Production Tricky Marketing.
Ron Plain D. Howard Doane Professor University of Missouri-Columbia Chicken & Competing Meats.

Ron Plain D. Howard Doane Professor University of Missouri-Columbia Chicken & Competing Meats.
2008 Market Update: Clinton Dobson Livestock Market Analyst Alberta Agriculture and Rural Development.

2008 Market Update: Clinton Dobson Livestock Market Analyst Alberta Agriculture and Rural Development.
Ron Plain, Ph.D. Professor of Agricultural Economics University of Missouri-Columbia www.ssu.missouri.edu/faculty/RPlain Hog Market Forecast 2004 Iowa.

Ron Plain, Ph.D. Professor of Agricultural Economics University of Missouri-Columbia Hog Market Forecast 2004 Iowa.
Outlook for the U.S. Meat Sector in 2011 Presented By Shayle D. Shagam World Agricultural Outlook Board U.S. Department of Agriculture Outlook 2011 Canberra,

Outlook for the U.S. Meat Sector in 2011 Presented By Shayle D. Shagam World Agricultural Outlook Board U.S. Department of Agriculture Outlook 2011 Canberra,
Virtual Prairie Feeders Kurtis Sanguin Cory Holeha Brad Dempsey.

Virtual Prairie Feeders Kurtis Sanguin Cory Holeha Brad Dempsey.
 What is the gestation period for a cow? -The gestation period for a cow is 9 months.  When is a calf weaned? -The calf is weaned at 6-8.

 What is the gestation period for a cow? -The gestation period for a cow is 9 months.  When is a calf weaned? -The calf is weaned at 6-8.
Red Meat Prospects Conference ‘Progress Through Partnership’

Red Meat Prospects Conference ‘Progress Through Partnership’
Outlook for the U.S. Livestock and Poultry Sectors in 2011 Presented By Shayle D. Shagam World Agricultural Outlook Board, USDA USDA Outlook Forum Washington,

Outlook for the U.S. Livestock and Poultry Sectors in 2011 Presented By Shayle D. Shagam World Agricultural Outlook Board, USDA USDA Outlook Forum Washington,
Www.TheCIE.com.au The contribution of the Australian live export industry to the Australian red meat industries and the regions Prepared by: Derek Quirke.

The contribution of the Australian live export industry to the Australian red meat industries and the regions Prepared by: Derek Quirke.
Chapter 2.  Role & impact of U.S. livestock industry  International trade influences on animal agriculture industry  Overviews of animal livestock.

Chapter 2.  Role & impact of U.S. livestock industry  International trade influences on animal agriculture industry  Overviews of animal livestock.
January 21, 2015 University of Missouri Extension.

January 21, 2015 University of Missouri Extension.
Meats, Feeds & Grains Abigail Cooke. Overview Meat consumption is growing worldwide –Pork and chicken consumption increasing worldwide –Beef consumption.

Meats, Feeds & Grains Abigail Cooke. Overview Meat consumption is growing worldwide –Pork and chicken consumption increasing worldwide –Beef consumption.
Current Economic Climate of the Cattle Business Derrell S. Peel Breedlove Professor of Agribusiness and Extension Livestock Marketing Specialist Oklahoma.

Current Economic Climate of the Cattle Business Derrell S. Peel Breedlove Professor of Agribusiness and Extension Livestock Marketing Specialist Oklahoma.

Similar presentations

Ads by Google