Sara Snider

The Source

AngusSource® grows, expands
opportunities with Gateway.®

by Sara Snider

Enrollments in AngusSource® charted 8.9% growth in the month of July as compared to enrollments in July 2008. Year-to-date, the number of calves source-, age- and genetically-verified through the program is up 10.9%. This growth is a testament to the value producers, feeders and packers are receiving through the AngusSource program.

In an effort to open the doors to value for more producers, the Gateway program was introduced at the end of July. Gateway is operated as an extension of the existing AngusSource Process Verified Program (PVP) and offers source and age verification with no genetic requirements. Gateway is run by the AngusSource department and follows the same policies, procedures, enrollment protocol and record requirements as the original AngusSource program — minus genetic requirements.

Gateway is an opportunity for the American Angus Association and the AngusSource department to foster relationships and offer services to a wider range of producers. In the past, some producers interested in enrolling in AngusSource could not qualify all of their calves for the program because they did not meet the genetic requirements. These producers had to seek verification services for all or a portion of their calf crop from other industry programs. The AngusSource Department can now meet all of their verification needs by enrolling their entire calf crop in one program or possibly splitting the calves between the AngusSource and Gateway program.

Gateway to profit

Once producers have begun working with our department, if they wish, we will be able to help them make the operational changes necessary to qualify their entire calf crop for AngusSource.

Producers enrolling in Gateway have access to the outstanding customer service and marketing support that has made AngusSource an industry-leading program. Producers can customize their certificates by adding additional management and marketing information. Calves can then be promoted to more than 600 potential buyers using the AngusSource/Gateway online listing site. The listing site has been reformatted so that buyers can easily tell if the calves have been enrolled in AngusSource or the new Gateway program.

Calves enrolled in Gateway are identified with a yellow visual program-compliant ear tag. The tag is printed with the same Lot ID (identification) system used in AngusSource. The Gateway logo appears on the neck of the tag and the words "SOURCE & AGE" are printed at the bottom. Producers can have these tags custom-printed with a herd management number free of charge.

Since being introduced in 2006, the AngusSource PVP Feedyard Umbrella has helped farmer feeders and commercial yards alike receive the age-verification premiums being offered by packers. Gateway calves are eligible for coverage in the feedyard program as well. Producers who market fed cattle directly to packers are encouraged to contact the AngusSource Department to find out more about this program.

A Gateway Verification Certificate is generated for each lot of calves enrolled in the program. This certificate documents the verified source and age of the calves and carries the USDA Process Verified Shield. The certificate is linked to the calves through the Gateway Lot ID, which is printed on the ear tags of the calves it represents.

Cost structure

The cost structure of Gateway is slightly different than the Tier 1 AngusSource program. The $50 enrollment fee for each group of calves remains the same; however, the cost of the program tags is slightly higher — $3 per visual tag and $5 per radio frequency identification (RFID) matched-pair set. Producers have the choice of using the traditional program tags or purchasing tags printed with the "840" numbers. In some cases an on-site review will be required prior to completion of the enrollment. Producers will be responsible for paying a $150 on-site fee and any applicable travel costs.

The Association and our staff are extremely excited to be able to offer the Gateway program to producers. We look forward to building new relationships and assisting a larger number of producers with meeting their verification needs and marketing goals.