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Angus Productions Inc.

January 20, 2010


NEWS BRIEFS...

 

Pfizer Animal Genetics Introduces
HD 50K Panel Test for Angus Cattle

Pfizer Animal Genetics announced the completion of HD 50K, the beef industry's first commercially available predictions based on a high-density panel of more than 50,000 markers. This breakthrough presents greater selection opportunities for owners of black Angus cattle.

"Pfizer Animal Genetics is very proud to bring a high-density panel to the beef industry," says Nigel Evans, vice president of Animal Genetics for Pfizer Animal Health. "This is a major event for the industry and our company, and cattlemen now have access to unprecedented genomic selection information that can supplement EPDs (expected progeny differences) to accelerate genetic progress in their herds."

HD 50K reports 14 genomic trait predictions as Molecular Value Predictions (MVPs™). A portion of the traits described by the MVPs — average daily gain, dry-matter intake, net feed intake and tenderness — are not currently expressed as EPDs and provide producers with an opportunity to select cattle according to traits of economic importance that can be difficult or costly to measure. Other traits associated with calving ease, growth, maternal and carcass merit can be used in concert with existing EPDs.

Also included is a DNA-based economic index, $MVPFL, which provides a predicted value in relation to net return of feedlot progeny.

"The MVPs from HD 50K have a strong relationship with an animal's performance," says Ronnie Green, senior director, global technical services for Pfizer Animal Genetics. "This enables Angus producers to achieve a significant return on investment (ROI). Producers making breeding decisions utilizing the product along with EPDs can benefit from up to a three-to-one improvement in ROI versus using EPDs alone in producing genetics for commercial cattlemen."

The most powerful use of the HD 50K is to establish a genetic profile for animals early in life. DNA samples can be analyzed from young calves, long before progeny data is available and with greater accuracy than parent average information. The resulting data provide a reliable prediction of future performance, and allow producers to make earlier, better and more profitable genetic decisions.



Editor's Note: At the current time, the data resulting from the HD 50K is not incorporated into the American Angus Association database for generation of genomic-enhanced EPDs.



USDA reports farmers shatter corn production records on fewer acres

The final report from the U.S. Department of Agriculture (USDA) on the 2009 corn harvest is one for the record books. Despite poor planting conditions; a cool, wet growing season; and an abysmal harvest that still sees corn standing in fields, American farmers shattered records for both yield per acre and total production.

In the January Crop Production report, USDA estimates farmers averaged 165.2 bushels (bu.) of corn per acre, up from its previous estimate of 162.9 and shattering the previous record of 160.4 in 2004. Notably, average yields are more than 11 bu. per acre higher (7%) than last year's average yield. In addition, this record yield helped produce the largest corn crop ever — 13.2 billion bu.

Renewable Fuels Association President Bob Dinneen pointed out in a news release that the record 2009 crop was produced on 7 million fewer acres than were required to produce the second-largest crop on record (13.0 billion bu.) in 2007.

Despite raising total production and yield numbers, USDA left demand for all sectors, save feed use, unchanged. For ethanol, USDA is estimating 4.2 billion bu. of demand for the marketing year Sept. 1, 2009-Aug. 31, 2010. That is enough to produce 11.7 billion gallons (gal.) of ethanol based on industry ethanol yield averages.

For calendar year 2009, the U.S. is expected to produce 10.6 billion gal. of ethanol and more than 30 million metric tons of livestock feed from 3.8 billion bu. of corn.




Cattle tuberculosis confirmed in South Dakota

A Yankton County, S.D., cattle herd has been found positive for bovine tuberculosis (TB) after a 3-year-old cow from the herd was confirmed to be infected with the disease.
State Veterinarian Dustin Oedekoven said the herd has been quarantined for additional testing.

Herds that have had contact with the affected herd, or purchased animals from that herd, are being tested by state and federal animal health officials. The positive test presents no risk to food safety.

Oedekoven said South Dakota remains a TB Accredited Free state and has had that status since 1982. The finding of a single affected beef herd will not automatically affect the TB status of the entire state.




NCBA denounces Taiwan beef trade restrictions

The National Cattlemen's Beef Association (NCBA) is extremely disappointed that Taiwan has reversed its decision on a carefully negotiated science-based bilateral beef trade protocol. Despite a recent agreement to allow a full reopening of the Taiwan market to U.S. beef, Taiwanese lawmakers announced that additional restrictions would be placed on U.S. beef imports due to alleged safety concerns.

After two years of negotiations, the U.S. and Taiwan reached an agreement, finalized in October, which would have brought Taiwan into compliance with science-based World Organization for Animal Health (OIE) guidelines, thus allowing imports of U.S. beef and beef products from cattle of all ages. Taiwan appears to have disregarded sound science and ignored the agreement by placing additional restrictions on beef and beef product sales to Taiwan.

The U.S. has exported record sales to Taiwan over the last three years, with beef exports valued at $101 million in 2006; $107 million in 2007; and $128 million in 2008. The industry is on pace to set a record for the fourth year in a row in 2009, with $114 million in beef sales through October.




Feed Outlook Released

The U.S. Department of Agriculture (USDA) Economic Research Service (ERS) released its January "Feed Outlook" on the 14th. Click here for access. The report examines U.S. supply, use, prices and trade for feedgrains, including supply and demand prospects in major importing and exporting countries. The focus is on corn; but information also is provided on sorghum, barley, oats and hay.

The next release of "Feed Outlook" text and tables will be Feb. 11.




‘Farmers Feed US’ Builds Consumer Trust in Agriculture

Farmers in Ohio, Michigan, Indiana, Missouri and Iowa are participating in a program called Farmers Feed US, which offers consumers the chance to win free groceries for an entire year*!

The Farmers Feed US program allows consumers the opportunity to meet online and engage with the farmers who grow their food. Through short online video farm tours, at www.FarmersFeedUS.org, consumers learn how farmers produce safe, nutritious and affordable food. They also have the opportunity to register in a "Free Groceries for a Year" sweepstakes.

"As more and more people move from an agricultural background to the suburbs and cities, it's important for consumers to understand how food is delivered to their tables," said Terry Fleck, executive director of the Center for Food Integrity. "And there's nobody better to factually and passionately tell that story than the farmers of this country."

For additional information about Farmers Feed US and how the program works, please visit www.youtube.com/watch?v=_9WUaz2qDwM, where you'll be able to review a campaign overview video.

*Based on Food Marketing Institute figures, a $5,000 value.




Groups urge Secretary Vilsack to take
new direction to prevent animal disease spread

In a hand-delivered letter to U.S. Secretary of Agriculture Tom Vilsack, 16 groups called the agency's practice of using inadequate international standards and the OTM Rule to leverage global export markets into conformity with weaker disease standards "deplorable." The OTM Rule was implemented in 2007 and authorizes the importation into the U.S. of older Canadian cattle that have a higher risk for bovine spongiform encephalopathy (BSE).

The groups state they disagree with the "uncritical deference" that Vilsack has accorded the World Organization for Animal Health (OIE), which recently designated both the U.S. and Canada as 'controlled risk' countries for BSE. According to a letter Ranchers-Cattlemen Action Legal Fund United Stockgrowers of America (R-CALF USA) received from Vilsack, the agency believes the OIE's designation provides assurance that measures are in place in both countries to manage 'any possible risk of BSE in the cattle population,' and that cattle and beef can be 'safely traded by both nations.'

But the groups state that USDA is wrong to rely on the weaker OIE standards and that Vilsack's stated position is inconsistent with Congress' mandate "to protect animal health and the health and welfare of the people of the United States by preventing the introduction into or spread within the United States of BSE." The groups urged Vilsack to carry out his congressional mandate by rescinding the OTM Rule.

The groups state also that Vilsack's position is directly contradicted by his agency's own risk assessment model that predicts that under the OTM Rule, the U.S. "will introduce 19 BSE-infected cattle from Canada over the course of 20 years," and two U.S. cattle would become infected. In addition, the groups state that USDA "estimates the cost to U.S. cattle producers, for the privilege of being exposed to a heightened risk for BSE from Canadian cattle and beef, would be over $66 million per year (or approx. $1.3 million each week), for which no compensation can be obtained from anyone."




NCBA files appeal of EPA’s
‘Endangerment Finding’ rule

The NCBA filed a petition Dec. 23, 2009, in the Washington, D.C., Circuit Court of Appeals challenging the Environmental Protection Agency's (EPA) recent greenhouse gas (GHG) "endangerment finding" rule.

The endangerment finding does not in and of itself regulate GHGs, but it is a critical step in the process for GHG regulation under the Clean Air Act (CAA). The rule provides the foundation for EPA for the first time to regulate GHGs from small and large sources throughout the economy, including farms, hospitals, office buildings and schools. For example, because of this rule, EPA will be able to tell farmers that they can only emit a certain level of GHGs; if they go over that amount, they can incur severe penalties and be forced to curtail production. The rule also sets the stage for citizen suits against large and small businesses that are the backbones of the U.S. economy. In addition, increased energy costs associated with this ruling will be devastating for agriculture and the public as a whole.

Under the rule, EPA defined air pollution to include six greenhouse gases, and stated that manmade greenhouse gases endanger public health and the environment.

The petition NCBA filed, as part of a coalition of interested parties, is the first step in asking the DC Circuit Court of Appeals to overturn EPA's rule due to a lack of sound or adequate basis for making the finding of endangerment from anthropogenic GHGs.

According to the EPA, in 2007, GHG emissions from the entire U.S. agriculture sector represented less than 6% of total U.S. GHG emissions, and the livestock industry emitted only 2.8%. At the same time, land use, land use change, and forestry activities resulted in a net carbon sequestration of approximately 17.4% of total U.S. carbon dioxide emissions, or 14.9% of total U.S. greenhouse gas emissions.




Overseas Opportunity for College Agriculture Students Announced

The Grains Foundation and the National FFA Organization are now accepting applications for the International Collegiate Agricultural Leadership (I-CAL) program. The 12 undergraduate students for this year's I-CAL mission will journey to Malaysia and Taiwan from May 16-28, 2010. The I-CAL program is intended for students who wish to continue their future education and career path in agriculture.

"The 2009 I-CAL mission changed my perception of the world. We have to embrace free trade and establish relationships in order to move commodities. Having my eyes opened to the world was pretty amazing," said Michelle Euken, Iowa State University graduate and participant in the 2009 I-CAL mission to Vietnam and China. "I now understand the importance of market development and will continue to promote U.S. agricultural trade in my personal life and professional career."

The Grains Foundation was established by members of the U.S. Grains Council in 1983, in an effort to improve world food availability and quality; to strengthen the role of the marketplace in resolving global supply and demand issues; and to build partnerships with agricultural producers, agribusinesses and governments in developing countries through market education programs. Knowledge gained by I-CAL participants will serve American agriculture as they become future leaders in production agriculture, agribusiness and related fields.

Jim Broten, chairman of The Grains Foundation, said, "The I-CAL program offers young agricultural professionals a unique opportunity to see the benefits of international trade firsthand. It is our hope they will become believers and promoters of international trade, as it benefits the whole world."

Click here to find out more information about the I-CAL program and to apply. Please note that applications must be postmarked by Feb. 15, 2010.



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