We (practitioners, Extension, beef producers, veterinary colleges…) are constantly making everything we do

become obsolete… therefore we better be working on the “next thing”

“When the rate of external change exceeds the rate of internal change,

the end of your business is in sight…”

Jack WelchCEO General Electric

Beef Production / Management Changes Beef Production / Management Changes for Contract Productionfor Contract Production

Bob L. Larson, DVM, PhD, ACT

If you don’t take change by the handit will take you by the

throat. Sir Winston Churchill

Beef: Contract Production Considerations

• Must know current economic position:Cost of production

Return per unit of production (cow, acre, etc.)

Return on investment

Beef: Contract Production Considerations

• Must know current economic position• What will be economic return?

Higher ?

Lower ?

Same ?

Beef: Contract Production Considerations• Must know current economic position• What will be economic return?

• Is economic investment required?Buy shares ?

Facilities ?

Genetics ?

Beef: Contract Production Considerations• Must know current economic position• What will be economic return?• Is economic investment required?

• Will economic risk be reduced?Set income

Income buffers

Beef: Contract Production Considerations• Must know current economic position• What will be economic return?• Is economic investment required?• Will economic risk be reduced?

• Will production risk be reduced?

Beef: Contract Production Considerations• Reduce Production Risk

Access to experts: Veterinarians

Nutritionists

Animal Breeders / Geneticists

Quarterly (timely) visits

Available by phone

Available to visit if problem occurs

Cost of expert: contractor, producer, shared

Beef: Contract Production Considerations

• Reduce Production Risk

Access to experts (Recipes): Health protocol

Rations (cows and calves)

Crossbreeding program

Alter / adjust “recipe”

Beef: Contract Production Considerations

• Possible Production Changes

Genetics Controlled: Must buy certain bulls / females

EPDs, Breeders, Breed

Will be supplied bulls

Beef: Contract Production Considerations

• Possible Production Changes

Genetics Controlled

Calving Season Controlled Must calve in certain window

Bonus for calves born certain months

Beef: Contract Production Considerations• Possible Production Changes

Genetics Controlled

Calving Season Controlled

Production Practices ControlledUse of implants

Use of creep feed

Use of antibiotics, ionophores, anthelmintics

Timing and selection of vaccinations

Anabolic Implants• History

First implant (DES) approved in 1956

Ralgro approved in 1969

Estradiol / progesterone implants approved in 1984

Trenbolone acetate implants approved in 1987

TBA/Estradiol implant approved for stocker cattle in 1996

Anabolic Implants• Regulated by FDA• Utilize natural or synthetic hormones

EstrogenAndrogenProgestin

• Zero withdrawal time

Implant Use in Cattle• Increase weight gains by 8 to 18%

(15 to 40 lbs.)

• Greater response in steers vs. heifers

Implant Use in Cattle• Benefits of implanting related to base growth rate (i.e. forage quality,

Mcal)

Better forage quality = more benefit from implantsThe greater the gain w/o implants, the greater the benefit from implanting

Need to gain 0.7 to 1.0 lbs daily to obtain reasonable response

No negative effects if poor gain

Implant Use in Stocker CattleWhat about effects on future (feedlot) gains and carcass performance?

No detrimental effects on feedlot gainAdded gain is maintained through the feedlot phase

ADG is similar whether cattle were implanted prior to arrival or not

Implant Use in Stocker CattleWhat about effects on future (feedlot) gains and carcass performance?

No detrimental effects carcass qualityNo difference in carcass traits compared to those first implanted at feedyard

arrival

Implant Use in Feedlot CattleWhat about effects on carcass performance?

Decrease in quality grade

May impact tenderness

Creep Feeding in Cattle• Weaning weights become unimportant

• May wean and start on feed younger

Feed Additives Used in Cattle• Ionophores

• Non-ionophore antibiotics

Monenesin (Rumensin®)Lasalocid (Bovatec®)

Bambermycins (Gainpro®)ChlortetracyclineOxytetracycline

Ionophores• Improved ADG of cattle grazing a variety of grass types

Gain improved by 15% (8-45%)

Daily gain increased by 0.12 to 0.3 lbs/d

Daily cost of ionophore < .5¢

Non-ionophore Antibiotic (ionophore-like)

Bambermycins• Ruminal effects and animal performance similar to ionophores

One trial in grazing cattle - same performance as monensin ( ADG 0.3 lbs)

Non-ionophore Antibiotic(Not ionophore-like)

OxytetracyclineChlortetracycline

• Label approval for:Improved feed efficiencyIncreased rate of gain

Reduction in liver abscessControl of anaplasmosis (Chlortet)

Non-ionophore Antibiotic (Not ionophore-like)Oxytetracycline

Chlortetracycline

• Efficacy for label claims:Assumed to be similar to that of ionphores

(ADG 15%; range 8-45%)

LackingLackingLackingLacking

Biosecurity / VaccinationProgram For Cattle

• Protocol for incoming cattle: Isolation

BVD testing

Vaccination during isolation period

• Vaccination program of source cattleRelated to controlling genetics

• Vaccination program for herd

Limit vaccines Diseases likely to be a problem

Vaccines not likely to cause problems

Vaccines that are effective

Vaccine Recommendation

Dictated by contractor

Depends on who pays for vaccines

Contractor: Based on economic return

Producer: Maximum decrease in risk for contractor

What Does The Future Hold ??