E4-Lancaster Farming, Saturday, October 22, 1994 LOWELL L. WILSON Professor, Animal Science Penn State Although there has been some upward movement in the cattle markets over the past few months, the movement has been slow and erratic. There have been several developments the past few weeks that should help individual cattle feeders and the rest of the industry cope with the current market/price situation. Feed prices and cost of gain should be less —in most parts of the state the com crop looks good. We have some dry places in the northeast, but generally there should be an excellent com grain or com silage yield, which should reduce feed costs. One concern now in some parts of the state is that the amount of moisture we have had might, if it continues, interfere with com silage harvest. According to most experts, com silage is still the cheapest cattle feed and can produce more pounds of beef per acre than any other crop. The National Cattlemen magazine in August had an excel lent article. “A Simplified View of the Market,” published by Cattle-Fax. To summarize, it traced the current cattle cycle; • Cow Herd—Feeder calf prices have been fairly profitable the last few years for the cow-calf producer, which encouraged expansion of the nation’s cow herd. The beef-cow inventory was 1 million head larger in early 1994 than a year earlier. Increases in cow numbers will continue at least through 1996. • Trend in beef production turns upward—Through the first half of 1994, total beef output was up 7 percent. This is the first sig nificant increase in about 8 years. Increased numbers of cattle slaughtered was not the only fac tor that brought about this increase—heavier carcass weights contributed significantly to the Challenge Of The (Continued from Page E 3) Dorothy Ferrell, 3 Jay Hurd Novice Amateur Western Horsemanship: 1 Karen Zmuida, 2 Tammy Long, 3 Dorothy Ferrell Novice Youth Weetem Horsemanship: 1 Charles Bowers, 2 Bethann Zendt, 3 Erin N Biddle Amateur Weetem Horseman-ship: 1 E Ketcham, Jr, 2 Crystal Zeller, 2 Rebecca G Trego Youth Activity Western Horsemanship •13 A Under: 1 Charles Bowers, 2 Amanda Arnold, 3 Denise Howard Youth Activity Waster Horse-manship - 14-18: 1 Eva Ryder 2 Deborah Coles, 3 ®SOCIATIO News increased beef tonnage this year. It is hard for any individual cattle feeder to follow the advice “keep current with the markets and sell when the cattle are ready.” But the reason for this is to keep addition al carcass weight per animal, and the increased fat the heavier catde bring with them, off the market so it might recover more quickly. • Total meat supplies also increasing—Poultry supplies are increasing as well as beef— although output of pork only increased modestly compared to a year ago. However, there is expected to be more growth in pork supplies over the next few years. Competition between the moats wilt continue to intensify. • Slow growth expected for beef demand —True demand for beef increased markedly from 1987 through 1991, but has increased only at a modest pace the last few years. Fortunately, export demand for U.S. beef has increased since the 1980 s and should continue to increase by 5-10 percent annually through the mid- to late-1990s (more on exports later). • Outlook for industry profits—Historically, profitability for cattle feeders is greatest in the initial stages of expansion of the nation’s cow herd, and of course cattle feeders are the first to suffer losses in a down-trend market. Cow-calf producers are the last to feel the pressures of a lower trending market and also last to benefit from dp-trend markets. The kind of cycles that we’ve seen over the last 50 years will probably continue although some restrictions by lending agencies had thought to “even out” some of these cycles. As indicated, the other major cost in cattle feeding, besides the purchase of the calf, is feed cost —which hopefully this year will allow cattle feeders to recoup some of the losses suffered over the last year. • Export situation looks Holly & Heidi Rennlnger AQHA Junior Western Pleasure; 1 John Kleintop, Jr, 2 Robert Sneed, 3 Lea Miller Novice Amateur Western Pleasure: 1 Tammy Long, 2 Stephan & Chns Wame, 3 Wanda Griffie Amateur Western Pleasure: 1 Crystal Zeller 2 John Kleintop, Jr, 3 James & Linda Weber AQHA Western Riding: 1 ZltaCodi, 2 Susan Yohn, 3 Richard Miller Novice Youth Western Pleasure; 1 Floyd Sholder, Jr, 2 Charles Bowers, 3 Bethann Zendt Youth Activity Western Pleasure • 13 A Under: 1 John Kleintop, Jr; 2. Jon & Alycia bright—There are several coun tries which might double imports of U.S beef products in 1994. Although exports do have an effect—it’s limited—because' only about 6% of the U.S beef production is exported. One bright spot on the export front is the good possibility that the European Union (EU), which has effectively closed their markets to U.S. beef imports by banning beef produced with growth promotants, may enter into more discussion. NCA has petitioned Secretary of Agri culture Espy through 25 Senators for discussion of the EU on the U.S. beef import ban. The General Agreement on Tariffs and Trade (GATT) offers such an opportuni ty. There is also renewed use of information that shows that the use of implanted growth promot ants in cattle is unquestionably safe from a public health standpoint Beef promotion/advertising more important than ever: Nationally, internationally, as well as within Pennsylvania— there’s more effort being exerted to increase meat demand and con sumption. The Pennsylvania Beef Council has initiated several prog rams which should stimulate beef purchases. The Beef Industry Council and Cattle-Fax reported that advertising of beef by retailers has increased about eight percent compared to 1993. This increased advertising was encouraged by the national beef organizations. Beef promotion programs can’t solve all the market problems. We need to remember that we don’t know where beef prices would be with out these programs. Good news—steak and ham burger: Steak is still the highest ranked food according to recent surveys. More than 80 percent of American families own bar becues, and meat is the major item used in barbecuing. Recent Beef Industry Council surveys show that 70 percent of Americans eat at fast-food restaurants —and ham burger is by far the leading food served at these restaurants. Legislative items watched closely: Both on the national and state levels, there are many legi slative issues and initiatives that need to be addressed. There’s so many that they cannot all be listed, but regardless of the segment of the beef industry in which you are involved—the National and Pen nsylvania Cattlemen’s Associa tions are monitoring and attempt ing to gain legislation (or interpre tations of existing legislation) which will benefit every segment of the cattle industry—from con ception through the consumer. It’s been a busy summer: There’s been a lot of activity—the Field Days and Ag Progress Days —and we want to express thanks to all the volunteers who played a big role this summer in making these activities successful. Plan ning continues for next year. Breeds Hawk, 3 Denise Howard Youth Activity Western Pleasure: 1 Holly 4 Heidi Rennlnger, 2. Richard Miller; 3 Bethann Zendt AQHA Senior Western Pleasure: 1 Laurel Topper; 2 James 4 Linda Weber; 3 Wanda Gtrifle Youth Activity All-Around Champion and Reserve Champion: Champion, Jon 4 Alycla Hawk; Reserve Champion, Amy Burdick Amateur All-Around Champion and Reserve Champion: Champion, E Ketcham, Open All-Around Champion and Reaarve Champion: Champion, Susan Yohn, Reserve Champion, Maty Beth Kuznik. Entries Due For Beef Project WEST SALEM, Ohio Cat tle producers who want to experi ence retained ownership and col lect carcass data are invited to enter the 1995 Certified Angus Beef (CAB) Program Value Dis covery Project. Entry forms are available from Terra Thorpe, the Project’s coordinator, at (303) 980-6393. Entries are due November 1. Each entry must consist of five or six steers, which were worn between December 1, 1993, and April 30, 1994. Steers weighing between 550 and 850 pounds must arrive at Decatur County Feed Yard, Oberlin, Kan., December 5-7. All steers must be sired by registered Angus bulls and be predominantly black (at least 51 percent of the hair coat is black.) The CAB Program, in cooper ation with the American Angus Association, will also sponsor a Junior Division of the Project. As cattle producers of the future, junior members can get a head start on preparing for value-based marketing by participating in the Value Discovery Project and learning more about their cattle. Christmas Tree Pest Course Set GETTYSBURG (Adams Co.) A Christmas Tree Pest Control Short Course will be held at the Days Inn Penn State in State College on March 13 and 14. The course will be given by personnel from the departments of entomology, horticulture, and plant pathology of the College of Agricultural Sciences, The Penn sylvania State University, Ohio State University, and the Pennsyl vania Department of Agriculture. Instructors will include the fol lowing: Dr. Paul Heller, professor of entomology, Penn State; Dr. James Hilton, associate professor of agriculture engineering, Penn State; Kerry Hoffman, pesticide education coordinator, Penn State; Dr. Larry Kuhns, professor of ornamental I ,4)orticulture, Penn State; Rayanne Lehman, ento- MAILBOX MARKET FOR SALE Seeburg L 5325 jukebox $250 080, nee.ds tune-up, 15 species of pheasants & bobwhite quail. Lane. Co. 717-626-1788. Miller delta weld 450 mig, weld sale 300/500 amps, weld sale 250 3 PH, 2500 A TLB 8.0. York Co. 717-792-9892 aft. 3 Burial lots 3 plots, 4 lots ea, 1 8 lots, Lane area, reasonable offer excepted Lane. Co. 717-733-8971. Reg. angus bull proven breeder, 4 yrs. old $llOO. Adams Co. 717-359-5834. Rear air lift truck axle, valve included, ready for installa tion, good cond. Lane. Co. 717-336-7434. 1200 used 1 jjal. nursery pots 5p ea., $60,300- 2 gal. pots 10c ea„ $3O. Perry- Co. 717-536-3265 after 6 PM, 1980 GMC Brig. SA PS 10 spd., RR PTO Detroit 30 ton equip trailer inspected, $6500 Dau Co 717-921-8980/8590 Torpedo space heaters kero 650,000 BTU like new, drain oil burners pot type 80,000 BTU. Middlesex Co. 908-297-1247. Only members of the National Junior Angus Association, whose birthdates are from January 1. 1973, through December 31, 1984, may enter the junior com petition. A junior may enter as many individual lots of three or four steers as desired, and a state may enter as many state group lots of six to eight steers as desired. State entries must con tain entries of three to eight junior. More than $15,000 in prize money and premiums will be awarded in the categories of feed lot performance, retail yield, car cass value, and acceptance into the CAB Program. The CAB Program was estab lished in 1978 by the American Angus Association to provide consumers with a consistent, high quality beef product excelling in tenderness, juiciness, and flavor. During fiscal ‘93 more than 125 million pounds of Certified Angus Beef™ product were sold to consumers in restaurant and retail outlets worldwide. This amount is expected to reach 165 million pounds during fiscal 1994, a 31.5 percent increase and program record. mologist, Pennsylvania Depart ment of Agriculture; Dr. Crarg Weidensaul, professor of forest pathology, Ohio State University; and Nancy Wenner, senior research assistant, plant patholo gy, Penn Stale. The course will consist ol lec tures, discussion sessions, and hands-on laboratory work, and will emphasize the diagnosis and control of the common weed, insect, and disease problems affecting Christmas tree produc tion in the Northeast. Course enrollment will be lim ited to the first 100 who register. For additional information and a registration form, write to; Christmas Tree Short Course, Penn State, 306 Agricultural Administration Building, Univer sity Park, PA 16802-2601, (814) 865-8301. IH 110 3 beater 16' forage wagon, Wetmore PTO grin der blower, 20' 9" silo pipe galv., 16' feeder on 4 wheel wagon Adams Co 717-359-4383. Nl 313 1 row corn picker $950 717-463-3277. Male pygmy goats, good stud gray/black. Lane. Co. 717-786-1150 no Sunday calls. Nylon corn husking gloves $ll doz., also 639 Cole man kero, lanterns, $51.95 ea. Frank Sensenlg, 330 Akron Rd.. Ephrata, Pa. 17522. Approx. 3000 to 4000 bales of mixed hay. Armstrong Co. 412-354-3495. 800 gal. Girton D-4 w/5 HP dub compressor, very good cond. Cumb. Co. 717-776-7692. 12” Rockwell jointer excel, cond., 3 HP, 3 PH $1950, Buffalo #lB metal workers heavy duty drill press, $4OO, other tools. Dau. Co 717-921-3328. Exotic pets for excellent alternative income, African Pygmy hedgehogs, chinchillas, egyptian duprasi, great pets, breed ers avail., buy quality off farm. 717-865-4473.