Exports Mean Good News
(Continued from Pago A3O)
• Quality of the eqat markets
have improved. USMEF bu been
able to identify and qualify new
and expanding market bases, to
Russia and the Far East
In 1995, exports roae 13 percent
over 1994 exports. The focus has
not been on just selling meat,
according to Oates, but to sell the
“entire production and distribu
tion chain” to overseas, he said.
USMEF, chartered in 1976, has
added many more offices to dries
in Japan, Korea, Russia, China,
and other countries. Oates
explained the funding sources and
bow these have worked to boost
exports around the world.
Oates indicated that “China will
be the market in the Enure,” and
that more is being done to help
China train store operators to
promote U.S. beef.
1996 predictions
An agricultural forecaster taid
it’s been a bloodbath if you’re a
meal producer, but a real boom if
you grow grain to sell
And that forecast is not likely to
change Cor many cattle producers,
while the grain markets will con
tinue to remain “strong at least
until harvest time.’’ said Lou
Moore, Penn State professor of ag
economics, at the Penn-State spon
sored Cattle Feeder’s Day.
On the other hand, for feeder
cattle operations, 1996 will be
marked by “continued losses in
feeder cattle operations” because
of the dismal price and the increas
ing cost of feed, particularly com.
Carryovers of com could be
nearly depleted by September,
while demand continues to remain
steady at nine billion bushels per
year for all varieties of livestock
and poultry operations and derived
products from com, according to
the ag economist
More meat will continue to be
A Very Special...
To Everyone Who Visited Our
The interest you have shown is an indica
tion that you appreciate the opportunity to
gather with other farmers and learn about the
products we have available.
We look forward to working with you in the
future.
Also a special thank you to the company representatives
who helped at the open house.
i<p£v Cellar Crest Equipment
TWo Convenient Locations
111 I” | 608 Evergreen Rd. RD 2 Box 271
Lebanon, PA 17042 East Earl, PA 17516
(71)270-6600 (717)354-0584
~ m m 1-800-646-6601
produced every year for at least the
next 3-4 years, according to
Moore. Cattle futures fir April,
potted Feb. 2„ were 63.92 per hun
dredweight, with a cash price of
6730.
Moore provided his predictions
fir 1996 at the Cattle Feeder’s
Day. Production of beef will
increase by 3 percent, to 25.7 bil
lion pounds; pork up 1 percent,
183 billion pounds; lamb will
decrease 2 percent, at 3 billion
pounds; and veal will decrease 1
percent, at 3 billion pounds.
However, the trend the past sev
eral years has been a manifold
increase in poultry production.
Hus year, broilers will increase
production by 6 percent, or 26.9
billion pounds and turkeys up 4
percent, at 77. S billion pounds.
Contrary to recent reports, peo
ple are not becoming more vegeta
rian. They are actually eating more
meat, according to Moore. In
1994, people were earing 211.5
pounds per person of meat; in
1996, the number is projected at
216.6 pounds per person. In the
year 2004, projections are for peo
ple to eat meat at about 219.1
pounds per person. But poultry
products will continue to show an
increase in consumption over beef
products, according to Moore.
The good news for beef produc
ers is that exports continue to
exceed imports, which is doing a
lot to take meat off the market
For grain producers, the news
continues to Improve. Unemploy
ment remains down, as does infla
tion. at 2.6 percent Unemploy
ment in November stood at S.B
percent
While com yields in 1995
equalled only 7.37 billion bushels
for the U.S. (compared to the
record-breaking year of 1994 with
10.11 billion bushels), the use of
com is steady at 9 billion bushels
per year. Com users must reduce
feed use by 18 percent to have a 5
OPEN HOUSE
UOioo bushel com carryover. So
&r. this isn’t happening, since feed
use in the first quarter has
remained unchanged. even with
the high prices of con, according
to Moon. As of last Friday,
according to Moore, March 1996
com him stood at $3.66 a
bushel
“I think we’re heading for a big
phoning in com this year,” he said.
If we have a drought, however,
"we’re in for a real trial in the
grain business,*’ he
Captive supplies
Dr. Wayne Purcell, Virginia
Tech Ag Economist, spoke about
the effect of captive supplies on
cattle prices. Purcell initialled that
processors usecaptive supplies not
to fix thepriceofcattle, but simply
to keep the kill line ranting, which
“gets the flow stabilized and keeps
costs’* in check, ft is important
from a cost of slaughter standpoint
to have a steady, reliable supply of
product This technique may have
price ramifications that could
prove positive for producers,
according to Purcell.
He said the big three processing
companies in the U.S. IBP,
Conagta, and Excell find it is
substantially cheaper to maintain a
slaughter rate of 300*350 head of
cattle an hour over the slower and
more expensive 100 head per hour
at the plants.
"I don’t think captive supplies
are going to go away,’’ he said.
Using by-products
“Om paper, It's real easy to
make money in the cattle, busi
ness," said Glenn Paris, who opcr-
Unwtfaf fttifang, Sunday. Fahrasry 10, t
ates a large cattle feeding opera
tion in Bens, N.Y. “But nothing
is easy, it tuns out”
Paris maintains about 2/400
acres, 1,000 of which are in corn,
about 30 miles west of Albany. He
said his “real love is twi«nri«w
rations.’’
The secret is to use food by
products, which are in abundance
in the Northeast, considering all
the supply ofrawmaterial from the
big food manufacturers here.
Many of die radons include
bread about SS percent bread,
according to Paris. For his custom
feeding operation far a customer
base that is “getting bigger and
bigger,’’ Paris has used lots of by
products, with a good dry matter
base, including an afterproduct of
penicillin production, candy,
onion rings, spaghetti, potato
chips, poultry litter, and one time,
10,000 tons of tapioca.
He's even mixed whey with
sawdust to get a feed that provides
Holstein USA
BRATTLEBORO. Vt.—The
Holstein Association will not be
sponsoring a series of Open For
ums (previously known as Winter
Forums) as they have done in past
years.
However, national officers,
directors and staff members will
work throughout the year to hold
information sessions in connec
tion with other scheduled member
meetings such as state conven
tions, sales, bam meetings, and
grass roots meetings. Several such
events are already scheduled and
others are in the planning stages.
In die last several years, atten-
&
w TOBACCO FARMERS
Golden Leaf Tobacco Co.
will be receiving tobacco at our new location
on Rt. 23 EARLANO INDUSTRIAL PARK,
130 Earland Dr., Building 3,
behind J.B. Zimmerman Hardware,
Mon. thru Fri. 8 to 4
Contact us for any changes in market prices
Mac Bailey
Dennis Hess
(717)354-8177
(717)529-2886
oSSTIty
395 Bowers Rd.
V** Kutztown, PA 19530 T/\
6lO-682-1718 v/a
9 Agriculturai/Residentlal Contractors r
Buildl Sitr Pit P' id:
“the lent coat per pound of gain,”
he said.
Peri* told the producers there
are a lot of products available, and
nearly “anything out there is
worth money” in terms of a feed
source far cattle. “Dry matter coo-,
sumption is absolute king” he
said.
Also at the Feeder’s Day, Dave
Ivan, executive director of the Pen
nsylvania Beef Council, spoke
about the National Cattlmen’s
Beef Asandatinn, ■ ynwnliitatinw
of the Beef Board, Nkdonal Cattle
men's Association, USMEF, and
the Beef Industry Council.
The consolidation brings
together organizations that were
doing some of die same types of
work “into die same shop” ,he
said, and keeping the “producers
in the driver’s seat”
Also," Brad Morgan, Oklahoma
State University, provided an
overview of the National Beef
Quality Assurance survey con
ducted in 1995.
Cancels Forums
dance at the Opcn/Winter Forami
hat declined. The tucoets of grass
roots meetings in 1995 allowed
Association staff to reach mem
bers and non-members alike.
Meetings were organized by
field representatives, staff offic
ers, and members of the Board of
Directors. These meetings brought
a positive response from particip
ants, prompting the Association to
continue this format in 1996.
Please contact the Holstein
Association at 1-800-952-5200 if
you would like help scheduling a
similar meeting in your area.
ATTENTION
Heifer Fecility
WBL
Clark Stauffer
(717) 733-8921
(717)738-2328
Mobile 575-0622