Weekly livestock news: May 1, 2023

Cattle producers remain slow to grow the herd, economist says

A University of Missouri livestock economist said he’s not seeing signs of herd expansion in the cattle industry. Despite ongoing strength in cattle markets, USDA data suggests producers haven’t started growing the U.S. herd, said University of Missouri analyst Scott Brown. While beef cow slaughter in the first three months of the year was down 9.4% from last year, “slaughter is running high enough that it tells me we’re not doing a lot to build the herd,” Brown said. He added that favorable weather conditions for corn and alfalfa this year could encourage some producers to ramp up expansion efforts earlier than expected. Brownfield Ag News reports.

U.S. beef cow herd faces challenges rebuilding after drought: Rabobank analyst

A Rabobank analyst wants to remind cattle producers that even after drought eases, it will take time to rebuild beef cow herds. The current drought cycle is different than the previous one in 2014-2016, said Lance Zimmerman, senior beef analyst at Rabo AgriFinance. “We culled 13.5% of the beef cow herd, and the prior record was 12.5%,” Zimmerman said. The USDA’s cattle inventory report on January 1 reflected a four-year decline in numbers, totaling 28.9 million head. That’s the smallest beef cow herd since 1962, according to Rabo AgriFinance’s first-quarter Global Beef Quarterly Report released in February. Farm Progress reports.

USDA announces $2.29 million in farm bill funding for animal disease preparedness

The USDA’s Animal and Plant Health Inspection Service is awarding $2.29 million through a farm bill program meant to improve animal disease preparedness. The National Animal Health Laboratory Network was included in the 2018 farm bill and is part of an overall strategy to prevent animal pests and diseases from entering the United States. Among the initiatives receiving funding is enhanced laboratory capacity for early detection of emerging foreign animal diseases using high throughput sequencing.

Cargill and JBS USA end contracts with plant sanitation company fined for using child labor

Cargill and JBS USA are ending contracts with a U.S. company fined for hiring kids to clean meat plants. This comes after the U.S. government investigated Packers Sanitation Services Inc. for using child labor, prompting adjustments by major meat companies. PSSI paid $1.5 million in penalties for employing more than 100 teenagers in dangerous jobs at meatpacking plants in eight states. JBS said it would stop using PSSI for plant sanitation at every location where alleged child labor violations occurred. Cargill is cutting all contracts with PSSI, noting it will need months to carry out the plan, Reuters reports.

Livestock auction markets are important for local communities, industry report shows

Livestock auction markets are important for the growth and vitality of rural communities, according to a 2023 economic impact study by the Livestock Marketing Association that updates findings from 2017. The study of an average, fixed-facility livestock auction market showed the market provides approximately $2 million in total value-added dollars to the local community. This result is up from $1 million identified in the 2017 report.

National Chicken Council says proposed USDA rule on salmonella is detrimental to industry

The National Chicken Council said a new USDA proposal will be a hit to the chicken industry, Feedstuffs reports. As part of a regulatory framework proposed last fall, the USDA plans to declare salmonella an adulterant in breaded stuffed raw chicken products when they exceed a low level of contamination of the bacteria. According to NCC, the “abrupt shift in longstanding policy has the potential to shutter processing plants, cost jobs and take safe food and convenient products off shelves without moving the needle on public health.”