Issue 70 | The Australian Wagyu Update, January 2019 by Australian Wagyu Association

Vol. 70 The Wagyu industryâ&#x20AC;&#x2122;s premier trade magazine produced by the Australian Wagyu Association

www.wagyu.org.au January 2019

SHOWING CONSUMERS EXCEPTIONAL

Au s tr a l ia n Wa gyu INSIDE ....

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THE AUSTRALIAN WAGYU UPDATE - ISSUE 70

CONTENTS 4

Safeguarding for the future of our industry

Be bold, be branded, be Wagyu

CEO report - Annual Report highlights

New president and Board for 2018-19

Meet your president

AACo: The art of Australian beef is based on data

Objective Wagyu carcase grading interest on the rise

A lifetime of contribution honoured

Do the math on the best feeds for your Wagyu cattle during tough times

9 14

22 The fat is in the genes 25 It's all about the fat 28 Indexing your commercial production systems 33 Nutrition and Genetics Workshops setting up for life

38 WagyuEdge: Building Integrity - 2019 in Adelaide 40 A fine night for Wagyu 43 Streamlined DNA Testing Process

46 The golden pathway to Wagyu IMF improvement Publisher THE AUSTRALIAN WAGYU ASSOCIATION (AWA) office@wagyu.org.au 02 6773 3355 Consulting Editor DEBORAH ANDRICH deb@wagyu.com.au 0400 855 040 Contributing Writers CHANTAL WINTER, Dr. MATT McDONAGH and STEPHANIE GRILLS Art Direction HEATHER FRAZIER heather@wagyu.org.au 0432 949 764 GENERAL ENQUIRIES AWA Chief Executive Officer Dr. MATT McDONAGH office@wagyu.org.au

02 6773 3990

Wagyu Update advertising enquiries HEATHER FRAZIER heather@wagyu.org.au 0432 949 764

ON THE COVER

Cha Char Char Wine Bar & Grill showcase Wagyu from different produces to create a 'tasting menu'. Full story page 40. The Australian Wagyu Update magazine is printed by Litho Art on paper stock derived from sustainable forests managed to ensure their renewability and preserve natural eco-systems for generations to come. All content is subject to copyright and may not be reproduced in any form without the written permission from the publisher. Opinions expressed in The Australian Wagyu Update magazine are not necessarily those of the publishers. Acceptance of an advertisement does not imply endorsement of any product or service by the magazine or the association, nor support any claims by the advertisers. Every effort is made to ensure information contained in this magazine is correct at the time of publishing.

CONNECT WITH US ISSUE 70 - THE AUSTRALIAN WAGYU UPDATE

president CHANTAL WINTER

SAFEGUARDING FOR THE FUTURE OF OUR INDUSTRY Dear Members, It is a great honour to have been elected to the role of President for the Australian Wagyu Association, thank you for your support. It is a wonderful opportunity to lead such a dynamic cattle breed association and I am certainly looking forward to the challenge! Firstly, I would like to thank our outgoing President, Peter Gilmour for the tremendous amount of time and effort he has put into the Association for the past three years. He is an inspirational leader for me, taking me well and truly out of my comfort zone to be a part of the Board and now as the President. They will be big shoes to fill and I would like to acknowledge him for all his work and, as a friend I thank him very much. The recent Annual General Meeting was well attended – Armidale Bowling Club did a fantastic job of hosting our event, including the Workshops and Dinner. A big thank you to John Doyle, Don Nicol, Brad Walmsley and Catriona Millen for their presentations on nutrition and genetics. I would also like to thank Rangers Valley for their ongoing support in providing the Wagyu for our enjoyable Dinner. Treasurer Charles Perry outlined the Association’s financial position, which shows that we are in a strong position to move forward into the 2018-19 financial year. While we have had a strong increase in income from new members, DNA testing and R&D, the Board agrees that it is likely to be more modest this financial year, given the difficulties many have faced with the current drought and market conditions. As per the Board’s strategy implemented last 4

THE AUSTRALIAN WAGYU UPDATE - ISSUE 70

November, we now have a solid financial base for the Association to ride out any unforeseen catastrophe such as a disease outbreak that could threaten the Wagyu industry for a period of time. Let’s hope it never comes to that. The presentations in the Nutrition and Genetics Workshop were a reminder of how vital it is to understand and utilise the tools available to enhance the genetic expression of Wagyu animals. We learnt from John Doyle the importance of nutritional requirements of our breeding animals and the effect it has on the performance of their calves right back to the embryo stage. Brad and Catriona put together very practical presentations on how to best utilise and understand tools such as BREEDPLAN and the new BreedObject Indexes. They explained the value of these tools when selecting genetics to breed animals for your relevant production systems. The insights into our Wagyu history from Don was a terrific reminder of how far we have come in 30 years and how those tools have assisted the industry to be what it is today. It has been several months now since the Association first opened the Expression of Interest process for the MIJ carcase camera, with a number of processors and producers taking up the opportunity. We are looking forward to seeing the results the cameras achieve in terms of marbling and fineness, to truly represent the quality – and value – that Wagyu has.

2019 CONFERENCE AND WAGYU BRANDED BEEF COMPETITION Mark the Calendar! - Let’s not forget that our

two biggest events are actually not far away! The 2019 Annual Conference - WagyuEdge: Building Integrity - is being held in Adelaide – a beautiful part of the world, with our optional Tour to take in Mayura Station and Nick Sher’s BeefCorp operation. If you are planning to attend the Conference, early bird registrations are now open. Our Wagyu Branded Beef Competition judging will be held in March with the results being announced at the Conference. These events could not be as successful as they are without the support from our Sponsors. I would like to extend our thanks to Integrated Animal Production, Riverina Australia, Andrews Meat Industries, Ruralco/GDL and Elynx for their ongoing support and jumping on board so quickly to Sponsor our Annual Conference. Also a big thanks to Cha Cha Char Wine Bar & Grill, Hughes Pastoral, Johnston’s Livestock Transport, Zoetis and Bovine Dynamics for your continued support for the Wagyu Branded Beef Competition. These events provide a fantastic opportunity to meet with clients, AWA members and industry stakeholders and boost your company’s exposure. Sponsorship packages for the Conference are still available. I look forward to the next 12 months and meeting you throughout the year and at the Conference.

Chantal Winter President Australian Wagyu Association

WAGYU BRANDED BEEF COMPETITION

WAG BRA BEE

COMP

BE BOLD, BE BRANDED, BE WAGYU 2019 Wagyu Branded Beef Competition We have a new location for the judging of the Wagyu Branded Beef Competition. Our Chef, John Alexander is now the Corporate Executive Chef with Hog’s Breath in Cleveland, Queensland. It is exciting to have Hog’s Breath on board to host the judging of the competition in 2019. The Competition gives promotion to Wagyu brand owners; and butchers to create the most decadent sausages imaginable. Overseeing the event once more will be Chef John Alexander, who says that the competition gives the Wagyu industry a chance to show consumers just how exceptional Australian Wagyu can be for the pinnacle of fine dining, retail and hospitality.

ENTRIES ARE OPEN

The competition gives the Wagyu industry a chance to show consumers just how exceptional Australian Wagyu can be for the pinnacle of fine dining, retail and hospitality. Chef, John Alexander

Entries are open for the Wagyu Branded Beef Competition in four classes – Fullblood, Crossbred, Commercial Steak and Gourmet Sausage.

www.wagyu.org.au

EVENTS > 2019 WAGYU BRANDED BEEF COMPETITION

To enter your Wagyu, firstly nominate your entry using the online booking form, then send your entry before the closing date to the Attention: Corporate Executive Chef John Alexander Hog’s Cleveland, 125 Shore Street Raby Bay Harbour Cleveland, Queensland, 4163 Sponsorship of the Branded Beef Competition is now closed – thank you to our sponsors Cha Cha Char Wine Bar & Grill, Johnston’s Livestock Transport, Hughes Pastoral, Bovine Dynamics and Zoetis.

ISSUE 70 - THE AUSTRALIAN WAGYU UPDATE

ceo update Dr. MATTHEW McDONAGH

ANNUAL REPORT HIGHLIGHTS Dear Members, It was a pleasure to see many of you at the recent Nutrition and

the Wagyu Herdbook. Transition from MiP to SNP has enabled

Genetics Workshop in Armidale to enjoy top-notch presentations

members to conduct parent discovery using 50K SNP genotypes

by some of the best in industry regarding nutrition and genetics

to register animals previously not able to be registered using

applied to Wagyu.

MiP technology.

In the afternoon, the AWA reported to its members the financial and operational outcomes for the 2018 Financial year as part of the Annual General Meeting. The AWA has continued to grow over the 2018 financial year, with the business increasing in total turnover by 52%. Along with the increase in total budget, we have doubled our research investments through projects with Meat and Livestock Australia to develop new innovations for members including the Net Feed Intake Project and the Crossbred Wagyu Genomics Project.

»» Single-Step Wagyu BREEDPLAN was implemented in April 2018 allowing genomic (50K SNP genotypes) to be included along with pedigree and performance data within Wagyu BREEDPLAN. This has increased average accuracy of Wagyu EBVs by 5 – 10%, most notably for young animals with low prior accuracy. »» Total AWA member numbers reached 717 and Herdbook registrations, as reported by the Australian Registered Cattle

These investments will underpin our future growth as an industry

Breeders Association 2017 Statistics Report, grew by 27% for

by improving the tools available to our members.

the 2017 Calendar year to 13,043. Wagyu is now the fifth largest

During FY2018, we have transitioned the Company to SNP

Breed by animals registered in Australia.

genotyping, which required a re-build of AWA systems to accept

»» Rapid uptake of genomic (50K SNP) analysis has been delivered

SNP data. We recognise that transitioning AWA systems from MiP

to members. In the 12 months since 1st July 2017, DNA test

to SNP has caused significant delays for some of our members.

requests for 17,500 - 50K SNP genomic profiles have been

However, we have now completed programming to enable SNP data

received by the AWA. This has increased the number of total

to be used for parent verification and registration.

genomic profiles held by the AWA by five-fold within FY2018

We have also appointed two additional Member Services Officers

alone. In the five years prior to FY2018, a total of 4,200 genomic

(bringing our member services team to four) to enable management of

profiles were accumulated through the Wagyu Collaborative

the substantial increases in throughput with transition to SNP DNA

Genetics Research Project (less than 1,000 genomic profiles per

testing. Member service is at the core of our business and we will

year on average).

continue to strive to improve our service provision to our members.

NEW BREED OBJECT INDEXES LAUNCHED

HIGHLIGHTS FROM FY2018 OPERATIONS

Following implementation of Single-Step Wagyu BREEDPLAN

»» The 2018 WagyuEdge conference in Mackay QLD saw a total

in April 2018, the AWA has worked intensively with the Animal

of 500 delegates in attendance, with approximately 40% of

Genetics & Breeding Unit (AGBU) to develop and deliver the new

delegates attending an AWA conference for the first time. This

Wagyu BreedObject $Indexes. This is a significant step forward for

has cemented the AWA conference as one of the major annual

Wagyu Breeders to achieve faster rates of genetic gain and selection

Australian Beef Industry events.

for profitability in Wagyu.

»» Implementation of programming to allow for MiP to SNP has

A profitability $Index allows comparison of animals within an index

been completed, allowing members to use SNP genotyping to

based on the estimated profitability of their progeny within the

undertake parent verification and registration of animals within

commercial supply chain.

THE AUSTRALIAN WAGYU UPDATE - ISSUE 70

BUILDING INTEGRITY ANNUAL AWA CONFERENCE & TOUR

SAVE THE DATE

ADELAIDE 8 - 12 MAY 2019

8-12 MAY 2019

New BreedObject $Indexes for Australian Wagyu producers will be published from the 26 September 2018. These are: »» SRI – Wagyu Self-replacing Breeding Index: ranks animals based on profitability for a Fullblood or Purebred self-replacing herd that retains heifers for breeding females and all steers and surplus females are finished through a feedlot. »» FTI – Wagyu Fullblood Terminal $Index: ranks animals based on profitability for a commercial Fullblood or Purebred herd in which all progeny are finished through a feedlot. »» F1 Index – Wagyu F1 Terminal $Index: ranks animals based on profitability for an F1 production system where all progeny are finished through a feedlot.

TERMINAL CARCASE INDEX REMOVED FROM WAGYU BREEDPLAN The AWA has previously informed members that the TCI would be replaced with the implementation of BreedObject $Indexes as the TCI did not account for costs associated with production and was not intended for use in breeding replacement females because it does not consider traits associated with the cow such as fertility. The new BreedObject $Indexes provide the most accurate estimation of breeding value for Self-Replacing, Terminal Fullblood and Terminal F1 production.

WagyuEdge: Building Integrity Conference To be held at the Adelaide Convention Centre, 8-10 May 2019, it brings together a host of well-regarded speakers, local and international members and affiliated businesses to build on the integrity of the Wagyu breed, genetics, brands and reputation. The breadth of presentations covers tools for breeding, feedlot know-how, maximising the production systems and, in acknowledgement of the Association’s 30-year history we hear from industry leaders of their experiences from the

CHANGES TO DNA FEES AND CHARGES Neogen Australasia have informed the AWA that they are charging new fees as follows: »» $1.10 Sample Storage fee: per sample that is sent to the lab without an associated DNA test request form. This charge covers the handling and tracking costs associated with storing and retrieving the sample for future use. »» $2.20 Packaging Surcharge: per sample for samples submitted in non-approved sample kits

early days to now. The optional Conference Tour (11-12 May 2019) of Wagyu properties in South Australia and Victoria will give the opportunity to see first-hand the unique production systems that operate in temperate climates. Mayura Station, (South Australia) and Sher Wagyu (Victoria) both operate fullblood vertically integrated systems and brands that have both had

»» Neogen Australasia will also not be accepting samples on old AGL/UQ hair cards in 2019. All members are urged to use the new Neogen Australasia cards or TSUs.

NEW STAFF We are pleased to welcome Debbie Lowe to the Member Services Team and Concillia Oloo as our new Finance Assistant. Both of these staff positions are necessary to deal with the work volume and increase in business turnover.

award-winning recognition in Australia and abroad. Book early to avoid missing out on this exciting event Location Adelaide Convention Centre Tickets Early bird tickets. Book today

www.wagyu.org.au Dr. Matt McDonagh

EVENTS > 2019 WAGYU EDGE - CONFERENCE & TOUR

Chief Executive Officer Australian Wagyu Association ISSUE 70 - THE AUSTRALIAN WAGYU UPDATE

NEW PRESIDENT AND BOARD FOR 2018-19 In a first for the Association in its 30-year history, the first woman to hold the position of President of the AWA has been decided. OFFICE BEARERS FOR THE 2018-19 PERIOD President Chantal Winter Senior Vice President Mike Buchanan Junior Vice President Selwyn Maller Treasurer Charles Perry Board Directors Sharon Oates (newly appointed) Peter Cabassi Peter Gilmour

Peter Krause John Spreadborough Lorna Tomkinson

Both Lorna Tomkinson and Chantal Winter were both re-appointed to the AWA Board following the 2018 Board election process. Retiring from the Board is Joanne Christiansen. The matriarch of Pinnacle Wagyu, Joanne is a breeder of Wagyu and Stock Horses in Roma, Queensland, established in 1998 with her late husband Peter. Joanne has served on the Board for a number of years providing the Association with a great deal of knowledge and advice for the Wagyu industry. We would like to extend to Joanne our deepest thanks for her services to the industry and the Association. Sharon Oates was appointed to the AWA Board through the 2018 Board election process. Sharon is well known in Wagyu circles for her work with Oasis Collection Centre, a business that provides embryo collection services, specialising in Wagyu. With a wealth of experience in breeding, export and processing, Sharon is keen to bring her knowledge to the Board to assist with the improvement of the breed for all Wagyu members.

FAREWELL TO AN OUTSTANDING PRESIDENT The 2018 AGM gave members an opportunity to thank the 11th President of the AWA, Mr Peter Gilmour who has represented the Board in this capacity for the past three years. In that time, Peter has overseen the introduction of many strategic platforms including BreedObject $Indexes, Single-Step BREEDPLAN, the transition from MiP to SNP and the commissioning of the MIJ30 carcase assessment camera. Peter continues on the AWA Board as a Director for the 2018-19 year. “It has been a pleasure to work with Peter during his tenure as President,” said Dr Matt McDonagh, AWA CEO. “His business insights and leadership have served the Australian Wagyu Association well to take us through a busy time in terms of strategic planning, member growth and development of Wagyu breeding tools. “We are fortunate to have Peter remain on the Board to continue with that level of wisdom and to assist Chantal with her transition to President.” 8

THE AUSTRALIAN WAGYU UPDATE - ISSUE 70

MEET YOUR PRESIDENT CHANTAL WINTER Born and bred around Bundaberg QLD, Chantal fell in love with the rural industry as a child and headed straight to Gatton Ag College after school. Excelling in stock and meat inspection, Chantal worked in abattoirs, butcheries, sale yards and paddocks from one end of Queensland to the other. As an inspector, then a Cattle Care auditor, she got a very fast, and very thorough, education in the value of quality systems, recognising the value of data, and an appreciation for the potentially disastrous consequences if things go wrong. Chantal and her husband, Anthony have managed Macquarie Downs for the past nine years, during which time they’ve turned out some of the highest-value livestock in the country. However, from Chantal’s perspective, the nuts and bolts of the operation isn’t in the paddock or the feedlot. It’s on the spreadsheets. “My background in auditing has given me great respect for the importance of data – not just collecting it, but measuring, recording and interrogating the information. The performance of each animal and their genetic combination have a huge influence on the efficiencies and outcome of profit to a business,” she says. “There’s a lot of money and trust tied up in Wagyu, including a lot of investor dollars in many operations, and the comparatively high production costs mean margins are tight. “Wagyu has never been stronger in Australia, both as an export product and also as a highly regarded consumer product – there’s no doubt it has a brand and an identity that sets it apart,” Chantal says. “We have some of the best producers in the world and they’re among the smartest and sharpest out there – but the world is always nipping at our heels, and it’s critical that we remain not just current, but out in front. “And that’s my job as President, and the job of the executive and AWA – to identify the opportunities, and the risks, and to make sure that we’re absolutely setting the benchmark here in Australia.”

Understand what the eating experience of Wagyu represents to the customer and work backwards ...

AACo: THE ART OF AUSTRALIAN BEEF IS BASED ON DATA AACo’s Chairman Don McGauchie is quoted as saying that “we start with the customers, the very highest-end customers, chefs and people prepared to pay the very highest prices for a very high-quality product.”

“Then we work back through the marketing, distribution and integrated supply chain, back to the decisions we make about the genetics of what we do…” Under the guidance of CEO, Hugh Killen, the message and modus operandi, remains the same. Understand what the eating experience of Wagyu represents to the customer and work backwards to achieve the very best you possibly can. As the biggest stock exchange listed cattle company in Australia, the sheer scale of AACo is enormous. With a property holding that represents around 1% of Australia’s land mass spread over 23 properties that includes stations and feedlots across Queensland and Northern Territory, and at least half a million head of cattle, the management logistics require careful planning and strategy through a fully integrated supply chain.

TO THE PLATE The principle aim, as highlighted by McGauchie, is to provide the very best product for consumers and hospitality. AACo has spent many years developing and marketing its core brands based on what consumers are looking for. Aligning the brands with Meat & Livestock’s MSA grading system to quantify the eating quality allows the company

to position each brand within a specific segment and expectation. Master Kobe and Kobe Cuisine reflect the origins of AACo’s move into Wagyu with a minimum marble score of 8 and 6 respectively. The Wylarah and Westholme brands consistently grade at MSA four and five stars and are more often than not listed on the menu under their brand identification. “Brand recognition is an important element in our product as it represents our unique business and operations – we call it the Art of Australian Beef,” says Hugh Killen, CEO. “We work with chefs, brand ambassadors and distributors to ensure that when they see the brand name they understand exactly what it is they are receiving and it is up to us as a company to provide a consistent product every time that performs the same way each time it is served. “The product needs to be able to stand on its own merits based on the quality it represents, not just on its genetics. The brand is about our company – the care, the ethics and approach to sustainable farming operations.” AACo products are distributed throughout Asia with major markets in Singapore, Taiwan, Korea and Japan. Further abroad, products are found in UAE, USA, Europe and the UK. More than 90% of AACo product is exported. The company encourages the use >>> page 10 ISSUE 70 - THE AUSTRALIAN WAGYU UPDATE

The genetics in the Westholme herd heralded a significant move by the company to move into a fullblood Wagyu production system...

The art of Australian Beef is based on data <<< from page 9 of the whole beast, with cuts such as loin going into Korean-style BBQ; hanger; flat iron and flank steaks can be seen in many good quality steakhouses. Brisket is seeing enormous uptake with low and slow American style BBQ and Asia taking up offal. “The MSA grading system is important and we are ultimately a branded business. A lot of our product was first in the market to be fully aligned to the MSA system. With Wagyu, marbling is an important facet to quality but we believe it is not the only facet. The advantage of the MSA system is that it looks at a range of factors that contribute to the overall eating quality such as taste and tenderness. It is ultimately the overall eating quality that matters to the consumers. So, we focus on the best possible eating quality through all our products and brands.”

PRODUCING THE BEST EATING EXPERIENCE AACo’s purchase of the entire Westholme Wagyu herd back in 2006 is well known. It was a strategic move to improve the overall herd that was essentially a composite of a number of breeds such as Santa Gertrudis, Shorthorn, Charalois, Bonsmara and Brahman that has evolved over time. The AACo composite herd has been developed to produce cattle that had ability 10

THE AUSTRALIAN WAGYU UPDATE - ISSUE 70

to create carcase that is highly marketable to both domestic and international customers. The breeding objectives were heat resistance, high productivity through fertility and growth rate. The composites are then used to run the F1 Wagyu program. The company also manages a fullblood Wagyu production system to ensure the highest possible level of genetic gain. The Westholme fullblood herd contains some of the best Japanese Black genetics outside Japan based on founding sires of Hirashigetayasu (Kedaka line), Itomoritaka (Fujioshi line) and Kitateruyasudoi (Tajiri/ Tajima line), breeding with dams in the Kedaka, Tajiri and Fujiyoshi lines. “The transition back in the 1990s away from the original Shorthorn herd to Wagyu was the recognition that in order to establish a strong beef brand, the company needed a hardy breed that would survive, and thrive in the tough conditions up north. Therefore, the composite herd which includes bos indicus, has shown to be a successful breed for F1 Wagyu.” “The marbling and eating quality of Wagyu was identified early on for its ability to offer an unparalleled eating quality and its hardiness. “The genetics in the Westholme herd heralded a significant move by the company

to move into a fullblood Wagyu production system and it is the core of what we do and we will continue to develop those genetics with the utmost care. For as long as we are involved in Wagyu, those genetics will be nurtured.” The early days of BREEDPLAN certainly saw significant involvement by AACo, but as the scale of the company’s operations has increased, it has necessitated the development of an in-house breeding and genetics database. Included in the database are recordings of typical genetic and breeding values – grading values, birthing weights, weight gains and so forth, but it also includes parameters such as feed efficiencies. “While we don’t use BREEDPLAN specifically, we do watch and understand what it represents. Regardless of whether a proprietary system or BREEDPLAN is used, it is the collection of data and interpretation that is the key to successful genetic improvement. With feedback from our customers we can trace back through our data to improve our herd to continue to meet their expectations.”

GROWING PASTURE NOT CATTLE Industry legend, Greg Gibbons is noted to have said that “we are grass managers first

The lifeblood of AACo has always been its people. and cattle producers second”. Without data on pasture and nutrition and weather forecasts the ability to manage seven million hectares would be difficult. Keeping the maternal herd healthy and thriving is fundamental to the success of the company and with

“Our data indicated in the early part of 2018 that there was a high probability that it might be a tough season, so by weaning earlier than normal we could send the cows up north to take advantage of the nutritious feed while the calves went south to the Darling Downs.

water resources are precious and not to be taken for granted. “Environment issues are always a big issue for the company. In the feedlots we recycle all of our wastewater into the cropping fields, while manure is collected for fertiliser for the irrigation properties. Water is sourced from sub-

a good opportunity to provide highly

“By using as much science around our data, we are well equipped to make decisions on the day – some of them are tough – but ultimately we need to control as many variables as we can.”

nutritious feed.

A SUSTAINABLE BUSINESS

“Understanding the rising plain of

Mention the word sustainability, and most think instantly of climate change, but there is more to it in agriculture. It is about awareness and conservation of your environment, using renewable energy where you can and attracting a work force that works well together to create a positive culture within the workplace and in the local community.

support of the workforce and the

To grow grass, requires understanding of the soil and biodiversity, how the grasses grow and managing stocking rates at a level that gives optimal growth based on local seasonal conditions. Like most of Australia,

graduates coming on board today

the majority based in the Gulf country or the Barkly Tablelands, management of the grasslands – predominantly Mitchell grass – gives

nutrition for the cows and calves through their development is core to the sustainable approach to our management of pasture and livestock. We monitor feed efficiencies with technology such as GrowSafe. Supplements are used and made to our formula that suits the location as each property has differing pasture nutrition.” “We can measure across all our properties how much rain we have had and when; the volume of dry matter per hectare, the amount of nutrition available and the feed types present.

artesian aquifers via bores and there is a clear directive to move to solar power for stock water delivery instead of diesel.” As many of AACo’s properties are in isolated small communities, locals is important and the company contributes with support for events such as campdrafting competitions and the local Royal Flying Doctor Service. The lifeblood of AACo has always been its people. With Wagyu legends such as Greg Gibbons in the early days to the young together with the seasonal workers, the company can continue to grow and develop the best possible product to put on the table where knowledge and science are the foundation stones. ISSUE 70 - THE AUSTRALIAN WAGYU UPDATE

Ginjo AI Sires:

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NEW 2018 BULLS Ginjo Kitahatsuhi L9 (GINFL00009). Combines the distinct Tottori/Kedaka growth lines of Hirashigetayasu (001) and rare Kitahatsuhi 97/1. Two infusions of 100% Tajima in Kitateruyasudoi (003), plus TF151 Itozurudoi. Massive growth with proven marbling, offering options (with Ginjo K930) for joining decisions that capture rare diversity and exceptional performance.

Ginjo Kitaitonami L965 (GINFL00965) Unique ‘semen available’ son of Westholme Kitaitonami , sire of 127 registered AACo fullblood bulls. Do these progeny numbers suggest extraordinary performance in a huge, secretive and very well recorded FB herd Dam side reinforces MS, plus big CWT influences – from Itomoritaka (002), TF 147 Itoshigefuji and TF151 Itozurudoi. All well demonstrated in 2017 drop progeny.

Ginjo MarbleMax™ Sekinami (GINFJ0828) Outstanding early growth recorded in the sire. Delivers rare genetics from high Tottori/high growth foundation female Seki 5 Daimoto 2 over an outlier, high growth Itoshigenami son,GINFW088. Pedigree also packages 003 and our all-time top MS scoring female Ginjo W110 (GINFW0110), dam of a JMGAequivalent BMS 11 feeder at AACo Aronui.

Ginjo Hatshira K930 (GINFK0930) 2016/2017 Best seller. Packages the recorded genetic potency and rarity of Kitahatsuhi 97/1 with the proven all-round capabilities of Ginjo MarbleMax B901 and TF147 Itoshigefuji. Trait leader for early growth. Outstanding FB marbling in the pedigree.

Ginjo Shigefuku K921 (GINFK0921) A unique sire for Japanese-style line breeding. Believed to be the highest Tottori/Kedaka infused AI sire available outside Japan. Progeny of Shigefuku (005)one of two international sons of the famous Dai 20 Hirashige (the other is Hirashigetayasu). Dam sire is Itomoritaka son, Echigo Farms B1001, proven carcass sire of Ginjo feeders at AACo Aronui. Dam/dam is Ginjo C868, one of the two best full flush sisters to Ginjo MarbleMax™ Hiranami B901. A genetic gem.

ESTABLISHED SIRES Ginjo MarbleMax ™ Hiranami B901 (GINFB0901) Proven all-round carcass performance, breeder production & F1 sire. Over 550 registered FB calves in 14 AWA recorded herds. Semen stocks limited.

For further details on the sires, visit the Australian Wagyu Forum website: www.australianwagyuforum.com.au Prices: Domestic Semen Prices: $AUD45 - $AUD65 per Unit. International Pricing & Availability: POA

MIKE BUCHANAN| GINJO WAGYU: 125 Pindimar Road Tea Gardens NSW Australia 2324 Postal: PO Box 71 Tea Gardens NSW Australia 2324 m: +61 437 047 234 t: +61 2 4997 0482 e: mjbuch@bigpond.com Founding Member: Australian Wagyu Forum www.australianwagyuforum.com.au

THE AUSTRALIAN WAGYU UPDATE - ISSUE 70

OBJECTIVE WAGYU CARCASE GRADING INTEREST ON THE RISE

The new MIJ-30 has a new compact beak to better accommodate for a range of Australian quartering/grading sites at different processors.

The Australian Wagyu Association (AWA) has been collaborating with Meat Imaging Japan (MIJ) for the past six months in the adoption and roll out of objective carcase technologies in the form of the MIJ-30 camera. This has been the first step taken towards a truly standardised grading system on an international scale for Wagyu. This technology is also one of the first that offers a multi-tier benefit in terms of objective measurements, accountability and transparency for grading and carcase value. The data collected and submitted to SingleStep BREEDPLAN will fuel progress in breed development.

have come from animals with varying Wagyu content, the majority are F1 and F2, from 11 brand owners and four processing plants. There is genuine interest in the speed and accuracy of the MIJ camera. The overall relationship between AUS-MEAT assessed Marble Score and MIJ Digital Marbling Grade across the 3,000 bodies is 74.5%, with accuracy to 84% depending on individual production runs.

expectations and we are deeply thankful to those processors and brand owners who have helped us demonstrate the MIJ technology. A second Expression of Interest has been launched and is currently running on the AWA site for members seeking to get involved in MIJ carcase assessment.

Since July, following the first Expression of Interest for Wagyu Supply Chain participants to purchase MIJ cameras, there has been more than 3,000 Wagyu-content carcase images captured. These have been objectively assessed and analysed against AUS-MEAT and MSA grading. The results

In this graph of the relationship between the camera grade and the AUS-MEAT marble score, it is important to note that AUS-MEAT marbling scores of 9+ have been entered as 10 on the bottom axis.

The camera technology and its methods of action have already been outlined in The Australian Wagyu Update Vol:69, (pages 34-37). Since that time there has been some technology updates and reporting feature changes.

The response in interest and the reliability of grading is in line with our initial

BREEDING WAGYU > OBJECTIVE CARCASE MEASUREMENT

»» The camera package now comes with 2 x 32 GB USB drives to allow for multi runs or for security coding to be used on each that will allow for two producers to purchase and use a single camera.

FIGURE 1

MIJ DIGITAL MARBLING SCORE VS AUS-MEAT MARBLE - (n=3000) 14.0 R2=0.7451

»» The camera uploads and results will be done through a new ‘Cloud portal’ - this will allow for easy upload, import and analysis of the images.

12.0

DigMG (Digital marbling Score)

www.wagyu.org.au

10.0

»» The results will feature: the original 8.0

captured image as reference; carcase number; Digital Loin Area (DigLA); Digital Marbling Percentage (DigMP); Digital Marbling Fineness (DigMF) and Digital Marbling Score (DigMS).

6.0 4.0 2.0 0.0

AUS-MEAT MARBLE (GRADER REPORTED)

A new finding from our initial work has been an improved understanding of the variation in marbling fineness that exists within the Australian Wagyu content slaughter population. >>> page 15

ISSUE 70 - THE AUSTRALIAN WAGYU UPDATE

A LIFETIME OF CONTRIBUTION HONOURED In the beginning of Australian Wagyu, the industry was lifted out of its novelty reputation and taken seriously as a quality beef product by the actions of a few key individuals.

It was a time of noted individuals who kept the faith – all of whom believed in Wagyu and its potential for the Australian beef industry. One of those original individuals was Dr Simon Coates. A veterinarian and cattle farmer, Simon was among the first to bring in Wagyu purebred embryos to start the first Wagyu herds in Australia. Battling the misconception by other cattle breeders that Wagyu was ‘no better than those ostrich farmers’, Simon slowly turned around the opinion of many naysayers, leading by example – and by taste. In recognition of Simon’s commitment and dedication to the Wagyu industry, the Australian Wagyu Association at its 2018 Annual General Meeting, voted to award Simon with an Honorary Life Membership. In presenting Simon with his Life Membership, outgoing president, Peter Gilmour said that Simon was a thorough gentleman in business and a great support to the industry worldwide and had earned a great deal of respect personally and through his business Sumo Cattle Co. On behalf of the Board, Peter read the following citation: “The official record of the AWA reports, shows that Simon was appointed as a Councillor of the Australian Wagyu Association in November 1993, completing his tenure on 10th October 1997. He was president of the AWA for three years from 1994-1997. Simon has been very closely associated with the Australian Cattle Industry as both an owner of cattle and as a veterinarian. In 1971 he completed a science degree at the University of Queensland, majoring in reproductive physiology. In 1974 he graduated in veterinary science at the University of Queensland with first class honours. After 14 years of veterinary practice, he began embryo transfer in cattle in 1988. Established in 1991, Australian-owned company, Sumo Cattle Company entered the livestock industry with the goal of producing the most genetically elite Wagyu herd outside Japan.

Dr Simon Coates, awarded Honorary Life Membership at the 2018 Australian Wagyu Association Annual General Meeting.

breed and the knowledge that this breed would deliver premium results for producers, he demonstrated firsthand the power of this marbling breed, with numerous presentations throughout Australia and each field day culminating in the consumption of 200-300 premium Wagyu steaks provided by Sumo. There were 15 members of the AWA in that time and it was a difficult process to engender support from other cattle breeders. There were no markets available it was a matter of blind faith that encouraged Simon to keep going. Former president and Life Member, Keith Hammond said,” Simon took the AWA to a whole new level. He created the move to Armidale to create the link to BREEDPLAN and enable growth and development of the breed. He managed to lead the movement from a hobby breed to a commercial one. Simon’s passion for the ability of Wagyu to improve meat eating quality was profound, he was convinced the Wagyu breed had a massive future, this also influenced our own Hammond farming business with the formation of Robbins Island Wagyu.” In accepting the Honorary Life Membership, Dr Coates said it was a pleasure and an honour to receive the recognition. “In those early days I was excited about the future of Wagyu, now 27 years on, I’m still excited,” said Simon. “My early presentations were 45 minutes long. I didn’t even discuss Wagyu – it was about the cattle industry and its history. In the last five minutes I would mention Wagyu, with complete derision from the audience. It was only until they had tried Wagyu on the BBQ that opinions changed. That is what sets Wagyu apart, the eating quality. Not the calving ease or other features of the breed. I knew back then that Wagyu had a future in Australia.

In the early 1990s, Wagyu presence in Australia was still in its infancy and Simon recognised an exciting opportunity for growth. Wagyu embryos were imported from Canada to establish a purebred Wagyu herd.

“In summing up, it was very difficult to promote Wagyu 25 years ago, but it was also very difficult for those people to put their hands in their pocket and follow in our footsteps. They are the ones that had the determination and guts, many of you here today did that and endured. The past 27 years of my life have given me great joy and satisfaction. Would I do it again? Absolutely.”

Simon was appointed the second President of the Association in 1994. With a genuine passion for the Wagyu

Congratulations Simon on your Honorary Life Membership and thank you for your dedication to the Wagyu industry.

THE AUSTRALIAN WAGYU UPDATE - ISSUE 70

Objective Wagyu carcase grading interest on the rise <<< from page 13 Fineness of marbling has a large influence on the eating quality of beef.The new MIJ camera and cloud-based grading system incorporates a Digital Marbling Fineness (DigMF) assessment based on the MIJ developed ‘New Fineness Index”.

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Digital Marbling Fineness calculates the circumference of each marbling particle to evaluate the total length of particle size as a proportion to the total ribeye area enabling carcases to be ranked based on fineness. In the Japanese BMS grading system, both Marbling Percentage and the New Fineness Index are important for objectively measuring BMS accurately with the MIJ camera.

ELITE WAGYU NATIONAL SALE

The ability for the Australian Wagyu production system to select for animals that present well for marbling percent as well as marbling fineness presents a true positive move forward for product quality.Within the data gathered from the Australian Wagyu Industry to date, marbling fineness can vary greatly, having a large impact on eating quality and texture.

the Elite Wagyu National Sale, in previous years has seen

Ultimately, inclusion of this highly accurate objective data by Wagyu supply chain participants and contributing AWA members into Single-Step Wagyu BREEDPLAN will improve our ability to select the best animals for carcase quality according to the Japanese gold-standard parameters for Marbling. Expressions of Interest in procuring the MIJ camera is currently still open. If you are interested in learning more, or applying for the MIJ camera, please contact the AWA.

The pinnacle of Australian Wagyu Association sales, the Elite Wagyu National Sale represents an opportunity to showcase the top 5% of Wagyu genetics. Now in it’s 6th year, remarkable, record-breaking bids. The Sale will cap off the WagyuEdge: Building Integrity Annual Conference & Tour. The Sale attracts vigorous bidding from inhouse delegates, Australian and international bidders via the live and online auction facility. Nominate for the 2019 Elite Wagyu National Sale today.

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EVENTS > 2019 WAGYU EDGE - CONFERENCE & TOUR

ISSUE 70 - THE AUSTRALIAN WAGYU UPDATE

THE AUSTRALIAN WAGYU UPDATE - ISSUE 70

DO THE MATH ON THE BEST FEEDS FOR YOUR WAGYU CATTLE DURING TOUGH TIMES For most of 2018, the primary grazing areas for Wagyu have been under stress with 60% of Queensland in drought and 60% of NSW declared ‘intense’ drought. While the southern states are not as dire, East Gippsland and parts of South Australia are feeling the pinch of poor rainfall. With plenty of evidence in the media to suggest that pasture and grains are in short supply it is a recurring feature of the Australian production environment. It is no surprise then that many cattle graziers are looking to find alternatives, advice and future strategies on how to manage seasonal lows or drought. Given the lessons learnt from Dr. John Doyle (pp 33 of this issue) on the impact of early life nutrition on final performance for Wagyu, it is timely then to have a conversation on making the most of what is available to keep grass-fed Wagyu as productive as possible. It is important to be mindful of managing regrowth and controlling the ‘green grass fever’ of cattle once pasture conditions start to improve. In simple terms cattle need water, energy, protein, minerals and vitamins from their feed which in turn produces volatile fatty acids, proteins, fats and carbohydrates. The amount of feed needed depends on what outcomes are desired from the cattle – maintenance, growth, pregnancy and lactation. Choosing the right combination of feeds depends on the available nutrients within the pasture as well as the available hay and grains.

PASTURES – NORTH AND SOUTH Australia has a diverse climate range – what grows well in the northern states, won’t tolerate the frosts in the southern temperate zones. Tropical pasture and grasses are well suited to climates that have warmer temperatures and higher rainfalls and can produce a lot of feed per hectare. On coastal fringes, typical tropical pastures include kikuyu and setaria. Inland it will be native species such as red grass and wire grass or

exotics such as digit, bambatsi panic or Rhodes grasses. The downside to tropical grasses, is that while they may be abundant producers, their energy and protein levels are lower than those of temperate species and once they reach advanced stages of growth, supplements are needed to maintain livestock performance. For stock grazing rank or old growth, the addition of non-protein nitrogen such as urea can increase utilisation. In the southern temperate climates, most of the pasture is based on rye and native grasses, and grazing crops such as wheat, oats and barley. Other grasses may include fescue, phalaris and cocksfoot, all of which have good productivity in cool seasons. As the summers have become hotter, the ability of temperate grasses to grow year-round has decreased. Grasses and pasture like most plants have three main phases of growth – germination, growth and flowering and seeding. “After the first rains, pasture will sprout from seed or plant butts and grow very quickly. For drought weary cattle that have been fed hay of variable quality plus some grain, they will quickly seek out the new growth,” says Todd Andrews, Beef Development Officer, NSW Department of Primary Industries. “If stock keep nipping away at the new growth, the plant suffers but also the cattle won’t get enough nutrients. “For plants in Stage 2, the growth stage, managing stocking rates is largely dependent on pasture growth rates. If the pasture is growing rapidly, you can probably have more livestock in the paddock, but move them on once the leaves have been grazed off. These recovering plants need a chance to photosynthesise sunlight energy into carbohydrates, to replenish energy reserves in the plant so that roots can grow and access deeper moisture. Continual grazing before this happens drains the plant of energy, shortens root growth and makes plants susceptible to dying by drying out or overgrazing.” >>> page 18 ISSUE 70 - THE AUSTRALIAN WAGYU UPDATE

Do the math on the best feeds for your Wagyu cattle during tough times <<< from page 17 For many paddocks, allowing plants to reach Stage 3 when seeds are produced, is an important resource for future years. While recent rains in some areas are great for restarting pasture growth, it may not be enough for the grass to flower and set seeds. Some producers may consider the need to add pasture seeds again, as a series of false breaks can deplete seed banks with repeated germination false-starts.”

BUYING IN FEED Many in drought declared regions have been buying in feed for considerable periods of time. A significant aspect of buying in feed is understanding and making the tough decisions on what the end goal is – whether it is to maintain current weight of dry stock, weight gain of young stock (essential for Wagyu), or optimising pregnancy or lactation. If the aim is to maintain cattle weight and keep them healthy, then the feed and nutrition budget is relatively straightforward. Gaining weight for young stock– which for Wagyu is essential to ensure delivery of marble score and carcase weight later in life –requires more energy and protein. It may be worth considering early weaning of calves, as milk production requires significantly more feed to keep the cow healthy and producing enough milk – she can’t turn off the lactation process without weaning - inadequate feed will tax her health and impact on future breeding success. “I still see lots of herds under recent drought conditions where I believe the producers should be weaning calves. The cows were poor and would still be losing weight on the green pick. They have very little chance of going in calf in their current circumstances, and risk running out of energy completely. Though earlier than normal, all of the calves that I saw were big enough to be early weaned and that would be the best outcome. The feed requirements of a weaned calf and dry cow are considerable less than a cow and calf unit and many pastures can already support a dry cow,” Todd says. “As the drought goes on, we need to provide additional sources of protein and energy and after a period of very low availability, most graziers are able to source good quality hay again, as drought and frost affected cereal and canola crops in southern Australia are cut for hay. To provide higher levels of nitrogen, protein and energy the best source is meals, such as white cottonseed, sunflower, soy or canola,” says Todd. However, the current situation for late 2018 is that these options are limited or no longer available." Compared to the tropical grass hay that comes from coastal NSW, Queensland and WA, the cereal hay is much better quality and likely to sustain stock, with less other concentrate supplements required. One thing to be aware of is the potential for high nitrate levels, particularly in the canola hay. Be aware that high nitrate hay can still be used as part of an overall ration, but once any of these ‘risky’ feed sources exceed 30% of the diet then the potential for stock ill thrift and death increases. “These meals are the by-products of vegetable oil production and still carry a residual amount of oils which have high levels of protein and energy. However, as those grains run out some graziers are turning to distillers dried grain. Be mindful of how much oils are in the diet – any more than 5% will upset the rumen.” Another issue for producers to be aware of is allowing sufficient time for cattle to transition from one to the other. Many producers 18

THE AUSTRALIAN WAGYU UPDATE - ISSUE 70

are transitioning from cottonseed and rough hay to better quality hay / young pasture and maybe other concentrates such as Distillers Dried Grain. All of these changes comes with their own set of risks and cattle need time to adjust to new feed. “In particular, a sudden flush of green feed, particularly clover, without roughage can cause bloat and clostridial diseases (pulpy kidney). The conditions also seem similar to historical Anthrax outbreaks and so if you are in area that has a history of this disease, I would also strongly consider vaccination for it as well.”

WELL MEANT, ‘FUNNY FEEDS’ Many well-meaning folks have offered a range of fruit and vegetables to assist farmers with feed shortages, but nothing is ever truly for free. Watermelon, cabbage, onions and sweet potato have all been reported in the media, but as Agriculture Victoria's, Tim Hollier warns, there can be potential problems. Watermelon is largely water, so from a purely transport point of view, that is a lot of volume with little nutrition, to cart and pay for. Onions can be toxic while sweet potato may pose a chocking risk. Hollier says that while it may seem affordable at first, it may turn out to be an expensive source of energy. Chemical residue is also another consideration, in that most horticulturists will do the right thing and declare and uphold the withholding periods to ensure minimal chemical intake by cattle. Others, who have a surplus, may not be as vigilant.

WORKING OUT THE FEED NEEDS Working out how much feed and the ratios of dry matter, supplements and pasture will depend on your goal and the class of cattle. A backgrounded steer will have different requirements than a lactating cow. Spreadsheets are going to be your best friend. In good times, NSW DPI suggests that stock need to eat to capacity so for every 100kg liveweight, cattle will typically need 2.7 – 3kg of dry matter per day. A 300kg steer will eat about 10kg assuming the feed is about 90% dry matter. If, however, the diet contains a significant silage component, which can have up to 70% water, then the amount of ‘as fed’ fodder increases accordingly to maintain the equivalent amount of dry matter intake. Although 2018 calving is now complete, as a general rule of thumb, a cow at six months pregnant will need an extra 20%; at eight months, 40% and if she is lactating as much as 60% extra feed. If the weather is cold and miserable, the intake will be even higher. The amount of feed and the available energy (metabolisable energy, ME) is described as megajoules per kilogram of dry matter. Feed requirements for different categories of stock are shown in Table 1.

SO WHICH GRAINS AND FORAGES OFFER ENERGY AND PROTEIN FOR DROUGHT FEEDING? In the low protein dry roughages, such as oaten and pasture hay where the dry matter constitutes 90% of the overall weight, oaten hay gives on average 9.3 ME/kg and 5.8% protein of the dry matter. Cottonseed hull, soybean hay and peanut hay have higher levels, but unfortunately, availability is declining as are cereals such as soybean, safflower and sunflower meals. Table 2 outlines the range of available energy and protein of roughages, grains and cereals that are still available on the market (as at November, 2018)

FEED REQUIREMENTS FOR DIFFERENT CATEGORIES OF STOCK YOUNG STOCK

YOUNG STOCK*

0.2kg/DAY GAIN

LIVE WEIGHT

200 300 400

200

300

GRAIN

HAY

> 9 MJ ME

BALE SILAGE

GRAIN:HAY

3.5

(kg)

12 MJ ME 8.5 MJ ME

PIT SILAGE

35% DM 8.5MJ ME 45%DM 10MJ ME 50:50

80:20

DRY STOCK

0.8kg/DAY GAIN

AT MAINTENCE

PREGNANT COW

8 MONTHS NO GAIN

LACTATING COW WITH CALF

400

450

500

550

500 600 650

4.5

5.5

8.5

Not suitable

6.5

7.5

8.5

> 9 MJ Not

Not achievable - need

13.5

19.5

Not achievable

5.5

6.5

9.5

6.5

10.7

4.5

5.5

9.5

10.5 11.5 12

achievable

20% roughage required >10 MJ ME to maintain weight

Not achievable - need >10 MJ ME to maintain weight

* NOTE: grassfed cattle need to have supplements to achieve 0.8kg/day gain. Pasture alone is insuffcient.

TABLE 1 - Feed requirements ‘as fed’ (kg/head/day for full hand feeding. Calculations are used for crushed grain. Source PrimeFact, NSW DPI.

RANGE OF AVAILABLE ENERGY AND PROTEINS ON MARKET

% DRY MATTER TABLE 2 - Feed type with energy and protein content.

ENERY/Kg

TESTED RANGE

AVERAGE PROTIEN

LOW PROTEIN DRY ROUGHAGES Oaten Hay Wheaten Hay

9.3

8.5-9.5

5.8

8.3

6.0

85-90

8.3

6.0

Oat, barley, wheat straw

5.0

4.5-5.5

3.0

Sorghum stubble

7.0

6.5-8.0

3.6

Pasture Hay (grass)

HIGH-PROTEIN DRY ROUGHAGES Lucerne hay

8.5

8-9.8

15-20

Clover hay

9.0

8.3-10.9

8.3

Pasture hay (mostly clover)

85-90

LOW-PROTEIN WET ROUGHAGES Maize silage

25-30

8.5

7.5-9.5

6.9-9.0

Oat, wheat, barley, rye fodder or silage

25-30

8.5

8.3-8.7

6.0-8.0

HIGH-PROTEIN WET ROUGHAGES 25

8.3

Young oats, wheat, barley, rye, millet grazing

9.3

Maize

13.5

GRAINS Wheat

12.5-13.5

Faba beans

12.5

25.6

Lupins

CEREAL BY-PRODUCTS Wheat bran

Brewers grains (dry)

9.5

Molasses

3.5

Urea (46% nitrogen)

280 equivalence >>> page 20

ISSUE 70 - THE AUSTRALIAN WAGYU UPDATE

Do the math on the best feeds for your Wagyu cattle during tough times

For Wagyu producers, it is important to find the balance between energy and protein and ensuring the right supplements, the wrong rations at the wrong time can be disastrous

Kikuyu and bambatsi are tropical grasses.

<<< from page 19 “There is no question what works in the northern areas where there are tropical grasses, may not be appropriate for the southern temperate states and what mix of hay, silage, grain or meals will vary on your situation,” says Glenn Whitton, Riverina Australia. “It is also necessary to ensure that the necessary minerals and vitamins are available – zinc, Vitamin A, D3 and E, calcium and so on. In some instances, it may be better to go with a pre-mix supplement that has all those elements along with the necessary energy and crude protein. Talk to your local supplier and work out what is right for your situation.” “For Wagyu producers, it is important to find the balance between energy and protein and ensuring the right supplements, the wrong rations at the wrong time can be disastrous” says Todd. AWA CEO Matt McDonagh stated, “what is now clear for Wagyu, is that maintenance or low-growth rates for young stock is not an option, as early life nutrition determines the feed-lotting outcome later in life and nutritional restriction during the first 12 months of life limits the animal reaching its genetic potential. As a rule-of-thumb, a consistent growth rate of 0.8kg per day should be the target.” “Monitor what is happening in your paddock and with your cattle. If you are unsure, check with your stock agent or local DPI.” 20

THE AUSTRALIAN WAGYU UPDATE - ISSUE 70

Image courtesy: Arthur Chapman

Cocksfoot and tall fescue are good examples of temperate grasses.

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ISSUE 70 - THE AUSTRALIAN WAGYU UPDATE

THE FAT IS IN THE GENES The King of Beef, Wagyu is well known for its unique and exceptional eating experience, attributable to the marbling, fineness and melting point of the intramuscular fat.

What is it about Wagyu that makes it so unique compared to other breeds? The answer is largely in the genes. For the consumer of Wagyu, there are five essential components that they look for in quality beef: product integrity; traceability; the cooking and eating experience; nutritional benefits and the ethical systems that lay behind the production of their beef. In essence, the consumer is looking for more meat and less bone; tenderness, juiciness and flavour; more monounsaturated than saturated fats and an appealing presentation in the butcher shop based on colour and size. Much of these characteristics can be quantified through grading and MSA to assist the consumer in their buying decision. When it comes to cooking, eating and nutrition the characteristics of Wagyu intramuscular fat makes it unique in the world of beef.

SO WHAT IS IT ABOUT WAGYU THAT GIVES IT THAT UNIQUE INTRAMUSCULAR FAT CHARACTERISTICS? “There are two main reasons why Wagyu has those characteristics,” explains Associate Professor Aduli Malau-Aduli of James Cook University’s College of Public Health, Medical and Veterinary Sciences. “The first is that we have determined that Wagyu has the ability to produce a greater amount of an enzyme that converts saturated fatty acids to monounsaturated fatty acids. What that means is that saturated fats like stearic acid are broken down by desaturase enzymes in Wagyu to create a monounsaturated fat like oleic acid. Most cattle breeds can do this, but Wagyu has a natural ability to do more. The increase in monounsaturated fats means that the melting point of Wagyu intramuscular fat is lower, creating a better eating experience. “The second reason is based on historical breeding. The original Japanese Blacks were used as a work animal 22

THE AUSTRALIAN WAGYU UPDATE - ISSUE 70

but over the years, it was recognised as a better beef animal and consequently in the last 60 years, the focus has been on improving intramuscular fat and eating quality based on genetic selection.” That genetic selection to create the high-quality intramuscular fat has led to a heritability factor enabling breeders to enhance progeny for that characteristic. In purebreds, the heritability of intramuscular fat is near 30%, while in crossbreds, it is around 18%. The heritability of fat melting point is in the 37-40% range. What that means, according to Professor Malau-Aduli is that yes, environmental factors can play a part in laying down intramuscular fat, but breeding can give a rapid genetic gain.

ENHANCING THE GENETIC DISPOSITION Like all cattle, Wagyu has three fat deposit sites: subcutaneous which lies under the skin; the fat between muscles – intermuscular and intramuscular which is the marbling fat. Wagyu is pre-disposed to laying down intramuscular fat. Nutrition and environment will make the difference in the quality of the intramuscular fat. Generally, fat serves as an energy reserve, so if cattle have inadequate feeding, or in distress with drought conditions, the first response is to go into maintenance to keep the animal alive and the metabolic processes functioning. Under stress, the subcutaneous fat is the first source of energy to be mobilised to keep the metabolism going – continued stress creates weight loss and poor body condition. In good times, any other extra energy will be partitioned into key areas - metabolism, muscle development and intramuscular fat deposition. Under stress, the intramuscular fat will remain, but the fineness quality may deteriorate reducing the eating quality. >>> page 24

ISSUE 70 - THE AUSTRALIAN WAGYU UPDATE

The fat is in the genes <<< from page 22 To achieve the higher quality intramuscular fat – marbling and fineness - a high energy diet is needed which also leads to improved colour, well balanced flavour and texture. Using grains is preferred, but can be achieved to a lesser degree on grass. “The age and maturity of the Wagyu is also a factor in giving that high-quality fat deposition – an animal in its teenage years will be building its muscle and frame. By the time it is at 300kgs-plus it will begin to lay down a lot more fat as its skeletal growth slows down. “For grain-fed animals, the inclusion of high oil content feed such as canola will be beneficial as it has a high content of oleic acid – a monounsaturated fatty acid that enables Wagyu beef to be a good source of desirable unsaturated fatty acids and ALA being the precursor to long-chain omega-3.” Research into the health benefits of omega-3 (the one commonly found in oily fish such as salmon) shows that it has a role in reducing cholesterol and blood pressure, improves brain function and eye health and may be useful in controlling blood sugar levels, bowel health and have anti-inflammatory properties. Given that grading and chemical analysis of Wagyu intramuscular fat can be as high as 53%, the health benefits of Wagyu cannot be underestimated.

Specialising in breeding the best Wagyu from our large herd by careful selection for artificial insemination and embryo transfers (over 1,150 embryos transferred this year) using semen sourced from the animals with the best genetics Australia wide.

BREAKING DOWN THE FATS To understand the pro’s and cons of fats it helps to know what they are and how they are processed in the body. SATURATED FATS (SFA) These are the bad guys in the fat world. Structurally, the carbon bonds are held together tightly and are difficult to break down. At room temperature, they are more likely to be solid. Saturated fats are the ones that deposit on the coronary arteries, accumulating what we call LDLs (low density lipo-proteins) which in turn collect cholesterol, causing the arteries to constrict slowing down blood flow which can result in chest pains or worse. The subcutaneous fat is a form of saturated fat – easily trimmed from the meat as it is relatively solid at room temperature. Other examples of saturated fats include dairy products and chocolate.

Refer to our website for all Fullblood Wagyu Bulls, Females, Embryos and Semen available.

www.sunlandcattleco.com.au Contact Paul Harris E: paulharris@sunlandcattleco.com.au P: 0409 281 140

THE AUSTRALIAN WAGYU UPDATE - ISSUE 70

MONOUNSATURATED FATS (MUSF) Unstable at room temperature, monounsaturated fats (and polyunsaturated fats) are more easily broken down by the body. Therefore, are less likely to accumulate in the coronary arteries creating health problems. Examples of monounsaturated fats include omega-3 and oleic acid. Sources of monounsaturated fats include olive, canola, peanut and safflower oils as well as avocado and many types of nuts.

IT’S ALL ABOUT THE FAT It’s juicy, tender and has a beefy flavour, with an enduring boldness – that was the description given to the 2018 Grand Champion of the Wagyu Branded Beef Competition. But what is it about Wagyu that gives such accolades over other types of beef? It’s in the fat, specifically the intramuscular fat.

HOW DO WE TASTE?

Taste is not the only factor contributing to the perception of flavour. Smell – the aroma of the food – helps us to classify what we are tasting.

Flavour is a combination of responses coming together that tells the brain how to classify what we are eating. The mouth has thousands of receptors specifically designed to respond to the primary tastes - saltiness, sweet, bitter, sour and umami. The messages to the brain indicated to prehistoric man, whether the food was safe to eat. A sense of sweetness represents a source of energy; sourness such as a lemon indicates a source of potential Vitamin C, bitterness can indicate toxic substances in the food. Umami, the most recently identified taste, represents the savoury taste associated with proteins – free amino acids and small peptides abundant in red meat, that give it a meaty or ‘beefy’ flavour. More recent research suggests that there may even be a sixth “fatty” taste, and even more like “Kokumi” which is believed to strengthen the sense of the food being hearty and satisfying. Taste is not the only factor contributing to the perception of flavour. Smell – the aroma of the food – helps us to classify what we are tasting. Specialised olfactory (the system that gives a sense of smell) receptor proteins located in the olfactory bulb interact with odour-active volatiles to create aroma signals and perception in the brain. Most people would be aware of the effect of a blocked nose on their ability to taste the flavour of their food. A piece of chocolate may taste sweet, with a creaminess given by the fats and perhaps bitterness if it is dark chocolate. However, without smelling it, classifying it as chocolate is a lot harder.

We all recognise the smell coming from a steak on the barbecue and start to salivate. Most of us would also acknowledge that fat means flavour. A particularly lean piece of meat while perhaps better for you, tastes bland. Wagyu, with its inherent intramuscular fat – marbling - could never be described as bland. The dominant fat in Wagyu is the monosaturated fat oleic acid. Many blind consumer studies consistently indicate the higher the fat, the greater the tenderness, the more intense the flavour and the higher the overall liking. Up until the 1950s, fatty cuts were often preferred because they tasted good. Negative health messages about saturated fat led to a change in mentality and resulted in a preference for lean meat. As some of the nutritional messages are changing, it seems that fat is becoming a part of a balanced diet once more. To investigate the concept of flavour in intramuscular fat in beef, Dr Damian Frank, CSIRO Agriculture & Food Research Scientist headed up research into the chemistry of Wagyu and Angus to ascertain the chemistry and sensory characteristics of flavour. Comparing Wagyu grass-fed (out of the Hammond’s – Robbins Island) with Angus grass and grain-fed, Frank’s team tested the level of intramuscular fat using chemical analysis. The IMF of the three samples had a range of 5.2-9.9% for Angus grass-fed; 10.214.9% for Angus grain-fed while the Wagyu on grass achieved up to 17.5% (higher than Angus on grain). >>> page 26 ISSUE 70 - THE AUSTRALIAN WAGYU UPDATE

It's all about the fat

ODOUR AND FLAVOUR: grilled beef, livery, bloody, fishy, hay/grain, barnyard, caramel, metallic <<< from page 25 Experienced assessors were trained to

distinct correlation with the assessment

develop and apply a sensory vocabulary to

of the panel. The same researchers also

rate meat tenderness and juiciness, nine

showed that the concentration of important

odour attributes and flavour descriptions.

non-volatile compounds, for example free

The findings showed that Angus – grass or

amino acids and succinic acid, in saliva

grain-fed – with lower marbling had less

was higher in high intramuscular fat meat,

of an impact on the assessor panel than

leading to more intense taste.

the Wagyu in terms of aroma, flavour,

In essence, a combination of non-

juiciness and tenderness. When the

volatile taste components and volatile

researchers adjusted the results for the level

organic compounds (VOC) give rise to

of intramuscular fat, significant differences

the distinctive aroma and taste of food.

appeared between Angus and Wagyu on

A number of taste receptors have been

grass. The assessors rated the Angus as

identified that allow us to class our food

having a higher barnyard odour, while

into the five taste categories. VOCs

Wagyu had a more intense caramel odour.

created through the grilling of meat

Frank et al were able to measure the level

create a distinctive aroma signature that

of volatiles in the beef and compare them

reinforces the umami, fatty and meaty taste

to sensory perceptions of the trained

sensations perceived in the mouth.

panel. Chemical analysis of the volatile

“The conclusion we came to in the study

compounds for grilled beef showed a

was that more intense flavour could be

THE AUSTRALIAN WAGYU UPDATE - ISSUE 70

explained by the chemical make-up of the beef. It is well known that untrained consumers rate the flavour of tender meat higher than less tender meat – known as the “halo” effect - where one positive attribute positively affects another. Frank showed that there were more VOCs and a higher concentration of taste compounds in the high IMF meat. Overall, as IMF increased, the flavour in the Wagyu increased and the sensory attributes became more consistent,” concluded Dr Frank. In addition to those findings, research conducted by Gotoh et al at Gyeongsang National University, Korea, have determined that the lower melting point of Wagyu is a direct result of the higher concentration of monounsaturated fat in the IMF also positively contributing to the higher perception of tenderness and juiciness with increased marbling.

MARBLING AND WAGYU BRANDED BEEF The 2018 Wagyu Branded Beef Competition saw some truly astonishing examples of premium Wagyu presented, with most samples achieving at least 40% marbling in Class 1 and Class 2. The Grand Champion, Mort & Co’s The Phoenix achieving 44%. To determine the best of the best, judges assess tenderness, juiciness, flavour and aroma.

TENDERNESS

FLAVOUR

The reaction of the mouth to the physical quality of the food based on tensile resistance and mouth feel. The level of marbling and connective tissue influences the firmness and texture of the beef. Descriptors include: chewy, fibrous, granular, greasy, silky, tender, tough.

Based on the five receptor groups of

JUICINESS The sensation of how much moisture is released from the beef in your mouth. The amount of saliva can influence the consumer’s perceptions. Descriptors include: very dry, dry, juicy, lasting juiciness.

sweet, salt, bitter, sour and umami.

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The list of flavour descriptors encompasses beany, caramel, bitter,

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ISSUE 70 - THE AUSTRALIAN WAGYU UPDATE

INDEXING YOUR COMMERCIAL PRODUCTION SYSTEMS Ultimately, we are in the Wagyu game, to produce the best quality beef, but as with every business you want to be able to see what your profits might be and factor in how your costs affect the bottom line. A crystal ball might be on the Christmas wish list, however, an $Index that helps predict those futures might just do the trick. Termed BreedObject $Indexes, the Australian Wagyu Association in conjunction with Animal Genetics and Breeding Unit (AGBU) has undertaken a project to deliver three $Indexes that are specific to the Wagyu breed that help assess your future commercial breeding decisions. By pulling data together into a single number based on the main Wagyu traits such as calving ease, birth weight, feedlot entry weight, feed intake, marble score and retail meat yield, the $Indexes begin to have meaning. There are three BreedObject $Indexes: »» SELF-REPLACING $INDEX Based on a Fullblood herd, the progeny are expected to have good growth and high marbling outcomes. The idea is to keep a proportion of heifers for breeding and any surplus steers, or heifers will be feedlot finished. As a result, maternal traits as well as carcase value drivers such as growth and marbling, will be the focus. »» FULLBLOOD TERMINAL $INDEX. Fullblood Wagyu is all about carcase and marbling, therefore, strong performance for carcase traits will be the focus. All heifer and steer progeny will be feedlot finished. Maternal traits are not considered.

»» F1 TERMINAL $INDEX. Focussed on Wagyu crossbreeding with other breeds is aimed primarily at increasing marbling in the progeny to lift the value of the carcase, with growth emphasis coming from the other breed. Therefore, the drivers are primarily marble score, with some emphasis placed on yield and growth. All the heifers and steers will be feedlot finished.

HOW ARE THE $INDEXES CALCULATED? “In its simplest explanation, a breeding index condenses estimated breeding values (EBVs) into a single number that describes the expected impact an animal will have on future profitability in commercial beef production,” says Brad Walmsley, Research Scientist, AGBU. “What that means is the differences between animals are of importance, not the absolute index value for each animal. If the index for one animal is $172 it means nothing until it is compared to another that might have an index of $165. This indicates that the first animal is expected to increase profitability per cow mated, compared to the second animal. “The EBVs used to calculate the $Indexes are unique to Wagyu, no other breed performs quite the same way Meat % Marbling Carcase specs Dressing%

CALF

CALVING EASE GROWTH

GENES

COW

COW-CALF

CALVING EASE FEED INTAKE WEIGHT Fertility

FEED INTAKE

THE AUSTRALIAN WAGYU UPDATE - ISSUE 70

Milk

Survival

GROWTH

FEED INTAKE

GROWOUT

GROWTH

FEED INTAKE

FINISHING

FIGURE 1 - WHOLE COMMERCIAL PRODUCTION SYSTEM (COW HERD TO SLAUGHTER)

-1.0

1.0

or has similar production costs, consequently the research and development has been rigorous to ensure that the $Indexes are a true representation.” The interim use of the Terminal Carcase Index (TCI) has now been phased out. The principle reason for that is that the TCI does not fully encapsulate the true cost of production for Wagyu and does not consider all traits relevant to Wagyu production that are available within EBVs. To illustrate, the BreedObject $Indexes factor in the whole of life parameters for both the cow and calf from fertility and calving ease to growth, feed intake and costs associated with finishing (Figure 1). The TCI in comparison only considered the carcase value at slaughter where the carcase weight and marbling at the finishing stage were used to calculate the index.

BIRTH FIGURE 2

200

SELF-REPLACING $INDEX - SRI

400 600 MCW

FIGURE 2 Indicative SRI selection response for Wagyu EBVs in genetic standard deviation units – the closer to 1.0, the greater the expected response in progeny.

MILK SS CW EMA RUMP RBY MARBLING

Analysis of the Association’s database showed that the average carcase weight of Fullblood steers at 32 months was 435kg with an average marble score of 7 while heifers at the same age were 385kg. The premium for marble score was found to increase by $1.00 with each increase in marble score. Costs for supplementary feed while young animals are at pasture during backgrounding have been averaged out to $250/tonne while feed costs in the feedlot have been costed at $350/tonne. These figures have been utilised in order to ride out fluctuations based on seasonal and availability variations.

SELF-REPLACING $INDEX - SRI The SRI is most applicable when selecting Fullblood bulls that will produce more profitable females to be retained in Fullblood or purebred herds to achieve profitable slaughter progeny. The total range for the SRI is -$36 to +$278, where the average is $117. By comparing the top 10% of animals for the SRI to the average of the breed, we can see how the SRI places emphasis on selection for key Wagyu traits. The selection emphasis placed on Wagyu EBVs by the SRI is shown in Figure 2, where there is balanced selection across growth and carcase traits.

-1.0

1.0

GL BIRTH

FIGURE 3

FULLBLOOD TERMINAL $INDEX - FTI

200 400 600 MCW

FTI indicative response to selection using for Wagyu EBVs in genetic std deviation units – the closer to 1.0, the greater the expected response in progeny.

MILK SS CW EMA RUMP RBY MARBLING

FULLBLOOD TERMINAL $INDEX (FTI) On the assumption that no progeny are retained for breeding, the FTI is aimed at maximising the profitability of Fullblood steers and heifers at slaughter. As a consequence, the weighting on carcase traits is higher, particularly marble score. The average FTI is $97 with a range from -$38 to +$240. The expected EBV changes from using the FTI also include balanced increases in the growth, eye muscle area and marble score EBVs as shown in Figure 3.

F1 TERMINAL INDEX (F1 INDEX) Based on Angus females, the F1 Index estimates the genetic differences in animals with average carcase weights of 420kg for steers and 375kg for heifers. This index focuses on slaughter production costs only, as a consequence marble score is the major driver. In contrast, to the SRI and FTI, the expected EBV changes from using the F1 Index are primarily increases in marble score and eye muscle area associated with decreases in retail beef yield (Figure 4). The changes in the remaining EBVs are only small. The average F1 Index is $87, with a range of -$64 to +$234. >>> page 30

-1.0

1.0

GL BIRTH FIGURE 4

F1 TERMINAL INDEX - F1 INDEX

200 400 600 MCW

F1 INDEX indicative response to selection using for Wagyu EBVs in genetic std deviation units – the closer to 1.0, the greater the expected response in progeny.

MILK SS CW EMA RUMP RBY MARBLING

ISSUE 70 - THE AUSTRALIAN WAGYU UPDATE

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THE AUSTRALIAN WAGYU UPDATE - ISSUE 70

11/26/2018 8:40:52 AM

Indexing your commercial production systems

WHICH INDEX DO I USE TO PICK MY BULL? ANIMAL

FB SELF-REP.

FB TERM.

F1 TERM.

-39

144

136

105

100

117

AVE

Choosing the right bull is dependent on your goals.

<<< from page 29 Interestingly, the negative relationships between the carcase fat traits (including marble score) and retail beef yield that exist in most breeds are weaker in Wagyu which means there is much more scope for increasing both yield and marble score simultaneously.

comparisons across contemporary groups.

CHOOSING THE APPROPRIATE INDEX

“If data is missing from the BREEDPLAN analysis, it affects the correlation with other traits to estimate EBVs of those traits. For example, days-to-calving EBV is correlated to scrotal size and carcase fat; calving ease is correlated to birth weight and gestation length. The best outcome is to record data on these traits of interest and not rely on correlations for EBV estimation. For example, recording days-to-calving means the EBV is not reliant on the weak correlations with carcase fat and allows animals to be found that are lower for subcutaneous fat while still being better for days-to-calving.”

If you were interested in purchasing a Wagyu bull and had 100 available with a range of values for the three Indexes – which bull do you choose? If you chose the bull that has a F1 Terminal Index of 144, it may be a good choice if you were interested in crossing with other breeds of cows. However, if you wanted to focus on a self-replacing bull, then Bull 2 (SRI of 136) would be the better choice. If your focus was a Fullblood terminal production system then Bull 100 would be the most appropriate bull (FTI of 117). It should be noted though that under the FTI, Bull 100 only gives a $12 gain over Bull 2 where as there is a $35 difference between these bulls in the F1 Index. “In essence, use the Indexes to compare which Bulls give the production and profitability outcomes you want to achieve,” says Brad. “If you want to replace your herd, look to those EBVs that include maternal traits; if it is a terminal objective, look more to the carcase traits.” The strongest point to come across from Brad’s presentation at the Nutrition and Genetics Workshop was the need for quality data so that greater accuracy can be achieved for the EBVs based on fair

With increased data accuracy, advancements in genetic gain can be made by assessing the progeny at a younger age, based on what the $Indexes indicate.

“Since the introduction of Single-Step BREEDPLAN, the Association is now in a position to provide these $Indexes, knowing that the accuracy behind EBVs has increased significantly,” says Matt McDonagh, CEO, AWA. “These $Indexes are to be utilised independently of each other, as they represent different production systems and commercial outcomes. The EBVs behind those $Indexes reflect those systems. Self-replacing focuses on carcase traits and maternal traits, while the Fullblood and F1 Terminal Indexes are designed to maximise the profitability of the economic drivers, namely marble score.” Fore more information on BreedObject $Indexes go to our website.

www.wagyu.org.au

BREEDING WAGYU > BREEDPLAN > WHAT ARE BREEDOBJECT $INDEXES?

ISSUE 70 - THE AUSTRALIAN WAGYU UPDATE

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THE AUSTRALIAN WAGYU UPDATE - ISSUE 70

The AWA would like to thank all our Speakers at the 2018 Nutrition and Genetics Workshop

NUTRITION AND GENETICS WORKSHOPS SPEAKER Brad Walmsley

SETTING UP FOR LIFE

Did you know that Wagyu cattle spend a quarter of their life in-utero?

The significance of that is because the nutrition that the cow takes on while pregnant has a direct bearing on the calf’s future well-being and its ability to achieve its genetic potential.

SPEAKER Catriona Millen

SPEAKER Don Nicol

SPEAKER John Doyle

John Doyle, Integrated Animal Production, is well respected in the industry for his knowledge and advice in giving cattle the best possible start in life. “We all know skinny cows don’t breed,” says John, “but cow condition and nutrition during pregnancy also significantly impacts on the calf. By getting it right in the beginning, allows a calf to express its full potential as an adult in terms of health, fertility and carcase traits. In the first stage since conception, it is ‘make or break’. If the egg deteriorates the pregnancy may fail. By day 25, the foetal organs and limbs are developing; by day 45 the calf’s reproductive organs have formed. The last three months of gestation are about muscle development and growth. The muscle fibres form and strengthen and connective tissue binds it all together. Inadequate nutrition at this point can result in more connective tissue and less muscle and fat giving us ‘tough meat’. It also influences how many muscle and fat cells can be laid down which in turn determines carcase weight and marble score. “In the last 60 days of pregnancy, a cow simply can’t eat enough to gain weight herself, it all

goes to the calf,” says John. “If nutrition is limited at this point, you see the muscle, fat and organ cell size of the calf decrease, and the relative weight of the brain and heart increase.” It is important John notes, that access to water, fats, carbohydrate and protein to give the necessary energy sources are vital; so too are trace elements which must also be an integral part of the daily feed. Research shows that trace elements such as phosphorous, zinc, magnesium and sulphur can have an impact on body fat deposition. Interestingly, by 12 months of age, an animal is around 60% of its mature weight and it has formed all of the adipocytes (fat cells) within its muscle that will become marbling later in life. The time that an animal spends in the feedlot up to the end of its life is then about filling these fat cells up with lipids, not about making more fat cells. The marbling and growth potential of an animal is therefore set before an animal enters a feedlot. This is largely determined by the genetics of the animal and by its maternal environment (nutrition) during gestation and during the first year of life. Optimising maternal nutrition and growth during the first 12 months of life sets that animal up for the rest of its life and determines the final profitability of the whole supply chain. >>> page 34 ISSUE 70 - THE AUSTRALIAN WAGYU UPDATE

Nutrition and Genetics Workshops - setting up for life <<< from page 33

HISTORICAL AND MODERN TOOLS Don Nicol, to a point, agrees with John that it is important to understand nutritional needs to maximise realisation of Wagyu potential. But from Don’s point of view, there is more to the story - genetics. Since the mid ‘80s Don has been involved with Wagyu and worked with Chris Walker at Westholme in the early days to develop one of the first Fullblood herds in Australia knowing that improving Wagyu genetics was the way forward for increasing beef quality in Australia’s tough, competitive market. Part of his suite of tools to enable that genetic gain includes research on pedigree and DNA; collecting his own data on the herd; mating predictors and BREEDPLAN EBVs and Indexes. “In Japan, much of the genetics for young Sires was based on Prefecture,” says Don. “Those Prefectures that had highly desirable genetics would be sought after four generations later. In Australia, with a limited number of bloodlines, we do not have that luxury. We need to be aware of the breeding undertaken thus far so we don’t create a bottleneck of breeding potential.” By that, Don means that recording the data in BREEDPLAN and utilising the mating predictor will let breeders know the potential risk of inbreeding, which can increase the risk of genetic defects or foetal fatalities. “One hundred registered Fullblood Wagyu came to Westholme, which represented 30% of the total number that left Japan, there won’t be anymore, we need to monitor our herd and keep the inbreeding percentage down.” The Wagyu database is the richest source of information to determine pedigree and parent verification particularly with the 34

THE AUSTRALIAN WAGYU UPDATE - ISSUE 70

introduction of the 50k genomic testing, says Don. With genomics it makes it easier to undertake effective AI and ET that in turn strengthens the accuracy of EBVs which Don believes is a very strong tool. “I’m a strong advocate of the use of Indexes and as the records in the Wagyu BREEDPLAN increase, so too will the EBV accuracy. The use of Indexes should be about the direction you take your breeding plan.”

VALUE OF THE $INDEXES BreedObject $Indexes was the theme for Brad Walmsley, AGBU (Animal Genetics & Breeding Unit). Having spent significant time and research into developing the new BreedObject $Indexes during 2018, Brad announced that the new $Indexes are a first for Australia. No other breed as yet, has introduced the latest $Index versions which account accurately for the costs of the cow herd on total profitability. The new Single-Step BREEDPLAN BreedObject $Indexes are solely based on Wagyu production parameters and the genetic parameters for Wagyu that were generated for the release of Single Step Wagyu BREEDPLAN in April 2018. Brad provided an introduction to Wagyu breeding tools, and a ‘how to’ guide on the best way to use BreedObject $Indexes. In essence, the new $Indexes take key EBVs and condense them into a single, meaningful number. Three Indexes have been created: Self-replacing, Fullblood terminal and F1 terminal. These three Indexes enable producers to fully encapsulate the cost of production and the traits that give the strongest influence on production outcomes.

Brad stressed that producers should have confidence to use the new Indexes as these are based on defined Wagyu production systems and Single Step Wagyu BREEDPLAN genetic relationships. Producers are advised to focus on the $Index that best reflects their production system and look at the differences in that index value between animals when considering purchase or breeding of animals for their production system. “Don’t just focus on the dollar value of the highest individual animal,” says Brad. “The relative value to a Wagyu breeder is the difference in $Index value between different potential breeding animals. The difference between individual breeding animals represents the change in expected profitability outcomes from using different animals and this should be used to determine relative value to your herd.” Find out more about BreedObject $Indexes on page 28.

BACK TO BASICS Sometimes it is worth back-tracking to ensure that you have the basics covered, and it is surprising what tips can be picked up with a deeper understanding of Wagyu BREEDPLAN. Such was the case with presenter Catriona Millen, SBTS (Southern Beef Technology Services). Reminding us that the decisions we make with this generation can affect the many generations to come, finding the Sires and Dams that will give the best outcomes in genetic gain can be a challenge, but needn’t be if tools such as BREEDPLAN are utilised to their full potential. In what reflects John Doyle and Don Nicol’s advice that nutrition, genetic potential and data, BREEDPLAN is able to >>> page 36

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ISSUE 70 - THE AUSTRALIAN WAGYU UPDATE

GENETIC LINKAGE ACROSS HERDS FIGURE 1 An example of four herds, the common links that allow data from herds to be compared to each other may be one or two Sires.

Nutrition and Genetics Workshops - setting up for life <<< from page 34 make sense of a huge volume of data to clarify those decisions through metrics such as EBVs and Indexes. However, the information out of BREEDPLAN is only as good as the data that is entered. Herds that submit good data to BREEDPLAN get the most out of BREEDPLAN as it relies on data to calculate EBVs. “Plan the day that you are going to record values for BREEDPLAN,” says Catriona. “Make sure you have the right number of helpers, a method of recording and have predetermined what values will be measured.” Enter all your values into BREEDPLAN, not a selective few. For example, choosing the top six performers will increase the average of the whole group, but BREEDPLAN does not work on group averages, it works on determining the variation between individuals within a group. The more variation within a group (highs and lows), the more valuable that data is for determining genetic differences between animals. “Harvesting data, that is, only entering data for top performing animals actually works against you, as it reduces the ability of BREEDPLAN to use between-animal variation within the data group. With no low-performing animals to compare to, top performing animals cannot be identified. “For BREEDPLAN members who submit data, check your outlier reports. Outliers more often than not are based on a sick cow, a computer entry error or wrong birth year. By letting SBTS know the status of that outlier, the results can be adjusted to reflect its age or take it out of that contemporary group if it was ill.” Contemporary group understanding poses challenges but as Catriona explained, a minimum of two animals per group is needed to give weight to data, six to 10 starts to give a reasonable impact in BREEDPLAN. Consider that an animal’s performance is based on its genetics and environment, contemporary group analysis minimises the influence of environment to reveal the differences due to genetic potential within a group that has been raised in the same environment. Environmental factors include nutrition, climate, health and age. 36

THE AUSTRALIAN WAGYU UPDATE - ISSUE 70

Therefore, gathering animals together who are the same age (and similar season), the same sex, same or similar paddock, are single births and are not embryo transfer is the start of a contemporary group. Embryo transfer calves are separated out as the recipient mum may have different milk and calving ease from the biological mum. The next set of criteria are post-birth: are they given the same nutrition; has the calf been sick and therefore received medical attention and is one mob in a similar paddock to the next mob and therefore can be considered as part of the same contemporary group. The next fundamental is to establish genetic linkage – a common sire used within contemporary groups that allows the results of one herd to be compared with another. Within Figure 1 is an example of four herds, the common links that allow data from herds to be compared to each other may be one or two Sires. For example, Herd 1 and Herd 2 have a commonality with Itoshigenami as the Sire, so it is the difference in performance to Itoshigenami that allows data to be combined within BREEDPLAN. Likewise comparing data from Herd 1 to 4 is possible through World K’s Michifuku. Herd 3, with standalone Sire Hikari, can also be linked via Michifuku, however, the accuracy of the data may be lower for Hikari progeny in this example. “It is still possible for smaller herds to establish genetic linkages,” says Catriona. “I would encourage those breeders to utilise AI or ET from Bulls with high accuracy EBVs (>80%) to strengthen the accuracy within their own herd. “Just as important, maintain a few Sires (at least one) from one generation to the next within your own herd, to establish that continuity and genetic linkage within the contemporary groups from your herd.” The Association would like to extend a thank you to all our Speakers at the Nutrition and Genetics Workshop, held 31st October: John Doyle, Don Nicol, Brad Walmsley and Catriona Millen.

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ISSUE 70 - THE AUSTRALIAN WAGYU UPDATE

ANNUALWAGYUEDGE: AWA CONFERENCE & TOUR INTEGRITY ADELAIDE 8 - 12 MAY 2019 BUILDING

2019 IN ADELAIDE

The 2019 WagyuEdge: Building Integrity annual conference planning is well underway for what should be a wonderful event held in the beautiful city of Adelaide overlooking the Adelaide Oval and Torrens River.

www.wagyu.org.au

EVENTS > 2019 WAGYU EDGE - CONFERENCE AND TOUR

As the Wagyu industry grows, our

Our affiliated industries - feedlots and

knowledge and technology need to grow

processors - are the backbone of our

with it as does our commitment to our

supply chain and deliver the exceptional

customer – the consumer.

Wagyu eating experience. Therefore,

With that in mind, the Conference aims

our partnership with Australian Lot

to bring together a range of speakers

Feeders Association brings our focus

to expand members knowledge in

on nutrition, animal welfare and the

genetics and nutrition using tools such

ideal carcase, which when assessed by

as BREEDPLAN, BreedObject $Indexes

the recently introduced MIJ-camera,

and developments in our understanding

enables brand owners to demonstrate

of Wagyu nutritional tools.

objectivity to consumers and provides

2019 also marks the 30th anniversary of the Association and gives us

our genetic evaluation system the ability to utilise accurate data.

an opportunity to recognise our

Putting it altogether is often best

achievements and history, highlighted

demonstrated by practical example and

by one of the original Wagyu companies,

we are excited to showcase two vertically

AACo in a presentation by our Keynote

integrated value-chain systems.

Speaker, AACo’s CEO Hugh Killen.

Those first-hand experiences will be

further highlighted with the option of the Conference Tour which will take in two of Australia’s top vertically integrated production systems and brands, Mayura Station, South Australia and Sher Wagyu’s BeefCorp, Victoria. The tour will be a one-way trip from Adelaide to Melbourne through our Southern high-productivity zone. Wine and Wagyu will be on the menu again. The conference event highlights include the Welcome Dinner, Gala Dinner – where we present the awards for the Wagyu Branded Beef Competition – and the Elite Wagyu National Sale. The pinnacle of all the Association’s sales, the Elite Wagyu National Sale represents the best opportunity to secure the highest level of genetics.

MAYURA STATION TOUR STOP 38

SHER WAGYU TOUR STOP

THE AUSTRALIAN WAGYU UPDATE - ISSUE 70

To secure your early bird rate

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WELCOME DINNER

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# WagyuEdge CONFERENCE AND TOUR

KEY HIGHLIGHTS

DAY 1 - WEDNESDAY MAY 8, 2019

SOUTH AUSTRALIA

»» Welcome!

ADELAIDE MILLICENT MOUNT GAMBIER

BALLAN

»» Using and Fuelling Wagyu EBVs – tips and tools

MELBOURNE

»» Making the feedlot work for you

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DAY 2 - THURSDAY MAY 9, 2019

VICTORIA

»» Keynote speaker, Hugh Killen, CEO AACo »» What makes Wagyu tick, it’s all about the fat »» Nutrition to get the Wagyu to tick »» Gala Dinner, Charity Auction and Wagyu Branded Beef Competition Awards

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DAY 3 - FRIDAY MAY 10, 2019 »» It’s in the genes »» Vertical integration – in Australia and abroad »» Where to from here: guest panel Q&A »» Elite Wagyu National Sale

OPTIONAL CONFERENCE TOUR HIGHGLIGHTS

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DAY 4 - SATURDAY MAY 11, 2019 (optional)

Visit Mauyra Station's award-winning 'cellar door' and tour the farm to hear insights into Mayura's production program. »» 8,000 head fullblood Wagyu breeding operation »» insights into artificial breeding programs »» viewing of next-generation sires and dams »» insights into early weaning and cattle backgrounding and »» tours of the on-farm grain-feeding facility

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DAY 5 - SUNDAY MAY 12, 2019

Visit to Sher Wagyu who have been producing Wagyu beef since 1991 to customers in Australia and around the world. »» Wagyu bloodlines (fullblood and crossbred) »» breeding cow operation »» conception to consumer presentation and

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»» Sher Wagyu's grazing operation ISSUE 70 - THE AUSTRALIAN WAGYU UPDATE

Wagyu steak served with simple sides at Cha Cha Char

A FINE NIGHT FOR WAGYU A big celebration calls for a night to remember. Anniversary, proposal or clinching that major deal demands good food, good wine and good company. Restaurants such as Cha Cha Char Wine Bar & Grill and the Rockpool Bar & Grill enable their clients to celebrate in style – with Wagyu.

The classic Wagyu burger at Rockpool

Cha Cha Char and Rockpool have a reputation for being premium steak house restaurants, sourcing the very best steak that Australia has to offer. Each steak dish description tells a story – where it is sourced, what marble score it has and what cut is used. To add to the complete experience, side dishes and wine pairings are recommended to bring out the very best flavour profiles imaginable. Both restaurant groups have well-respected executive chefs at the helm to ensure that each dish is perfect, suited to it’s cut and presented with aplomb.

In the kitchen at Rockpool Bar & Grill Melbourne

Owner of Cha Cha Char, John Kilroy has been for many years a supporter of Wagyu and aims to showcase primal cuts such as eye fillet, rump cap and cube rolls. Recently, the chefs have utilised secondary cuts in Asian and Japanese-inspired dishes such as Wagyu corned beef in sugar cane, Chinese bao bun using cheek and tongue or a simple slow-roasted sandwich with wasabi butter. “Guests want that special dish that they can’t easily produce at home, it could be something as simple as fluffy beer battered fish,” says Angelo Velante, executive chef at Cha Cha Char. “For many, Wagyu is not readily accessible, so to come to Cha Cha Char, is to expect a treat and an experience of dishes such as Wagyu.” Cha Cha Char are renowned for their degustation menu which aims to highlight the very best of Wagyu. The degustation menu showcases five muscles of the rump from different producers to create a ‘tasting menu’ based on how the animal was reared. Using taste notes in a similar fashion to a wine tasting, John Kilroy guides his diners through the various flavour profiles that can be achieved. “Events like these have proven to be a huge success, selling out in days,” says John. “I match the Wagyu with wines such as Henschke or Torbreck and guide our guests through the flavours they are experiencing. By doing this, I know that they can fully appreciate just how special Wagyu can be.” Rockpool Wagyu dishes range from the simplicity of a fullblood Wagyu burger - a mainstay for the bar and the restaurant; brisket with chimi churri; air dried aged sirloin steaks (breasola); a

THE AUSTRALIAN WAGYU UPDATE - ISSUE 70

Rockpool Sydney’s impressive dining experience

decadent Bolognaise; their own take on silverside and Wagyu sausages. Fullblood Wagyu has been on the menu at Rockpool since the restaurant’s opening in 1989. Supply and cuts vary and depend on the dish devised for the season or the occasion. “Guests come to Rockpool Bar & Grill having heard about these dishes,” says Food and Beverage Director Tom Sykes. “They expect premium quality and a taste to match, which is without a doubt always delivered. We have an in-house butcher and our chefs are trained to prepare and cook Wagyu – it’s an art. We keep it simple.” Consistency is the key to both restaurant groups. Supply, size and marbling are vital to ensure that the expectation of the diner is met. Rockpool insist on at least a marble score 9 to give diners that rich, creamy, flavoursome, melt-in-your-mouth steak experience.

Cha Cha Char are renowned for their degustation menu that showcases five muscles of rump from different producers to create a ‘tasting menu’ based on how the animal was reared.

“If there is a variation in the producer or a slightly lower marble score, the diners at Cha Cha Char have a level of sophistication in their palate to know the difference,” says Angelo. “They may not be able to define specifically what is different – but it will show as a different mouth feel or a slightly different flavour. More often than not, they are right. It will still be top quality Wagyu, but not what they expected.” A special occasion such as an anniversary or New Year’s Eve brings guests once or twice a year to celebrate. Seen as a treat, the most popular dishes are the mid-priced menu items where, when paired with wine and side dishes, guests typically spend around $200 per head. Corporate diners visit Cha Cha Char or Rockpool and are looking for a restaurant that they identify with that has the ‘wow factor’ to impress a client – to either thank or persuade them. The corporate diner is likely to visit a premium restaurant several times a year and the spend is likely to be higher than the special occasion diner. According to John, seeing the gratification on the guest’s face is his favourite aspect of hospitality. If someone chooses to take time out of their lives to spend in a top-quality restaurant, the emphasis needs to be on getting the experience right, and Wagyu is a significant part of that equation. ISSUE 70 - THE AUSTRALIAN WAGYU UPDATE

THE WANGANUI PARTY IS BACK!! Join BV owner John Kilroy for a walk down memory lane with the return of the Wanganui Party. This exclusive event will see you partying the night away with live music, cool cocktails and exquisite fare from ChaChaChar, Il Centro & Jellyfish. Do you remember walking through these gates for the Social Event of the Year? The "Wanganui Party" began as a thank you celebration to our suppliers during the 90's. The guest list grew over the years, from the original 150 attendees to over 3000 of our most loyal patrons and suppliers. After a 10 year hiatus, John Kilroy, owner and CEO of Boutique Venues is bringing back the "Wanganui Party" To find out how to receive your Golden Ticket to this exclusive event visit www.boutiquevenues.com.au

Boutique Venues Pty Ltd | (07) 3225 9100 www.boutiquevenues.com.au

THE AUSTRALIAN WAGYU UPDATE - ISSUE 70

STREAMLINED DNA TESTING PROCESS The Association has been working to streamline the DNA Testing Process to enable Members to have more traceability of their requests. The change will also enable the AWA to more efficiently correlate results to requests.

To make the most of your request for DNA Testing, members are encouraged to use this new process to gain the maximum benefit.

KEY POINTS TO NOTE »» Use the most up to date DNA Test Request Form available. The form can be downloaded from the AWA website.

www.wagyu.org.au

»» Complete the Member Agreement

MEMBERSHIP & FORMS > FORMS, GUIDES AND USEFUL TOOLS

area before submitting the form to the AWA

HOW THE PROCESS WORKS

RESULTS FROM DNA TESTING

STEP 1 Collect your samples.

SNP

Once the lab has completed its testing, results are sent to the AWA. A member of the AWA’s MSO team will load the results into AWA’s system and email the results to you.

SNP parent verification (PV) and parent discovery The AWA completes SNP PV and parent discovery. Results are loaded into our system and reported to you. Allow up to a week for this to be completed once the AWA receive the results from the lab.

MiP

All MiP PV’s and additional testing (e.g. Recessive genetic conditions) will be completed and reported by the lab to you and AWA.

Please be aware that the lab may send interim results as they are completed. This may mean you receive results in multiple files over the reporting period.

STEP 2 Download an excel DNA Test Request Form. Complete and

email to:

dna@wagyu.org.au

When the AWA receives your DNA Test Request Form, a Member Services Officer (MSO) will check the details offering any advice to you needed in order to complete the form correctly.

STEP 3 The AWA will load your completed DNA Test Request Form

into our system and submit it to the lab for processing.

The AWA will invoice you for this testing.

STEP 4 You will be emailed an acknowledgement letter with a batch

number identifier when the DNA Test Request Form has been submitted to the lab. STEP 5 Print and post this acknowledgement letter along with your

collected samples directly to the lab.

If you’re submitting ‘DONE’ samples (those already stored at the lab), you do not have to print this letter and send to the lab. The paperwork sent from the AWA to the lab will begin your testing process.

STEP 6 The lab sends the results to the AWA once testing is complete.

CWT TESTS CWT tests require further analysis. An additional

week may be needed to complete testing after the AWA receives the results from the lab.

When CWT results are available, they are loaded into AWA’s system and reported to you. >>> page 45 ISSUE 70 - THE AUSTRALIAN WAGYU UPDATE

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THE AUSTRALIAN WAGYU UPDATE - ISSUE 70

Streamlined DNA tesing process <<< from page 43

A SUMMARY OF THE DNA TESTING PROCESS STEP 1

STEP 2

Email completed DNA Test Request Form to the AWA

STEP 3

STEP 4

RESULTS

Collect your samples

AWA submits DNA Test Request Form to lab

You are emailed an acknowledgment letter once form submitted

STEP 5

Print and post the acknowledgment letter with samples to lab

STEP 6

The lab sends the results to the AWA once testing is complete

SNP results loaded onto AWA system and member sent results

RESULTS

Lab sends MiP and additional test results to member and AWA

RESULTS

CWT tests results loaded onto AWA’s system and member sent results

AWA completes PV and results sent to member

Member uses PV or CWT results for registration using AWA’s registration form

ASSISTANCE TO SUBMITTING YOUR SAMPLES The AWA has been working with Allflex Australia Pty Ltd to assist their members and clients in submitting samples to the lab for DNA Testing and for herd management purposes. AWA Members now have access to a Wagyu Specific Allflex Order form which will aid in traceability of samples throughout the entire process. It also enables Tissue Sampling Units (TSU’s) to have the same number both when scanned and visually read on the side of the TSU.

This form can be accessed by logging into your Member area and downloading the form from your Download Files area. Please print and complete this form and take to your nearest rural service provider to order your tags and TSUs.

FOR CUSTOMER SERVICE ENQUIRIES, PLEASE CONTACT ALLFLEX DIRECTLY 07 3245 9100

1300 138 247

PLEASE NOTE, THE TSU WILL BE PRINTED AS PER THE FOLLOWING ISSUE 70 - THE AUSTRALIAN WAGYU UPDATE

THE GOLDEN PATHWAY TO WAGYU IMF IMPROVEMENT

FELLOWSHIP

The Wagyu Fellowship program aims to give individuals an opportunity to develop an idea to benefit the industry.

The Wagyu Fellowship program presented by the Australian Wagyu Association aims to give an individual passionate about the industry an opportunity to develop and explore an idea that will benefit the industry. The Association would like to congratulate this year’s recipient for 2018, Jeremy Cooper, Circle 8 Bulls based east of Goulburn, NSW. In a move away from the family business operating as a cattle farm, the business was re-branded to Circle 8 Bulls to be a provider of consistent quality Wagyu and genetics with a clear focus on what the consumer wants – an exceptional eating experience, based on high levels of marbling. With that in mind, Jeremy’s project aims to investigate a ‘golden pathway’ to produce the very best intramuscular fat. Using a holistic approach, Circle 8 Bulls acknowledges the contributions of several factors that go towards making the best possible Wagyu – breeding, genetics, nurturing and nutrition. With a number of tools available such as BREEDPLAN, carcase analysis, genomics and pedigree, Jeremy believes there is an

THE AUSTRALIAN WAGYU UPDATE - ISSUE 70

Jeremy Cooper, Circle8Bulls, 2018 Wagyu Fellowship recipient.

optimum methodology – or pathway – that will give all producers an edge to replicate the results regularly seen in Japan. The Wagyu Fellowship will enable Jeremy to tour well-respected Australian Wagyu operations and feedlots and speak with leading Japanese researchers at Kyoto University and Obihiro University as well as conduct a study tour of production systems in the Miyazaki Prefecture. “If you consider the production of Wagyu from the consumer level you quickly realise the focus is on eating quality and marbling,” said Jeremy. “Therefore, the success at the restaurant in terms of yield and marbling filters back to the butcher, the wholesaler, the processor, feedlot, backgrounder and breeder. These are the drivers that determine how you achieve that. My concept of a pathway is essentially using the science and data that we have to create a way forward that benefits the entire industry.” “The application presented by Jeremy represents an opportunity to improve the industry’s knowledge of how all the production methods come together,” said Matt McDonagh, CEO AWA.

“By learning and sharing, particularly insights around optimising early-life nutrition, Jeremy’s proposal enables the entire industry to benefit from methodologies that improve the overall eating qualities of Wagyu.” The Wagyu Fellowship is enabled through the generous contributions made at the annual conference Charity Auction held during the Gala Dinner. A remarkable opportunity, the Wagyu Fellowship recipient will be able to travel for up to eight weeks to pursue the idea concept and share that knowledge with the Australian and international Wagyu community. Open to individuals (over the age of 18) or groups a project proposal needs to have direct correlation with the Wagyu industry. For students, the Fellowship program can be considered part of ongoing studies. Applications open on 1 December each year and close on 15 March 2019.

www.wagyu.org.au

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ISSUE 70 - THE AUSTRALIAN WAGYU UPDATE

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Issue 70 | The Australian Wagyu Update, January 2019

Articles inside

WagyuEdge: Building Integrity 2019 in Adelaide highlights

AACo: The Art of Australian Beef is based on data

Be Bold, Be Branded, Be Wagyu