Beef Briefs

MCCRACKEN NAMED OHIO RURAL DEVELOPMENT DIRECTOR President Joe Biden recently announced his intent to appoint seven U.S. Department of Agriculture (USDA) regional positions, including five Farm Service Agency (FSA) State Executive Directors and two Rural Development (RD) State Directors. “A year into this administration, we continue to build an experienced team in our state offices,” said Agriculture Secretary Tom Vilsack. “I have full confidence these individuals will work tirelessly to advance USDA’s mission in their local communities.” FSA State Executive Directors oversee Farm Service Agency operations and agricultural policy implementation in the state. Each State Executive Director works with the State Committee to administer FSA programs and County office operations, develops and maintains stakeholder relationships with customers and other agencies and governments. RD State Directors serve as the chief executive officer of Rural Development in the states and territories and are tasked with carrying out the mission of Rural Development to the benefit of everyone in rural America. In conjunction with the guidance and support of the National Office, State Directors are responsible for promoting the mission and strategic goals of Rural Development and provide key leadership to develop and support a productive, diverse, and inclusive state workforce. Jonathan McCracken has been appointed RD State Director in Ohio. Most recently, Jonathan McCracken served as a Senior Advisor to U.S. Senator Sherrod Brown (D-OH). For the past 15 years, he has held various legislative positions related to agriculture, rural development, food, nutrition, energy, and environmental policy. Prior to working for Senator Brown, McCracken began his career working for Senator Edward M. Kennedy. A native of Wilmington, Ohio, he is a graduate of Wake Forest University and earned a J.D. from the George Washington University Law School.

COBA/SELECT SIRES ANNOUNCES ANNUAL MEETINGS COBA/Select Sires has released the details of the 2022 Annual Meetings for the North and Southwest Regions. Featured at these meetings will be presentations, industry updates, product highlights and a locally catered meal. Presentations will be conducted by COBA/Select Sires and their partners, including new general manager, Chris Sigurdson, Chris Lahmers, Jeff Reidman, Chuck Sattler and Shane Boettcher. Meetings will also include presentations on the CowManager® system, SSI presentation on Longevity, using HHP$ as a guide, COBA business update, dairy sire information by local dairy program specialist and product features. Details on the date, location, start time and meeting events can be found online at www.cobaselect.com.

BEEF. IT’S WHAT’S FOR DINNER. BRAND ANNOUNCES TONY ROMO AS NEW SPOKESPERSON The iconic Beef. It’s What’s For Dinner. brand, managed by the National Cattlemen’s Beef Association (NCBA) and funded by the Beef Checkoff, announced a new partnership with celebrity athlete and former football star Tony Romo at the 2022 Cattle Industry Convention. The partnership, which will last one year and tap into Romo’s vast fanbase, will promote all things beef – from beef nutrition, to how beef is raised, and of course beef’s great taste. “I’m really excited to be your new spokesperson,” said Romo. “Me, my wife and the kids eat beef all the time and I think we’re going to eat it even more if that’s even possible at this point. Hearty and sustainable beef is my new team.” In addition to the general consumer appeal associated with celebrity spokespeople, Romo will be featured promoting beef in photo and video advertisements on digital and traditional media platforms. Additionally, social media content will be developed for organic and promoted posts across the Beef. It’s What’s For Dinner. social channels and on Romo’s personal pages.

CATTLEFAX FORECASTS POSITIVE PROFITABILITY TRENDS IN 2022 The popular CattleFax Outlook Seminar, held as part of the 2022 Cattle Industry Convention and NCBA Trade Show in Houston, shared expert market and weather analysis today. Cattle price and profitability trends for producers are pointed in the right direction, even as challenges and uncertainty persist with continued disruptions from the pandemic. While issues around labor and packing capacity have lingered, both are expected to improve in the year ahead. These expansions in capacity combined with strong global and domestic consumer beef demand suggests increased profitability across segments, signaling a market that is healthier and more stable in the year ahead, according to CattleFax. Kevin Good, vice president of industry relations and analysis at CattleFax, reported that U.S. beef cow inventories have fallen more than 700,000 head from last year and are off nearly 1.6 million from cycle highs. This year, the beef cowherd will near 30.1 million head. “Drought, market volatility and processing capacity challenges affected 30 to 40 percent of the cowherd over the last year. Without an improvement in weather and profitability, at least 250,000 more head will be liquidated in 2022,” Good said. The feeder cattle and calf supply will be 675,000 head smaller than last year, totaling 25.5 million head. Fed cattle slaughter will decline 400,000 head lower compared to last year, at 25.7 million head. Commercial beef production will contract over the next several years starting with a 2 percent decline in 2022. Good forecasted the average 2022 fed steer price at $140/cwt, up $18/ cwt from 2021, with a range of $130 to $155/cwt throughout the year. All cattle classes are expected to trade higher, and prices are expected to improve. The 800-lb steer price is expected to average $172/cwt with a range of $158 to $184/cwt, and the 550-lb steer price is expected to average $205/cwt, with a range of $180 to $230/cwt Finally, Good forecasted utility cows at an average of $75/cwt with a range of $65 to $85/cwt, and bred cows at an average of $1,850/ head with a range of $1,700 to $2,000 for load lots of quality, running-age cows. Consumer demand for beef at home and around the globe remained strong in 2021, a trend that will continue in 2022, especially as tight global protein supplies are expected to fuel U.S. export growth. This will also drive beef prices from end-users to consumers to continue higher in the coming years. While U.S. median household income increased in 2021, historically high inflation is affecting low-tomiddle income Americans the most. Inflation is also driving beef prices to a higher trading range. The USDA AllFresh Beef Retail Price should average near $7.15/lb this year, ultimately resulting in more margin in the system. According to Good, wholesale demand will likely slow in the com-

ing year, but cutout value should hold steady near $280/cwt on average for 2022. Global protein demand has continued to rise, and U.S. beef exports are expected to grow by 5 percent this year to 3.7 billion pounds. The increases were led by large, year-overyear gains into China, and Japan and South Korea remaining strong trade partners for protein. “The tightening of global protein supplies will support stronger U.S. red meat exports in 2022,” Good said. Mike Murphy, CattleFax vice president of research and risk management services, expects summer weather patterns – and their effect on corn and soybean yields – to be the focus of market participants. With the expectation of normal weather next spring, CattleFax is forecasting planted corn acres at 91.8 million, with a trendline yield expectation of 180 bu/acre for the 2022 planting season. Soybean acres are expected to remain near steady at 87.2 million acres for the 2022-2023 market year. “Exceptional demand from China is leading U.S. corn exports to new records and expanded interest could easily push exports higher in 2022,” Murphy said. Murphy noted that weather is likely to continue influencing hay prices with much of the Central Plains and the West battling some level of dryness or drought. “December 1 onfarm hay stocks were down 6 percent nationally from the previous year, at 79 million tons. Expect current year hay prices to average near $186/ton, $10 higher than 2021 prices due to tighter supplies and stronger demand,” he said. According to Meteorologist Matt Makens, La Niña remains firmly in control of the ocean-atmosphere system, and that is unlikely to change this spring; however, it remains possible that there will be some changes throughout summer. For the U.S., barring any change to the La Niña outlook or sudden warming in the Gulf of Alaska, dryness continues across the Southwest and South with warms temperatures, too. The Northern Plains and Corn Belt are expected to have wetness farther east this spring and drier conditions for this summer, with temperatures closer to normal versus 2021. CattleFax CEO Randy Blach concluded the session with an overall positive outlook, expecting margins to improve as cattle supply tightens and producers gain leverage back from packers and retailers, beef demand to remain solid with expected export growth, and utilization and packing capacity to improve over the next few years

NCBA RESPONDS TO NEW YORK TIMES OP-ED MISINFORMATION NCBA released the following statement in regard to the New York Times op-ed article, “It is incredibly disappointing that media outlets like the New York Times continue to publish opinion pieces like Meet the People Getting Paid to Kill Our Planet, which not only threaten the livelihoods of American farmers and ranchers, but are also riddled with misinformation and lacking in credible sources. The National Cattlemen’s Beef Association’s (NCBA) primary goal is protecting the livelihoods of America’s cattle farmers and ranchers. They rely on NCBA to protect them from misinformation and attacks by activists aiming to put them out of business with tactics like the faulty information and sensationalist reporting included in this piece. NCBA is armed only with fact-based, credibly-sourced and scientifically-vetted information, that is often less interesting than the wild claims made by opponents of American agriculture. Senator Cory Booker (D-N.J.) continues to take swings at the industry without an understanding of how the industry actually operates and the sustainability measures that have long been in place. Enjoying beef and supporting America’s farmers and ranchers is not a partisan issue. America’s cattle farmers and ranchers have long been stewards of the land, air and water resources upon which their livelihoods depend. It is probably difficult for a vegan from New Jersey to understand the role of agriculture in our rural communities, but it’s critical to the continued success of America. To suggest that farmers and ranchers sharing their stories is part of a “myth” and a lobbying strategy is untrue and offensive. Cattle farmers and ranchers understand the importance of protecting natural resources and they are continuously working to improve their practices in ways that benefit their land and their animals. They put into place management plans, invest in education and practices that improve animal welfare, reduce runoff from pastures and protect intact grasslands where cattle graze and animals like deer, elk, antelope and migratory birds depend upon. Cattle farmers and ranchers have set goals for continuous improvement. Because of decades of research, innovation and improvement, the U.S. is the global leader in sustainable beef production. Examples of innovation include enhanced productivity practices such as improved cattle genetics, more precise animal nutrition, increased resilience and efficiency and improved resource use, among others. That’s why U.S. beef’s carbon footprint is 10 to 50 times lower than other regions of the world. In fact, between 1961 and 2019, the U.S. beef industry has reduced emissions per pound of beef by more than 40% while also producing more than 60% more beef per animal.

The beef industry shares a commitment to sustainability. It would be nice if the solution was as simple as eliminating a single food from our plates, but it’s not. Sharing opinion pieces that masquerade as journalism is irresponsible and damaging to the livelihoods of nearly a million farmers and ranchers across the country. We’re disappointed in the New York Times’ decision to publish this piece without properly vetting the information, and we’ll continue to defend against misinformation and propaganda that targets American agriculture without apology.”

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