South Dakota Farm & Ranch April '24

Page 1

BEEF-ON-DAIRY BENEFITS

MTC officially opens the doors to new Ag Power Diesel Lab Building

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INSIDE THIS ISSUE

Ariana Schumacher / Agweek

Crossbred cattle at Questad Feedyard in Baltic, South Dakota.

Features

Are grasslands economically viable? ..........................3

Ray’s Western Wear and Saddery................................4

MTC opens Ag Power Diesel Lab building .............12

Farm safety is priority ................................................14

Are grasslands economically viable?

OACOMA, S.D. — When it comes to maintaining grasslands in South Dakota, cost is a major decision maker. Across the state, grasslands have been converted into farmland to bring in maximum profit.

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“It becomes an economic issue,” said rancher Lyle Perman. “Many of these producers have families to feed. Others are looking at what gives them the best rate of return. So, the safety net that is available can drive land conversion. It’s all about the money.”

The biggest concern with decreasing grasslands is moving away from having a diverse landscape to having a monoculture. Having a monoculture would impact the different animal and insect species living in those grasslands.

“One of the ones we know on our ranch that’s impacted is bumble bees. They nest on the ground on grass,” Perman said. “You lose grasslands, you lose bumble bee habitat.”

Without grasslands, water quality issues also arise.

“If you want to solve water quality issues, you put in more grass. Why? Because it’s a filter, Perman explained. “You want to improve infiltration? You plant more grass, or you don’t convert as much.”

“YOU LOSE GRASSLANDS, YOU LOSE BUMBLE BEE HABITAT.”
LYLE PERMAN

There are steps that producers can take to make having grasslands viable. But it all starts with knowing what you already have.

“The most important thing is just figuring out your current operation and all the costs that you have with it. That way you can find out where you need to go to be able to actually calculate any benefits,” said Victor Tuschen, agricultural economist with South Dakota USDA Natural Resource Conservation Service. “If you don’t know where you are currently at, there’s no point in trying to figure out where to go.”

“They need to identify what are the resources they’ve got. I’m not going to tell somebody who’s got a class two soil that they shouldn’t be cropping it,” Perman said. “But, if you’ve got a class four or higher soil,

GRASSLANDS: Page 15

APRIL 2024 SOUTH DAKOTA FARM & RANCH 3
LUKE HAGEN Advertising Director LORIE HANSEN Layout Designer JEN PHILLIPS Contact Us P O BOX 1288 • M I TCHELL , SD 605-996-5514
JONI HARMS Editor
bene ts
8 sdfarmandranch
On the cover Beef-on-dairy
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Agweek file photo Many grasslands around South Dakota are being converted to farmland. Perman Tuschen

Family-owned Ray’s Western Wear & Saddlery hands over reins to the next generation

OACOMA, S.D. — Ray’s Western Wear and Saddlery has been serving the Oacoma and Chamberlain, South Dakota, area for nearly 70 years. The business recently welcomed a new location just up the street from their previous store in February 2024 as well as granddaughter, Brooke White Bear, 31, and her husband, Kaiden, 28, taking over ownership in October 2023.

Ray’s was founded by White Bear’s greatgrandfather, Ray Steckelberg, on the main street of downtown Chamberlain, South Dakota, in 1957 as a men’s clothing store. With a passion for the western lifestyle and a tack room in the basement, Steckelberg started serving the western and agricultural communities by adding the tack to the main floor and focusing on selling western apparel in 1970. Steckelberg’s youngest son, Duane, joined the business in 1974. Duane and his wife, Sheryl, have been in business ever since, becoming a staple in the western and rural communities they serve.

WESTERN WEAR: Page 6

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WESTERN WEAR

From Page 4

The store was moved right across the Missouri River into Oacoma, South Dakota, in 1996 to catch the interstate traffic as well as make room for customers stopping by with trailers. As the self-proclaimed “South Dakota’s Cowboy Store,” Ray’s has become a must stop for many tourists and others traveling across the state on the way to their destinations.

“We like being on the west side of the river. Interstate 90 — we’re closer to the exit now which we really like. It’s really good flow traffic-wise, easy to get in and out of trailers,”

Brooke White Bear said. “That was the main reason they moved from

“WE LIKE BEING ON THE WEST SIDE OF THE RIVER. INTERSTATE 90 — WE’RE CLOSER TO THE EXIT NOW WHICH WE REALLY LIKE.”

BROOKE WHITE BEAR

downtown to over here, because you couldn’t get pickups and trailers and things like that downtown. It wasn’t easily accessible. So that was a really good move for the store in the ‘90s.”

At Ray’s, you can find a wide array of apparel and sizes including boots, jeans, hats and plenty of tack options for those with horses and involved in rodeo. While the store’s main customer base consists of rodeo athletes, ranchers and farmers, they also aim to provide apparel, accessories, children’s clothing and some decor for anyone shopping in the local community.

“We try to be versatile and serve people in our community too — just another clothing outlet but really, statewide, for a full, complete western store,” White Bear said.

WESTERN WEAR: Page 7

Kennedy Tesch / Agweek

Brooke White Bear, 31, is the fourth generation of Ray’s and alongside her husband, Kaiden, recently took over ownership of the business in October 2023.

Ray’s strives at offering the community and state a complete western store with a wide variety of apparel including boots.

6 SOUTH DAKOTA FARM & RANCH APRIL 2024
Kennedy Tesch / Agweek

“That’s really what we strive for. Sometimes it’s hard to find that. We really like to offer a lot of different tack options, just having that horseman, western, authentic is kind of what we’re striving for.”

White Bear says she didn’t start out with plans to take over the store as she was originally pursuing a degree in mortuary science and also worked in social services for a few years in both South Dakota and Montana.

Knowing her grandparents were approaching retirement, White Bear says taking over the store sparked her interest and they began discussing a plan.

“He was ready to retire. He loves to ride horses, he’s been doing that for years and he just said he would be interested in it. It probably took a year of just talking back and forth and figuring it out and of course, we lived in Montana at the time, so it was a lot of planning,” White Bear said. “We moved back and then I would say we were here for probably six months or so, just making sure it’s really what we wanted to do before we went through with purchasing the business.”

When the lease came up on their previous location in Oacoma and the store was no longer going to

be kept in that building, Ray’s was in search of another location. With many questions and concerns from the local community about the fate of the store, White Bear says it was plain to see just how much the store meant to people.

“I think it’s a staple, especially for our community, to keep young people here, to keep the community growing, to not lose a western business for rural families, ranchers, rodeo athletes — anything,” White

Bear said. “I just think it’s been really good for the little town of Oacoma and does really well for Chamberlain. This community, it’s starting to grow. There’s young people coming here. So we’re very fortunate that it all worked out and I think it’s a really good thing for us, the community, and the state. I don’t know what it would be without it really.”

While the store is located in Oacoma, South Dakota, you can also

find Ray’s on the road with vendor appearances each year at the South Dakota State Fair and the Black Hills Stock Show and Rodeo.

White Bear says she looks forward to continuing the tradition of the business and keeping her family involved.

“I’m so happy. I never thought that I would get to. I hope my kids love it as much as I do and I hope that it just keeps going,” White Bear said. ⊳

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Kennedy Tesch Agweek n add t on to western a are a s offers an ta o t ons or those nvo ved n rodeo and horses n the area
WESTERN WEAR ro a e
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Beef

on

dairy equation is becoming more profitable to more producers

SIOUX FALLS, S.D. — Raising beef on dairy-crossed cattle is starting to have a significant impact on the beef market.

For the past five to six years, beef on dairy cattle have become more common in the industry. In 2024, it’s expected that 3.2 million beef-on-dairy crosses will be entering the market. In 2026 that number is estimated to be at 5 million to 6 million. This was the main topic of discussion during the I-29 Moo University on March 21, in Sioux Falls, South Dakota.

“If we get to the numbers CattleFax projects, which is 5 to 6 million head in 2026, that would be about 15% of the fed cattle beef market, so it’s pretty substantial,” said Ken Odde, professor emeritus, Kansas State University.

“WHAT WE ARE REALLY DOING IS WE ARE REPLACING THE DAIRY STEER WITH A BEEF-ON-DAIRY STEER BECAUSE THAT DAIRY STEER HAS BEEN GOING TO THE BEEF WORLD, HISTORICALLY.”

LYLE PERMAN

Beef breeds most used in these crossbred cattle include Angus, Charolais, Simmental and Limousin. Holstein is the most commonly used dairy breed, followed by Jersey.

“What we are really doing is we are replacing the dairy steer with a beef-on-dairy steer because that dairy steer has been going to the beef world, historically,” Odde said.

“Now what has happened is we are creating more value by adding that

beef genetics to that dairy animal.”

This is due to semen availability.

“Not surprising, the popular beef breeds tend to mirror semen availability in the beef side, and I think that’s one of the transitions we are starting to see,” said Bob Weaber, professor and department head at Kansas State University. “Historically,

Angus has had a large portion of this market share and part of that is driven by Angus sire semen availability in the market space. But there’s a growing emphasis on some of the continental breeds and continental Angus crossbred bulls or hybrid bulls.”

Holstein bull calves tend to be of less value in the beef cattle markets. By raising beef-on-dairy cattle, producers can maximize their cattle profits.

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Craig Dodds Kari Fagerhaug Ariana Schumacher / Agweek I-29 Moo University took place on March 21 in Sioux Falls, South Dakota. Weaber
Odd

“What’s

producers are switching to beef-ondairy because they can produce a higher value calf and capture more money from the sales of that calf,” Odde said.

Holstein meat is known for good marbling but a flat loin area. By adding beef genetics, they are improving the meat quality.

“So, what we are doing is, by adding the beef genetics, we are both increasing growth, we are increasing feed efficiency or improving feed efficiency, but we are also producing a carcass that is more desirable to the beef industry,” Odde said.

When making genetic selections for these crossbred cattle, producers are breeding for calving ease direct, carcass weight, marbling and rib eye area.

“We don’t want to back marbling up, so making sure that we’ve got acceptable levels of marbling score to make sure that we have a high quality product,” Weaber said. “Then primarily rib-eye area, making sure we get cattle with sufficient ribeye shape that they don’t get the dairy discount, so they don’t get the confirmational discount at the packing plant that a typical dairy calf would have.”

This meat is entering the beef markets.

“The meat from these beef on dairy calves is marketed into more traditional beef markets, whereas straight Holstein beef in the past was often kind of relegated to very specific, a little bit narrower market segment,” said Derrell Peel, livestock marketing specialist at Oklahoma State University.

While there may be more beef-ondairy cattle entering the marketplace, the number of cattle in the beef

markets have not significantly increased.

“There are some differences because of the size of those animals, the dressing percentage is a little different, so we are probably changing the overall tonnage of beef slightly, but really, it’s the same number of animals. It’s just that we are utilizing them differently,” Peel said.

A lot of the beef-on-dairy calves are getting marketed at fairly light weights, which is typical of how dairy calves are marketed.

BEEF ON DAiRY: Page 10

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Ariana Schumacher Agweek Ken Odde presents on the beef on dairy cattle industry. happening is the dairy Peel

From Page

“We don’t market beef cattle at that same level most of the time,” Peel said. “We are seeing some extremely strong prices for these dairy calves, some of them get marketed as one-to-five-day old bull beef-on-dairy cross calves, and these calves are bringing $700 to $800 or more at that level, which is pretty surprising. We don’t market beef cattle almost never that way, so there’s really no comparison at that level.”

But, once the crosses are marketed off a feedlot, they are sold with the traditional beef cattle, bringing in about the same prices as regular beef cattle.

“We are producing an animal that is much more in demand for the beef industry,” Odde said.

There are several things that dairy

producers need to keep in mind when looking to incorporate beefon-dairy on their operations.

“They need to approach this as a quality and value-added product. So not only do we have to make genetic considerations in terms of what bulls we are going to use, we’ve got to have that on the backside of a gender-selected heifer program that frees up the mating opportunities,” said Weaber.

“Obviously the beef-on-dairy calves is kind of coming as a residual to what we are doing with heifer development on the dairy side,” Peel said. “So the ability to use sexed semen to target the heifers that you need then frees up the remaining cows to be used with the beef semen and produce these crossbred calves.”

“WE ARE PRODUCING AN ANIMAL THAT IS MUCH MORE IN DEMAND FOR THE BEEF INDUSTRY.”
10 SOUTH DAKOTA FARM & RANCH APRIL 2024
BEEF ON DAIRY
KEN ODDE
Ariana Schumacher / Agweek
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MTC officially opens the doors to new Ag Power Diesel Lab Building

MITCHELL — It’s been nearly a year in the making, but Mitchell Technical College officially opened its new Ag Power Diesel Building on Thursday, March 21 with a ribboncutting ceremony on campus.

The event saw hundreds of students, faculty, school district officials, industry partners, government officials and lawmakers set foot in the new building for the very first time to celebrate the new facility that officials said was a giant leap forward in the educational quality for Mitchell Technical College students.

“This dedication is less than a year after we announced that this building project was approved and moving forward,” Mark Wilson, president of Mitchell Technical College, told the gathered audience. “The completion of this building is a celebration of the beginning of a new era.”

The move marks the end of a yearlong effort to consolidate several of the school’s most popular programs under one roof and free up space for several other programs. The dedication of the new building, in use by program students and instructors since the start of the spring semester, marks the moment that every program at the school is now on one campus.

That alone is a sizable accomplishment, Wilson said, and one that will make a large difference in the lives of students.

“Currently all Mitchell Tech students, faculty and programs are on one campus. This is a vision that was in the making for a multiple number of years, and sets the stage for other projects that will keep Mitchell Tech at the forefront in educating and training South Dakota’s future workforce,” Wilson said.

Several official dignitaries shared thoughts on the new space.

Lt. Gov. Larry Rhoden praised the $10 million addition, saying it will enhance the strength of Mitchell Technical College programs and the educational experience for which students flock to the technical school.

“This will help them provide the best quality education building the next generation of workers for our state’s ag industry. This new building will provide both collaboration and separation of projects, and it also allows other programs to fully utilize dedicated shop space rather than sharing with the diesel program,” Rhoden said. “I know Gov. (Kristi) Noem and I are very excited to see this plan come to fruition.”

South Dakota’s agriculture industry is thriving, Rhoden said. The industry employs about 129,000 South Dakotans and contributes over $32 billion to the economy each year. Rhoden noted that the food raised by South Dakota farmers feeds people around the country and around the world.

The state needs well-trained, talented young people entering that industry, Rhoden said.

“Gov. Noem and I want to make sure that we can pass this thriving industry on to the next generation, and this facility represents a huge part of accomplishing that, to allow the ag diesel power program to expand by an estimated 50 to 65 students and encouraging more South Dakotans to seek careers in agriculture,” Rhoden said.

Because of the 36,140 square-foot diesel program expansion, students are able to experience an enhanced education during which collaboration across both the agriculture and light

MTC: Page 13

12 SOUTH DAKOTA FARM & RANCH ApRil 2024
Adam Thury Mitchell Republic Mitchell Technical College’s Devon Russell snips the ribbon as part of a dedication ceremony for the school’s new Ag Power Diesel Lab Building.

truck divisions is possible and commonplace. Five other programs in the Nordby Trades Center — agricultural business, agronomy, animal science, precision agriculture and power sports technology — are now able to better utilize their own spaces to provide better education and training for those industries.

The building is annexed to the Nordby Trades Center building on the school campus next to Interstate 90. It features state-of-the-art power and light truck labs and effectively completes Mitchell Technical College’s plan to bring all of its programs to one campus on East Spruce Street.

The Mitchell Board of Education in January accepted a bid of $750,000 from Spencer Quarries for the former 7,270 square-foot Light Truck Lab building, located at 115 Pepsi St.

Funding for the project was secured through a combination of private and state funds. McGough Construction of Sioux Falls led the project, and Puetz Design and Build was the architect. Wilson also noted that the project would not be possible without strong support from industry leaders, as well as the governor’s office, legislators, the South Dakota Board of Technical Education and the Mitchell Board of Education.

Stacy Watters, state engineer for

South Dakota, praised the leadership of Wilson and his colleagues at Mitchell Technical College for spearheading the expansion effort and also praised individual donors, whose contributions helped make funding from the legislature and school go even further.

“One thing I’ve learned from living in South Dakota is that there are very generous firms and individuals who are donating millions to our colleges and universities. By those donations they are improving the education experience for this younger generation,” Watters said.

Nick Wendell, executive director for the South Dakota Board of Technical Education, said the hard work that

went into funding the structure paid off in both the size and quality of the building, but also in its negligible impact on student fees and services.

That’s a benefit to students both current and future, he said.

“This facility, more than 30,000 square feet of new space, was built without a single dollar increase to student tuition or fees. Or a single dollar in debt incurred for the institution to build this structure,” Wendell said. “I think that’s a phenomenal point of pride for the project, because students and faculty will be learning in a state-of-the-art facility that is clean, efficient and expanded space producing graduates that will be used in high-demand

fields, and they’ll be doing so in a way that will not burden current students or future generations of students.”

Devon Russell, a division leader at Mitchell Technical College, reflected on the yearlong process since ground was broken last April.

“Almost a year ago we stood together to celebrate the beginning of this remarkable project, and now we’re here to witness its completion and utilization,” Russell told the audience.

He said with the diesel expansion complete, programs like powersports and marine now have their own dedicated lab space because they no longer have to share with the diesel programs. The precision agriculture program also has its own dedicated lab space for the first time thanks to the expansion. Because of the new building, eight programs now have the room they need to grow, and also allows for larger student projects that simply weren’t possible before.

It’s a big moment for the school, Russell said, and the new space will likely serve Mitchell Technical College students, dozens of whom were in attendance for the event, for years to come.

“Thank you to the state of South Dakota, the city of Mitchell, our industry partners and the Mitchell Technical College administration for giving us the tools and space needed to equip our students with the skills necessary to be successful in their industries,” Russell said. ⊳

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From Page 12
Lt. Gov. Larry Rhoden addresses the crowd Thursday afternoon at Mitchell Technical College.
MTC

Profits are great, but farm safety remains the priority

For many years I argued wholeheartedly that the most important task in modern agriculture is turning a profit. Yes, agriculture is a way of life, but more importantly, it’s a business.

Then a decade or so ago I had an epiphany, a fancy word for recognizing an important truth that had been hidden.

I finally realized something I always knew to be true, though I hadn’t given it sufficient recognition: Nothing, not even profitability, is more important and desirable than farm safety. Yeah, having money to pay the bills is great. But healthy bodies, undamaged by farm accidents, are even better. Both farm safety and profitability are in the spotlight as the 2024 crop season gears up. The former remains

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JONATHAN Living Contributed / NDSUo olumnist onathan Knutson describes how he came to reali e that farm safety is more important than pro ts. converted to farmland.

a major challenge as always, while the latter is a bigger concern than a year ago.

Two sets of statistics to illustrate the point: U.S. net farm income is projected to drop 25.5 percent this year, according to USDA. For every dollar of net farm income in 2023, U.S. ag producers will make 74.5 cents this year. And those numbers aren’t adjusted for inflation, which means this year’s income has less purchasing power.

There are 23 work-related deaths per 100,000 workers in the agricultural industry, seven times higher than the national average for all workers, according to the U.S. Bureau of Labor Statistics.

There’s no mystery about why farming is so dangerous. It’s not that farmers are ignorant or careless. It’s that sometimes they get tired or rushed, occasionally causing them to push a little too hard. They make mistakes they normally wouldn’t. And with mistakes come accidents: some minor, some severe, and some even fatal.

EMOTIONAL HEALTH

In recent years there has been growing and much-needed attention on ag’s emotional risks. Uncooperative weather and borderline profitability can subtly and sometimes blatantly weaken emotional health, leading to depression, thoughts of suicide and other mental health issues.

To make the point plainly, but not to be alarmist, 2024 could bring a double whammy of financial and emotional challenges.

GET HELP WHEN NEEDED

There are no easy or perfect solutions to those difficulties. But agriculturists facing extra woes this crop season should talk in advance, before problems bottom out, with people who can help. Family members, friends, clergy members and mental health professionals are all possibilities to combat mental duress.

On the financial side, ag bankers, agronomists, extension officials and equipment dealers, among other specialists, potentially can offer suggestions to mitigate financial concerns. No matter how smart or experienced a given farmer might be, there sometimes are better ways of doing things. Don’t let pride get in the way of learning, especially when times turn tough.

As for staying physically safe, ag producers already know the answer. Don’t rush, don’t hurry. Think through in advance of how to do a job safely, then follow through. Take short breaks during the work day. Get enough sleep. Eat properly and regularly. And don’t skimp on spending money to improve farm safety; a national expert on the subject once told me, as an example, that on his own farm he had unwisely used an old, rickety step ladder instead of buying a new, safer metal one.

All those things are easier said than done, of course, but all are true nonetheless.

Good luck in the 2024 crop season. I hope you’ll be profitable. But even more, I hope you’ll stay safe.

GRASSLANDS

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maybe you should consider doing something other than cropping it because those soils are not going to have as good of rate of return as some of the better quality.”

And for those who already have their ground in grasslands, Perman encourages them to consider incorporating new practices in their operation to maximize their profit margins.

“Maybe you need to do something a little bit unconventional, maybe you need to look at rotational grazing of high-intensity short duration grazing,” he said. “Maybe bringing in another species that will eat some of the species, like sheep or goats, that would eat some of the plants that cattle wouldn’t. Maybe you should consider seeing if you could bring bees in and starting an apiary. There are maybe other options that you can look at when stacking enterprises that will make your grasslands something that is viable financially.”

The economics behind maintaining

grasslands vary by each operation.

“These economic numbers are very individualized, they are meant for your operation and your operation alone,” Tuschen said. “Everybody’s land is different, everybody’s operation is a little different, so you need to find what fits for you.”

Once you identify the current state of your operation, you can determine the best steps moving forward.

“You might be in a spot right now in the time frame that you have with the financials that are available, you are in your best economic profitability for grazing management systems,” Tuschen said. “But if you do all that inventory and you get to the end and there’s something on that sheet that sends up a red flag for you, then it’s like ‘OK, how do we address it, what avenues do I have that I can fix this,’ that’s when you start talking to the USDA offices and any partner operations that are going on with other agencies and have them help you.”

Perman says when it comes to improving the grasslands, it’s all about education. He encourages people to learn about the species that are living in their local grasslands. ⊳

APRIL 2024 SOUTH DAKOTA FARM & RANCH 15 BEFORE YOU BUILD, BUILD A RELATIONSHIP ethancooplumber.com 1-605-227-4224 Residential • Commercial • Ag Buildings Cattle & Hog Confinements
Jonathan Knutson is a former Agweek reporter. He grew up on a farm and spent his career covering agriculture. He can be reached at packerfanknutson@gmail.com.
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