Issue 2 - September 2005

In this issue of Herd Mentality, Animal Profiling International ™ takes a closer look at the concern that is on the top of most individual's mind in the industry - the institution of an electronic traceback tagging system.  While the countdown to the mandatory deadline outlined by the USDA continues, there are still many valid questions that need to be focused upon in order to make this inevitable transition.

One commonality we've found here at API is the view that while a required shift in any industry is a difficult and daunting task, there are ways to make it a profitable one as well.  With that being said, we've strived to find avenues that can enlighten our readers to the potential upsides of this industry evolution.  While the up-front cost structure is of great concern, pathways to extra revenues are already being achieved.  Beyond expanded revenues, tagging presents a way to re-establish what have been dwindling export markets for the United States cattle industry.  Included with the articles below is an editorial I've provided on the synergies that API has found between health profiling and the emerging tagging policies.

While tagging remains a primary topic - Herd Mentality continues to research the other news items that are important to our readers.  Times are rich for the cow-calf producer - are they going to continue upwards?  A closer look shows that a shift in that market may be taking place.  How can producers stay ahead of the changing curve?  We've also seen that while cattle herd numbers continue to grow, the number of veterinarians continues to shrink.  API feels that the efficiency of establishing a profiling system can help address the growing lack of availability of vets by providing a quantitative way to identify animals before they need vet attention.  This issue of Herd Mentality will also focus on the continued dilemmas associated with antibiotic use as well as the opportunities being taken advantage of in the pork industry that could be applied for greater profits in the beef industry.

If you're interested in finding out more about Animal Profiling International (API), please visit our Website.  We hope you enjoy the following information and look forward to any feedback that you have.  Thanks for reading.

Regards,

Bruce W. Hoffman, DVM
President
Animal Profiling International, LLC

Cost vs. Revenue - What can tagging and EID do for you?

Can new-age livestock ID and the auction market work?  If you think it can't, think again.  Jim Warren of 101 Livestock Market in Aromas, CA struggled to incorporate the process over the last few years.  After finding initial resistance he has shown the ability to provide an expanding profit margin for his customers who have taken part in this program.  Sellers in the program are capturing a $18/head premium for their $2.50-$3.00 electronic identification (EID) tag investment.  

Read the article

Capturing Profits in the Cow-Calf Sector

CattleFax's Randy Blach spoke recently at the 37th annual meeting of the Beef Improvement Federation emphasizing that the industry is poised for a change, shifting from one of the most profitable periods to more cautious times.  How can producers stay ahead of this impending curve?  "We are seeing more price spreads between those that have data and those that don't, and we'll see even bigger spreads the next four to five years." 

Read the article

Export Federation Comments on U.S. Market Status

Shifts in certain trends point to a resurgence in the U.S. meat exporting market by 2008.  API's Animal Performance Index will present a potent weapon in assisting the U.S. to avoid some of the potential pitfalls mentioned by Philip Seng, chief executive of the U.S. Meat Export Federation.  "Developing countries, for instance, are rapidly substituting new barriers to trade ... factors such as hormone bans, zero-tolerance policies, animal disease legislation, anti-dumping lawsuits and approval slowdowns all could hamper trade."

Read the article

Intergovernmental Task Force for Antimicrobial Assistance to be Assembled

The Codex Alimentarius Commission (CAC) has agreed in principle to assemble a task force to focus on public health and address antimicrobials in order to cover the use of pesticides, additives, and animal feed in addition to the use of antimicrobial drugs.  API's concern on the potential overuse of these drugs was discussed in the last issue in our editorial "Dealing With The Known".  API continues to support more effective management approaches and with that viewpoint has discovered very beneficial synergies combining the use of profiling with animal tagging.  (see the editorial below -- "Difficult Change or Exciting Opportunity?").   

Read the article

Difficult Change or Exciting Opportunity?  (Editorial by Bruce W. Hoffman, DVM)

Famous business consultant W. Edwards Deming once said:  "It is not necessary to change.  Survival is not mandatory."... API editorial by Bruce W. Hoffman, DVM

Read the editorial

Herd About These Numbers?

The growth rate of the U.S. and Canadian cattle industry continues to "beef up".  All cattle and calves from the two countries combined totaled 121.8 million head as of July 1, 2005.  This is up one percent from a year ago.  Check the article for a full breakdown of all the numbers from the joint effort publication by Statistics Canada and NASS.  

Read the study

Critical Shortage of Vets Confronted By Mounting Challenges in Animal Health

While the numbers on the head of cattle are rising, the ones for the doctors who protect them are shrinking.  As greater concerns in disease among animals increase, how are we able to adjust to the sea change in the industry?  API continues to believe the Animal Performance Index will be an accurate and cost effective way to handle this market shift.  As the number of vets curtails, it becomes necessary for science and technology to improve in order to adequately combat animal health issues in a quicker and smarter fashion.  The threat of bioterrorism enhances the need for this type of approach.

Read the article

FeedBack?

If you have any comments about the information in this newsletter, e-mail us at hq@animalprofiling.com.  We want to hear from you.

© 2005. Herd Mentality is produced and distributed by Animal Profiling International, LLC,  a technology company dedicated to animal health. You can subscribe to the newsletter at the Animal Profiling International Website.