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What Can High Beef Prices Do for Your Dairy?

Libby Eiholzer, Bilingual Dairy
Northwest New York Dairy, Livestock & Field Crops

July 25, 2014
What Can High Beef Prices Do for Your Dairy?

If you're trying to maximize internal herd growth for expansion, then you most likely aren't going to want to sell any more animals, for beef or otherwise. But if you can't add any more cows, and especially if you are already weeding out lower grade heifers to sell as dairy animals, then there is another option to consider.
Some dairies are regularly breeding a percentage of their herd to beef bulls. Bull studs like Genex and ABS have programs set up to help farmers breed and market these animals. Genex's Breeding to Feeding Program uses Limousin semen on dairy cows (preferably Jersey) and the Minnesota-based Wulf Cattle Company contracts to buy back calves and raise them. ABS's InFocus program markets beef semen and tracks offspring to select the best bulls for mating with dairy cows. They cite benefits such as increased fertility, improved calving ease and decreased still births for cows bred to their bulls.

Dairy cattle sold for beef are often lacking in the physical characteristics that make good beef cows. But if dairy calves are bred and raised for that purpose, they can result in much higher quality beef animals. Although no studies have been done on the economic benefits, it would seem that breeding lower quality cattle to beef and selling the offspring could significantly increase income over what would be received for straight dairy animals.
If you have the facilities, crossbred calves can be raised with heifer calves, at least through weaning. But the key to good beef is feeding a high concentrate diet in order to increase muscle mass.

According to Mike Baker, Beef Cattle Extension Specialist at Cornell University, this is very achievable with Holstein steers. Holsteins do marble easily; if measured side by side with a beef steer of the same level of backfat, the Holstein steer would actually have more intramuscular fat, a good thing in the beef industry. Baker does cite some negatives to using Holsteins for beef: their rib eye muscling tends to be oblong instead of the round shape that consumers prefer, they generally have a lower dressing percentage (the difference between live weight and carcass weight) due to lower overall muscle mass, and they also use feed less efficiently than beef animals. If they aren't put on a high energy diet, straight bred Holsteins end up big and lanky: not ideal when marketing for beef. Using a properly selected beef sire will complement the Holstein cow in producing a calf that is more moderate in size, has the muscle size and shape desired in the market and is capable of handling a high forage diet during much of its growing phase.

If you have the facilities, crossbred calves can be raised with heifer calves, at least through weaning. They can then be raised to feeder weight (400-800 lbs.) on pasture or refusals or finished to market weight. An important consideration is whether you have the capacity to raise animals separately for finishing or if you would prefer to sell them as feeder calves.

Another notable question is what kind of market you have in your area for beef. With the increased interest in local foods, forming a partnership with a local beef farmer could be an option to sell feeder calves. Raising calves to 400 pounds or so and then selling them at a local livestock market is another. Of course the ideal situation would be to market a large number of high quality crossbreds, perhaps through a partnership between dairies and a feedlot.

The idea of breeding dairy cows to beef bulls has been around for a long time, but has yet to be put to the test by a significant number of dairy farmers. With the current and forecasted high beef prices, now could be the ideal time for some to give it a little more thought. Baker says that while "beef prices may moderate in the future, there's lots of grass and many empty dairy facilities" across the state, just waiting for an opportunity to become productive again.



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Upcoming Events

Weed Resistance Management Demonstration and Plot Tour

Event Offers DEC Credits

July 23, 2019
1:00 - 3:00 p.m.
Waterloo, NY

Come join us on July 23 in Seneca County at Quinten Good's farm for a demonstration and walking tour of 16 different pre- and post-emergence treatments in soybean and 12 different treatments and combinations in corn.
  • Tall waterhemp and marestail are two weeds that are resistant to glyphosate and ALS herbicide modes of action in the WNY and Finger Lakes regions.
  • Each year the number of acres with resistant weed populations expands.
  • For herbicides to be an effective tool in weed management, we have to know what chemistries & application timings are most effective against these resistant weeds.

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Income and Real Property Tax Primer-A Learning Circle for Women Non-Operating Land Owners of Ag Land

July 24, 2019
9:00 am - 3:00 pm
Portageville, NY

For many of us taxes can be a mystery, let's have a conversation with the experts about the tax considerations agricultural landowners need to think about. 
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Pasture Walk with the Finger Lakes Graziers-Cancelled!

July 29, 2019
12:45 - 4 pm

The Finger Lakes Graziers pasture walk has been cancelled due to some scheduling conflicts. 
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Announcements

RMA Announces Additional One-time Changes to Prevented Planting Provisions

June 29, 2019

RMA Announces Additional One-time Changes to Prevented Planting Provisions
for 2019 Crop Year

In response to delayed and prevented planting resulting from above average rainfall and wetness, the USDA Risk Management Agency has made a one-time change to the 2019 crop year prevented planting rules that effectively allows silage corn, if planted as a cover crop following local agricultural expert guidelines, to be acceptable as a post-prevented planting cover crop. Under this one-time rule change, producers are allowed to produce this crop while retaining their prevented planting payment. This change couples with previously announced one-time changes to the prevented planting rules - including expanded acceptable uses for post-prevented planting cover crops and a change in the cover crop haying and grazing start date rule - serve to help those struggling to meet their forage needs due to the weather.

Read the full article from the New York Crop Insurance Education Program.

The USDA-RMA states that "For crop insurance purposes, a cover crop is a crop generally recognized by agricultural experts as agronomically sound for the area for erosion control or other purposes related to conservation or soil improvement." PRO-DAIRY specialists Joe Lawrence and Karl Czymmek and Dr. Quirine Ketterings, Professor and Director of Cornell Nutrient Management Spear Program have released a letter stating "Corn on Prevented Planting acres meets these objectives."


New Guidance for Mortality Disposal Issued

NYS Department of Ag and Markets has posted guidelines on disposal of livestock carcasses, in response to reports that some rendering companies have halted pickups from farms.

https://nwnyteam.cce.cornell.edu/submission.php?id=761&crumb=dairy|1

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