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6 things to replace for a profitable feed yard in 2016

March 2, 2016
Man on horse

Stop. Wait a minute. It’s 2016 on the farm, isn’t it?

Yes, we are in fact storming through winter farming with the latest batches of rain and snow causing a hectic start to 2016 for many feedlot owners in the Northern Hemisphere. Yet before we leap into spring, let’s circle back to some of our New Year’s resolutions and take a look at six things we can replace to help promote a profitable feed yard this year:

Resolution #1 — Replace bad news sources

Knowing the latest trends and industry changes is key to getting ahead of an evolving market. Yet, in a world where the average person encounters as many 5,000 messages per day, how do you cut through the Times Square effect to what’s really relevant and credible?

For 2016, stay informed and dig into some new news sources. There are many farmers and agvocates addressing tough questions and writing about agriculture every day. Don’t have time to read? Podcasts are a readily available source of information as well. Do some searching and find your favorites, but in the meantime, here are just a few favorite blogs and podcasts to get you started:

  • Agriculture Proud is an excellent blog started by Ryan Goodman. He has even created a helpful list of great ag blogs.
  • Another favorite for those working in the feedlot industry is Feed Yard Foodie done by Anne Burkholder.
  • Ask the Farmers is also a great one. It was created by farmers, ranchers, farm wives and others to offer an honest dialogue with today’s more urban consumers about any and all questions they have regarding food production.
  • For those of you interested in podcasts, Agriculture Today done by the Red River Farm Network gives a daily report of local and global ag news.
  • And, then, of course, we hope it’s already a given that you have this blog bookmarked.

Resolution #2 — Replace assuming for knowing

From Fitbits to Facebook likes, we have ways to track almost everything – the farm shouldn’t be any different. So for this year, make a resolution to replace assuming what’s happening on your farm for knowing. Take inventory, and do a personal farm audit to see what hazards may be present and how you can improve the overall profitability of your operation.

Alltech has developed many tools that help farmers know exactly what is going on at their farm. Specifically, one of these tools is the ALLTECH 37+® mycotoxin analysis test. Utilizing the most advanced mycotoxin detection technology available, 37+, provides producers with a more accurate picture of mycotoxin contamination in their feed by testing samples for more than 37 different mycotoxins. The analysis includes a tailored risk assessment (called the REQ) of the expected impact on cattle performance based on the mycotoxins found. This gives producers the ability to accurately review the threat of mycotoxins and evaluate what feeding alternatives might best suit their unique situation.

Resolution #3  Replace pessimism with optimism

A rally could be on the horizon with 12 member countries signing the Trans-Pacific Partnership (TPP) on February 4th. The trade agreement could be a major opportunity to turn around a sliding cattle market. Understandably, this agreement still needs to be signed by a divided U.S. Congress (so some woeful optimism is sensible), but regardless, let’s make a general resolution to replace pessimism with optimism in 2016. The Japanese market alone accounted for $1.6 billion in beef export sales during 2014. This is a market opportunity for U.S. beef producers to see premiums.

Furthermore, the real reason for optimism is the continued increasing demand for protein products. Rabobank reports that by 2020 and into 2030 we will need 18-20% continued growth to meet global market demand. This is reason enough for beef producers to stay optimistic.

Resolution #4 — Replace inputs that don’t benefit your operation long term

Thinking and planning for the long-term success of your operation is critical to its viability. This includes considering potential environmental hazards, changes in genetics, production patterns and a whole list of possible nutritional inputs. This year, re-evaluate what you are investing in and the types of additives in your ration—and replace the inputs items that don’t benefit your operation long term. Carefully weigh the cost of the input versus the expected return.

In 2015, Alltech produced large pen research data at OT Feed Yard that challenged the conventional model that extensive inorganic mineral supplementation is most beneficial to cattle health and profitability. Through testing over 800 lightweight, high-risk feedlot cattle fed Alltech’s BIOPLEX® organic trace minerals against a control diet fed inorganic trace minerals at NRC levels, BIOPLEX showed statistically significant improvements in health and specifically, an increase in overall carcass weight by an average of 19.1 lbs. Given the value of extra carcass weight alone, it is worth considering how changes in mineral form can benefit the health of feed yard cattle.

Additionally, the overall Alltech® Mineral Management program including BIOPLEX guarantees organic minerals that are better absorbed, stored and utilized by cattle, and thus able to meet the higher nutrient needs of modern livestock for rapid growth, performance and optimal health.

Resolution #5 — Replace yourself

Dear farmers and ranchers, this is not a call to stop working or retire (please no!), but it is time to start thinking about the future of our industry.

The median age for the current U.S. farmer or rancher is 55.9 years old. This is the oldest median working age for any occupation except for truck drivers (Source: USA Today). It’s not just that farmers are among America’s oldest workers—their average age has been climbing for about 30 years and is showing no sign of dipping back the other direction. So, this year, make a resolution to invest in the next generation of farmers, ranchers and feedlot managers.

Resolution #6 — Steer clear of stagnation; replace ordinary for extraordinary

Lastly, for 2016, replace the ordinary for extraordinary. Today’s world is one of constant change. We are highly connected, but are we using our connections to innovate? To challenge the status quo? To improve our careers, our businesses and ourselves?

This year, Alltech is challenging itself and the entire agribusiness industry to find ONE idea or ONE action to transform their operations, and perhaps even the world, at ONE: The Alltech Ideas Conference. ONE will feature speakers including Steve Wozniak, co-founder of Apple Inc. and Alan Mulally, the former CEO of Ford Motor Company.

For more information and to register for the ONE, visit one.alltech.com.  

Here’s to making 2016 the best year on the books yet for your feed yard!

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