Global Beef Update: Exporters

Derrell S. Peel, Oklahoma State University Extension Livestock Marketing Specialist

 

In recent weeks, the USDA Foreign Agricultural Service has posted numerous country reports from beef producing, consuming and trading countries, culminating in the April release of the Livestock and Poultry: World Markets and Trade report.  These reports provide the most current assessment of the global livestock and poultry market situation.

 

Global beef production is projected to expand in 2022 with increased production in Brazil, China, India, Australia and Mexico offsetting decreased production in the U.S., Canada, the European Union (E.U.) and Argentina.  Global beef trade is projected to continue expanding to new record levels in 2022.

 

Brazil is projected to be the largest beef exporting country again in 2022 with exports forecast to increase 12.1 percent year over year.  Brazil has been the largest beef exporting country for the last five years consecutively and the largest in 14 of last 20 years after first becoming the largest exporting country in 2004.  Brazil is projected to account for 22 percent of global beef exports this year.  After disruptions in 2021, Brazil is again exporting beef to China/Hong Kong.  Exports to the U.S. increased by 131 percent in 2021 and are sharply higher thus far in 2022, following increased Brazilian market access for fresh product in early 2021.  However, Brazil will encounter sharply higher tariff rates in 2022 for exports to the U.S. once the “other country” Tariff Rate Quota (TRQ) is met. 

 

The second tier of beef exporting countries are a much smaller second, third and fourth place behind Brazil. The U.S., India and Australia are all roughly the same size as exporters.  By a small margin, the latest USDA forecast is for the U.S. to be the second largest beef exporting country for the second consecutive year in 2022, with total exports just 58 percent of exports from Brazil. U.S. beef exports are expected to decline modestly from record 2021 levels but will remain at historically high levels.

 

India is forecast to be the third largest beef exporting country in 2022 with exports increasing year over year from 2021 levels.  India was the largest global beef exporter from 2014-2016 but slowed and declined to a recent low in 2020 before recovering.  Production of bovine meat in India includes beef and meat from water buffalo (carabeef).

 

Australia is forecast to be the fourth largest beef exporting country in 2022.  Beef production in Australia dropped to the lowest level more than two decades in 2021 as the industry began to rebuild from several years of drought-forced liquidation.  Beef exports are forecast to increase by 14.2 percent year over year in 2022.  Australia accounted for just 12.3 percent of U.S. beef imports in 2021, the lowest on record.  This compares to an average share of nearly 29 percent for the prior 20 years.  

 

The top four beef exporting countries represent about 60 percent of the 2022 projected global total in the USDA report.  The third tier of beef exporting countries begin at about half the level of Australia, and these include Argentina, the E.U., New Zealand, Canada and Uruguay.  Collectively, exports from these five countries are projected to decrease by 3.4 percent in 2022, with only the E. U. showing a slight increase in exports.  Together, the top nine exporting countries are forecast to account for nearly 87 percent of global beef exports in 2022.  Additionally, beef exports from Mexico and Paraguay are forecast at slightly more than half of the Argentina level and bring the total share of the top eleven beef exporters to 93 percent of the global total in 2022.   

 

 

Estrus Synchronization and Artificial Insemination in Beef Cows and Heifers 

Mark Z. Johnson, Oklahoma State University Extension Beef Cattle Breeding Specialist

 

Breeding season has begun or is just around the corner for most Oklahoma cow-calf operations.  This week we address some of the pros and cons of estrus synchronization and breeding by artificial insemination (AI) in beef cattle.  Heat synchronization of beef breeding females is a reproductive management process that has several potential benefits which include:

 

1. Shortening and concentrating the breeding/calving season.  It can simplify management by defining the breeding/calving season by getting more cows bred earlier.
2. Makes managing the plane of nutrition of females easier since cows can be grouped according to breeding status and fed accordingly.
3. Saves labor when monitoring calving.
4. Increases the time for post-partum recovery in heifers and cows.
5. More uniform calf crops in size and age resulting in a marketing advantage.
6. Facilitates AI breeding to occur, permitting cow-calf producers to use genetically superior bulls with semen commercially available.
7. Increases weaning weight performance through use of superior sires and earlier birthdates in the calving season.
    

Most of these benefits pertain to heat synchronization whether using natural service or AI.  That being said, for an estrus synchronization program to be effectively implemented it needs to be well planned.  Several best management practices should be kept in mind if you are considering heat synchronization.  First, it is not a substitute for good herd health, nutrition and management. Furthermore, synchronization programs are more successful when heifers are at adequate age and weight, and cows are in Body Condition Score 5 or better and at least 50 days post-partum. Synchronizing heats and AI breeding require adequate facilities which may not be a good fit for all operations.  Heat detection can be extremely time consuming.  With that in mind, several of the heat synchronization protocols covered in Chapter 31 of the OSU Beef Cattle Manual permit fixed time AI breeding which can minimize the time spent in heat detection.

 

Reference: Chapter 31, Oklahoma Cooperative Extension Service Beef Cattle Manual, Eighth Edition 

 

 

Managing Shrink of Calves Coming Off Wheat Pasture

Paul Beck, Oklahoma State University Extension Beef Nutrition Specialist

 

Many of the calves grazing wheat this winter were pulled off earlier in March so that a wheat crop could be harvested. However, some of the calves are just now coming off grazeout wheat and other cool-season cover or forage crops in preparation for planting cotton or summer grain crops like milo or soybeans. Price adjustments to compensate for different shrink conditions are common in the cattle industry. Stocker operators, cattle feeders, and livestock marketers are constantly searching for more information on shrinkage of cattle through the marketing channels. 

Generally, the amount of shrink varies with the type of feed cattle are on before penning and transport. 

 

Cattle consuming high moisture diets, such as wheat pasture, tend to shrink more when removed from feed than cattle fed drier diets. Wheat pasture is often 25% or less in dry matter, or over 75% water, one of the highest moisture diets, making it notorious for a high rate of shrink when cattle are removed from pasture and transported to markets or feedlots. Along with diet there are many other management factors that influence loss of bodyweight and the rate of shrinkage, these include length of time off feed and water, weather conditions, and weigh up conditions (such as handling, how far it is from the pasture to the pens and cattle disposition).

 

Calves on wheat at Oklahoma State University were removed from pasture and weighed, then either penned in facilities next to the pasture or were drove by foot up and down an adjacent dirt road for a total of 1.6 miles. Calves were then coming and held in the drylot pens for 24-hours. Following the 24-hour shrink, cattle were reweighed and returned to pasture for 25 hours to determine the extent of weight recovery. When cattle were reweighed following 24-hours they shrunk over 8%. Driving cattle on foot for 1.6 miles did not increase the amount of shrink compared with simply removing them from pasture and holding them for 24-hours without feed or water. The rate of shrink is quite high, related to the very high moisture content of the wheat forage, but cattle had regained all the lost weight by 6 hours after being placed back on pasture.

 

Two weeks later, this same group of steers were transported on trailers for 4-hours either directly off wheat pasture or after they were given access to hay and water for 24-hours. After 4-hours of transit steers directly off wheat lost 37 pounds (5.1% shrink). Steers given access to hay before transport lost 28 pounds (3.85% shrink) over the same haul. This shows that shrink losses were about 1.18% per hour of transport, but providing access to a dry hay before transport decreases shrink, which is possibly due to slower passage rate of feed through the digestive tract and less water loss.

 

This research was conducted by Matt Cravey, Gerald Horn, Ken Poling, and Bobby McDaniel.