Producing high quality beef cattle for future markets

With the long awaited removal of the beef export ban in the UK, the Northern Ireland beef industry will have access to export markets for both live weanlings and beef carcases.

Beef from young bulls is in high demand in countries such as Greece, Italy and Spain. Italy, in particular, has a current, and growing, import requirement for over one million live cattle and almost 500,000 tonnes of prime beef per year. The French and Dutch markets also provide an opportunity for prime cow beef production and veal.

These are specialist markets that are very specific in terms of cattle breed, age, weight and quality and meeting these requirements inevitably results in a higher cost of production. Before producing for these markets, suckler producers and beef finishers should review their farm enterprise, both financially and physically, to assess if it is a viable option.

For instance, the cost of production is approximately 25-30 percent higher than conventional suckler to weanling enterprises for the most efficient producers. Low performing cattle or poor management will increase this cost differential.

Beef producers in the Republic of Ireland have been taking advantage of these markets and in 2005 the number of live exports had increased by 44 percent to 173,000 head of cattle. The following guidelines are based on a survey of the weanling production systems on farms producing efficiently for these markets.

Pure continental and cross-bred Blonde D’Aquitaine and Limousin cows are ideally suited to produce for continental markets, as they possess larger frames, good carcases and less bone. Other breed types that are suitable are Belgian Blue and Simmental cows. Colour, meat yield and low bone content are major factors when producing for continental markets.

The first principle of a high quality weanling breeding policy is to have a productive continental cow of good, but not extreme, carcase quality. Cows typically calve from Sept to Dec to have strong calves ready for sale in August when the shipping trade is strong. Carefully selected bulls with high maternal and carcase traits are used on cows and heifers to reduce calving difficulties and produce herd replacements with milk and maternal genes.

After calving, any heifer that had a calving difficulty or does not have a well-muscled carcase is fattened and culled along with any problem older cows. Such a rigorous breeding programme ensures that only quality, productive cows remain in the herd and that calf quality is continually improving. Cows can regularly achieve carcase weights of 600+KG at a U grade, which adds considerable value to the enterprise.

Typically, maternally tested bulls are used on the best maternal cows for replacements and the remainder are served with Belgian Blue bulls. Calves are normally sold to the continent at 12 months and undergo a well-managed feeding regime.

Calves normally depend solely on suckling their mother for the first four months before creep feed is introduced and offered until weaning at seven months. Weaning weights are often in excess 450KG. After weaning, they are grazed on good grass swards and fed a high-energy concentrate for a 120 day period to reach 650-700KG target liveweight range. During this period growth rates average 1.8KG/day. With high concentrate feeding required to sustain such high growth rates, this is a high cost system that is only viable if premium prices can be obtained.

It is important to avoid cattle becoming overfat, as exporters will offer lower prices making production less profitable. In Italy in particular, grain fed cattle with high lean meat yields and low level of pale coloured fat are in demand. Prices are dependent on cattle quality and can range from € 2.20/KG up to € 4/KG liveweight in some instances for top quality weanlings. Only E and U grade cattle are specified in Italy, while Spain will accept R grading cattle.

There are additional production costs associated with continental markets including higher veterinary costs due to increased calving difficulties, increased fertility problems e.g. cows not getting back in calf, reduced cow longevity and increased meal costs.

On farms surveyed concentrate feeding costs ranged from £44 - £52 per cow, compared with the average cost of £30 per cow for suckler to weanling herds that were benchmarked in N. Ireland.

Veterinary costs can also be greatly increased as using extreme muscled bulls can cause calving difficulties, especially in the early stages until the herd consists of carefully selected females bred on the farm.

The potential to export cattle from Northern Ireland to continental markets is substantial and offers a higher price for quality cattle. However, exporting live cattle is a volatile market dependent on a high price being paid and shipping companies being able to move cattle. A fall in price or no available boat for transport could collapse the market instantly. However, cattle would still be highly suitable for major supermarket outlets (although not at equivalent prices).

In general, the production costs for efficient producers are 25 percent higher than conventional suckler to weanling enterprises. Therefore, producers should critically assess their business and production costs, before undertaking this system. For advice on management required to produce high quality weanlings, contact your local beef and sheep advisor.

Blonde D’Aquitaine X Limousin bulls calves suitable the live export trade