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Ron Hays, Director of Farm and Ranch Programming, Radio Oklahoma Ag Network  |  2401 Exchange Ave, Suite F, Oklahoma City, Ok 73108  |  (405) 601-9211

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Beef Buzz News


"Just in Time" Efficiency in Meat Processing a Weakness in Beef Pipeline During Pandemic

Wed, 09 Feb 2022 10:13:16 CST

The cattle U.S. beef industry has struggled for more than two years, set back first by the processing plant fire in Holcomb, Kan. and then by the COVID-19 pandemic months later. Don Close, a senior animal protein analyst at Rabo AgriFinance, breaks down how our beef supply chain weakened in the years leading up to this with Ron Hays, the senior reporter for the Oklahoma Farm Report.

"I think it is a longer-term situation," Close said. "For 20 to 25 years, we were focused on increasing the efficiency throughout the system. Through that efficiency, we were using the input to reduce the price of beef to consumers."

Looking at the backlog of cattle the industry dealt with in 2020 and 2021 in that long-term context, Close said the supply chain may have become too efficient.

"It may be time to take a step back and look (at the beef supply chain)," Close said. "Do we need to build more insurance into the system to avoid the risk of another round of empty store shelves?"

Close is not the only one keen on improving America's food supply chain. The Biden-Harris administration has put forth the Biden-Harris Action Plan for Fairer, More Competitive, and More Resilient Meat and Poultry Supply Chain. The Plan includes $1 billion in American Rescue Plan funds for the expansion of independent processing capacity. Close is not convinced that that is the answer though.

"I have a tremendous amount of trepidation on if that is the (best) way to handle this," Close said. "I do not think the big four packers are the villain in this situation. If $1 billion goes to increasing slaughter capacity and at the same time, the cattle inventory report shows our cattle supplies are cyclically contracting, there will be a great deal of challenges for someone trying to enter the industry."

Close said beef demand isn't subsiding at all. In the Southern Plains, producers who can navigate the drought will be set up to take advantage of excellent beef demand.

Click on the LISTEN BAR below to hear more from Ron Hays and Don Close as they talk about growing pains within the U.S. beef cattle industry.

The Beef Buzz is a regular feature heard on radio stations around the region on the Radio Oklahoma Network and is a regular audio feature found on this website as well. Click on the LISTEN BAR below for today's show and check out our archives for older Beef Buzz shows covering the gamut of the beef cattle industry today.

Our coverage on the Oklahoma Farm Report of the 2022 Cattle Industry Convention and the NCBA Tradeshow is sponsored by Performance Beef from Zoetis. Performance Beef simplifies feed, performance and health data collection, without double data entry or complicated software. Track feed, generate real-time closeout reports, create accurate invoices, record health data at the chute, in the pen or pasture; or analyze performance trends - all in one place with ease. Try the app for yourself by clicking here.

   
   

Listen to Ron's conversation with Don here.
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Beef News

  • January Cattle on Feed Report Three Percent Under Year Ago- Derrell Peel Says Tighter Supplies Will Be Around for Awhile  Mon, 23 Jan 2023 05:15:04 CST
  • Derrell Peel Talks Latest Cattle on Feed Report- Showing Fewer Cattle on Feed, Lighter Placements and Stronger Marketings.  Mon, 26 Dec 2022 08:19:00 CST
  • Kara Lee with Certified Angus Beef Tells Cattlemen 'Cut the Bull'  Fri, 23 Dec 2022 14:30:39 CST
  • Beef Checkoff Utilizes Digital Marketing Techniques to Interact with Consumers   Thu, 22 Dec 2022 16:02:51 CST
  • Beef Checkoff Research, Education, and Promotion Efforts Point Consumers to Beef  Wed, 21 Dec 2022 16:15:46 CST
  • OSU Economist Derrell Peel Expects US Beef Export Strength to Continue Into the New Year   Tue, 20 Dec 2022 08:00:35 CST
  • NPPC's Michael Formica Feeling Positive About Supreme Courts Upcoming Proposition 12 Decision  Mon, 05 Dec 2022 10:08:27 CST
  • NCBA Fights to Improve Marketing Options for Cattle Producers  Fri, 02 Dec 2022 09:58:28 CST
  • Chinese Consumers Continue to Grow Appetite for U.S. Beef  Thu, 01 Dec 2022 09:23:49 CST
  • Merck Creates Value for Producers and Consumers with Technology and Biopharmaceuticals   Wed, 30 Nov 2022 09:55:28 CST
  • NCBA’s Todd Wilkinson Ready to Fight Back Against Regulatory Overreach in the Cattle Industry   Tue, 29 Nov 2022 10:13:33 CST
  • NCBA and PLC Call ESA Listing Plan of Lesser Prairie Chicken Punitive for Cattle Producers in Southern Plains  Wed, 23 Nov 2022 14:51:02 CST
  • November Cattle on Feed Report Confirms October Pattern of Lower Placements and Tighter Cattle Numbers in Feedlots  Tue, 22 Nov 2022 05:07:02 CST
  • Turning the Corner- OSU's Derrell Peel Sees Tighter Cattle Inventories into 2023 in Latest Cattle on Feed Report  Mon, 21 Nov 2022 04:36:33 CST
  • Turning the Corner- OSU's Derrell Peel Sees Tighter Cattle Inventories into 2023 in Latest Cattle on Feed Report  Mon, 21 Nov 2022 04:27:40 CST
  • Midterm Elections to Set Stage for What Can Be Expected in 2023 Farm Bill  Mon, 07 Nov 2022 12:13:57 CST
  • USMEF's Dan Halstrom Remains Cautiously Optimistic about Strong Beef Demand Going Forward  Thu, 03 Nov 2022 09:35:46 CDT
  • Economic Factors Create Hesitancy in Beef Plant Expansion Plans  Wed, 02 Nov 2022 11:03:34 CDT
  • NCBA's Mike Simone Says Consumer Interest in Fake Meat is on the Decline  Tue, 01 Nov 2022 11:41:02 CDT
  • Beef Remains Valued Product for Consumers as it Allows Them to Stretch their Dollar  Mon, 31 Oct 2022 09:15:56 CDT
  • Hugh Aljoe Provides Methods to Begin and Maintain Good Land Stewardship  Fri, 28 Oct 2022 09:30:13 CDT
  • Implement Soil Health Practices Now to Increase Forage Production when Rains Come  Thu, 27 Oct 2022 15:14:07 CDT
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  • Beef Checkoff Research Continues to Share Beef Sustainability Story with Consumers  Fri, 21 Oct 2022 09:23:36 CDT
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  • NCBA Weighs in on California's Proposition 12   Tue, 18 Oct 2022 11:32:24 CDT
  • 2022 Stockyards Steak Out Takes Oklahoma Beef to the Next Level  Mon, 17 Oct 2022 11:09:07 CDT
  • Holding Onto Your Cow Herd a Little Longer is Projected to Pay Off, says Randy Blach  Fri, 14 Oct 2022 08:14:05 CDT
  • Randy Blach Confident in Better Cattle Market Conditions Down the Road  Thu, 13 Oct 2022 09:43:02 CDT
  • No Imports or Exports Would Result in a Smaller U.S. Beef Cattle Industry  Wed, 12 Oct 2022 16:11:15 CDT
  • Derrell Peel Explains Why International Trade of Beef is Valuable  Tue, 11 Oct 2022 08:19:29 CDT
  • Animal Agriculture Hopeful for a Win as U.S. Supreme Court Looks at California's Proposition 12   Mon, 10 Oct 2022 09:26:17 CDT

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