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Consumer beliefs impact domestic beef market

Denver, Colo. – “In round numbers, about nine out of every 10 pounds of meat produced go into the domestic market. It’s exciting to talk about our export channels, but that domestic market is also still very important, and will continue to be going forward,” commented Director of Extension for Agriculture & Natural Resources and Professor of Agriculture Economics at Purdue University James Mintert during the International Livestock Congress (ILC) held in conjunction with the National Western Stock Show in Denver, Colo. on Jan. 11.
“We’ve done some research looking at beef demand and drivers in our domestic markets. We asked how does one measure beef demand, and is it just the quantity being consumed?” continued Mintert.
He added that the research in which he was involved aimed to include the measures of demand capturing both price and quantity. A beef demand index was created from the study, and index values were based against the year 1980, with that year’s number set at 100.
“Prior to 1980, beef demand was growing, then we saw some bad changes, and beef demand declined through the 1980s and 1990s. It was at about 50 in 1998, which is a huge decline in retail beef demand over two decades,” explained Mintert.
He blamed the drop in demand on changing U.S. consumer behavior. However, in the late 1990s demand started to increase again, and by 2004 the index number was back up to 63.
“There are things we can do to impact demand, and the four I will focus on are food safety, health, nutrition and convenience,” stated Mintert. He added that information in all four areas was collected from 1982 to present, and used to determine all figures presented during his speech.
“One challenge is how to measure those things. How do you measure food safety? We chose to measure it in our models by looking at food safety recalls by quarter. We went back to 1982, and there were some quarters with zero recalls, which is a good thing. But there are some other quarters where recalls really spiked, which is a bad thing that consumers notice and respond to.
“Looking at it from the average perspective, it doesn’t look like recalls have a big impact. But, when those recalls jump, they can have a devastating impact on the industry, both as a current impact and a lagged impact,” said Mintert.
He continued, saying that for every 10 percent increase in beef recalls, there is a 0.2 percent decline in beef demand. Consumers remember recalls for long periods of time, and that lagged impact keeps prices suppressed.
“Consumers expect their food to be safe. They want to walk in the store and pick up a product, and they don’t expect to have any problems when they get home. When they hear about problems, it has a negative impact on their behavior over long periods of time,” added Mintert.
In the area of health information, Mintert noted there are many current issues. His study chose to look at medical journals, counting the number of articles published mentioning heart disease and diet, and taking that one step further to those mentioning beef.
“There was a long term rise in articles published referring to heart disease from the 1980s up to about 2001, then it dropped off. The results of those articles indicate that beef demand does decline in response to information consumers receive about diet, fat, cholesterol and heart disease,” stated Mintert.
“For every 10 percent in medical journal articles, there is a 0.2 percent decline in beef demand. From the early 1980s to the early 2000s, that alone gave us about a nine percent decline in beef demand. That information is still out there, too, being accumulated and having a negative impact,” explained Mintert.
Nutrition is another area of concern for consumers, and Mintert noted that consumers also respond to nutritional information.
“Looking at the Atkins diet and the beef index chart, in the mid-1990s interest in the Atkins low carb, high protein diet starts to go up, then it drops off. We realized we needed to measure both the pros and cons relative to diets like Atkins, and see if that fad did have an impact on our industry.
“Atkins-type diets did give beef demand a boost. Media support of Atkins-type diets boosted beef demand about two percent. The take-home message is that when the consumer receives information about beef or meat that was positive, they also responded. They didn’t just respond to negative information,” noted Mintert.
He listed another example of a 10 percent increase in articles referencing zinc, iron and protein leading to a 0.25 percent increase in beef demand.
“When looking at convenience, we first looked at female employment outside the home, because as female employment outside the home goes up, the underlying thought is that there is less time available inside the home for food preparation,” explained Mintert.
“We saw some dramatic changes, and beef demand declined as female employment increased. Every one percent increase in female employment resulted in a 0.6 percent decline in beef demand.
“We also took a measure of the convenience of food consumed away from the home, which is usually because there isn’t time to prepare dinner at home. As food consumed away from the home increased by one percent, there was a 1.6 percent decline in beef demand,” said Mintert.
He added that the poultry industry has done a great job of benefitting from these two trends through new product proliferation and an emphasis on convenience.
“Think how much different the poultry display in the grocery store looks today compared to the 1970s. My mother would buy whole fryers on sale, then she and my dad would process them how she liked to cook them, and freeze them. My kids have never seen that,” noted Mintert.
“For every new product in the beef marketplace that has convenience embedded in it in some way, there are between 1.5 and two poultry products that come out,” he added.
“There are changing demographics in our country. We need to provide information that tells the positive story about consuming beef, and do it from credible sources. When we can tell a good story about beef and human nutrition, the consumer responds. It’s a challenge for our industry going forward to identify the ways that beef fits into a healthy lifestyle, and tell that story to consumers through those people who provide advice to them, like those in the medical professions.
“Communicate directly to consumers and those health and nutrition professionals, and make sure they’re seeing both sides of the story, and being cognizant of the positive aspects of beef consumption too. The consumers will respond,” concluded Mintert.
Heather Hamilton is editor of the Wyoming Livestock Roundup and can be reached at This email address is being protected from spambots. You need JavaScript enabled to view it. .

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Consumer misinformation runs amok

Casper — Misinformation about American agriculture is running amok among consumers. Proof lays just a power button away on your television or your radio. It’s also been frequenting the nation’s mainstream newspapers on subjects ranging from beef safety to animal handling practices.
Dr. Greg Quakenbush, DVM, Director of Beef Veterinary Operations for Pfizer Animal Health, says it’s time to dispel the myths and spread fact-based information backed by numbers. He says it’s an effort that needs to start fairly close to home.
“Too many cattlemen don’t know the truth about the very issues that affect their industry,” says Quakenbush. He was in Casper for the Range Beef Cow Symposium early December and armed a group of the region’s ranchers with some fairly startling statistics.
“There’s a tremendous lie out there about hormones,” says Quakenbush noting the notion that implanted beef is bad for one’s health. “All meat contains hormones,” he counters. “When somebody says they want hormone-free meat, they don’t know what they’re talking about as it does not exist. ”
A four-ounce serving of beef from cattle that haven’t been implanted contains 1.2 nanograms of estrogen, he says. Comparatively, a four-ounce serving of beef from an animal that has been implanted contains 1.6 nanograms. A four-ounce serving of raw cabbage? He answers — 2700 nanograms.
“Most vegetables contain estrogenic compounds,” says Quakenbush. “It is a naturally occurring component.. The amount that is in beef, implanted or not, is so insignificant that one would have to consume 125,000 pounds of beef to ingest the amount of estrogen included in one birth control pill. “When we see the truth, we have to ask, ‘What are people worried about?’”
In preparing his information Quakenbush typed “beef” and “hormone” into the Google search engine. After reading the articles outlined on the first 10 pages of search results, he says he’d only found three out of 100 articles that even mentioned the facts.
A similar situation, says Quakenbush, exists among consumers misinformed about  antibiotic use in cattle. While quality stewardship with antibiotic usage is important, he says there has been a great deal of unnecessary fear.
“The concern of resistance,” he explains, “is that because of fears that the administration of an antibiotic to cattle, a bacteria becomes resistant and rides on the meat all the way through processing, shipping and cooking to the plate of the consumer. The consumer eats the meat, picks up the bug, and then possibly becomes fatally ill due to this bacteria and the inability of antibiotics to work.  This scenario is a long chain of events with many variables that would require among other things, that the meat was improperly cooked.” The chance of that happening, he says, has been reported to be extremely remote.  An individual’s chance of getting hit by lightning is much greater.
The benefits to humans of antibiotic use in cattle, says Quakenbush, deserves equal consideration.  Quakenbush says there are researchers who estimate that the termination of certain antibiotics in livestock would result in many times more human cases of disease than it would prevent. “Decisions regarding antibiotic usage in livestock should consider all aspects of the impact of antibiotics because animal health has a large impact on human health,” says Quakenbush.
BSE is yet another example of exaggerated concerns that are not based on facts. “Do you know what the risk of mad cow disease is in the U.S.?” asks Quakenbush. “Essentially zero.” He emphasizes that no one who has lived exclusively in the United States has died from this disease. Worldwide there have been fewer than 200 deaths, making it a very small threat.
“It’s important to keep the risk in perspective.,” he says. “We have more people die from peanut allergies.”
Technology is another area where Quakenbush says reality isn’t often enough linked with the stories being told on Main Street, America. “By the year 2050, the world will require a minimum of two times the amount of food we now have,” he says. Meeting that goal is going to take technology and modern tools, he says.
Quakenbush points to the advances already made utilizing the tools available to add efficiency. For example, the United States now produces 440 percent more milk than  in the 1940s, but with 21 percent of the cowherd. The beef cowherd today is half its historic size, but beef production has remained constant. A growing population can’t be fed with agricultural practices from the 1940s, he points out.
“It’s phenomenal,” says Quakenbush. “We use implants, ionophores, antibiotics, parasiticides, genetics and nutritional science. We use all those technologies and look what it has done for us. If we didn’t have those technologies in place today it would require 450 million more acres and 83 million more cattle to meet today’s food demands.”
Jennifer Womack is staff writer for the Wyoming Livestock Roundup and can be reached at This email address is being protected from spambots. You need JavaScript enabled to view it. .

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Japanese internship offers inside look at meat industry

La Barge – After a month spent in all regions of Japan on an internship with the Japanese meat industry, Rachel McGinnis says she’d like to go back.
The internship was through a program with Montana State University’s College of Business, which sends two students each year. The Japanese company that sponsors the interns’ lodging, food and travel is Starzen International, one of the largest meat importers in Japan.
“They took us to all the different parts of the supply team – to the market where they buy and sell cattle, to the slaughterhouse, and to subsidiary companies where they manufacture meat products,” says McGinnis, who is a graduate student in accounting at MSU.
The internship was mostly educational, learning about the Japanese industry and culture, but McGinnis and her fellow intern Sonja Jennings also helped Starzen employees with their English. Another internship requirement was a semester of Japanese language classes leading up to the trip.
“My husband owns a ranch in Wyoming, and I was really interested in the internship with its focus on the meat industry and international trade,” says McGinnis, who ranches with her husband Michael McGinnis on the Diamond H ranch near La Barge in the summer and, for now, spends time on her Master’s degree during the school year.
“The company imports pork, beef and chicken, so they took us to all their warehouses, and they have different cutting styles than we do in America, so we got the book and at some point we’ll try to cut a steer Japanese style here in Wyoming,” says McGinnis. “I’ve already started making food in some of the ways they do over there.”
“Eating at authentic Japanese restaurants was a huge experience. A lot of their food isn’t cooked, and I ate everything from raw shrimp to raw tuna and raw liver,” says McGinnis. “It was very different, but Sonja and I made a pact that we’d eat whatever they put in front of us. The food was a wonderful experience, and we started to appreciate it by the time we were through.”
McGinnis says Starzen provides almost 100 percent of the beef to McDonalds restaurants in Japan, and one plant exclusively produces hamburger patties for the fast food chain.
Of the recent effects of foot and mouth disease in the country, McGinnis says, “They gave us several lectures on the disease’s effects, and it was really sad. They had to kill everything in the quarantine areas, including the liquidation of six of their best Wagyu sires, and that’s a big loss to recover from, because the Wagyu is so specific.”
“I’ve been to Europe, and at least I can read in Europe. In Japan it was so different, and the most surprising thing was how welcoming everybody was,” she comments. “Everyone completely opened up to us, and some of our coworkers would take us out to eat at least three times a week to experience authentic Japanese food styles, and it was wonderful. I made so many friends while I was over there.”
“The company, as a part of the internship, sent us to different cities to learn about the culture,” she adds. “We were in Tokyo most of the time, but we also went on a three-hour train trip to the most historic city in Japan, which wasn’t bombed during WWII.”
“Going out to eat with the President of the company was a memorable experience. We had some great conversations with him, and I’ve never had an experience like that before,” she says. “They made us feel really comfortable.”
“One of the most exciting things was an hour-and-a-half meeting with the USDA minister in Japan at the U.S. Embassy, where he told us about what the ag minister is trying to accomplish in Japan.”
“U.S. beef is Japan’s preferred beef,” notes McGinnis. “Most of the beef they import comes from Australia and the U.S., and they told me U.S. beef goes exclusively into steak and higher-end cuts because it’s more tender, juicy and flavorful. They’re trying really hard to get the age limits raised to make it easier to import U.S. beef, because it’s one of their more profitable markets. It’s what the consumers want.”
With her graduate degree, McGinnis says she’d like to get her CPA and be a managerial accountant, specializing in farm and ranch taxation using her ag background. “It’s a field in which not many people are interested, but it’s so useful because they need someone who knows the difference between a steer and a bull.”
Christy Hemken is managing editor of the Wyoming Livestock Roundup and can be reached at This email address is being protected from spambots. You need JavaScript enabled to view it. .

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Factual communication identified as important aspect in ag’s future

Evanston – “It’s a challenge, but one that we are more than capable of meeting,” said Jay Lehr at the AgriFuture conference in Evanston, in his talk focusing on how to ensure a bright future for American agriculture.
He spoke of the anticipated eight-and-a-half to nine billion people who are expected to inhabit the earth in 40 or 50 years, and whom American agriculture industries will help to feed.
“I have never been more optimistic about our future in agriculture – it’s never been brighter, and the statistics bear that out,” he said, adding that he thinks young people in agriculture are entering a career with tremendous opportunity. “There are all kinds of things they can do. Choosing something you love to do, and pursuing it, is important.”
Lehr said he not only wants to motivate those in the ag industry to stick with what they’re doing, but also to become “activists.”
“We do have problems in agriculture,” he said. “They’re not so much problems with our ability to raise cattle, sheep or hogs, or to grow corn, soybeans, wheat or cotton. The problems are with the public perception of agriculture – something we’ve, unfortunately, been silent about.”
He pointed out that friends and neighbors of agricultural operations in rural areas, who aren’t directly involved in production agriculture, often learn all their information from radio, TV, newspapers and magazines, which generally have it wrong.
“Everybody has to accept social media,” he said of the onset of the telecommunication age. “Facebook and Twitter are one way we have to use to get our message out.”
He noted one of the biggest sources of misinformation is the Humane Society of the United States.
“HSUS runs sweet little ads to save some poor dog that’s being mistreated, and collects tens of millions of dollars to convince the public that we mistreat our animals – our hogs, lambs or cattle,” said Lehr, pointing out, “There’s nobody in this room who has any involvement with animal agriculture who ever mistreats his animals. You generally treat them better than your children if you want to make a living from them.”
He said to convince the public that HSUS’s message isn’t true, all producers have to do is ask members of the public what possible advantage would there be to in mistreating animals. “Will a steer or hog give me more lean beef if I mistreat or underfeed it?” he asked. “We have every incentive to treat our animals with tender loving care if we are to make a living from them and feed the American public. It’s common sense, and fairly simple.”
“HSUS and many other overly zealous environmental organizations want the entire nation to become vegan,” he continued. “Raise your hand if you know a healthy, robust vegan or vegetarian? I’ve been searching North America, and haven’t found one yet. Humans require 20 amino acids in their diets, and the only place to get them is in animal protein. To be a really healthy vegan, you need a PhD in nutrition to combine certain foods to make up what you don’t get from animal protein.”
Lehr said another misconception by the American public is the negative view of fertilizer.
“People have no clue what nitrogen, potassium and phosphate are,” he said, adding he conducted a survey on the streets of Chicago, asking people what they thought about fertilizer. “The most common answer was it is a toxic byproduct from manufacturers. They think we’re putting toxic leftovers on our crops to make them grow better. N, P and K is to a plant what protein, carbohydrates and fat are to us. The plant can’t live without it. People don’t understand that if we don’t use it, people will starve.”
“Any interest you have can be served within the ag community,” stated Lehr. “For those who want to stay on the farm or ranch, an exciting thing is the advances in using GPS to run machinery. Moving throughout the country, agriculture is part of the telecommunication age. That’s a story that needs to be explained.”
Lehr said precision agriculture is growing by leaps and bounds in some parts of the country. “A large farm is no longer a monolithic acreage. Our land varies. We have areas with high, medium and low productivity, and we can vary our inputs through variable rate technology.”
“We have to explain to people that today’s farm and ranch is not run the way grandfather did. We take advantage of advanced technology,” said Lehr of how ag operations have changed through the decades.
“We are the best land conservationists in the world,” said Lehr of the ag industry. “That’s the simple message we have to convey to the public, because they’re not getting it from us. Instead, they’re getting a lot of misinformation.”
To producers, Lehr said, “You need to be outspoken about these things, and not be afraid of using common sense and knowledge and Facebook and the Internet and social events to tell these stories.”
As of press time, attendees of the AgriFuture conference had met in breakout groups to brainstorm the main obstacles they see to the future of agriculture. They had yet to meet to discuss possible solutions and plans to set in motion.
Christy Martinez is managing editor of the Wyoming Livestock Roundup and can be reached at This email address is being protected from spambots. You need JavaScript enabled to view it. .

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Listeriosis outbreak marks largest in history

A recent outbreak of Listeriosis linked to a Colorado farm has resulted in 133 infections and 28 deaths, as well as one miscarriage, across 26 states as of Oct. 25.

Reports from the Center for Disease Control and Prevention (CDC) identified the disease as linked to whole cantaloupes from Jensen Farms in Colorado.
When the Colorado Department of Public Health and Environment reported seven cases of Listeriosis to the CDC, which have since been linked to the Rocky Ford brand of cantaloupe shipped from Jensen Farms July 29 through Sept. 10 to 17 states across the nation, Jensen Farms voluntarily recalled the produce.

On Sept. 14, the Food and Drug Administration (FDA) responded by issuing a press release warning consumer not to consume Rocky Ford cantaloupes.

It wasn’t until Sept. 23 that Carol’s Cuts of Kansas City, Kan. and Fresh Fruit Up of Buffalo, N.Y. initiated recalls on fresh cut cantaloupe and cut mixed fruit.

Wyoming saw four cases of Listeriosis and one fatality as a result of the outbreak. A Sheridan county woman marked the fourteenth death as a result of the Listeria bacteria, and two Laramie County adults were sickened after consuming cantaloupe. A Lincoln County man was also identified with Listeriosis.
Most people affected by the Listeriosis outbreak were over 60 years old and 98 percent were hospitalized as a result, according to CDC data.

There are about 800 cases of Listeriosis and three to four outbreaks reported each year in the United States. Prior to this year’s outbreak, the largest outbreak occurred in 2002 with only 54 illnesses and eight deaths reported.

“This outbreak has the highest number of deaths of any U.S. foodborne outbreak since a Listeriosis outbreak in 2002,” said the CDC.

Because of the time required for Listeriosis to manifest itself and be reported, the FDA estimates that illnesses occurring after Sept. 28 may not have been reported yet.

Listeriosis occurs when food contaminated with the bacterium Listeria monocytogenes is consumed.

“While all people are susceptible to Listeria, older adults, persons with weakened immune systems and pregnant women are at particular risk,” said the FDA in a press release. “Listeriosis can be fatal, especially in certain high-risk groups.”

Typically, symptoms include fever or muscles aches and gastrointestinal symptoms. Pregnant women may also experience mild flu-like symptoms that could result in miscarriage, stillbirth, premature delivery or infection of the newborn. Septicemia and meningitis are common clinic presentations in older adults.

After identification of the bacteria through a blood or spinal fluid test, Listeriosis can be treated with antibiotics and cured, though 10 to 30 percent of people experience residual neurological problems, according to UW professor Kurt Miller.

Listeria is not typically linked to cantaloupe, but rather deli meats, hot dogs and soft cheese made with unpasteurized milk.

“Because of this unusual circumstance, FDA’s newly formed Coordinated Outbreak Response and Evaluation (CORE) Network is working with FDA districts, CDC, the states and other regulatory partners on a root cause analysis to determine where in the supply chain and what circumstances likely caused the implicated cantaloupe to be contaminated,” said the FDA.

A joint investigation by the CDC and FDA tested the growing environment, packing facility and cold storage areas for the source of the Listeria bacteria. The results showed a number of possible origins that would provide for the bacteria to thrive.

In their summary report issued Oct. 19, the FDA says, “Low level sporadic Listeria monocytogenes in the agricultural environment and incoming cantaloupe may have contributed to the introduction of the pathogen into the packing facility.”

Aside from the growing environment, the packing facility and cold storage may have contributed to bacterial introduction, growth and spread.

“A truck used to haul culled cantaloupe to a cattle operation was parked adjacent to the packing facility and could have introduced contamination into the facility; facility design allowed for the pooling of water on the packing facility floor adjacent to equipment and employee walkway access to grading stations; the packing facility floor was constructed in a manner that was not easily cleanable; the packing equipment was not easily cleaned and sanitized; the washing and drying equipment used for cantaloupe packing was previously used for postharvest handling of another raw agricultural commodity; and there was no pre-cooling step to remove field heat from the cantaloupes before cold storage,” says the FDA.

Tests revealed that cantaloupes in cold storage were also contaminated with the bacteria, and Jensen Farms was issued a warning letter by the FDA, requiring them to correct violations of FDA policy.

“Each year roughly one in six Americans (or 48 million people) gets sick, 128,000 are hospitalized, and 3,000 die of foodborne diseases,” explains the CDC.

The CDC identifies Listeria monocytogenes as the third most prevalent pathogen contributing to domestically acquired foodborne illness that results in death, contributing approximately 19 percent of fatalities resulting from foodborne illness.

For more information on Listeriosis or the recent outbreak visit cdc.gov/listeria. Saige Albert is editor of the Wyoming Livestock Roundup and can be reached at This email address is being protected from spambots. You need JavaScript enabled to view it. .

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