Speaker: Dr. Allen Williams Session: Grass Fed Beef Production

1. Planning For Grassfed
Success
Allen Williams, Ph.D.
LMC, LLC

2. 2

3. Grass-fed Beef : Budget for Success
Getting Started
–
–
–
–
Genetics
Principles of managed Grazing
Fencing / Watering Solutions
Winter Forage
Financials
– Grazing vs Row Crop Rental
– Cow/Calf vs Finishing
– 5 Year Cash Flow
3

4. What About The Grassfed Sector?
Mintel Red Meat
Report – 2012
In major US metro
areas – Grass fed
beef accounted for
between 3% and
6% of all beef
sales.
4

5. Grassfed Sector
Mintel Red Meat Report – 2012
– Importance On Scale of 1-10:
– Grass Fed – 7.2
– Impact on environment – 7.5
– Hormone/Antibiotic Free – 7.9
– Taste – 8.7
43% had purchased “Grass Fed” or
“Locally Raised” beef in 2012.
5

6. Value of Grass Fed Beef Market
1998
– 100+ serious grass fed beef producers
– $4-$5 million retail value – Domestic
– Industry in infancy
– Thought of as “fad”
– Little attention paid by larger programs and
packers, or even producers
6

7. Value of Grass Fed Market
2013:
– More than $2 billion sold in U.S.
$450 million domestic
$1.5 billion+ imported
– More than 3000 producers involved.
– Growing @ 25-30% rate annually.
– Has penetrated all major market sectors.
– Major branded program and packer interest.
7

8. Economic Data
University Studies and Farm/Ranch Case Study
data show:
– Takes average of 0.8 – 1.2 acres per head to finish
steers.
– More than enough available acres to finish 30
million+ head annually in U.S.
– Skilled grass finishers net $300 - $500+ per acre.
– Build soil rather than deplete.
Value of SOM is $750/ac per 1.0%.
8

9. Selecting Genetics for
Forage Based Production

10. Cow Herd Attributes
Must have great longevity
High fertility.
Sound feet & legs, eyes, udder & teats, teeth.
Low to moderate milk
Highly adapted to their environment
Moderate frame (BIF Frame Score 3.0-5.0)
– Bulls = 52 – 56 inches
– Cows = 48 – 52 inches
Adequate depth, thickness, and gut capacity.

11. Bull Selection – What Are We Looking For?

12. “Viewed from behind, the fertile bull
has well sprung ribs, and the lower
rib region is the widest part of the
body.”
J.C.B.

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18. 18

19. Cow Selection

20. “The animal
that is really
functionally
efficient has
small, sleek
and very
shiny teats.”
J.C.B.

21. “The body of the highly fertile cow is
in beautiful proportion; she looks
feminine or broody. Seen from
behind, the largest diameter of the
body is the mid-rib region. She has a
tremendous stomach capacity…”
J.C.B.

25. 25

26. Grass-fed Beef : Budget for Success
Environmental Benefits of Holistic
Management
– Improve Soil Health
– Reduce Erosion, Improve Water
Retention
– Improved Water Quality
– Improve Wildlife Habitat
26

27. It All Starts With
The Soil!!

28. The Soil is Alive!!
28

29. 29

30. 90% of soil function is mediated by
microbes.
Microbes depend on plants.
So, how we manage plants is critical.
30

31. Plant growth & health highly correlated
with how much life & what kind of life is in
the soil!
– Microbes Matter!!!
– Microbial community structure crucial.
– Highly Important
Fungi to Bacteria ratio
Predator to Prey ratio
31

32. Optimum Soil Health
Type of Organism number/acre
Bacteria
800,000,000,000,000,000,000
Actinobacteria
20,000,000,000,000,000
Fungi
200,000,000,000,000
Algae
4,000,000,000
Protozoa
2,000,000,000,000
Nematodes
80,000,000
Earthworms
40,000
Insects /arthropods
8,160,000
lbs/acre
2,600
1,300
2,600
90
90
45
445
830
Soil Food Web
32

33. Depleted Soil
Type of Organism
Bacteria
Actinobacteria
Fungi
Algae
Protozoa
Nematodes
Earthworms
Insects /arthropods
lbs/acre
<500
< 300
< 1000
<90 to >200
<50
>100
<50
<200
Soil Food Web
33

34. Role of Microbes
Produce Glomalin – “Soil Glue”.
– Arbuscular mycorrhizal fungi (AMF)
Glomalin creates soil aggregates vital to nutrient
exchange and water movement.
Reduces ponding and runoff.
Without underground “highways” created by glomalin,
crops require more fertilizer for same yields.
Slows down rate of water entering aggregate.
Soil aggregates are soil carbon vault.
Stores carbon where slow-acting microbes live.
34

35. Additional Roles
Fungal Hyphae:
– Help create fine roots
More efficient at grabbing nutrients.
Require less carbon as fuel (lower mpg).
Unlock chemical bonds to release P, S, N.
Fungi take up P 6 X’s faster than root hairs.
– Connect roots from different plants .
Transfer N and other nutrients from legume nodule
to non-legume root.
35

36. 10,000 – 50,000 microbe species in one
gram of soil.
Nutrient cycling services worth up to $20
Trillion annually!
World’s most valuable ecosystem!
“Soil livestock” more numerous & diverse
than tropical rain forest species.
36

37. Bacteria
Pseudomonas
Bacillus subtillis
Mycobacterium
Actinomycetes
37

38. Mycorrhizal Fungi
38

39. Protozoa
Regulate bacterial populations
Mineralize nutrients
Release NH4+ (ammonium)
Nutrient cycling
39

40. Nematodes
Four Types of Free-living
nematodes:
–
–
–
–
Bacterial Feeders
Fungal Feeders
Predatory nematodes
Omnivores
Beneficial nematodes help
control disease & cycle
nutrients.
Stimulate prey populations.
Disperse microbes.
Food source – higher
predators.
Disease suppression &
Development.
40

41. Insects/Arthropods
Sowbug
Mites
Beetles
Ants
41

42. Earthworms
Functions:
– Stimulate microbial
activity.
– Mix & aggregate soil.
– Increase infiltration.
– Improve water holding
capacity.
– Provide channels for
root growth.
– Bury & shred plant
residue.
42

43. Building Topsoil
Soil Insects
Earthworm Castings
43

44. Nature’s Builders at Work
44

45. The Value of Soil
Organic Matter

46. Can we control runoff with OM?
2% OM will hold 32,000 gallons of water
or 21% of a rainfall.
5% OM will hold 80,000 gallons of water
or 53% of a rainfall.
8% OM will hold 128,000 gallons of water
or 85% of a rainfall.

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48. 48

49. Conserving & Improving Soil
data from Breneman Discovery Farms project
3
2.79
Measured 2006
2.5
Measured 2007
Rusle2 computer prediction
Sediment
losses from
Breneman
outwintering
pastures
tons soil loss/acre
Dairy cropping system
2
Row crop system
1.5
1
0.86
0.5
0
0.0009
0.029
0.04
Soil Erosion
Courtesy of Laura Paine

50. Value of Soil Organic Matter
(1.0% SOM Nutrients/Acre)
Nutrients
Nutrient
(Lbs)
Unit
Value/lb
Value/Acre
Nitrogen
1000
$0.56
$560
Phosphorus
100
$0.67
$67
Potassium
100
$0.54
$54
Sulfur
100
$0.50
$50
Carbon
10000
$0.037
$20
Value of 1.0% SOM in Nutrients/Acre
Source: J. Soil and Water Conserv. B. Hudson. 49 (2) 189-194
$751
5.0% SOM = $3755
50

51. Strategies for Land
Improvement
51

52. Building SOM and Soil
Microbial Populations Through:
Plant Species Diversity
Livestock Impact
52

53. Diversity

54. Monoculture
Diversity/Complexity
54

55. Livestock Impact
55

56. Constant Observation
56

57. Where Do Majority
of Soil Microbes
Live & Function?
57

58. Microbe “Home” – Soil microbes live and function in root zone.
58

59. Rotational Grazing 101
Pasture recovery is
Critical!
59

60. Planned Multi-Paddock Grazing
Ranch road
60

61. Restoration Using Multi-Paddock
Grazing – Noble Foundation
61

62. Decrease drought impacts
% Leaf Volume
Removed
% Root Growth
Stoppage
10%
20%
30%
40%
50%
60%
70%
80%
90%
0%
0%
0%
0%
2-4%
50%
78%
100%
100%
Range Condition
E x c e lle n t
Good
Poor
62

63. A
B
PLANTS
AT START
EXTENT OF
GRAZING
5 DAYS
RECOVERY
10 DAYS
RECOVERY
15 DAYS
RECOVERY

64. 64

65. Light, Continous Graze
High Density Grazing
Teaugue, et al. 2013
65

66. Manure Distribution

67. Manure Distribution
Rotation Frequency
Years to Get 1 Pile/sq.
yard
Continuous
27
14 day
8
4 day
4–5
2 day
1 time a day
2
??

68. Adaptive High Stock Density Grazing

72. Moving the “Mob”

74. Winter Bale Grazing
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76. Bale Grazing in Nova Scotia
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77. Warm Season Cocktail

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79. 79

80. Cool Season Cocktail

81. Before Grazing

82. New Move

83. Next Move

84. Winter Stockpile Grazing
84

85. Millet: 9% CP 50% TDN
Sorghum/Sudan: 12% CP 72%
TDN

86. Hairy Vetch: 18% CP 70% TDN

87. Radish: 14% CP 70% TDN

88. Mississippi Farm
88

89. 89

90. Implemented Strategy
Bale Grazing 1st winter.
High Stock Density/Short Duration
Grazing.
Long rest periods.
Strategic use of soil microbials.
90

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95. 95

96. Progress
Tripled Stocking Rate.
Forage species increased from less than
3-4 major species to more than 35.
Soil OM increased from 1.5% to 4.3%.
Brix increased 400%+.
Water infiltration and retention increased.
Increase in earthworms, soil level insects,
pollinators, and wildlife.
96

97. Building Soil OM
Mississippi – 1.0% - 4.2% (4 years)
New York – 1.5% - 4.1% (5 years)
Kansas – 1.6% - 3.9% (5 years)
Nebraska – 2.1% - 5.5% (6 years)
Michigan – 2.2% - 6.1% (6 years)
Wisconsin – 2.3% - 5.0% (4 years)
97

98. Conserving & Improving Soil
data from Breneman Discovery Farms project
3
2.79
Measured 2006
2.5
Measured 2007
Rusle2 computer prediction
Sediment
losses from
Breneman
outwintering
pastures
tons soil loss/acre
Dairy cropping system
2
Row crop system
1.5
1
0.86
0.5
0
0.0009
0.029
0.04
Soil Erosion
Courtesy of Laura Paine

99. Soil Temperature
99

100. Soil Temperatures

101. IMPACT OF TEMPERATURE ON
SOIL ACTIVITY
140 degrees - soil bacteria die.
130 degrees - 100% moisture lost through
evaporation and transpiration.
100 degrees - 15% moisture used for
growth, 85% moisture lost through
evaporation and transpiration.
70 degrees - 90%+ moisture used for
growth.
Courtesy of Dr. Allen Williams

102. Soil Compaction
Crop
Location
Control
Trt 1
Trt 2
Potatoes
Minnesota
8.81
7.69
NA
Organic Corn
Minnesota
7.4
5.5
NA
Forages
Mississippi
14.33
10.42
11.40
Corn
Mississippi
9.92
5.98
7.80
Soybeans
Mississippi
6.22
2.59
2.48
Forages
Missouri
11
8.08
7.67
Forages
Montana
9.33
8.67
NA
Forages
Montana
14.28
10.44
NA
Wheat
Montana
10.5
8.67
NA
Wheat
Montana
4.06
2.44
NA
102

103. Forage Dry Matter
Crop
Location
Control
Trt 1
Trt 2
Forage
Virginia
2265
3372
3381
Alfalfa
Montana
2550
3242
NA
Alfalfa
Nebraska
3557
4192
NA
Native Grass
Nebraska
4290
5002
NA
Forage
Louisiana
2376
3859
3246
Forage
Alabama
2430
2650
NA
Forage
Pennsylvania
2650
4550
NA
Alfalfa
Mich State
1813
2424
2335
Forage
Alabama
4547
7480
NA
103

104. Forage Brix
Crop
Location
Control
Trt 1
Trt 2
Forage
Virginia
4.25
7.43
5.75
Alfalfa
Montana
6.68
10.12
10.56
Native Grass
Montana
5.28
7.28
NA
Alfalfa
Nebraska
7.75
11.22
12.13
Native Grass
Nebraska
4.31
6.78
7.54
Forage
Louisiana
3.75
5.00
7.50
Forage
Alabama
3.25
5.13
NA
Forage
Pennsylvania
10.75
14.00
NA
Sorghum
Kentucky
3.75
5.00
NA
Forage
Missouri
4.41
6.25
6.63
104

105. BRIX
Higher Brix – Result of improving SOM
and soil microbial populations.
105

106. What is Brix?
Dissolved plant solids include sugars
(such a sucrose and fructans), minerals,
amino acids, proteins, lipids and pectins.
About 50-80% of the Brix measurement
represents plant sugars, with the
remaining portion representing the other
plant solids.
106

107. What is a Refractometer?
A simple optical
instrument that
measures that
amount of light
refracted in a liquid.
Standard piece of
equipment for many
agronomists and
commonly used in the
fruit and vegetable
industries.
Digital
Optical
107

108. Brix Index of Common Forages
Forage
Poor
Avg
Good
Excellent
Alfalfa
4
8
16
22
Ryegrass
6
10
14
18
Sorghum
6
10
22
30
Fescue
2
4
7
12
Bermuda
2
4
6
8
108

109. Effects of Stage of Maturity on Pasture Composition
7
33
Protein
3
Lipid
10
10
25
Sugars
5
Minerals
12
23
Hemicellulose
14
30
Cellulose
18
3
Early Maturity
Lignin
Mid Maturity
7
Late Maturity
109

110. Effects of Stage of Maturity on Pasture Composition
7
33
Protein
3
Lipid
10
10
25
Sugars
5
Minerals
12
Sweet Spot
23
Hemicellulose
14
30
Cellulose
18
3
Early Maturity
Lignin
Mid Maturity
7
Late Maturity
110

111. Why High Brix in Forages?
Research shows that High
Brix forages increase
animal gains and milk
production.
High Brix Forages also are
more drought resistant,
freeze tolerant, and more
resistant to plant disease
and pests
– (Moorby, 2001).
– (Moller, 1996).
– (Downing & Gamroth, 2007;
Miller, et al, 1999).
– (Allison, 2007).
– (McKenzie, 2007).
111

112. Benefits of High Brix
More Sugars, minerals, and
proteins – Less water
Forages and crops will taste
“sweeter” and be more nutrient
dense
Enhanced aroma
Indication of nutrient uptake
Helps plants resist disease
and insect infestation
Stored Forages & Crops –
Longer “shelf” life, better
nutritional values, better flavor
characteristics
112

113. Brix Advantage
Brix 5.0% or less = ADG in low 1’s.
Brix 8-12% = ADG in low to mid-2’s.
Brix 12 – 15% = ADG in mid-high 2’s.
Brix > 15% = ADG in high 2’s to 3’s.
Every 1.0% increase in Brix adds 0.1
to 0.3 ADG.
113

114. Important Grazing Tips
Know DM availability and allow 3.0% - 3.5%
daily.
Take no more than 30% available DM.
Move forward rapidly to not allow too many bites
of the same plant.
Know the brix content.
Turn into new paddocks in early to midafternoon (peak brix or plant sugars).
Stage of forage maturity critical – Mid-stage to
slightly beyond…
114

115. Equipment

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120. 120

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125. 125

126. 126

127. Fencing 101
Invest in good fencing solutions
Build to suit your needs with the
future in mind

128. Fencing

130. Photo by Bev Henkel, Norfolk

131. What kind of fence is best ?
Key Considerations
– Plan with the end game in mind
– Budget and phase if needed
– Terrain (hills, woods, streams)
– Cattle Type
– Feed Availability

132. Fencing, Fencing, Fencing..

137. Water Management
Don’t let water be limiting factor in
finishing.
Gains will be limited if cattle have to walk
too far to water or if water source is poor.
For optimum finishing – water available in
each paddock.
Different for cows.
137

139. Water Management

141. 141

143. Livestock pipeline installation.

144. Quick Couplers.

145. Easy and Simple.

146. 146

147. 147

148. 148

149. Degree of Finish
149

150. What is “Finished” Animal?

151. Tailhead
Topline
Ribs
Flank
Brisket
Heat Girth

152. Brisket

153. Fat Pones
153

154. 154

155. 155

157. 157

158. 158

159. Actual Gain Data - Finishing
No. Head
Sex
Forage Type
DTF
ADG
85
S
Warm Season Perennials
145
2.39
168
S
Warm Season Annuals –
Cocktail Mix
120
2.65
125
H
Cool Season Annuals –
Cocktail Mix
125
2.77
132
S
Cool Season Annuals –
Ryegrass/Oats/Clover
155
2.25
175
S
Cool Season Annuals –
Cocktail Mix
145
2.67
159

160. 160

161. Actual Carcass Performance
No Head
HCWT
DP
% Choice+
% Select
% NRs
42
718
59.5
63
37
0
40
697
59.2
84
16
0
39
702
58.7
92
8
0
41
685
58.4
82
17
1
40
713
59.8
77
23
0
161

162. Why is Finish Important??

163. What is the Target?

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165. 165

166. High Quality Raw Product Equals…

167. 167

168. 168

169. High Quality Eating Experience

170. Finding the Trainers Resource
Guide
www.farmbiztrainer.com
Also at USDA National Ag Library www.start2farm.gov
www.wallacecenter.org/pastureproject
Contact us:
Through the websites
Gary Matteson, Joe Colyn, Allen Williams

171. Grass Fed Exchange
– www.grassfedexchange.com
– 2014 Annual Conference
– July 30 – August 1 – Columbia, MO
171

172. Economic Analysis
Spreadsheet
http://www.wallacecenter.org/resourc
elibrary/-grassfed-beef-financialcalculators
172

173. Building for Future
Generations
173

174. Thank You!!!
174