As we begin the New Year lets take a look back at 2004 in the beef industry.
It began with a big goose egg known as the Mad Cow, or, as one cattleman said, "The cow that stole Christmas." In December of 2003, a Holstein cow tested positive for BSE, also known as Mad Cow Disease. It was a cow that originated in Canada, causing the market to plunge and slowing beef demand. It looked like it was going to be one of the worst years in the market for beef producers. However, cooler heads prevailed as consumers kept buying and beef markets stabilized. What resulted turned out to be one of the best years recorded in the beef industry!
As 2005 begins we producers of beef face another year of challenges. The USDA has set a date of March 7, 2005 to reopen the Canadian Border to live imports of Canadian cattle. There is a lively debate on whether this reopening will be good or bad for the beef industry. My opinion is that the border should be open to live Canadian cattle only when we are able to resume trade with Japan and other Asian countries. Those countries have put a ban on America beef imports after the BSE case (discussed above) was discovered in the United States.
"Why does the USDA insist on opening the border with Canada when we have not reestablished our trade with the Asian Markets?" Remember that Canada has had three cattle test positive in the last two years for BSE! Will the American consumer be as confident in our beef supply as they where when the Canadian border was closed? Time will tell. I understand that we are in a global trade economy, especially in Agriculture, but I believe three are better ways to achieve what is good for trade and producers alike.
Please remember at CRL FARMS we know the origin of our cattle and guarantee them to be free of BSE.
Danny Schefer
CRL FARMS