November 23, 2018 Tennessee Market Highlights Number: 47

FED CATTLE: Fed cattle traded $4 higher on a live basis compared to last week. Prices on a live basis were mainly $115 to $117 while dressed prices were mainly $181 to $185. The 5-area weighted average prices thru Thursday were $115.37 live, up $4.32 from last week and $181.49 dressed, up $5.23 from a week ago. A year ago prices were $118.92 live and $189.04 dressed. The cattle on feed report was not as bear-ish as expected as cattle on feed numbers continue to exceed year ago numbers. The on feed report should not have provided a reason for finished cattle prices to escalate this week to the degree they did. Thus, what caused finished cattle prices to run like they did this week? The best answer is that packers were trying to secure cattle to meet holiday needs. This means previous analysis could not have been more incor-rect. The futures market would support stronger prices moving through the month of December and into 2019. Higher prices will can only benefit cattle feeders and im-prove margins, but feedlot managers should look at hedging a few sales if mar-gins are positive. BEEF CUTOUT: At midday Friday, the Choice cutout was $213.33 up $0.22 from Thursday and up $0.58 from last Friday. The Select cutout was $198.93 up $0.67 from Thursday and up $1.37 from last Friday. The Choice Select spread was $14.98 compared to $15.77 a week ago. The monthly cold storage report was re-leased Wednesday detailing the quantity of beef and other meats in cold storage as of the end of October. Beef in cold storage totaled 515 million pounds which repre-sented an increase of 1.6 percent from Sep-tember and 1.6 percent from October 2017. The cold storage report for beef is only categorized as boneless beef or beef cuts which provide little information of what products are really in cold storage.

Boneless beef generally makes up about 90 percent of the product in cold storage. Al-ternatively, pork cold storage is more spe-cific and covers most of the primal cuts which can help in understanding wholesale prices of different cuts. Moving back to beef, the wholesale price of beef remained fairly strong through the holiday week. There may still be some end of the year holiday beef buying still on the table which could provide support to the beef cutout. How much buying is left to be completed will determine the amount of support pro-vided as retailers will soon be moving their focus to end cuts. OUTLOOK: If a person solely used feeder cattle futures as his or her only cattle price information then that person would likely be extremely confused at this juncture. The reason for the confusion would be largely due to prices fluctuating tremendously without any solid information to cause such fluctuations. Using the January feeder cattle futures contract, the price has ranged from $138.18 per hundredweight in early April to $156.45 in early October with the price sitting in the mid to upper $140s the past couple of weeks. However, there has been significant price swings in feeder cattle contracts since the beginning of Oc-tober as the January contract has had a $13 per hundredweight range during that time period. The tendency of most in the indus-try is to view the fluctuation in futures pric-es as a negative when in fact it could be viewed as very positive. The reason most producers would view futures price fluctua-tions as a negative is because a downward move in the futures generally has a nega-tive impact on cash selling prices which means fewer dollars of revenue at sale time. This is only negative if prices fall be-fore a producer markets his or her cattle. Alternatively, an increase in futures just prior to marketing cattle could result in greater revenue. However, a producer simply being at the will of the market given

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Livestock Comments by Dr. Andrew P. Griffith Trends for the Week Compared to a Week Ago

Slaughter Cows

Slaughter Bulls

Feeder Steers

Feeder Heifers

Feeder Cattle Index

Wednesday’s index: 147.61

Fed Cattle

The 5-area live price of $115.37 was up $4.32. The dressed price of $181.49 was up $5.23.

Corn

December closed at $3.59 a bush-el, down 5 cents since last Friday.

Soybeans

January closed at $8.81 a bushel, down 11 cent since last Friday.

Wheat

December closed at $4.99 a bush-el, down 7 cents since last Friday.

Cotton

December closed at 74.92 cents per lb, down 1.2 cents since last Friday.

2

its ups and downs is not a favorable marketing strategy. One should look at the opportunities offered by the futures market to hedge cattle sales at profitable levels. In the case of January, there were 17 days in which the contract traded above $153 per hundredweight. Only one of those days had the highest price, but one does not have to hit the very top but rather lock in a profit. This is easier said than done as no one wants to miss out on the market moving higher, but there are plenty of com-plaints when the market moves lower. The market almost al-ways provides a favorable marketing opportunity if one will just start looking for it. The November cattle on feed report for feedlots with a 1000 head or more capacity indicated cattle and calves on feed as of November 1, 2018 totaled 11.69 million head, up 3.2% com-pared to a year ago, with the pre-report estimate average ex-pecting an increase of 4.3%. October placements in feedlots totaled 2.25 million head, down 0.6% from a year ago with the pre-report estimate average expecting placements down 0.9%. October marketing’s totaled 1.89 million head up 4.8% from 2017 with pre-report estimates expecting a 4.2% increase in marketings. Placements on feed by weight: under 600 pounds down 5.2%, 600 to 799 pounds down 11.4%, 800 to 899 pounds down 1.4%, and 900 pounds and over up 8.0%. ASK ANDREW, TN THINK TANK: I have met with a few cattle producers the past few weeks who are trying to figure out how to earn a larger profit in the cattle business which has been a common conversation since starting this position several years ago. Many of the producers with this question are cow-calf pro-ducers who realize fixed expenses can eat all the profits plus some in most small operations and in some large operations. This realization often results in producers looking for alterna-tive production systems to garner more profits. One common thought is that changing from the cow-calf sector to the stocker industry can return the positive margins being sought. Stocker production is more profitable on average, but it also means taking much more risk than in the cow-calf sector. The stocker business is not for everyone, and actually it is only meant for a few. The cow-calf business can be profitable, but many produc-ers need to view it from a different lens than what they have the past twenty or thirty years.

(Continued from page 1)

Livestock Comments by Dr. Andrew Griffith

Please send questions and comments to agriff14@utk.edu or send a letter to Andrew P. Griffith, University of Tennessee, 314B Morgan Hall, 2621 Morgan Circle, Knoxville, TN 37996. FRIDAY’S FUTURES MARKET CLOSING PRICES: Friday’s closing prices were as follows: Live/fed cattle –December $117.10 +0.70; February $120.93 +0.18; April $123.15 +0.55; Feeder cattle –January $149.38 +0.75; March $145.93 +0.75; April $146.25 +0.88; May $146.50 +0.90; December corn closed at $3.59 down $0.03 from Thursday.

Wednesday, November 21, 2018

Month Class III Close Class IV Close

Nov 14.48 15.07

Dec 14.32 14.82

Jan 14.46 14.77

Feb 14.70 14.95

Mar 14.94 15.10

Milk Futures

Cattle Hogs

———— Number of head ————

This week (3 days) 119,333 479,333

Last week (4 days) 116,750 468,250

Year ago (3 days) 121,333 461,000

This week as percentage of

Week ago (%) 102% 102%

Year ago (%) 98% 104%

Average Daily Slaughter USDA Box Beef Cutout Value

Choice 1-3 600-900 lbs

Select 1-3 600-900 lbs

———————— $/cwt —-———————

Wednesday 213.69 198.26

Last Week 213.16 197.18

Year ago 208.63 188.65

Change from week ago +0.53 +1.08

Change from year ago +5.06 +9.61

3

Crop Comments by Dr. Aaron Smith

Overview Corn, cotton, wheat, and soybeans were down for the week.

All four commodities were down across the board for an abbreviated Thanks-giving trading week. Limited news will emerge as we enter the Holiday trading season, however trade news will be closely monitored next week with the

highly anticipated G20 summit. Agricultural markets will focus on any news from President Xi or Trump regarding tariffs and/or a resolution to the current trade disruption. As information is revealed anticipate further volatility in soybeans.

Corn basis has improved in Tennessee while soybean basis has remained very weak. Expect continued seasonal improvements in corn basis as we enter 2019. Strong demand from the poultry and livestock sectors will assist in strengthening basis across Tennes-see. Those that were able to store a large portion of this year’s crop will benefit from the price appreciation.

Cotton prices continue to fall in spite of a mostly bullish November WASDE report. Look for markets to test the current six month low for the March contract of 76.5 cents. Looking toward 2019 I am cautiously optimistic regarding cotton prices.

Wheat planting has been an issue in Tennessee, with October and November rains slowing planting. Many fields that were intend-ed to be planted were not due to excess moisture. As such, wheat acres will be down across from earlier estimates.

Corn

The Crop Progress report estimated corn harvested at 90% compared to 84% last week, 89% last year, and a 5-year average of 93%. In Tennessee, corn harvested was estimated at 100% compared to 98% last week, 100% last year, and a 5-year average of 99%. Ethanol production for the week ending November 16 was 1.042 million barrels per day, down 25,000 from the previous week. Ethanol stocks were 22.791 million barrels, down 723,000 barrels. Across Tennessee, average corn basis (cash price-nearby futures price) weakened or remained unchanged at Memphis, Northwest Barge Points, Northwest, Upper-middle, and Lower-middle Ten-nessee. Overall, basis for the week ranged from 16 under to 9 over the December futures contract with an average of 2 under at the end of the week. December 2018 corn futures closed at $3.59, down 5 cents since last Friday. For the week, December 2018 corn futures traded between $3.58 and $3.66.

Corn net sales reported by exporters from November 9-15 were within expectations with net sales of 34.5 million bushels for the 2018/19 marketing year and 0.2 million bushels for the 2019/20 marketing year. Exports for the same time period were down 25% compared to last week at 32.9 million bushels. Corn export sales and commitments were 39% of the USDA estimated total annual exports for the 2018/19 marketing year (September 1 to August 31) compared to a 5-year average of 43%. Dec/Mar and Dec/Dec future spreads were 11 and 36 cents, respectively. In Tennessee, January 2019 corn cash forward contracts averaged $3.76 with a range of $3.62 to $3.91. March 2019 corn futures closed at $3.70, down 5 cents since last Friday. December 2019 corn futures closed at $3.95, down 3 cents since last Friday. Downside price protection could be obtained by purchasing a $4.00 December 2019 Put Option costing 27 cents establishing a $3.73 futures floor.

(Continued on page 4)

4

Crop Comments by Dr. Aaron Smith

Soybeans

The Crop Progress report estimated soybeans harvested at 91% compared to 88% last week, 96% last year, and a 5-year average of 96%. In Tennessee, soybeans harvested were estimated at 74% compared to 72% last week, 82% last year, and a 5-year average of 86%. Average soybean basis strengthened or remained unchanged at Memphis, Northwest, Lower-middle, and Upper-middle Ten-nessee and weakened at Northwest Barge Points. Basis ranged from 68 under to 16 under the January futures contract at elevators and barge points. Average basis at the end of the week was 33 under the January futures contract. January 2019 soybean futures closed at $8.81, down 11 cent since last Friday. For the week, January 2019 soybean futures traded between $8.70 and $8.92. In Tennessee, January 2019 soybean cash contracts average $8.69 with a range of $8.41 to $9.06.

Net sales reported by exporters were within expectations with net sales of 25 million bushels for the 2018/19 marketing year and 0.1 million bushels for the 2019/20 marketing year. Exports for the same period were up 4% compared to last week at 46.8 million bushels. Soybean export sales and commitments were 44% of the USDA estimated total annual exports for the 2018/19 marketing year (September 1 to August 31), compared to a 5-year average of 68%. Jan/Mar and Jan/Nov future spreads were 13 and 49 cents, respectively. March 2019 soybean futures closed at $8.94, down 11 cents since last Friday. November 2019 soybean futures closed at $9.30, down 7 cents since last Friday. Downside price protection could be achieved by purchasing a $9.40 November 2019 Put Option which would cost 60 cents and set an $8.80 futures floor. Nov/Dec 2019 soybean-to-corn price ratio was 2.35 at the end of the week.

Cotton

The Crop Progress report estimated cotton harvested at 59% compared to 54% last week, 73% last year, and a 5-year average of 69%. In Tennessee, cotton harvested was estimated at 87% compared to 80% last week, 80% last year, and a 5-year average of 79%. Delta upland cotton spot price quotes for November 23 were 74.47 cents/lb (41-4-34) and 76.22 cents/lb (31-3-35). Adjusted World Price (AWP) decreased 0.59 cents to 67.89 cents. December 2018 cotton futures closed at 74.92, down 1.2 cents since last Friday. For the week, December 2018 cotton futures traded between 74.86 and 77.2 cents.

Net sales reported by exporters were up from last week with net sales of 210,500 bales for the 2018/19 marketing year and 31,700 bales for the 2019/20 marketing year. Exports for the same time period were 150,800 bales, up 34% from last week. Upland cotton export sales were 68% of the USDA estimated total annual exports for the 2018/19 marketing year (August 1 to July 31), compared

(Continued on page 5)

5

Crop Comments by Dr. Aaron Smith

to a 5-year average of 56%. Dec/Mar and Dec/Dec cotton futures spreads were 2.3 cents and 1.63 cents, respectively. March 2019 cotton futures closed at 77.22, down 1.07 cents since last Friday. December 2019 cotton futures closed at 76.55, down 0.66 cents since last Friday. Downside price protection could be obtained by purchasing a 77 cent December 2019 Put Option costing 4.93 cents establishing a 72.07 cent futures floor.

Wheat

Wheat net sales reported by exporters were within expectations with net sales of 12.1 million bushels for the 2018/19 marketing year. Exports for the week were up 92% compared to last week at 18.5 million bushels. Wheat export sales were 52% of the USDA estimated total annual exports for the 2018/19 marketing year (June 1 to May 31), compared to a 5-year average of 72%. Decem-ber 2018 wheat futures closed at $4.99, down 7 cents since last Friday. December 2018 wheat futures traded between $4.95 and $5.07 this week. December wheat-to-corn price ratio was 1.39. Dec/Mar and Dec/Jul future spreads were 8 cents and 21 cents, respectively. March 2019 wheat futures closed at $5.07, down 8 cents since last Friday.

The Crop Progress report estimated winter wheat condition at 56% good-to-excellent and 11% poor-to-very poor; winter wheat planted at 93% compared to 89% last week, 97% last year, and a 5-year average of 97%; and winter wheat emerged at 81% com-pared to 77% last week, 87% last year, and a 5-year average of 88%. In Tennessee, winter wheat condition was estimated 55% good-to-excellent and 14% poor-to-very poor; winter wheat planted at 74% compared to 66% last week, 84% last year, and a 5-year average of 85%; and winter wheat emerged at 59% compared to 47% last week, 68% last year, and a 5-year average of 62%. In Tennessee, June/July 2019 wheat cash contracts ranged from $5.06 to $5.39 for the week. July 2019 wheat futures closed at $5.20, down 10 cents since last Friday. Downside price protection could be obtained by purchasing a $5.30 July 2019 Put Option costing 36 cents establishing a $4.94 futures floor.

Additional Information: Links for data presented: U.S. Export Sales - https://apps.fas.usda.gov/export-sales/esrd1.html USDA FAS: Weekly Export Performance Indicator – https://apps.fas.usda.gov/esrquery/esrpi.aspx EIA: Weekly ethanol Plant Production - https://www.eia.gov/dnav/pet/pet_pnp_wprode_s1_w.htm EIA: Weekly Supply Estimates - https://www.eia.gov/dnav/pet/pet_sum_sndw_a_EPOOXE_sae_mbbl_w.htm Upland Cotton Reports - https://www.fsa.usda.gov/FSA/epasReports?area=home&subject=ecpa&topic=fta-uc Tennessee Crop Progress - https://www.nass.usda.gov/Statistics_by_State/Tennessee/Publications/Crop_Progress_&_Condition/ U.S. Crop Progress - http://usda.mannlib.cornell.edu/MannUsda/viewDocumentInfo.do?documentID=1048 USDA AMS: Market News - https://www.ams.usda.gov/market-news/search-market-news

If you would like further information or clarification on topics discussed in the crop comments section or would like to be added to our free email list please contact me at aaron.smith@utk.edu.

6

Friday, November 16, 2018 — Thursday, November 22, 2018

Commodity Contract Month Friday Monday Tuesday Wednesday Thursday

Soybeans Jan 8.92 8.73 8.81 8.83 ———

($/bushel) Mar 9.05 8.87 8.94 8.96 ———

May 9.18 9.00 9.07 9.09 ———

Jul 9.30 9.13 9.20 9.22 ———

Aug 9.34 9.17 9.24 9.26 ———

Sep 9.34 9.18 9.25 9.26 ———

Corn Dec 3.64 3.62 3.61 3.61 ———

($/bushel) Mar 3.75 3.73 3.72 3.72 ———

May 3.83 3.81 3.80 3.80 ———

Jul 3.90 3.87 3.86 3.87 ———

Sep 3.92 3.90 3.90 3.90 ———

Dec 3.98 3.96 3.95 3.96 ———

Wheat Dec 5.06 4.98 5.00 4.98 ———

($/bushel) Mar 5.15 5.06 5.08 5.06 ———

May 5.22 5.13 5.15 5.13 ———

Jul 5.30 5.22 5.23 5.21 ———

Sep 5.41 5.33 5.34 ———

Soybean Meal Dec 310 305 307 306 ———

($/ton) Jan 313 307 309 308 ———

Mar 315 309 311 310 ———

May 317 312 314 313 ———

Jul 320 315 317 316 ———

Aug 321 317 319 318 ———

Cotton Dec 76.12 75.88 75.27 76.51 ———

(¢/lb) Mar 78.29 78.05 77.43 78.78 ———

May 79.55 79.32 78.67 79.88 ———

Jul 80.71 80.49 79.87 81.01 ———

Oct 77.85 77.76 77.14 78.26 ———

Live Cattle Dec 115.35 116.15 115.70 116.40 ———

($/cwt) Feb 119.72 120.00 119.72 120.75 ———

Apr 121.55 121.85 121.57 122.60 ———

Jun 113.52 113.97 114.02 114.82 ———

Aug 111.87 112.02 112.20 112.85 ———

Feeder Cattle Nov 147.83 147.83 ——— ——— ———

($/cwt) Jan 146.52 147.27 146.87 148.62 ———

Mar 143.97 144.32 144.15 145.17 ———

Apr 144.32 144.65 144.50 145.37 ———

May 144.47 144.77 144.65 145.60 ———

Aug 148.37 148.92 148.75 149.60 ———

Market Hogs Dec 60.07 61.02 58.97 58.27 ———

($/cwt) Feb 66.75 69.02 67.12 66.17 ———

Apr 71.75 73.00 71.67 71.15 ———

May 76.85 77.75 76.77 77.05 ———

Jun 84.02 85.05 84.95 85.17 ———

Futures Settlement Prices: Crops & Livestock

7

Cattle Receipts: This week: 3,728 (5) Week ago: 6,783 (9) Year ago: 2,856 (3)

This Week Last Week Year Ago

Low High Weighted Average Weighted Average Weighted Average

—————————————————————— $/cwt ——————————————————————

Steers: Medium/Large Frame #1-2

300-400 lbs 140.00 166.00 151.96 155.95 150.15

400-500 lbs 134.00 160.00 149.74 149.42 144.38

500-600 lbs 126.00 149.00 137.91 138.35 141.43

600-700 lbs 115.00 143.00 130.71 132.83 133.66

700-800 lbs 111.00 132.50 126.49 126.14 134.98

Steers: Small Frame #1-2

300-400 lbs ——— ——— ——— 124.15 ———

400-500 lbs ——— ——— ——— 133.75 ———

500-600 lbs ——— ——— ——— 116.50 119.01

600-700 lbs ——— ——— ——— ——— ———

Steers: Medium/Large Frame #2-3

300-400 lbs 120.00 144.00 130.73 143.86 133.29

400-500 lbs 120.00 142.50 135.73 135.25 129.34

500-600 lbs 110.00 133.00 121.01 127.00 130.76

600-700 lbs 117.00 124.00 120.50 120.22 114.42

700-800 lbs ——— ——— ——— 117.93 ———

Holstein Steers

300-400 lbs ——— ——— ——— ——— ———

500-600 lbs ——— ——— ——— ——— ———

700-800 lbs ——— ——— ——— ——— ———

Slaughter Cows & Bulls

Breakers 75-80% 35.00 44.78 41.17 52.61 51.50

Boners 80-85% 46.18 43.50 55.64 38.00 52.50

Lean 85-90% 30.50 44.00 37.30 36.32 47.56

Bulls YG 1 58.00 78.00 70.24 66.48 71.15

Heifers: Medium/Large Frame #1-2

300-400 lbs 111.00 141.00 128.91 128.86 131.59

400-500 lbs 108.00 129.00 118.25 123.76 128.66

500-600 lbs 108.00 129.00 118.25 121.16 125.38

600-700 lbs 100.00 123.50 116.62 115.56 126.06

Heifers: Small Frame #1-2

300-400 lbs ——— ——— ——— ——— ———

400-500 lbs ——— ——— ——— 104.30 ———

500-600 lbs ——— ——— ——— 109.73 ———

600-700 lbs ——— ——— ——— 105.95 ———

Heifers: Medium/Large Frame #2-3

300-400 lbs 105.00 122.00 111.44 122.30 124.79

400-500 lbs 96.00 122.00 112.73 115.61 120.80

500-600 lbs 100.00 119.50 111.38 113.50 112.58

600-700 lbs 100.00 115.50 106.77 103.59 114.62

Prices on Tennessee Reported Livestock Auctions for the week ending November 23, 2018

8

Friday, November 16, 2018 — Thursday, November 22, 2018

Friday Monday Tuesday Wednesday Thursday

Low High Low High Low High Low High Low High

———————–——————————————— $/bushel ———————————————————–———

No. 2 Yellow Soybeans

Memphis 8.62-8.76 8.51-8.57 8.59-8.65 8.60-8.61 ———

N.W. B.P. 8.76-8.78 ——— 8.63-8.65 8.63-8.65 ———

N.W. TN 8.24-8.42 ——— 8.13-8.31 8.15-8.33 ———

Upper Md. 8.52-8.67 ——— 8.41-8.56 8.43-8.59 ———

Lower Md. ——— ——— ——— ——— ———

Yellow Corn

Memphis 3.72-3.73 3.70-3.71 3.69-3.70 3.65-3.70 ———

N.W. B.P. 3.65-3.70 ——— 3.61-3.66 3.62-3.64 ———

N.W. TN 3.45-3.68 ——— 3.46-3.64 3.42-3.65 ———

Upper Md. 3.55-3.60 ——— 3.51-3.57 3.52-3.57 ———

Lower Md. ——— ——— ——— ——— ———

Wheat

Memphis ——— ——— ——— ——— ———

Prices Paid to Farmers by Elevators

100

120

140

160

180

200

220

Tennessee 500-600 lbs. M-1 Steer Prices2017, 2018 and 5-year average

2012/2016 Avg 2017 2018

85

105

125

145

165

185

Tennessee 700-800 lbs. M-1 Steers Prices2017, 2018 and 5-year average

2012/2016 Avg 2017 2018

8595

105115125135145155

5-Area Finished Cattle Prices2017, 2018 and 5-year average

2012/2016 Av g 2017 2018

35455565758595

105

Tennessee Slaughter Cow PricesBreakers 75-80%

2017, 2018 and 5-year average

1.00 2017 2018

9

Recognizing and Managing Differences in Health Risk of Incoming Feeder Cattle

Erin Laborie, Nebraska Extension Educator Octo 1, 2018

Immune and nutritional status as well as management of newly received cattle influence their adaptability to the feedlot envi-ronment. Based on the information available relative to the history of a group of cattle, it is appropriate to classify the group within a certain health risk level and manage them ac-cordingly. Genetics, age, source, vaccination program, length of transportation, and weather conditions are just some of the factors taken into consideration when designating cattle as low or high-risk.

Health Risk Classification

Calves that undergo a preconditioning period and yearling cattle from a single source with a known health record are often considered low-risk. High-risk cattle are generally calves that have been recently weaned with no history of vaccina-tions, transported for an extended period of time, commingled with other lots at the sale barn, or simply lack information about their past. While it is likely for a group of cattle to exhibit characteristics of both low and high-risk categories, South Da-kota State University Extension has developed a health risk classification table that expands on the various combinations of risk factors.

Management Prior to Feedlot Arrival

A study performed by researchers at Oklahoma State University evaluated the effects of weaning strategies and commingling of calves from various sources on health and performance during a 42-day receiving period. Calves bought through auction mar-kets and then commingled were more likely to be treated for bovine respiratory disease (BRD) than calves from a single-source ranch. In regards to weaning strategy, calves shipped at weaning were more likely to require treatment than calves preconditioned on the ranch for 45 days prior to shipping. Con-sequently, the increase in morbidity led to elevated health ex-penses.

Management at the Feedyard

With focus on health risk level, receiving protocols should con-sider the total time spent in the marketing and transportation

Beef Industry News Featured Article from University of Nebraska-Lincoln - UNL Beef

process for a given group of cattle. Stress associated with weaning and transportation can suppress the immune system of calves, so allowing calves to rest prior to processing can re-sult in a more favorable vaccine response. Success of a vaccina-tion program is dependent on the effectiveness of the vaccines, proper handling, timing and route of administration as well as nutritional status of the calf.

According to a survey completed by feedlot veterinarians rep-resenting nearly 11.3 million cattle on feed in the U.S. and Can-ada, cattle health risk was ranked as the top predictive factor for feeder cattle morbidity and mortality. When possible, veter-inarians recommend high-risk cattle to be housed in smaller pens of approximately 100 head with 13 inches of bunk space per head. From a labor standpoint, feedlot veterinary consult-ants suggested one pen rider per 2,700 head of high-risk cattle or 5,500 head of low-risk cattle. Additionally, veterinarians sug-gested an average of 7,000 head of high-risk or 16,000 head of low-risk cattle per feedlot doctor. Nearly 96% of veterinary consultants surveyed recommended metaphylactic treatment at the time of arrival for high-risk populations, while nine per-cent recommended metaphylaxis for low-risk populations.

Conclusion

Managing differences in health risk of incoming cattle presents challenges. Recognition in advance provides opportunity to refine receiving protocols accordingly to enhance adaptability of incoming feeder cattle. Good record keeping and effective communication between feedlot personnel, veterinary consult-ants, and nutritionists is important to successfully implement any receiving protocol.

This is a summary of an article originally featured in Progressive Cattlemen magazine.

Department of Agricultural and Resource Economics 314 Morgan Hall • 2621 Morgan Circle

arec.tennessee.edu USDA / Tennessee Department of Agriculture Market News Service http://www.tennessee.gov/agriculture/article/ag-farms-market-news 1-800-342-8206