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THE NEWSLETTER IS PUBLISHED BY NATIONAL BEEF SERVICES LIMITED. The Mart Centre, Tyne Green, Hexham, Northumberland, NE46 3SG Tel: 01434 601005

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22nd January 2016: Issue 3

NBA NEWS: Directors Weekly Report

2 Livestock research hub set to open near York

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SBA NEWS: Free Workshops will Highlight Role of EBVs in Bull Selection Process

3 Beef sired calf registrations at highest level since 2008 in Northern Ireland

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Local Council Contact For Flood Hit Fallen Stock

4 Irish beef industry needs a ‘policeman’ to regulate it

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NBA DIARY 5 IFA urges beef farmers to remain confident on price

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NBA MARKET REPORT 6 R3 Heifer Prices in GB Still Highest in EU

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AHDB (Meat Services) and LMC market prices

8 USDA Is Set to Remove ‘Grass­Fed’ and ‘Naturally­Raised’ Label From Beef

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BEEF INDUSTRY NEWS: Farm penalties system to be overhauled as part of Cap simplification

9 Advertisements 14 On

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NEWS AND NBA DIRECTORS WEEKLY REPORT Defra Secretary Liz Truss has this week established a Great British Food Unit to turbo­charge UK food exports and support industry growth plans, including a target of increasing manufactured food exports to £6 billion by 2020. The long term ambition of the new unit is to match France and Germany, which both currently export more than double the UK in terms of the value of food and drink. Liz Truss said: “Through the creation of the new Great British Food Unit companies large and small will now find it easier to export overseas and receive foreign investment.” It was announced this week by European Commissioner for Agriculture Phil Hogan that there will be a set of new measures on administrative penalties as part of the CAP simplification process. It consists of three important elements: preliminary checks of aid applications, a simplified system of administrative penalties, and a "yellow card" system for first offenders. A new genetic index announced at the BCBC aims to help farmers in the UK breed dairy cows with better resistance to bovine tuberculosis (bTB). Called the TB Advantage, the index will bring an extra control measure to bear on this infectious disease of cattle which has brought long­term financial and social hardship to large sectors of the farming industry. The index has been developed following extensive research undertaken by the University of Edinburgh, Roslin Institute and Scotland’s Rural College (SRUC) and supported by Defra, the Welsh Government and the Agriculture and Horticulture Development Board (AHDB). It will give an indication of an animal’s genetic susceptibility to bTB, highlighting those which may be more prone to infection or – at the other extreme – those which have a higher degree of resistance to the disease. By selecting bulls with a high score for TB Advantage, farmers will be able to breed better resistance into their herds, which – like all genetic improvement – will accumulate over the generations leading to long­term benefits. Used alongside existing bTB control measures – including high levels of biosecurity, protecting cattle against infected wildlife and routinely monitoring cattle for the disease – the index is expected to play a part in the plan to eradicate bTB from UK farming. The TB Advantage will be expressed on a scale which typically runs from ­3 to +3, similar to many genetic indexes farmers are familiar with using. The average TB Advantage for all bulls with an index is zero. Almost all Holstein bulls – both daughter­proven and young genomic sires – will have an index, and those female Holsteins which have had their genotype measured will also be scored for TB Advantage. Following the initial index run for Holstein bulls which was published at the British Cattle Conference on 19 January 2016, the TB Advantage will be published by AHDB Dairy as part of the routine genetic evaluations three times a year. SRUC in analysing over 650,000 cattle records as part of the process of developing the index state that the heritability of bTB resistance is about nine percent. This is on a par with some other health traits, including Somatic Cell Count, which dairy farmers have been improving through breeding for a number of years. This gives confidence that the TB Advantage will be an effective tool in the fight against bTB, but it does not detract from the other control measures which must continue to be taken as part of the broader disease eradication plan. This index is another tool in the breeding armoury and once a farmer has shortlisted the bulls which meet his other chosen breeding criteria, it is suggested breeders will avoid those which have a poor index for TB Advantage. We know that improvement through breeding is a long­term approach to any problem but this will increase the odds of fighting bTB in the farmer’s favour and play a part in the plan to eradicate bTB from the UK

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SBA NEWS Free Workshops will Highlight Role of EBVs in Bull Selection Process A series of free practical workshops to assist beef producers to select the most efficient and profitable breeding lines is being held across Scotland by Quality Meat Scotland (QMS). With the annual spring bull sales fast approaching the open events are aimed at assisting producers to choose the ideal bull for their herd by including Estimated Breeding Values (EBVs) in their selection process. SRUC Beef Specialist Gavin Hill, who will be speaking at the meetings, said that the additional financial challenges facing farmers this year mean it is vital producers ensure they buy the right bull for their herds. “With tighter abattoir specification becoming more widespread, it is especially important for farmers to select bulls that complement their cows in order to ensure they produce cattle to suit their chosen market,” said Mr Hill. “Some producers are also moving towards more maternal cow types in order to have a cow well suited to her farm environment. They are combining this with looking to achieve increased fat cover, good fertility and good longevity and it is important to bear this in mind when selecting a bull.” However, Mr Hill warns care must be taken with this strategy to achieve the correct balance since many abattoirs report heifers being slaughtered with too much fat cover resulting in penalties to the finisher. He stressed that using an appropriate feeding strategy can help tackle this problem. "The EBV for fat cover has become more important,” he said. Previously, recorded breeding bulls have been rewarded for leanness. However, this has led to cattle reaching very heavy weights with little fat cover being laid down. This is no longer in such demand by finishers following the cap on finished weight being demanded by processors. "However, producers cannot suddenly change overnight and breeding decisions made now will not generate results for some time. With this in mind, specifications such as weight limits must be consistent to allow producers to make informed decisions when purchasing bulls." Many of these cattle tended also to be from continental type cows which led to further leanness issues. Over the last few years both the Charolais and Limousin breeds have moved the Fat EBV to reward bulls with higher levels of fat." Mr Hill believes that EBVs are another tool to use when purchasing bulls alongside visual assessment. Comparing the use of EBVs with buying a car, he says: "EBVs will not tell you how a bull was reared or how it has been fed, but using them does give you an idea of what is going on under the bonnet." He advocates that first a visual assessment should be carried out for character, shape, conformation, legs and feet ­ all of which EBVs cannot convey. An EBV is a value which expresses the difference (plus or minus) between an individual animal and the breed benchmark to which the animal is being compared. However, herd management also has an important role to play here as with EBVs such as calving ease. Mr Hill added: "Remember at calving time, how easily the cow will calve is 75% down to management and 25% genetics!" Part of the workshop will also include an explanation of the Health Cards, covering Johne’s and BVD (Bovine Virus Diarrhoea) available at the bull sales.

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Robert Gilchrist, Knowledge Transfer Specialist with QMS, said the forthcoming meetings are aimed at helping beef producers to produce for the market place by using all the tools available to help them select the right breeding bulls. “The biggest differences in terms of performance are very often to be found within breeds rather than between breeds ­ changing breed is not always the answer,” observed Mr Gilchrist. The EBV workshops will be held at Lanark Agricultural Centre, Lanark, ML11 9AX on Wednesday 27 January and Woodlands House Hotel, Dumfries, DG2 0HZ on Thursday 28 January. Both meetings begin at 11am and lunch will be provided. For more information and details on how you can register visit www.qmscotland.co.uk/events Local Council Contact For Flood Hit Fallen Stock Farmers who have come across flood­killed livestock on their land that don’t belong to them are advised to contact their local authority. With the recent devastating floods, a small number of producers saw livestock lost in severely swollen rivers, with the potential for those animals to be washed onto other people’s land. Those who have found flood­killed fallen animals on their land that do not belong to them can contact their local authority, which will then trace the owner and arrange for the animals to be uplifted. If possible, farmers are being asked to keep a note of the ear tag numbers Even if the unidentified carcasses have already been uplifted, farmers should still contact the local authority. If flood­killed stock remain on the owner’s farm, then farmers should make arrangements for removal and collection of the fallen stock in the usual way.

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2016 NBA DIARY Wednesday 27th January Food Standards Agency Meeting, York

Thursday 4th February Policy Meeting, Pentland Suite, Highland Showground at 10am

Monday 22nd February South West NBA AGM, Fingle Glen Golf Hotel, Tedburn, St Mary at 7.30pm

Tuesday 8th March Pedigree Breeders Committee Meeting, Newton Rigg College

Tuesday 15th March NBA Board Meeting, Hexham

Friday 20th May BEEF EXPO, Bakewell Market

Tuesday 14th June Policy Meeting, Welshpool

Tuesday 21st June Board Meeting, Harper Adams University

Tuesday 13th September Board Meeting, Hexham

Tuesday 13th September NBA AGM, Hexham

Tuesday 18th October Policy Meeting, Cullumpton

Tuesday 6th December Board Meeting, Hexham

Entries in Red are open to all NBA Members Entries in Green indicate Meetings attended by NBA representatives Entries in Blue indicate NBA Committee Meetings

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NBA MARKET REPORT (written on Friday at 4pm) The finished cattle trade continues to weaken although not to the extent of previous weeks. Processors are finding it easy to fulfil their needs at present, with steer and heifer values falling, while young bull prices have rebounded slightly following a bigger drop in the previous week. Overall, the all prime price fell by just over a penny on the week to average 329.7p/kg.

Steer numbers were up 1,800 on the week and heifer numbers are up 1,300 on the week. Steer and heifer values for those meeting R4L specification came back just a penny in both cases to 342.7p/kg and 341.8p/kg respectively. The estimated young bull kill for the week was up by just 200 head, which the market seemed to absorb well, R3 young bulls were up 2p on the week at 324.3p/kg

Strain on the manufacturing beef market in the EU continues to be felt as dairy farmers react to low EU and global prices with increased culling. The latest Global Dairy Trade (GTD) auction on 19 January recorded another fall. Skimmed milk powder traded at €1,835 per tonne, down over three per cent on the previous event a fortnight earlier. In the UK, despite robust demand from processors cows meeting ­O4L specification were still back another 2p on the week to average 213.8p/kg, over 25p behind year earlier levels. The number of cows coming forward was up 500 head week on week.

Can the UK increase its food security if we continue to allow processors to unjustly penalise producers? In the beef sector, the bulk of beef in the UK is derived from the dairy herd which largely reflects the size of the two herds. However will the dairy herd continue to increase its influence in overall beef production in the UK? The suckler herd has seen year on year reduction with the proportion of beef coming from the dairy herd increasing. Whether as suckler cows or animals for feeding the dairy influence is important. However with recent ramping up of the penalties faced by dairy types the future of feeding such cattle has to be questioned. Sexed semen, although costing considerably more, releases more dairy cows for insemination with beef breeds which have a much higher calf value than pure­bred dairy bulls. The profitable finishing of male dairy calves has been severely dented by processor penalties and prevents a recovery in the number of young bulls being finished.

Most Holstein male calves are used for beef production, being retained as bulls and intensively finished, mainly on cereals at 14­16 months old. In addition, in England around 70,000 dairy cross beef males, which in the main are castrated and finished as steers, mainly on forage, also enter the beef production chain, these are the most heavily penalised cattle in the industry.

Suckler beef is the key supplier of premium beef in the UK, it enjoys a high demand, especially on the domestic market but even on export markets. However, in the past four years the UK suckler cow herd has fallen by seven per cent, while the dairy herd has grown six per cent. At the same time, the outlook for suckler beef producers remains somewhat uncertain with upper weight limits on carcases limiting the value of cattle, and the implications of CAP reforms. Suckler producers in the UK are very dependent upon the Single Farm Payment to underpin their business.

Increasing output from the UK suckler herd assumes that production is profitable; inevitably the level of market prices and support payments are a key factor in achieving this. At the current time, expansion in beef cow numbers seems difficult to envisage although the most recent census by DEFRA, in June 2015 did indicate a levelling of numbers.

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Despite lower availability of prime cattle, higher carcase weights and an increase in cow slaughter meant that beef and veal production overall edged up last year. Total domestic production was up almost 6,000 tonnes on the year to 883,000 tonnes.

The number of prime cattle slaughtered at UK abattoirs in the year fell two per cent on the year to 1.92 million head. This was largely as a result of significantly fewer young bull throughputs – down 16 per cent on the year. Heifer numbers were also back on the year, being down over two per cent but in contrast steer slaughterings were up two per cent, despite lower throughputs in Scotland. Despite the overall position of fewer prime cattle being slaughtered, improved conditions and lower feed costs meant that carcase weights for some classes of cattle moved up on the year. Steers and heifers were both up on average 7kg at 375kg and 332kg respectively. Young bulls were slaughtering slightly lighter year on year. The combination of these factors meant that production from prime cattle was broadly unchanged on the year at 684,000 tonnes.

The global supply and demand issue has been aggravated by a build­up of stock in China and the residual impact of the Russian ban on imports. The past year saw one of the most sustained periods of low dairy prices seen since world markets crashed in 2007/08, which no doubt has had an impact on cow cullings. Despite cows killing at slightly lower weights the increased numbers meant that production from adult cattle was up 5,000 tonnes on the year at 194,000 tonnes.

The average R4L steer price in GB came back again and is averaging 342.7p/kg back 1.2p on the week, Scotland is at 349.5p/kg, the South are averaging at 331.2p/kg a change of ­3.5p/kg, the North is steady and averaged 349.6p/kg, the Midlands have an average of 330.7p/kg up 0.3p on for the week. Northern Ireland steers are at 314.3/kg up 2.6p/kg on the week and the ROI is up 2.7p in sterling terms at 287.7p/kg.

The average R4L heifer price in GB is back 1.0p/kg and averaged 341.8p/kg. The R4L heifer price in Scotland is back 4.2p/kg at 349.5p/kg, Midlands averaged 336.9p/kg back 0.2p/kg, the North is up 2.2p/kg on the week averaging 344.1p/kg, Southern England heifers are back 1.8p/kg and averaged 331.8p/kg. Northern Ireland heifers are back 2.1p/kg at 314.9p/kg and ROI heifers are up 5.3p/kg in sterling terms to average 301.5p/kg.

Prime cattle imports from ROI for direct slaughter in NI plants last week totalled 663 head, an increase from the 554 head imported the previous week and higher than the 429 prime cattle imported from ROI during the corresponding week in 2015. A total of 128 cows were also imported from ROI for direct slaughter in NI plants last week, an increase from 71 cows the previous week and 62 cows during the same week in 2015. Meanwhile 245 cows were exported from NI for direct slaughter in ROI plants last week compared to 51 cows exported during the previous week. Exports from NI for direct slaughter in GB last week consisted of 136 prime cattle and 11 cows, a decrease from the previous week.

For the coming week in the South of England, we are seeing cattle being quoted from bases of 322p to 325p/kg. While in the North, base prices quoted for next week are in the region of 341p/kg. The Scottish price remains above the rest of GB, Scotland is seeing cattle being quoted from a base of 348p/kg. In Northern Ireland processor, prices quoted are around 307p/kg based on R4L for the coming week. Angus, Shorthorn and Hereford native bred cattle continue to attract strong premiums of 20p depending on the scheme. Cows remain in the region of 225p, with more for better fleshed cows with good conformation.

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AHDB (Meat Services) and LMC market prices: Week Ending 23/1/2016 Last Week’s GB R4L steer average was 342.7p/kg . The overall cow average was 193.8p/kg

Auction Averages Week Ending 20/1/2016

Price p/kg lw p/kg change on wk

STEERS 176.4 ­3.9

HEIFERS 188.2 ­3.4

YOUNG BULLS 164.9 ­2.6

COWS 95.8 0

DeadWeight Cattle Prices (p/kg) Week ending 16/1/2016 GB SOUTHERN CENTRAL NORTH SCOTLAND N.

IRELAND ROI

R4L Steer

342.7 331.2 330.7 349.6 349.5 314.3 287.7

p/kg change on wk

­1.2 ­3.5 ­0.3 +0.6 ­2.4 +2.6 +2.7

R4L Heifer

341.8 331.8 336.9 344.1 349.5 314.9 301.5

p/kg change on wk

­1.0 ­1.8 ­0.2 +2.2 ­4.2 ­2.1 +5.3

R3 Bull 324.3 328.3 325.0 313.2 340.5 304.8 277.1

p/kg change on wk

+1.8 ­0.1 +7.7 ­7.5 +0.7 +2.2 +5.8

O+3 Cow

229.2 214.4 236.0 227.9 228.2 229.3 228.2

p/kg change on wk

­4.7 ­2.6 ­4.6 ­3.1 +0.2 +0.8 +3.7

All GB data in the above tables is reproduced from tables created by AHDB/LAA/IAAS – For more detailed information please visit www.laa.co.uk or www.eblex.org.uk. * The above tables are unique because they are the only ones in existence that are published on a cross­UK basis that carry information on all UK regions plus the Republic of Ireland. The information, which is delivered free to NBA members by email, can only otherwise be obtained through AHD/LAA/IAAS (see above) and the Livestock and Meat Commission’s (LMC)Bulletin for Northern Ireland. The tables should be a useful source of information to committed beef finishers across the UK.

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BEEF INDUSTRY NEWS Farm penalties system to be overhauled as part of Cap simplification Farm inspections are to be simplified to reduce the “climate of fear” among producers. EU agriculture commissioner Phil Hogan has announced a series of measures to create a more transparent penalty system under the Common Agricultural Policy (Cap). The plans, which are part of a wider EU Commission drive to simplify the Cap, will apply to the penalty system for most direct payment schemes. Under the proposals, farmers would be able to make corrections to their applications, following a preliminary check of the submission, up to 35 days after the final deadline without any penalties. There would also be a change to the system of administrative penalties for direct payments – the current system which calculates penalties based on different categories will be replaced by a simple penalty which is 1.5 times the area over­declared. If approved by MEPs, this would apply for 2016. Small over­declarations that are up to 3% of the area declared or two hectares will continue to not be penalised. Lastly it is proposed that a yellow card system for first­time offenders be introduced. In cases where the over­declaration is less than 10% of the area determined, the administrative penalty will be cut in half. Thereafter the producer will receive a so­called yellow card against their name and will be subject to an on­the­spot control the following year. “I believe that the preventive preliminary checks, the yellow card and the simplified penalty system should make the lives of farmers easier, and even more importantly, they should reduce significantly the number of errors and consequently of cases where administrative penalties would need to be applied,” said Mr Hogan. He said the plans “should end the climate of fear for farmers” and be a fair and proportionate response to the concerns of smaller farmers in particular. The proposals were welcomed by Scots MEP Ian Duncan who called on Scottish Government to implement the changes if they were given the go­ahead by his political colleagues in Europe. “The yellow card system represents a major step in the right direction from the commission, who are clearly taking a common sense approach to penalties and are committed to simplification,” said Mr Duncan. Livestock research hub set to open near York The Centre for Innovation and Excellence in Livestock (CIEL) is due to be unveiled imminently at the former premises of science agency Fera at Sand Hutton near York. The £86.5million project is being financially backed over five years by major universities, more than 80 companies and nearly 30 industry organisations, with £32m secured through the Government’s £90m Agri­Tech Strategy. Specialising in research to develop ways of improving livestock welfare, herd efficiency and enhancing meat quality, the centre near York will act as a “front office” hub for research projects being carried out by academic and scientific institutes across the UK. It will also be linked to other centres for innovation in different farming sectors. This will enable ideas that benefit these other sectors to easily be examined for how they may be adapted to boost livestock farming. Jonathan Statham, partner of Ripon­based Bishopton Veterinary Group, one of the stakeholders in the centre, said CIEL was desperately needed to translate current research into commercial solutions for farmers. AHDB Beef & Lamb is a key collaborator in bringing new centre to fruition, and Kim Matthews, the organisation’s head of research and development, said the project represents the largest investment in research infrastructure in the UK livestock industry for decades.

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Ms Matthews said: “It brings together the UK’s key research and knowledge exchange providers in the beef, dairy, pork, poultry and sheep sectors in a unique collaboration covering the whole food chain at all levels. “The aim is to create a one­stop shop for research related to livestock production and product quality, with the ultimate objective of growing the profitability of those sectors.” The focus of the research co­ordinated by the centre concerns six key topics: animal health and welfare, nutrition, genetics, meat quality, sustainable production and systems. Beef sired calf registrations at highest level since 2008 in Northern Ireland Beef sired calf registrations in Northern Ireland during 2015 totalled 338,378 head, an 8% increase on the 312,818 registered in the North during 2014, according to the LMC. This accounts for an increase of 25,560 registrations year­on­year, the LMC has stated, and brings beef sired calf registrations in the North to their highest recorded levels since 2008. It attributes this increase to an increase in both suckler and dairy cow numbers on the North’s farms, as recorded in the June 2015 Agricultural Survey. The number of dairy cows on farms in the North in June 2015 reached record levels and totalled 311,500 head, which the LMC stated is a 6% increase on the previous June. Meanwhile the number of suckler cows on Northern Irish farms increased by 2% to 260,300 head in June 2015. During 10 of the 12 months in 2015, the LMC stated that beef sired calf registrations were higher than the corresponding months in 2014. Beef sired calf births in Northern Ireland continue to follow a seasonal pattern with registrations peaking in the spring and early summer, according to the LMC. During the period March to June 2015 a total of 168,992 beef sired calves were registered accounting for 50% of total calf registrations in the North for 2015. According to the LMC, the increase in the number of beef sired calf registrations in the North has led to a notable increase in the number of young beef sired cattle on the North’s farms. During December 2015 there were 90,679 beef sired cattle on Northern Irish farms aged 0­6 months, a 9.7% increase on the 82,662 beef sired cattle in this age category during December 2014. The number of beef sired cattle on Northern Irish farms aged 6­12 months during December 2015 was 226,456 head, a 7.9% increase compared to the previous year, it stated. The number of beef sired cattle aged 12­18 months totalled 102,868 head in December 2015, an increase of 10.8% from December 2014 levels. Meanwhile, the LMC stated that the number of cattle in the 18­24 month age category was similar to December 2014 levels while the number of cattle in the 24­30 month age category were back by 3.9% over the same period. The number of prime cattle coming forward for slaughter in the North is expected to remain relatively steady during the first half of 2016 and increase thereafter when the increase in calf registrations over the last 18 months starts to impact on prime cattle supplies, according to the LMC. The most popular beef sires used in Northern Ireland continue to be Limousin and Charolais with 99,737 Limousin sired calves registered during 2015 and 86,226 Charolais calves registered, the LMC stated. These accounted for 29.5% and 25.5% of total beef sired calf registrations respectively. It found that the third most popular beef sire used in the North continues to be Aberdeen Angus with 58,425 calves registered and this accounted for 17.3% of total beef sired calf registrations during 2015. Meanwhile Simmental calf registrations totalled 25,968 head during 2015, Hereford registrations totalled 22,841 and Belgian Blue totalled 18,962, the LMC stated.

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During 2015 these six breeds accounted for 92.3% of the total beef sired calf registrations in the North. According to the LMC, the dairy herd continues to act as a valuable source of calves for beef production on Northern Irish farms. During 2015, it stated that 29% of all beef sired calves registered in the North had dairy dams, a slight increase from 2014 levels when 27% of beef sired calves were sourced from the dairy herd. A total of 96,858 beef sired calves were registered to dairy cows in 2015, this represents a 14% increase from the 84,966 beef sired calves registered to dairy cows during 2014. Aberdeen Angus, Limousin and Hereford continued to be the most popular beef sires used on dairy cows in the North. Dairy sired male calves also provide the North’s beef industry with animals to finish as beef. The number of dairy sired male calf registrations in Northern Ireland during 2015 was similar to the previous year with a total of 89,447 head registered, the LMC stated. Irish beef industry needs a ‘policeman’ to regulate it The Irish beef industry needs a ‘policeman’ to regulate it and ensure agreements are kept, according to the IFA Livestock Chairman Henry Burns. “We need a third party to manage the situation as there is a serious breakdown of trust and a price gap that needs to be closed.” Burns also said that Beef Forum has to be a national Government issue and there must be a referee involved. “2015 was an awful year for the roll back of spec and farmers were left in a weak position. Some 70% of the kill is handled by three groups and does not leave us in a strong position. “We are pushing the Minister on the fact that factories are trying to break some of the agreements. The Minister has to stand in on this.” “The Beef Forum achieved some spec issues they are starting to be broken and we need him to intervene again. “Is there unfinished business with the Beef Forum? Absolutely.” Addressing the issues of live exports, Burns said that it was essential for the next Minister for Agriculture to make commitments on live exports. Figures from Bord Bia show that live exports in 2015, up to December 19, were at 108,000 head, compared to 142,000 in 2014. Export meat plant cattle supplies in Ireland are estimated to have increased by more than 5% in 2015 to around 1.56m head. The volume of beef available for export in 2015 declined by 4%. Irish male cattle prices were 103% of the EU15 average and 83% of the UK price in 2015, its figures show. IFA urges beef farmers to remain confident on price IFA national livestock chairman Henry Burns is urging farmers to resist attempts by meat factories to erode confidence in the beef trade by threatening price and weight cuts. Mr Burns has called on Agriculture Minister Simon Coveney to stand up to the factories and insist that they operate the quality pricing system properly without any weight cuts. “Across the weekend, agents are cold calling on farmers looking for cattle and offering a base of €3.95/kg for steers and €4.05/kg for heifers,” said Mr Burns, who also criticised industry commentators who have talked down the beef trade. “The reality is 50,000 to 70,000 additional cattle have been forecast. “These extra numbers are exaggerated as carcase weights will revert to 2014 levels or 5kg less than 2015 levels, which amounts to a reduction equivalent to 20,000 head.

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"And supplies this spring and summer will be tighter than 2015, with any increase only coming in the last quarter.”

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R3 Heifer Prices in GB Still Highest in EU The EU league table provides a useful comparison of prices received by beef finishers across the EU by ranking EU countries in terms of the farmgate prices paid for R3 grade heifers. During the week ending 10 January 2016 the average R3 heifer price in the EU was 389.7c/kg, an increase of 2.8c/kg from the week ending 13 December 2015 when the average R3 heifer price was 386.8c/kg. During the week ending 10 January 2016 €1 = 73.9p, a slight increase from the week ending 13 December 2015 when €1 = 72.3p. During the week ending 10 January 2016 GB retained first position in the league table with an equivalent R3 heifer price of 456.7c/kg as indicated in Table 2. This was a reduction of 22.3c/kg from the week ending 13 December 2015 when the R3 heifer price was the equivalent of 479c/kg. The notable reduction in the GB R3 heifer price reduced the price differential between GB and the EU average R3 heifer price from 92.2c/kg in the week ending 13 December 2015 to 67c/kg in the week ending 10 January 2016. In NI during the week ending 10 January 2016 the R3 heifer price was the equivalent of 424.3c/kg, a reduction of 11.6c/kg from the week ending 13 December 2015 when the R3 heifer price was the equivalent of 435.8c/kg. This decline in the R3 heifer price in euro terms moved it down one position on the EU league table into third position. In the week ending 10 January 2016 the differential in R3 heifer prices between NI and the EU average was 34.6c/kg compared to 49c/kg in the week ending 13 December 2015. The R3 heifer price in ROI during the week ending 10 January 2016 was 398.6c/kg, an increase of 4.2c/kg from the week ending the 13 December 2015 when it was 394.4c/kg. This put the R3 heifer price in ROI 8.9c/kg above the EU average price and placed it in sixth position on the EU league table. The differential in R3 heifer prices between ROI and NI narrowed from 41.4c/kg in the week ending 13 December 2015 to 25.7c/kg in the week ending 10 January 2016. EU Deadweight Cattle Prices ­ Heifers R3 Equivalent (€ Cents)

Position last month

Position this month

Country Price last month (w/e 13/12/2015)

Price this month (w/e 10/01/2016)

Change on month (cents)

1 1 Great Britain 479.0 456.7 ­22.3

3 2 Sweden 429.6 448.5 +18.9

2 3 Northern Ireland

435.8 424.3 ­11.6

8 4 Italy 373.1 405.0 +31.9

4 5 Luxembourg 403.2 401.2 ­2.0

5 6 Ireland 394.4 398.6 +4.2

6 7 France 394.0 397.0 +3.0

9 8 Spain 368.5 379.8 +11.3

7 9 Denmark

375.4 368.7 ­6.7

10 10 Germany 365.5 367.9 +2.4

11 11 Austria 357.1 357.0 ­0.1

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12 12 Slovenia 337.6 338.3 +0.8

13 13 Belgium 322.0 321.0 ­1.0

14 14 Poland 299.5 303.0 +3.5

16 15 Czech Republic

261.5 266.3 +4.8

15 16 Lithuania 280.8 228.0 ­52.8

EU Average 386.8 389.7 +2.8

Euro (€1=) 72.3 73.9 +1.6 Official prices reported to the EC Dressing Spec USDA Is Set to Remove ‘Grass­Fed’ and ‘Naturally­Raised’ Label From Beef Now it will be even harder for Americans to determine information about their beef. The USDA has withdrawn the labeling standards for grass­fed and naturally­raised beef. That means unless a distributor volunteers to stick its own grass­fed or naturally­raised labels onto a product, then the consumer will not be able to determine how the beef was raised. The decision comes on the heels of another change from Congress, which would remove all country of origin labels from beef. Although official grass­fed labels have been in the works for four years, part of the farming community was at odds with the USDA, stating that the standards were nearly impossible to uniformly regulate, according to the Agricultural Marketing Service. However, much of the agricultural community was rooting for easier, clearer labeling standards that just became muddled. “Meat labeling just became even more confusing for farmers and consumers,” Ferd Hoefner, policy director for the National Sustainable Agriculture Coalition said. “The USDA is revoking a label standard that had widespread farm and consumer support. Actions such as this take us into a Wild West situation, where anything goes and both farmers and consumers lose.” According to the South Dakota Stockgrowers Association, which represents over a thousand beef producers, the new measure will make it infinitely easier to shy away from integrity and transparency.

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Hexham & Northern Marts hold a weekly sale of 350 plus top quality store cattle every Friday.

Contact our team of Auctioneers for further details or to receive copies of our catalogues.

Tel: 01434 605444

Web: www.hexhammart.co.uk

Email: info@hexhammart.co.uk

Facebook: Hexham and Northern Marts

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Join AHDB Beef & Lamb for this BRP Improving the Efficiency of your Beef Growing and Finishing Systems Event on Monday 25th January 2016, from 7pm – 9.30pm at Trethorne Leisure Park, Kennards House, Launceston, Cornwall, PL15 8QE. Join AHDB Beef & Lamb and Dr Jimmy Hyslop from Scotland’s Rural College (SRUC) to learn more about the latest research relevant to beef growing and finishing systems and discuss what tools are available to improve the technical and financial efficiency of those enterprises. To book your FREE place ring the AHDB Beef & Lamb events office on 01904 771211 or email brp.events@ahdb.org.uk Join AHDB Beef & Lamb for the Improving the Efficiency of your Beef growing and finishing systems Event on Tuesday 26th January 2016, from 2pm – 4.30pm at Yanworth Village Hall, Yanworth, North Leach, Cheltenham, Gloucestershire, GL54 3LQ. Join AHDB Beef & Lamb and Dr Jimmy Hyslop from Scotland’s Rural College (SRUC) to learn more about the latest research relevant to beef growing and finishing systems and discuss what tools are available to improve the technical and financial efficiency of those enterprises Full details available at: http://beefandlamb.ahdb.org.uk/event/improving­the­efficiency­of­your­beef­growing­and­finishing­systems­cheltenham/ To book your FREE place ring the AHDB Beef & Lamb events office on 01904 771211 or email brp.events@ahdb.org.uk Join AHDB Beef & Lamb for this BRP Beef Finishing Roadshow on Wednesday 27th January, from 7pm – 9.30pm at The Olde Sun, Middle Street, Nether Heyford, Northamptonshire, NN7 3LL. Join AHDB Beef & Lamb and Dr Jimmy Hyslop from Scotland’s Rural College (SRUC) to learn more about the latest research relevant to beef growing and finishing systems and discuss what tools are available to improve the technical and financial efficiency of those enterprises. Full details available at: http://beefandlamb.ahdb.org.uk/event/improving­the­efficiency­of­your­beef­growing­and­finishing­systems­northants/ To book your FREE place ring the AHDB Beef & Lamb events office on 01904 771211 or email brp.events@ahdb.org.uk Join AHDB Beef & Lamb for this BRP Beef Finishing Roadshow on Thursday 28th January, from 7pm – 9.30pm at Staffordshire County Showground, Weston Road, Stafford, Staffordshire, ST18 0BD. Join AHDB Beef & Lamb and Dr Jimmy Hyslop from Scotland’s Rural College (SRUC) to learn more about the latest research relevant to beef growing and finishing systems and discuss what tools are available to improve the technical and financial efficiency of those enterprises. Full details available at: http://beefandlamb.ahdb.org.uk/event/improving­the­efficiency­of­your­beef­growing­and­finishing­systems­stafford/ To book your FREE place ring the AHDB Beef & Lamb events office on 01904 771211 or email brp.events@ahdb.org.uk Join AHDB Beef & Lamb for this BRP Beef Finishing Roadshow Event on Friday 29th January 2016, from 1030am – 1.00pm at The Brewers Arms, 10 Pontefract Road, Snaith, East Riding of Yorkshire, DN14 9JS. Full details available at: http://beefandlamb.ahdb.org.uk/event/improving­the­efficiency­of­your­beef­growing­and­finishing­systems­snaith/ To Register your FREE place, ring the Events office on 01904 771211 or email us: brp.events@ahdb.org.uk

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BRP Reducing Calving Difficulties & Improving Calf Survival Invite AT: The Teesdale Hotel, Market Place, Middleton­in­Teesdale, County Durham, DL12 0QG On: Thursday 11th February At 12:30 Join AHDB Beef & Lamb and David Black of Paragon and XLVets to discuss how to manage cows around calving time and resuscitate the calf if need be. Sam Boon, AHDB’s Breeding services manager will talk about how the use of breeding tools can reduce calving difficulties, with subsequent benefits for cow health and fertility, and calf performance. PROGRAMME:

12:30pm Arrival and registration with light lunch, tea and coffee 1:00pm Welcome & objectives of meeting – Steve Dunkley, AHDB Beef & Lamb

1:10pm Calving the cow and resuscitation of the new born calf – David Black, Paragon and XL Vets 2:00pm Using genetics to reduce calving difficulties – Sam Boon, Signet, AHDB Beef & Lamb 2:45pm Questions & discussion 3:00pm End

Sign up online, ring the AHDB Beef & Lamb events office on 01904 771211 or email the BRP Team BRP Reducing Calving Difficulties & Improving Calf Survival Invite Sign up now AT: Brampton Golf Club, Tarn Road, Brampton, Cumbria, CA8 1HN On: Thursday 11th February At 19:00 Join AHDB Beef & Lamb and David Black of Paragon and XLVets to discuss how to manage cows around calving time and resuscitate the calf if need be. Sam Boon, AHDB’s Breeding services manager will talk about how the use of breeding tools can reduce calving difficulties, with subsequent benefits for cow health and fertility, and calf performance. PROGRAMME:

7:00pm Arrival and registration with tea and coffee 7:10pm Welcome & objectives of meeting – Sam Boon, Signet, AHDB Beef & Lamb

7:20pm Calving the cow and resuscitation of the new born calf – David Black, Paragon and XL Vets 8:10pm Using genetics to reduce calving difficulties – Sam Boon 8:55pm Questions & discussion 9:00pm End

Sign up online, ring the AHDB Beef & Lamb events office on 01904 771211 or email the BRP Team Join AHDB Beef & Lamb for this BRP Reducing Calving Difficulties & Improving Calf Survival on Thursday 11th February 2016, from 1230pm – 3pm at The Teesdale Hotel, Market Place, Middleton in Teesdale, County Durham, DL12 0QG. Full details available at: http://beefandlamb.ahdb.org.uk/event/better­returns­from­reducing­calving­difficulties­improving­calf­survival­durham/ To register for your FREE place ring the Events office on 01904 771211 or email us: brp.events@ahdb.org.uk

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