Changes in Beef Industry Go Beyond the Numbers by Nathan Gregory Forestry Experiment Station
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MISSISSIPPI DEPARTMENT OF AGRICULTURE & COMMERCE • ANDY GIPSON, COMMISSIONER VOLUME 93 NUMBER 10 MAY 15, 2021 JACKSON, MS Changes in Beef Industry Go Beyond the Numbers By Nathan Gregory Forestry Experiment Station. erations want to see in their beef.” 600-pound steers was about $145 pandemic restrictions. MSU Extension Service The COVID-19 pandemic forced One of these demands, he says, per hundredweight during the “Demand for steaks is influenced Rivera to deliver educational pro- is for locally produced, locally fin- first three weeks of April 2021. by travel and dining at sit-down Mississippi’s beef cattle herd gramming in a virtual format ished beef. This price is up 17% compared restaurants,” Maples said. “As we size and farm inventory have not “National data suggest more with the same period a year ago, approach the warmer months, changed much in the last three instead of the traditional Exten- millennial consumers want to when cattle markets were disrupt- ground beef demand usually picks years, but changes are taking place sion field days and short courses. know where their meat comes ed by the pandemic. up as the primary grilling season elsewhere in the industry. Rivera had already seen a rising from,” Rivera said. “A lot of small- “The number of beef cattle and begins.” The most recent count from the number of younger producers en- er slaughter plants are scheduled calves in Mississippi and nation- At MSU research facilities on MSU Division of Agriculture, For- tering the industry, and they had out several months ahead to meet ally has been steady to slightly campus and across the state, re- estry and Veterinary Medicine lists no trouble with the transition to this demand. It’s a limited market lower over the past year,” said cent beef cattle studies have in- 920,000 head of cattle on 15,980 video conferencing. because only so many people have Extension agricultural economist cluded fattening cattle without a farms as of 2020. In 2018, the state “When we had to go virtual, the enough disposable income, but we Josh Maples. “Market prices the conventional stable, costs incurred had a head count of 930,000 on younger producers were Johnny- about the same number of farms. still have some room to grow.” past few years have hovered just by fattening beyond standard mar- on-the-spot, and that opened our However, consumer behavior A stable market is key to keep- above break-even levels for many ket weight, and using hay analysis eyes to the opportunity we have and strategies for raising beef cattle ing younger producers in beef producers, which prevented heavy to determine appropriate amounts are moving in new directions, said to engage with a diverse range of cattle production. Disruptions in liquidation but also didn’t encour- needed to supplement cattle. Daniel Rivera, a Mississippi State ranchers,” Rivera said. “A lot of the supply chain due to COVID-19 age many producers to expand.” In 2020, the state’s beef cattle in- University Extension beef cattle them are looking at different ways caused market instability, but con- Restaurant demand remains an dustry had a $261 million value of nutritionist and researcher with to market their animals and are ditions have steadied since. The important factor as the U.S. and production, which was a $12 million the Mississippi Agricultural and better versed in what younger gen- statewide average price for 500- to world continue to emerge from increase over the previous year. Commissioner Andy Gipson Visits McMurry Farms Three generations of McMurrys (L to R): Colton McMurry, Commissioner Andy They use cutting edge artificial insemination methods to guarantee their live- Gipson, Paul McMurry and Fred McMurry. The McMurry family in Hattiesburg, stock’s quality and size. They also raise breeding show cattle, super baldy and Miss., has been raising full-blooded Horned and Polled Herefords for years. F1 tigerstripe replacement heifers. Page 2 MISSISSIPPI MARKET BULLETIN May 15, 2021 Commissioner’s Policy Corner Buy ‘Local’ Opportunities Growing in Mississippi By Andy Gipson cial Assistance program, which is amount of $304,385 to purchase a Commissioner of administered jointly by the Missis- USDA-inspected mobile processing Agriculture and Commerce sippi Department of Agriculture and unit and modular cut and wrap fa- Commerce (MDAC) and the Missis- cility. The COVID-19 pandemic inter- sippi Development Authority. With • Juniper Creek Farms, LLC in rupted many aspects of our lives a priority to increase the processing Pearl River County, was awarded a over the past year. The pandemic capacity of USDA-inspected facili- grant in the amount of $70,000 to even impacted how we go about ties, the Board provided funding to construct an on-farm USDA-inspect- Andy Gipson purchasing our food. The closure of seven processors to expand their fa- ed poultry processing facility. restaurants, schools, and other food- cilities and production capacity. Through the expansion of cur- Commissioner service providers, disrupted the food • Attala Frozen Foods in Attala rently operating USDA-inspected supply chain for a time. While there County , was awarded a grant in the facilities and the construction of Andy Gipson Mississippi Department of was not a food shortage, foods that amount of $611,110 to expand its new USDA-inspected processing fa- Commissioner were being consumed outside of the USDA-inspected processing facility. cilities, Mississippi will be on track Agriculture & Commerce home, such as in local restaurants, The grant allows for the building to more than double the livestock ated during the pandemic to con- 121 North Jefferson Street had to be prepared at home. construction and the purchase of processing capacity in the state. The nect farmers and consumers look- Consumers had a difficult time Jackson, MS 39201 equipment. number of USDA-inspected facilities ing for local agriculture products. finding meat and other products • Homestead Farm and Packing that provide slaughtering and pro- The Farm Marketplace, found at Phone: 601-359-1100 in grocery stores as a result of the in George County, was awarded a cessing services to the public will MSFarmMarketplace.com, features www.mdac.ms.gov supply chain disruptions. Many con- grant in the amount of $49,700 to double. The mobile processing unit, local produce, meats, honey, as well sumers turned to purchasing food purchase new equipment to increase the first of its kind in Mississippi, Ag Museum products direct from local farmers. as a variety of other items. the processing capacity of their will bring the slaughtering compo- As the demand for local products 601-432-4500 The demand for ‘local’ grew expo- USDA-inspected processing facility. nent straight to the farm. increased over the past year, MDAC nentially – local meat, local pro- • Pitcock Processing, Inc. in This increased number of facili- Agricultural Theft Bureau has gotten Genuine MS® products duce. This demand led to a backlog Panola County, was awarded a grant ties will provide additional oppor- 1-800-678-2660 in front of consumers through pop- at local meat processing facilities. in the amount of $494,745.80 and a tunities for farmers and will poten- up stores at the Mississippi State Farmers were put on waiting lists of loan in the amount of $329,897.20 tially decrease the number of miles Aquaculture Fair, the Dixie National Livestock up to nine months to a year to get to construct a new USDA-inspected they have to transport cattle. The 601-359-1102 Show and Rodeo, and the Mississippi livestock slaughtered. processing facility and purchase fewer miles traveled means fewer Farmers Market. Just recently, the Board of Animal Health This hindered the farmers’ abil- equipment. expenses and less stress on the ani- 601-359-1170 ity to sell products to consumers • Cutting Edge Meat Co. in mals. And ultimately, the expansion Genuine MS® Store located perma- because they couldn’t get their ani- Greene County, was awarded a grant of livestock processing in the state nently in the farmers market allow- Bureau of Plant Industry mals processed in a timely manner in the amount of $350,000 to assist will make it easier for consumers ing shoppers to purchase Genuine 662-325-3390 leaving them with less supply to fill with the cost of constructing a new to find locally grown and produced MS® products six days per week. the growing demand. Again, not be- USDA-inspected processing facility meats – a win, win for our farmers I encourage you to ‘buy local’ Consumer Protection cause of a food shortage, but due to and purchasing equipment. and consumers. and ‘eat local.’ Check out MSFarm- 601-359-1148 supply chain disruptions. It quickly • A Cut Above Meat Process- The Mississippi Department of Marketplace.com to find a farmer became evident that a critical need ing and Market, LLC in Hancock Agriculture and Commerce has been in your local area; visit MSFarmer- Fairgrounds/Coliseum in the state was the need to expand County, was awarded a grant in the instrumental in creating additional sMarket.com to locate your nearest 601-961-4000 livestock processing capabilities. amount of $529,560 and a loan in opportunities to connect farmers farmers market; find a variety prod- To address this critical need, the the amount of $353,040 to construct and consumers making it easier for ucts grown, raised, crafted and made Genuine MS Mississippi Land, Water, and Timber a new USDA-inspected processing consumers to find local farm prod- right here in the Magnolia State at 601-359-1159 Resources Board accepted applica- facility and purchase new equip- ucts, while creating new marketing GenuineMS.com; and shop the Gen- tions from entities across the state uine MS® Store at the Mississippi International Trade ment.