Hunting second BSPbackfires on beef profile
Hunting second BSPbackfires on beef profile
By Hannah Velten
CHASING the second Beef Special Premium (BSP) payment appears to be distorting beef marketing and compromising its value and quality, raising issues about the industrys technical efficiency.
For the first time, data from the British Cattle Movement Service (BCMS) has been studied by the MLC to categorise the exact age structure of slaughter cattle born in 1998 (see graph).
MLC economist Duncan Sinclair says the emerging pattern of 50% of steers slaughtered over 24 months and 30% of steers being kept until 27-30 months is partly influenced by the timing of the second BSP payment at just over 22 months.
The ideal graph would see most steers slaughtered at 21-24 months, says MLC beef scientist Duncan Pullar. "They should hit market specifications the day after they have earned their second BSP, as keeping them longer costs about 80-90p/day in extra feed and housing.
"By matching farm and animal resources, producers can ensure steers reach pre-planned target slaughter weights at the optimum date. Perhaps we are assuming producers have more control over animal growth than actually occurs, with cattle often traded many times over their lifetime."
It appears beef quality and value is being compromised by keeping older steers. Dr Sinclair believes the high numbers of steers aged 27-30 months confirms anecdotal evidence of animals being slaughtered in an under-finished state immediately before the Over Thirty Months Scheme limit.
It also helps to explain the leakage of more than 1000 steers/week into the OTMS. "Even when this slippage occurs with the poorest quality stock, they are only worth a quarter of their true value," he stresses.
Recent carcass studies also show about one-third of steers slaughtered at over 24 months classify R4L or better, compared with nearly two-thirds of 12-18 month old steers. "Processors commonly report cattle are too heavy or fat to meet target specifications when kept longer."
Although it is possible to finish quality steers under the present BSP regulations, the mid-term Agenda 2000 review could reduce the age at which second claims can be made. "This could allow more flexibility in the timing of cattle marketing and reduce the tendency for over-fat and heavy steers," says Dr Sinclair.
He adds a reduction in age limit could also allow more cattle onto the basic Extensification Payment Scheme because cattle under 24 months count as 0.6LU/ha, whereas animals over 24 months count as 1LU/ha.
But Dr Pullar questions the need for producers with steers of high growth potential, from a high Beef Value bull, to chase second BSP at all. "It is worth calculating carefully. Aiming for a finishing weight of 640kg at 22 months, rather than 600kg at 16 months will add on total production costs of £125/steer or 80-90p/day. "You may have received the BSP payment, but slower finishing is probably not worthwhile with a lower stock throughput." *
BEEF FINISHING
* Sell by 24 months old.
* Calculate second BSP benefit.