Market Issues

It is well known that beef processing is not readily available to most conventional and specialty cow-calf producers who are interested in retail organic markets. Without processing, producers cannot conduct meaningful market research followed by product and market development for specialty beef brands.

Once two three production units have been financed in our region, the operators will discuss contracts with the owners of locker plants and small packing houses. These contracts will center on custom processing for market research projects.

While market research is underway, the vast of majority of production unit cattle will be sold on contract to established feeders and packers.

Supply Management and Quality Control

My informal discussions with cow-calf farmers, feeders, and packers near Omaha, Des Moines, and Kansas City suggest some interest in grass-raised and grass-finished beef. However, both buyers and sellers are hesitant. Buyers want to know the producers. They also need reasonable estimates of the production potential and quality. Producers need forward contracts with experienced buyers. Both groups need production standards. 

Although production standards for organic beef are in place, the beef industry needs a systematic way to increase the number of quality grass-raised and grass-finished cattle – without the expense of organic certification during product and market development.

Proposed Production Standards

My proposed production standard addresses grain-versus-forage and medications. A clear production standard is the first step in evaluating consumer demand for beef produced on pasture-based organic farms. For more on this subject, please see Understanding the Different Kinds of Beef in the Marketplace.

Step 1 cattle would be produced without growth hormones, parasiticides, and antibiotics. These cattle would receive a conventionally produced ration.

Step 2 cattle would be raised without genetically modified (GM) feed and forage.  

Step 3 beef would be produced using Step 1 and Step 2 methods plus defined amounts of organic feed and forage (transitional or certified) expressed as a percentage of the total diet.

Step 4 cattle would be certified organic at birth and raised on a certified organic ration.

Step 5 organic beef would be certified as: 1) Grass-raised and grain-finished, or 2) Grass-raised and grass-finished

Please contact me for more information.

Thank you.

Jim Steffen
402-317-2639
jim@massenafarms.com

Posted 04-20-2024