Project
Beef Production Initiative – Development of a Beef Cattle Production Model (NDSU BeefSim)
Departments Involved
This is a multi-department project involving Animal & Range Sciences, Agricultural & Biosystems Engineering, and Agricultural Economics.
The role of each of these departments is as follows:
Animal & Range Sciences: This department provides biological production performance data for the development of the model. Also, data from the beef cattle research stations in the state will be used for model development and validation.
Agricultural & Biosystems Engineering: This department will contribute toward the animal waste management aspect of the beef cattle production system.
Agricultural Economics: This department contributes toward the economic analysis of the beef cattle production system.
Introduction
Livestock farm income accounted for 16-17% of the total agricultural cash receipts, or $523 million, in North Dakota for 1996. While independent livestock enterprises exist in North Dakota, a large portion of farm operations are diversified and include both crops and livestock entities. According to the North Dakota input/output model, the
livestock sector has the highest multiplier coefficient (4.49). In other words, for every dollar spent in the livestock industry, $3.49 is generated in gross business volume for the state's economy. The addition of livestock to an existing grain enterprise model showed an increase in returns on investment. With the reduction in income generated from government farm program payments over the next several years, addition of livestock
enterprises may be needed to maintain the number and viability of existing farms in North Dakota.
Cow-calf production is characterized by significant overheads and marginal returns with large differences between years and profitability among producers. Producers are challenged to take positive steps on behalf of management to evaluate and know their operations from both a cost and production standpoint to efficiently utilize
resources, lower production costs, maintain profitability and develop appropriate beef systems.
Considerable variation in actual value exists amongst feeder calves produced in the state associated with a variety of factors, including the ability to make rapid efficient gains on feed, carcass and quality of carcasses produced; the vulnerability to sickness and death loss; and the uniformity within marketed groups in
regard to age, size, and type. Traditionally the market has differentiated value primarily on weight and condition; and to a lesser extent on health status, breed type, and size of marketed group. Changes in cattle marketing and ownership arrangements are providing opportunities to be also rewarded for superior feeding and carcass merit which is envisioned to be reflected in greater differentiation of feeder cattle prices associated
with actual value than in the past. There is an educational need to assist producers in identifying and creating value in feeder calves produced, and developing marketing strategies to receive value for superior cattle. In addition to industry efforts to improve health status through preventative management (preconditioning) programs, further value can be created through selective breeding with breed-pedigree-source documentation and management to
create greater uniformity within calf crops. Closely tied to efforts to improve value in feeder cattle is a need for information on retained ownership, specification beef markets, and coordinated marketing efforts that identify value factors and allow opportunities to be rewarded for value.
Beef cattle are raised under a variety of production systems and environmental conditions. This lack of uniformity in production processes makes production decisions more difficult for beef producers. The cow-calf enterprise is a complex production environment in which the beef producers have little control over some of the variables such as
environment, forage quality and weather. In addition, the number of variables controlling the beef production enterprise is too many to incorporate in any decision-making on the part of the producer without the help of some kind of a computing tool. Computer simulation models have been used in understanding complex processes as well as tools for making decisions in operating such complex biological processes. These computer simulation
models can integrate large amount of data on a specific problem area and help the user in making right decisions in operating a complex system. Computer simulations are an effective way of using research findings and benefiting from such research work. The other advantage of a computer simulation model is that as new research data becomes available they can be incorporated to the model.
Relatively few beef production models have been developed in the past most of which are used for research purposes. However, the DECI model is being used by some beef producers in other states as a tool to facilitate decision-making. North Dakota beef cattle producers need a simulation tool that they can easily use to understand
beef production system and help them in making appropriate management decisions to economically run beef operation. We hope such a tool would be a catalyst in strengthening the beef cattle industry in the state of North Dakota. The existing beef production models as such can’t be used reliably here in North Dakota because these models do not take into account the local conditions and issues. Hence there exists a need for developing a suitable
beef production model for the state. In addition, as new research findings become available and new simulation techniques are found, the performance of such models can be greatly enhanced making them more usable in real world application.
