ISU Extension
Agronomy- Extension
IA State Univ.
IA Dept. of Ag
IA DNR

Northwest Area Extension

October 2004

In this issue
Beef News
Strategic Business Planning -  Shape the Future of Your Dairy Farm Operation
Upcoming NW Area Dairy Events
Reduce Odor from Livestock Operations
Important Grain Harvest Information

Beef News
By Beth Ellen Doran, ISUE Beef Field Specialist

IQB at Tama – On August 20 Iowa Quality Beef at Tama announced it was temporarily closing their facility.

What is the impact on prices of the plant closing?  John Lawrence, Iowa Beef Center Director and ISU Livestock Economist, compared Iowa prices to other regions using Mandatory Price Reporting data and half-year intervals.  The data is weighted averages for Choice 2-3 live steers, weighing 1100-1300 lbs and 35% Select/65% Choice.

Iowa prices were higher than other regions in 2001 and early 2002; whereas, they were lower in late 2002 and early 2003.  The plant opened in July 2003 and started taking a lot of fed cattle in October.  Since then, prices have been higher.

While not all of the credit in price shift can be attributed to the IQB opening, it is responsible for a part of it.  It might be expected that Iowa prices may weaken relative to other states until the plant re-opens.  Efforts are on-going to find a new partner for the beef supply cooperative.

Changes in Pre-Conditioning Program – Cow-calf producers should note that there are three major changes and additions to the Iowa Cattlemen’s Association/Iowa Veterinary Medical Association pre-conditioning program.

Feeder calves are not considered to be pre-conditioned until they have been weaned for 30 days and accompanied by an official pre-conditioning certificate.  This is a pre-conditioning program, not just a vaccination program.

The Green Tag program now requires internal parasite control.  All vaccinations and health procedures must be performed by a veterinarian.  Owner/producer vaccination is not accepted in this program.

There is now a Gold Tag pre-conditioning program.  Calves are re-vaccinated 14 or more days after the first vaccination.  A gold tag is placed in the left ear of the calves above the green tag.  A Gold Tag Pre-Conditioning Certificate is signed by the veterinarian and producer/owner after the calves have been weaned for 45 days.  The gold tag indicates the calves have received a second set of vaccinations and have been weaned for 45 days.

Calves that have been green/gold-tagged but not weaned for at least 30/45 days may be sold, but they are NOT PRE-CONDITIONED and must not be represented as such.  The pre-conditioning certificate is not provided to the owner until 30/45 days after weaning.  For complete details, contact Beth Doran at 712-472-2576 or doranb@iastate.edu

Strategic Business Planning:  Shape the Future of your Dairy Farm Operation
By Chris Mondak, ISUE Dairy Field Specialist  

“Where do you want your dairy to be in 10 years?”  On August 4, fifty dairy producers from NW Iowa, Minnesota, Nebraska and South Dakota met in Sioux Falls to take on this question at a strategic planning workshop co-sponsored by ISU Extension. Speaker Marv Siekman, financial planner and business planning consultant, opened the meeting by asking participants to consider changes going on in the dairy industry nationwide: Herd size is shifting to more larger herds, number of herds overall is declining, new technologies and systems are achieving more milk per cow, competition and price fluctuations are increasing, and outlooks on family and personal goals are changing. As producers reflected on how these changes may impact their operations, Siekman advised dairy producers to use Strategic Planning. Here is a summary of key take-home points Siekman provided to workshop participants:

Why consider Strategic Planning?  It is a management tool. It is a method to produce decisions and actions that can shape and guide your dairy business. The process of strategic planning will engage you in a thought process that includes these components:

• Identify your objectives (including business, personal, financial, family, and retirement)

• Identify your resources (including assets, facilities, land, management strengths, credit, network, personal abilities of self and family members or partners)

• Set your priorities

• Create a common vision among your partners and/or family members

• Determine alternatives and more opportunities

• Analyze your current farm business

• Analyze alternatives

• Do a risk assessment and test assumptions

• Reach a decision point

Once you’ve completed this thought process, seek help to get a financial analysis of your business. Siekman stressed that this is critically important: “Top managers manage by the numbers!”  Seek out a financial advisor to help you complete and interpret these reports:  Budget Projection, Long Range Financial Projection, Sensitivity Analysis, Accrual Basis Financial Reports, Budget to Actual Reports, Enterprise Analysis, Returns to Labor Analysis, and Cost of Production Analysis.

All these reports are important, but the report to start with is your Cost of Production Analysis. This report will let you track your business monthly. In Siekman’s words, “This monthly information will keep your fingers on the pulse of your operation, and will keep your management team focused on staying competitive.”

To help interested dairy producers actually begin the strategic planning process, ISU Extension staff members are coordinating opportunities for one-on-one advising and small focused workshops. If interested in being on the list to receive information about these opportunities, contact Mary Victor, 712-472-2576; Ron Hook, 712-754-3648; or Chris Mondak, 712-737-4230.

Upcoming NW Iowa Dairy Events
Extreme Makeover --Dairy Style!  A Dairy Facilities Renovation Workshop
Nov. 2 - NW Iowa Community College, Sheldon                10:45 am - 3:00 pm, includes lunch
Nov. 3 - SW Minnesota, Edgerton, Pizza Ranch                 10:45 am - 3:00 pm, includes lunch

Expect to Excel -- A DHIA Dairy Production Records Workshop Series
Part 1 - Using DHI Records to Monitor and Manage Production and Nutrition. 
Nov 30 - Western Iowa Technical College –   Cherokee, IA   11am - 3pm
Dec 1 - Northwest Iowa Community College – Sheldon, IA   11am - 3pm

Part 2 - Using DHI Records to Manage Udder Health and Nutrition
Dec 7 - Western Iowa Technical College – Cherokee  11am - 3pm
Dec 8 - Northwest Iowa Community College – Sheldon  11am - 3pm

Registration fee for Expect to Excel: $20/session or $35 for both sessions.

Reduce Odor from Livestock Operations
By Dave Stender, ISUE Swine Field Specialist

A new publication, PM 1970a, is available for livestock producers.  It provides an overview, as well as the advantages and disadvantages, of different odor reducing technologies. 

Building odor can be reduced by filtration and biofiltration.  Some odors are attached to particles of dust, so by stopping the dust, odor from the building can be reduced.  Mechanical filtration reduces the odor dilution threshold by 40 to 70 percent.   Biofilters have reduced emissions up to 90% from power ventilated buildings.  Bacteria on the organic filter will degrade the odorous compounds into less odorous end products.  

Impermeable barriers are an alternative to filtering particles.  The idea is to stop or slow movement so the dust settles out.  Windbreak walls have been constructed with 10 foot by 10 foot pipe frames and tarpaulins placed downwind of the exhaust fans.  Landscape trees can act as a permeable filter for dust reduction by slowing particle movement and diluting concentrations of emissions.

Dust can also be reduced by oil sprinkling.  Vegetable oil sprayed or sprinkled in pens can result in a 40 to 70 percent reduction in odor.  The downside of sprinkling oil is the slippery condition of the pens and alleys thus increasing chances of injury from a fall.

The last strategy discussed to reduce odor is dietary manipulation.  Swine studies have identified trends toward reducing odor intensity by reducing crude protein concentration.  Protein concentration can be reduced while still meeting the feeding requirements of the pig through the use of synthetic amino acids.   Research to quantify reductions, after manure has been stored, are limited but some suggest as much as 20 percent odor reduction.

Producers have used additives, covers and aeration to reduce odors from storage areas.  Enzymatic or chemical additions are more likely to have a greater benefit on odor intensity in a dilute system than a slurry or solid system.  Odor reduction efficiencies of 70 to 85 percent have occurred when surfaces are completely covered by impermeable covers.  Bio-covers act as bio-filters on the top of manure storage areas.  Materials like straw reduce odor, in part, by reducing both the radiation onto the surface and the wind blowing over it.  The aerobic zone within the bio-cover allows the growth of bacteria.  These bacteria utilize some of the compounds of odor molecules.

The main strategy to reduce odors during land application includes injection and incorporation.   Field tests in Iowa demonstrate an odor reduction ranging from 50 to 75 percent compared to broadcast application. 

This publication, as well as other new publications about reducing odor from livestock operations, can be ordered online or at your local Extension Office.  Download from the ISU Extension website at: http://www.extension.iastate.edu/Publications/PM1970A.pdf

Important Grain Harvest Information
By Paul Kassel, ISUE Crops Field Specialist

Grain moisture content for safe storage.

Soybeans – sold by spring                      14.0 %
Soybeans – stored up to one year           12.0 %

Corn -   sold by spring                            15.5 %
Corn – stored 6 – 12 months                  14.0 %

Harvest losses – rules of thumb.

Soybeans

•  4 soybeans per sq ft equal one bu/acre loss.

• be sure to include soybeans in uncut stubble.

Corn

• 2 kernels per sq ft equal one bu/acre loss.

• 1 ear per 125 ft of 30 inch row equals one bu/acre loss.

• 1 ear per 100 ft of 38 inch row equals one bu/acre loss.

Hidden losses

When soybeans are harvested at less than 13% moisture

•  0.5 bu/acre loss per point of grain moisture.

•  example – soybeans combined at 10% moisture equals a 1.5 bu/acre loss (13% minus 10% equals 3% times 0.5 bu/acre loss/point of moisture equals 1.5 bu/acre loss).

•  actual losses are based on 40 bu/acre yield levels; losses are greater when yields are in the 50-60 bu/acre range.

•  this hidden loss does not include extra harvest loss that may occur when soybeans are combined at less than 13% moisture.

Cost of over drying corn – with on-farm high-temperature drying systems.

•  you lose about 4.0 cents per bushel per point of moisture for every point that corn is dried below 15.5 percent moisture.

•  this includes the cost of extra grain shrink and extra energy costs to dry it.

•  this assumes normal gas and electric costs for on-farm high-temp drying and a cash grain price of $2.00 per bushel.

 Example – corn dried to 12% moisture compared to 14% moisture (for long-term storage) represents an 8 cent per bushel loss.

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