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Do my enterprise risk management aligning risk with strategy and performance aerospace engineering capstone project ideas for money jugendknast hameln reportage photography the nation's AG bankers are meeting in Kansas City and one of the things they're talking about is what's going on in the cattle market and ross wilson who was CEO of the Texas cattle feeders spoke to them and he joins us now so Ross as we as we looked at cattle market has boy what a ride we've been on right volatility would be an understatement wouldn't it can it's been very interesting you know we peaked probably peaked this market back in the fall of last year in November when we saw fed cattle prices up in 174 175 and then fell out of bed you know with a historic decline in some respects to 115 to 120 some of that exacerbated by some really heavy weight cattle from the Midwest that were yield grade fours and fives and those enjoy a significant ten to fifteen dollar 100 way discount so the problem market probably was overbought back last November and certainly oversold too far to the downside we've had a nice very nice recovery since then and we think that will continue to trend up from here alright so how are the conditions going into the winter in your area around Texas well winter conditions are wonderful of course we have come out of the drought now three to four-year drought 14 was a good year moisture wise 15 has been a good year moisture wise for the western half of the state the eastern half of the state had gotten dry again but rains in the past couple month or so have been very strong and so we'll have an opportunity to end the year with some really good moisture prospects we hope that our friends in California on the west coast will enjoy some of that moisture also and hopefully El Nino will bring them out of the drought very tough drought that they're in so as you look at the overall landscape obviously I mean things start in Texas at the end the year you know with what goes on with that winter grazing and then it moves northward expansion were continued to hear reports and CEO reports of that cattle herd continuing to expand it probably has even expand a little quicker than that some had assumed well yes I think you've hit the nail on the head we are extending seeing expansion we're seeing record recovery or retention efforts to rebuild this cowherd and we're all very you know very positive and appreciative of that without the cow-calf sector the rest of us in the beef industry don't have a lot to do so we need that calc a producer to be profitable we but we also need to restore some of the numbers to our cow herd there's some infrastructure out there that we would like to Ryu ttle eyes again and you know during the drought liquidation we probably lost a million to a million and a half head those numbers are coming back and we we expect them to come back in a big way in the next two to three years so as we look at that one of the things that continues to be discussed and only from an economic standpoint but just filling the yard if you will is is is yarding more of those those those old cows to fill up some of that space is that something you think that is a is a viable option it may be it all depends on the forage that's available outside we saw some people experiment with that in a big way significant way fact some of our members experimented converted some feed yards to Cal drylock cow operations with significant success by and large if pastor is available we'd rather be out on pasture we can produce that cow in a dry lot situation it worked well I think by and large people would prefer to have the cow calf operation out on the pasture and to have those feed yards with the offspring a couple of issues in the news a recently one that we're seeming to wait for the WTO ruling on country of origin labeling what that could mean the cattle industry has been very much on the forefront working the halls of Congress Working other folks to say we want to make sure that we don't have especially the livestock industry really all of Agriculture be hurt by these possible retaliations by Canada and Mexico well it's an important issue we've talked for a long time that there are no benefits we've there's no not been any documented benefits of country of origin labeling and there's a lot of additional cost that has been placed on the beef industry so it puts us in a uncompetitive it situation with competing along with other things Canada and Mexico or two of our largest trading partners in fact in many years they'll be in the top three or top five of importers of us beef so we need to return that level playing field for lack of a better term we're hopeful that Congress will act on that in 15 if not we'll get to it in 16 to your point on the WTO those retaliatory tariffs are coming and some of them will land on us beef we don't need that drag on the marketplace we need to resolve this issue before Canada and Mexico get that final arbitration decision resolution from the WTO and start implementing tariffs the last issue is that's still very hot in the news especially social media is the antibiotic issue first we have subway coming out and saying they're going to want to go antibiotic free on their proteins well that is now changed and also the report out from the international agency that said that red meat and then processed meats or carcinogens it seems that there's a lot of misinformation a lot of hype but yet again it could have beef producers take their eye off the ball info producing good to healthy nutritious beef well you raised a couple of very difficult issues obviously beef producers number one goal is to produce a safe and healthy product we think we do a very good job of that I think Subway's recent announcement and then their partial retraction is a perfect indicator of some knee-jerk to pressures that are not really based on science judicious use of antimicrobials or antibiotics is a high as a top goal for all beef producers we have done that in the past we will continue to do that in the future we're embarking on some some pilot projects to identify more specifically what we are utilizing just to be more transparent about that whole process we think we do a good job we need to document that for the public and for the health officials shifting gears to the very unfortunate World Health Organization report which I would term as pseudoscience or at least a report that twisted other studies many of which were were not negative about red meat or processed meat consumption but this agent this committee respond those and brought them out as a negative a lot of the comments on social media the last 24 to 48 hours have indicated that people are seeing this for what it really is which is a response by folks that are negative to red meat consumption they've used this as an opportunity to throw another rock we had a similar report 10 years ago 12 years ago we worked through it we're going to work through this the science indicates that lean red meat is a health as a part a very important part of a healthy diet and it is not a risk of cancer one thing we didn't have 10 12 years ago is social media and I've noticed that a lot of ranchers the cattle producers are becoming engaged on way with their neighbors but with maybe those non-farm audience to to really to tell that story you're exactly right and to this issue of transparency we need as beef producers to be more forthcoming and transparent about the good job that we do and that our number one goal because we consume more beef than most not most urban consumers and suburban consumers our number one goal is to produce a healthy product for our customers and for our families all right Ross thanks a lot for the updates with a lot of issues thank you thank you can't appreciate it ross wilson who is the president the Texas cattle feeders Association has joined us as the AG view from Kansas City I'm Ken Rogers position paper on intellectual property Roberts Wesleyan College, Chili, near Rochester.