The U.S. Beef Industry Status Update and New Developments. Chris R. Calkins, Ph.D. Professor of Animal Science University of Nebraska Lincoln
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1 The U.S. Beef Industry Status Update and New Developments Chris R. Calkins, Ph.D. Professor of Animal Science University of Nebraska Lincoln
2 A Picture of the U.S. Beef Industry Seedstock producer Commercial cow/calf Backgrounding sector Feedlot sector Packing industry Retailer Consumer
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8 Consequences During the drought herds were reduced or liquidated and cattle numbers dropped lowest No. cows since 1951; Texas lost 24% from 2010 to 2014: Oklahoma lost 13% U.S. beef production was down 5% in 2014
9 Consequences Now, cows and heifers are being retained to rebuild the cow herd Number of fed cattle is down All at record prices
10 Examples Feeder calf prices up 45% Heifer slaughter down 8% Cow slaughter down 18% Carcass weights increased 10 kg in 4th quarter of 2014 (typically increase by 2 kg/year)
11 Underlying Message Better provide the quality that consumers expect and demand!
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13 Cutting the Shoulder Clod Ranch Steaks Flat Iron Steaks Petite Tenders
14 The Chuck is on a Roll! Chuck Eye Roll Underblade Delmonico Steak (Chuck Eye Steak) Country-Style Beef Chuck Ribs America s Beef Roast Sierra Cut Denver Cut
15 Anterior C B C H U C K A Posterior 116D Beef Chuck, Chuck Eye Roll C A Starting at the posterior end generate three one-inch Delmonico Steaks C Delmonico Steaks E Y E Country-Style Ribs can be generated from B or C B B Country-Style ribs can be generated from B or C Boneless Country-Style Beef Chuck Ribs America s Beef Roast. Can be generated From area C or B Internal fat may be removed and net applied to maintain shape America s Beef Roast
16 C H U C K U N D E R 116E Beef Chuck, Under Blade Roast C B A Follow natural seam to separate Rhomboideus (A) Trimmed Rhomboideus. Application: Beef Stew or Cubed Steak B L A D E Serratus ventralis (C) with Splenius (B) attached. Remove connective tissue from Splenius and separate from Serratus ventralis by following natural seam Sierra Cut (Splenius) Untrimmed Serratus Ventralis Posterior 116G Beef Chuck, Edge Roast (IM). Trimmed Serratus Ventralis Denver Cut. From the thick-end (posterior), cut steaks end to end ¾ to 1 thick
17 Beef Round - Components Heel Top Round Eye Knuckle Outside Round
18 Heel Gastrocnemius Digital Flexor Gastroc Medial Portion Gastroc Lateral Portion
19 Braison Cut Versatile cut that s delicious when braised Rich, juicy flavor Niche potential for upscale Restaurants Applications Makes a delicious Osso Buco for fine dining Perfect for comfort foods like Pot Roast Many options for Ethnic cuisine (Beef Round, Bottom Round, Heel 171F)
20 Chef Panel Research Braison Cut Reviewed by diverse panel of chefs (n = 11) High scores on: Taste Tenderness Chef Comments: Phenomenal. Lots of possibilities. Braising is beautiful. It produced an excellent sauce - pure profit.
21 Merlot Cut Lean and versatile cut; Very flavorful Preferred cooking method Grill or Pan-Broil Applications Ingredient for soups, stews, salads or tacos Center-of-the-plate as Country Fried Steak (Beef Round, Bottom Round, Heel 171F) Tenderize and season with wet or dry rub to heighten flavor and eating experience
22 The Heel Merlot Steak Braison Cut
23 Heel Pot Roast Boneless Beef Osso Bucco (Foodservice) Pot Roast (FS, Retail, Proc) Pot Roast (FS, Retail, Proc) Steak (FS).75 lb 3.5 lb 2.0 lb 1.5 lb
24 Top (Inside) Round COSMO Pectineus Gracilis Adductor & Semimembranosus Sartorius
25 San Antonio Steak (Adductor) Sensory Evaluations Consumers High overall like ratings Desirable flavor Chefs Potential for center-of-the-plate application Possible replacement for other steaks Applicable for casual or semi-casual setting
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27 estimates of impact Shoulder clod Chuck roll Round TOTAL IMPACT $50 - $70 per head $40 - $50 per head $20 - $30 per head $110 - $150 per head At 25 million head/year of young, fed cattle, the impact is $ $3.75 billion USD per year when fully implemented
28 Sirloin Caps from Alternate and Standard Break lb lb Carcass lb lb Carcass
29 Fiber Map for Extended Sirloin Cap Dorsal A n t e r i o r P o s t e r i o r Ventral
30 Array of cuts from the extended sirloin cap Posterior Anterior tip
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34 1929 Cutting Styles
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36 From Reuter et al., J. Anim. Sci. 2002
37 From Reuter et al., J. Anim. Sci. 2002
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39 Anterior C B C H U C K A Posterior 116D Beef Chuck, Chuck Eye Roll C A Starting at the posterior end generate three one-inch Delmonico Steaks C Delmonico Steaks E Y E Country-Style Ribs can be generated from B or C B B Country-Style ribs can be generated from B or C Boneless Country-Style Beef Chuck Ribs America s Beef Roast. Can be generated From area C or B Internal fat may be removed and net applied to maintain shape America s Beef Roast
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41 USDA Process Verified Never Ever 3 Refrain from using antibiotics, administering growth promotants, and feeding animal-sourced proteins to cattle. Consumers tend to associate natural beef labels with local, family farms and perceive this as a valuable attribute.
42 Natural and Organic Beef Many of these new beef products claim nutritional or wholesomeness superiority over conventionally produced beef. Science-based, peer-reviewed nutrition research reviews do not support such claims. Natural, grass-fed and organic beef refer to production systems that yield beef products which are similar in nutrient content, safety and wholesomeness to conventionally produced beef. Rick Machen, Texas A&M University
43 Organic Meat Sales are Very Low
44 National Restaurant Association Restaurant.org/FoodTrends
45 National Restaurant Association Restaurant.org/ FoodTrends
46 Foodservice Trends
47 Foodservice Sales Ground Beef is the number one selling beef item in foodservice and retail, totaling over 7.5 billion pounds (3.8 million tons) sold in 2013.
48 Foodservice Sales 2013 Emerging Cuts Flat Iron Steak Petite tender Ranch Steak Chuck Eye/America s Beef Roast Chuck Eye Steak/Delmonico Steak Denver Steak TOTAL 71 million pounds 43 million pounds 11 million pounds 33 million pounds 14 million pounds 2 million pounds 174 million pounds Note: During this period, T-bone and Porterhouse steaks sold 65 million pounds.
49 Retail Sales 2013 Emerging Cuts Flat Iron Steak Petite tender Ranch Steak Chuck Eye Steak/Delmonico Steak Country-Style Ribs Denver Steak Sierra Cut TOTAL 17.2 million pounds 3.2 million pounds <1 million pounds 21.4 million pounds 5.7 million pounds 1.3 million pounds 0.1 million pounds 49.9 million pounds
50 Value of Guaranteed Tender Beef Consumers are willing to pay a significant premium for guaranteed tender beef Checkoff-funded research: 1997 after tasting; $2.40/lb 2001 grocery store setting; $1.23/lb 2004 after tasting; $0.94/lb 2005 v. tender vs slightly tough; $2.09/lb Boleman; Lusk; Feuz; Platter
51 Value of Certified Tender Beef Increased margin Consumers are willing to pay a 30% premium for tender beef Beef Demand: Recent Determinants and Future Drivers The Beef Checkoff, 2013
52 USDA Ag. Marketing Service Tenderness Marketing Claim USDA Certified Tender: 20.0 kg SFF USDA Certified Very Tender: 15.3 kg SSF (USDA, 2012) Certify by direct measurement of tenderness (SSF or WBSF) or via classification technology.
53 USDA Tenderness Marketing Claim If the ribeye is certified tender, the following cuts are also certified tender: Certified Strip loin Tenderloin Ribeye Peeled Knuckle Ball tip Tri-tip Petite tender Top blade Underblade Not Certified Top sirloin Chuck eye steaks Bottom round Top round Eye of round Flank steak Skirt steak Total wt = about 150 lb/900 lb carcass
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