Helping cattle feeders manage business risk

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Every business comes with risk, but the savvy business person is one who manages and minimizes those risks.

That’s why ACFA partnered with Lethbridge College to create an Agriculture Business Risk Management (AgBRM) program. Available online, the program is designed specifically for managers and owners of agri-businesses, such as beef, pork, grain and oilseeds.

We spoke with Lyndsay Smith, industry liaison for agriculture at Lethbridge College’s Centre for Applied Arts & Sciences, to learn more about the new program. 

“Alberta Cattle Feeders identified the need for an increased level of knowledge of agriculture business risk,” said Lyndsay. “At about the same time, Lethbridge College and the University of Lethbridge had received a $5 million donation from Cor Van Raay, one of Southern Alberta’s most well-known agricultural entrepreneurs and a leading cattle producer, to develop the Cor Van Raay Southern Alberta Agribusiness Program,” she said. “It was a good fit for Lethbridge College and ACFA to partner to develop the online AgBRM program as the first initiative.”

The course is aimed at owners and managers of agricultural businesses. “Since the program focuses on financial and commodity risk management, it will help industry members face the volatility challenges we have seen in the commodity markets,” said Lyndsay. 

Flexibility to fit busy work schedules

Because the course is available online, students can fit it in around their work schedules. It is divided into 28 modules and two capstone (or culminating) courses. Students who do not wish to work toward the full certificate can take any modules that interest them.

The certificate focuses on financial and commodity price risk management. This includes:

    • Statistics for Agribusiness (optional)
    • Effective Communications
    • Financial Literacy
    • Currency
    • Introduction to Market Tools
    • Government Policy and Marketing
    • Market Fundamentals
    • Market Tools
    • Risk Tolerance and Policy
    • Market Equity
    • Successful Planning in Agribusiness. 

Healthy business, healthy economy

Business Risk Management has been a focus of the provincial government’s Growing Forward 2 (GF2) suite of products and services. GF2 provides “programs and services to achieve a profitable, sustainable, competitive and innovative agriculture, agri-food and agri-products industry that is market-responsive, and that anticipates and adapts to changing circumstances, and is a major contributor to the well-being of Canadians,” according to the province’s website.

Although grant applications are not currently being accepted, Lethbridge College’s AgBRM program is very much in alignment with Growing Forward, and ACFA believes that training business owners and managers in business risk management is a key contributor to a healthy economy.

You can read more about how ACFA contributes to a vibrant, healthy cattle feeding industry on our Initiatives page.

Infographic: How does Alberta produce world-class beef?

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Canadian beef – and Alberta’s in particular – is internationally recognized for its quality and taste. But what are the key difference makers in Alberta beef production? What sets our province apart?

Take a look at our infographic below to gain a better understanding of how Alberta’s cattle feeders produce world-class beef. For more information, check out our overview of beef production in Alberta.

Beef production in Alberta:

Beef production

Emissions research part 2: helping cattle feeders reduce their impact on the environment, and on their neighbours

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Last week on this blog we talked about a research project that is helping us understand the greenhouse gas emissions from feedlots. We explained why the project was needed and what it studied.

This week we continue our conversation with Dr. Sean McGinn of Agriculture and Agri-Food Canada to find out how the study will help Canada’s cattle feeders minimize their impact on the environment.

Early results

The study showed that 14 per cent of the ammonia emitted at feedlots is redeposited in the immediate vicinity of the feedlot, and reemitted into the atmosphere.  “That 14 per cent is a large amount considering a typical feedlot emits one to two tonnes of ammonia per day,” said Sean. However, it is worth noting that the amount of ammonia in the soil decreased by 50 per cent over a distance of just 200 metres.

Sean explained that the implications of this depositing and reemitting of ammonia is a mixed bag of good, bad and indifferent:

    • Improved crop production – if ammonia falls in soils that are low in nitrogen it can actually reduce the need for fertilizer and increase crop production.
    • Damage to ecosystems – when ammonia is deposited to a natural ecological surface – where plants have adapted to a specific nitrogen content in the soil – the loading of these ecosystems with ammonia can disrupt the plant composition.
    • No effect on feedlot odours – ammonia concentrations are often thought to contribute to feedlot odour, but the concentrations, even close to the feedlot, are well below the detection threshold concentration (as documented by atmospheric health studies) – feedlot odour is not related to ammonia release.
    • Neutralizing of atmospheric acids – when ammonia is emitted into the atmosphere, it can be transported long distances where it has a role in neutralizing atmospheric acids.
    • Potential for exacerbating respiratory problems – where the acids are in high concentration (associated with cities) and where animal agriculture is established, there is an accumulation of fine aerosols that causes respiratory problems for people living in the area. This can be seen in the Fraser Valley of B.C.

Moving forward

Feedlot operators are serious about operating sustainably and responsibly. With new measurement tools in place, it means our industry is better placed to minimize its effects on the environment, and also to help inform public policy.

As Dr. Karen Koenig, another researcher at Agriculture and Agri-Food Canada, explains in her article, ‘New methane and ammonia mitigation options in the pipeline’, there are immediate changes feedlot operators can make to reduce the ammonia emissions from their operations:

    • The amount of ammonia emitted from manure can be reduced by changing the amount of crude protein fed to cattle.
    • There are also new forages available that contain substances known to bind nitrogen in manure. “In research we look for win-win results that not only benefit the environment, but also increase efficiencies,” Sean noted. “The retention of valuable nitrogen in manure can result in a savings of thousands of dollars each day in fertilizer costs, while helping reduce atmospheric dispersion.”

To learn more about the research project, check out part one of this series, and be sure to read this earlier blog post, ‘What do you know about cows and GHG emissions?’.

Meet the team: Ryan Kasko, vice-chair of the board

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Here at the Alberta Cattle Feeders’ Association we couldn’t truly represent the interests of our industry without input from our board of directors. Comprised of the men and women who work in the cattle feeding industry every day, our board helps provide direction for all our activities.

For this week’s post, we sat down with Ryan Kasko, CEO of Kasko Cattle Company in Coaldale, Alberta, and vice-chair of ACFA’s board of directors, for another installment of our meet the team series.

Ryan grew up just outside Coaldale, the son of a cattle dealer, but it wasn’t until after graduating from the University of Lethbridge, with a bachelor of management degree, that he became involved in the industry himself. At that time he joined his father’s business, and two years later they decided to buy a feedlot together.

That was 20 years ago, and Kasko Cattle Company now has feedlots in four different locations. As it has expanded, it has also provided opportunities for other family members – Ryan’s wife, Shannon, is the office manager, and his brother and brother-in-law, and their wives, also work in the business.

“It’s an exciting industry to be in,” said Ryan. “The technologies we are using today are really sophisticated, and we’ve made significant improvements over the last 20 years, in the way we manage people and how we take care of the animals – it’s an industry that’s just been constantly changing and it’s great to be a part of that change.”

Helping the ACFA represent a changing industry to the government

Ryan has been on the ACFA board for five years now, a responsibility he takes very seriously. “It’s important to serve the industry,” he said, “and I’ve done that in different organizations through the years. I think the ACFA does a very good job representing cattle feeders in Alberta and I thought it was important I take my turn.”

“There’s been a lot of things going on recently,” continued Ryan. “New laws around labour standards and safety, and initiatives like the carbon tax have significant impacts on our operations. The ACFA works with government to help them understand the industry, and what we do every day – to help them make decisions that are going to work for our industry and the people involved in it. As a board, we help provide the association with direction.”

The Kaskos at home

With four children – one in middle school, two in high school and one in his first year of college – Ryan and his wife have a very busy family. They enjoy watching basketball together, and while his kids also play, Ryan says that watching is enough for him. For stress relief, though, he plays squash and competes in triathlons.

In other posts in our meet the team series, we introduced you to Bryan Walton, CEO, Page Stuart, past board chair, Martin Zuidhof, board chair, Casey Vander Ploeg, manager of policy and research, and Jennifer Brunette, manager of events and member services.

The top 5 cattle feeding posts of 2016

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We’ve been publishing our cattle feeders’ blog for a full year now – and as 2016 draws to a close, we thought it would be fun to look back and see which posts were the most popular. Here’s the list of the top five blog posts of 2016: Read more

3 feedlot myths busted

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What happens to cattle once they reach the feedlot? Because this stage of the cattle rearing process is conducted largely ‘behind closed barn-doors’, there are many misconceptions and a great deal of misinformation about what actually goes on. Read more

How technology is helping improve feedlot efficiencies

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If you’ve spent any time at a feedlot or on a cattle ranch, you might have noticed the numbered ear tags worn by each animal. More than a simple numbering system, these tags are sophisticated tagging and tracking devices that contain detailed, up-to-the-minute information about each individual animal.

Radio Frequency Identification (RFID) tags are part of an industry-driven program, administered by the Canadian Cattle Identification Agency, and have many different purposes, such as age verification and traceability. But they are helping with more than just tracking. At Cattleland Feedyards, RFID tags are an integral component of a Residual Feed Intake (RFI) research program being conducted in their Integrated Beef Research Station (IBRS).

To learn more, we spoke with Sarah Van Schothorst, a research assistant at Cattleland:

Q: How is RFID technology used to monitor cattle feeding?

Sarah: Here at Cattleland, we use a feeding system created by GrowSafe Systems to measure individual feed intakes. Each animal eats at a feed bunk, which is a large feed tub on weigh bars, or load bars, which measure the food given. The system automatically reads the tag and starts collecting data on the amount consumed. The data is wirelessly transferred to a panel in the feedyard and then to a computer.

Q: Why is it important to measure intake in this way?

Sarah: We use the technology to help us monitor the feed efficiency of potential breeding bulls. We are able to determine which animals are gaining weight while eating less, through the calculation of feed to gain ratios. This is called ‘residual feed intake’, and it’s an inheritable trait. Having technology available that allows us to monitor individual intakes allows us to select genetic lines that will be more cost effective and more environmentally friendly due to less consumption of resources during the animal’s production life.

The technology also allows us to identify individual animals with reduced intakes, leading to earlier detection of animals that will need treatment.

Q: Who monitors the data, and what actions might follow?

Sarah: This technology is fairly labour intensive. GrowSafe Systems monitors all of their systems and records the data for each trial, and for each cattle pen. At Cattleland, I work with the GrowSafe support team to ensure that the animals are in the best condition, feeds are delivered properly, and the system is in working order by doing necessary maintenance and any repairs. The bunks need to remain clean and the load bars free from debris that may affect weighing of the feed or data collection.

Q: How long has this technology been used?

Sarah: GrowSafe Systems developed the technology in Canada starting in the mid- to late 90s. Cattleland implemented its use in 2002-2003.

Stay tuned for upcoming posts where we will continue our technology theme, and look at other ways innovation is helping make the cattle feeding industry more efficient and more sustainable.

The evolution of the cattle feeding industry: 7 decades in our history

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As we’ve seen in previous posts, such as ‘Feedlots 101: everything you need to know about cattle feeding in Alberta’, this province is the hub of Canada’s beef industry.

Although ranching in Alberta started as early as the 1860s, cattle feeding didn’t develop as a distinct sector until much later than that. Here’s a very condensed history, showing how cattle feeding has evolved over the years: Read more

Feedlots 101: everything you need to know about cattle feeding in Alberta

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Did you know that Alberta has more cattle feedlots than all other Canadian provinces combined? Or that cattle feeding is the most value-added part of the beef production chain? Check out the infographic below to learn more about Alberta’s feedlot industry:

Read more

A day in the life of a feedlot operator

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Have you ever wondered what goes on in a cattle feedlot? You might be surprised to learn just how much work and organization is involved in managing thousands of head of cattle, and ensuring that each animal is fed, monitored and kept in a healthy, low stress environment.

For a taste of what a typical feedlot day looks like, join us for this beautiful video tour of Alberta feedlot, Kolk Farms Ltd. Enjoy the trip – and the lovely Alberta scenery!

As you can see, there’s always plenty to do – from ensuring that the cattle in each pen receive the correct feeding formulation, to moving cattle from one area to another, cleaning pens and moving hay.

If you enjoyed that video, check out this blog post to learn ‘five things you might not know about feedlots’.