Tagged Red Angus Cattle Are Hitting Carcass Targets

The Red Angus Feeder Calf Certification Program (FCCP) realizes the power that alliances and partnerships can crate. The FCCP was designed to help each segment communicate, and efficiently produce a product that meets these consumer demands.

Backed by a USDA process verified system for source and genetically identified cattle, the FCCP offers options for feeder or fed cattle that are "certified" as Red Angus. A great deal of effort has been dedicated to making the FCCP a leader in this arena, and significant consideration has been given to selection partners who share the same objectives, philosophies and concerns.

With this goal in mind, Excel Corporation and the FCCP have partnered for close to three years. The emphasis is to provide producers and feeders and avenue to market Certified Red Angus cattle, get rewarded for value, and supply branded beef premium programs.

In January, the Red Angus Marketing Agreement that Excel offers for tagged Red Angus cattle was renegotiated. This revision provides a considerable increase in carcass value over the base price when compared to the previous Red Angus Marketing Agreement. Further analysis also shows that it will do a better job pricing cattle when compared to other pricing mechanisms. This revised agreement offers:

Other purchasing options include Angus America, another prominent value-based pricing agreement that emphasizes premiums for quality cattle, or on a basis contract through the futures market. For producers who are not sure how their animals will perform at the carcass level, cattle can be purchased on a live cash basis or in the meat.

The table represents cattle that were enrolled in the FCCP and harvested at the three Excel plans in 2000. Overall, these cattle graded 67.3 percent Choice or better, with 28.5 percent qualifying for branded beef premiums. Furthermore, over 41 percent of the cattle received premiums for Yield Grade 1s and 2s, with only 1.5 percent receiving discounts for Yield Grade 4.

For more information on this alliance, contact the Red Angus Association's Marketing Department at (940) 387-3502.

On a related note, the 2001 Red Angus Sire Summary is now available. This year's summary includes EPDs for 1,599 active sires. Complimentary copies are available by calling their national office at 940-387-3502.