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By: Jeremy Plesman
Ruminant Sales Coach and Ruminant Sales
Grand Valley Fortifiers
Over the past 5-10 years the agri-food industry in Canada and North America has experienced its first significant shift in a generation driven by science, nature, and economics. These changes have stressed the sector, leading to innovation and resilience among producers.

Key Drivers of Change

01. Scientific Advances: The use of sexed semen has allowed dairy producers to limit herd size while increasing output per animal and thus potential creation of more beef-purpose offspring.
02. Economic Pressures: Higher debt loads, increased input costs, and upward pressure on interest rates have stressed the entire sector.
03. Natural Factors: Droughts and challenging weather systems have led to a significant feed shortage, driving a downsizing of the North American bovine herd.

Impact on Dairy Producers

Dairy producers have faced pressures to downsize herds due to high input costs. The adoption of sexed semen into their breeding programs has reduced the need for surplus replacement heifers, allowing them to produce beef x dairy crosses. These crossbred animals have become a significant revenue stream, with day-old crossbred calves now worth $800-$1000, compared to $100 for purebred Holstein males a couple of years ago. This has increased cattle sales revenue by approximately $110,000 annually for a 200-cow dairy.

Future of Beef x Dairy Crosses

Beef x dairy crosses are not expected to replace the traditional cow-calf industry but will fill the gap left by the declining Holstein steer market. Historically, Holstein steers accounted for 20-23% of US beef production. The introduction of beef x dairy crosses will help support the beef supply as the number of cow-calf operators decreases due to industry stress and an aging workforce (average Canadian rancher was 58 years old in 2023). This change will never be able to produce enough of the beef x dairy crosses to replace the traditional cow calf industry, even with the increased beef x dairy cross production.

Future of Beef x Dairy Crosses

01. Improved Feed Efficiency: Crossbred calves gain weight quickly and finish in just 15 months.
02. Enhanced Meat Quality: These animals produce well-marbled meat, similar to pure beef breeds, but often slightly higher in grade as they place fat more interstitially, achieving more marbling and higher grades due to the Holstein genetics.
03. Consistent Births: Crossbreeding provides a steady supply of calves, aiding in consistent beef production.

Feeding the Beef x Dairy Cross animal

The beef x dairy cross animal represents a significant advancement in the cattle industry, combining the best traits of beef breeds with the established energy conversion genetics of dairy cattle, particularly Holsteins. This hybrid vigor, primarily from Angus crosses, results in a shorter, more robust build. This stature, coupled with the impressive energy conversion efficiency bred into Holstein genetics over the past 50 years, creates a unique and highly productive animal.

Growth and Feeding Strategies

These animals exhibit rapid growth when fed similarly to Holstein replacement heifers until they reach approximately 700 pounds of body weight (BW). At this physiological milestone, a strategic shift in their diet is crucial. By transitioning them to a diet rich in high-quality forage (fiber) while maintaining a relatively high starch intake, these animals can achieve exceptional average daily gains (ADG).

Dietary Targets for These Animals

For animals >700 lbs BW:
• Crude Protein (CP): 13%
• Undigested Neutral Detergent Fiber Intake (uNDFI) of BW: >0.75%, with total NDF around 30%
• Starch: <28%

For animals >700 lbs BW:
• Crude Protein (CP): >10%
• Undigested Neutral Detergent Fiber Intake (uNDFI) of BW: >0.60%, with total NDF around 25%
• Starch: >36%

In Western Canada, several feedlots have reported average daily gains (ADG) exceeding 5 pounds, with animals reaching market readiness at a commendable 15 months or less. This accelerated growth rate, coupled with high grading and yield scores, makes these animals highly desirable in the market.

Performance Metrics

A recent small-scale study involving 59 cattle processed over three months revealed impressive grading results:

30 Y1 scores | 26 Y2 scores | 3 Y3 scores

The yield scores, as correlated with the accompanying chart, provide a comprehensive view of the quality grades of these animals. This group achieved an impressive 20% Prime Grade and 71% AAA Grade, reflecting high yield scores. Remarkably, 91% of the animals shipped attained the highest grades of beef in the Canadian industry. These results underscore the potential of beef x dairy cross animals to not only meet but exceed industry standards for growth and meat quality.

Conclusion

The integration of beef x dairy crosses into the beef industry is a win-win for both beef and dairy producers. It enhances meat quality on a significant segment of the total product, improves feed efficiency, supports sustainability, and provides economic benefits. As this practice continues to grow, it will play a crucial role in shaping the future of beef production so now it is up to us to make sure we harness this new tool on both sides of the producer fence.

This article was written for the Winter 2024 Beef Grist. To read the whole Beef Grist, click the button below.