Putting Down CAB?

[Frankie]

Just goes to show that a good looking bull doesn't necessarily mean good looking calves. :lol: :lol: :lol: :lol:

If this bull is Angus, will the calf get the "Angus Source" tag? :lol: :lol: :lol: :lol:

Yes. If the bull is a registered Angus bull, the calves can get an AngusSource ear tag. The grader at the packing plant will decide if it qualifies as CAB or not.

You might be surprised what a good Angus bull can do for a genetically mixed herd. We used one on a very mixed bag of commercial cows and got 80% Choice in the group we sent through the state feed out program. If we had kept the sisters of those bulls and used another bull that marbled, we'd have been ahead of most commercial producers around here. But we went with the registered herd instead.

 

[MikeC]

Just goes to show that a good looking bull doesn't necessarily mean good looking calves. :lol: :lol: :lol: :lol:

If this bull is Angus, will the calf get the "Angus Source" tag? :lol: :lol: :lol: :lol:

Yes. If the bull is a registered Angus bull, the calves can get an AngusSource ear tag. The grader at the packing plant will decide if it qualifies as CAB or not.

You might be surprised what a good Angus bull can do for a genetically mixed herd. We used one on a very mixed bag of commercial cows and got 80% Choice in the group we sent through the state feed out program. If we had kept the sisters of those bulls and used another bull that marbled, we'd have been ahead of most commercial producers around here. But we went with the registered herd instead.

One thing that I'm not surprised at is your comments. :lol:

A blind hog can find an acorn every now and then. :roll:

By the way. Food World, one of our local grocers is selling whole sirloin CAB brand for $1.88 per lb and CAB ribeyes for $4.88 per lb.

That's cheaper than select beef in a couple of other grocers here. Is this gonna be a trend?

That is, to be the "cheapest" too? :lol: :lol: :lol:

 

[Frankie]

Just goes to show that a good looking bull doesn't necessarily mean good looking calves. :lol: :lol: :lol: :lol:

If this bull is Angus, will the calf get the "Angus Source" tag? :lol: :lol: :lol: :lol:

Yes. If the bull is a registered Angus bull, the calves can get an AngusSource ear tag. The grader at the packing plant will decide if it qualifies as CAB or not.

You might be surprised what a good Angus bull can do for a genetically mixed herd. We used one on a very mixed bag of commercial cows and got 80% Choice in the group we sent through the state feed out program. If we had kept the sisters of those bulls and used another bull that marbled, we'd have been ahead of most commercial producers around here. But we went with the registered herd instead.

One thing that I'm not surprised at is your comments. :lol:

A blind hog can find an acorn every now and then. :roll:

By the way. Food World, one of our local grocers is selling whole sirloin CAB brand for $1.88 per lb and CAB ribeyes for $4.88 per lb.

That's cheaper than select beef in a couple of other grocers here. Is this gonna be a trend?

That is, to be the "cheapest" too? :lol: :lol: :lol:

Sure. If CAB can offer the high quality at the cheapest price, why not?

CAB set sales records in every category last fiscal year. I'm not too worried that Certified Charolais Beef is going to overtake them soon. Oh, silly me. There is no CCB, is there?

 

[MikeC]

If CAB can offer the high quality at the cheapest price, why not?

Simply because the novelty will be gone.

Kinda like when Cabbage Patch dolls went from $100 to $5. :lol:

That's exactly what you have now is a novelty.

 

[Angus In Texas]

This is purely a matter of jealousy..... if the breed association for whatever breed you are a member of had devoloped such a program and had it become successful you would support the idea. Reading through this history of the Angus Association, you see that there was a period where Angus cattle were losing market share rapidly to Charolais, Maines and so forth and that is when they developed the CAB program. CAB was never intended to make the public perceive Angus beef as being superior to that of other breeds. It was set up to provide a more consistent product for the consumer so that they knew what they were getting when they purchased meat. A lot of people do not understand Prime, Choice and Select. With Certified Angus Beef there is no level differentiation thus you know what you are getting every time. It was also developed to help sell Angus bulls to commercial producers by creating added value for their feeder cattle.

As for those who say that you can qualify any black hided calf as CAB, that may be true but the chances of a black hided animal not having any Angus influence is relatively small seeing as how most breeds have become black by introducing some angus influence. This influence may be very remote but the calf also has to meet quality grade standards thereby making the product consistent.

The biggest factor hindering the beef industry today is the consistency in the product..... when you order chicken or pork at a resturant for the most part you know what you are going to get in terms of flavor and tenderness but with steaks you never know what you are going to get... even if you raise your own beef the consistency is relatively deficient. This is as long as the cook is not to blame for the bad eating experience.

 

[Frankie]

If CAB can offer the high quality at the cheapest price, why not?

Simply because the novelty will be gone.

Kinda like when Cabbage Patch dolls went from $100 to $5. :lol:

That's exactly what you have now is a novelty.

Sounding pretty desperate there, MikeC.

CAB has been around for well over 30 years. I think after 30 years, it's not longer a "novelty". As I said, sales were up in every category last FY year. In fact, during that 30+ years, sales have gone up every year except 2001. In spite of the fact there are more branded beef programs, it doesn't sound like many customers are leaving CAB. But we're all still waiting for that CCB brand to hit the market. You're in the know, got any idea when the first package of CCB ground beef will roll out?

 

[MikeC]

CAB has been around for well over 30 years.

Yes, but they didn't do so well for many of those years.

I think they were on the verge of shutting it down at one time.

Right?

Heck yea sales will go up if you offer it at these prices. :lol: :lol:

How are the premiums working out since the change to include YG 4's-5's and up?

I'm hearing some guys ain't liking the $15 discounts just to get an $8 premium? :lol: :lol: :lol:

 

[Angus In Texas]

CAB was not profitable for quite a while upon its inception. But it was the firts branded beef program of course it would take a while for people to understand what it was and to start purchasing the product. Just like any company for the most part you are not immediately successful. However now there are several branded beef programs modeled after CAB.

 

[MikeC]

You're in the know, got any idea when the first package of CCB ground beef will roll out?

Believe it or not. I can sell to Laura's lean and make as big or sometimes bigger premium than selling to CAB.

They pay a premium for "on the hoof" weight, as opposed to carcass pay with CAB. :lol: :lol: :lol:

What would I need a "Brand" for? :lol: :lol:

 

[Angus In Texas]

Typically anything with a "Brand" sells at a premium to its generic partner..... Coca-Cola vs. Sam's Cola for example. Sometimes the branded product is superior and other times it's the same product from the same production line with different labeling.

 

[Mr. Greenjeans]

3waycross

-- The bull is a result of the neighbors angus jumping the fence into my granddads registered Brangus. He will be 3 years old in December. I am using him on our commercial cattle. Not bad for $700. I guess he is what is referred to as Angus +

 

[TexasBred]

Angus, first of all "Gig'em"...fightin' Texas Aggie Class of '68 here. And you are so "right on" with that last post. For whatever it's worth I bought some limousin beef from a friend down south and it was out of this world too.

 

[MikeC]

"However, the ensuing media coverage
backfired. Carol Tucker Foreman, an
assistant secretary of agriculture, read a
magazine article about the CAB Program,
believed it to be misleading to consumers,
and ordered it halted.Months of work
unraveled in the blink of an eye.
“We objected strenuously and made
numerous trips to Washington,”Colvin says.
“They claimed we hadn’t completed the
necessary forms. It was like chasing
bumblebees.You’d think you had
everything covered, and they’d come up
with another excuse for withholding
approval. It was like David and Goliath to
go up against the USDA."

 

[Frankie]

A History of the first 25 years of CAB.

http://www.cabpartners.com/facts/cabat251103AJ.pdf

Mick Colvin says having to go to DC and explain CAB to Sec Foreman was probably a good thing. It got the specs approved by the USDA and that probably saved problems in the future. The CAB brand got covered in the trade papers when Sec Foreman took the one stamp, and covered again when it was returned and CAB started rolling off the line. It's been a long, sometimes bumpy road since the program was first presented to the board, but it seems that the program is finally out of the woods and on the interstate highway.

 

[Frankie]

You're in the know, got any idea when the first package of CCB ground beef will roll out?

Believe it or not. I can sell to Laura's lean and make as big or sometimes bigger premium than selling to CAB.

They pay a premium for "on the hoof" weight, as opposed to carcass pay with CAB. :lol: :lol: :lol:

What would I need a "Brand" for? :lol: :lol:

Yeah, I see that Laura is looking for hamburger bulls, as long as they're "natural". And they don't want Angus; too much marbling.

"Laura's Lean Beef is constantly looking for exotic bulls (Limousin, Charolais, Simmental, Gelbvieh, etc.) to use in our ground products. We pay premiums for lean, heavy muscled cull bulls. We pay $100 per head premium above the slaughter bull market for bulls free of antibiotics and added growth hormones from birth until slaughter (cradle to grave). We pay $50 per head premium for bulls free of antibiotics and added growth hormones for 20 months prior to slaughter."


http://laurasleanbeefcattle.com/cattleBullPremiums.php

 

[mtnman]

CAB has been around for well over 30 years. I think after 30 years, it's not longer a "novelty". As I said, sales were up in every category last FY year. In fact, during that 30+ years, sales have gone up every year except 2001. In spite of the fact there are more branded beef programs, it doesn't sound like many customers are leaving CAB. But we're all still waiting for that CCB brand to hit the market. You're in the know, got any idea when the first package of CCB ground beef will roll out?

Well over 30 years? Wrong! I do not know of a single company that was kept in business for so long as CAB w/o showing real, rather than paper profit. While everyone was talking about big premiums with CAB, the average premium was only about $2.50 per head for the first 20 years of the program.

It was set up to provide a more consistent product for the consumer so that they knew what they were getting when they purchased meat.

Wrong! It was set up to help Black Angus breeders sell more bulls. What a great program. The effect was to make commercial producers buy more Angus bulls for a higher price. They fell for it. That is what is scary. They supported the AAA breeders for 20 years with only a $2.50 per animal premium, which doesn't account for the majority of the animals that did NOT recieve a premium (about 75% of the animals). It is sad what people can be led to believe. $500 per bull extra, while capturing a $2.50 premium on about 25 of his calves. Doesn't sound like a fair deal to me. Commercial guys paying extra for bulls, while not receiving enough premium to cover the extra cost.

Why is it that the AAA members know so little about the history of their own programs. I think it is probably because these folks haven't been around long enough to earn their keep. They are riding coattails.

mtnman

 

[Angus In Texas]

Sorry, in my lengthy post I forgot to say that it was partially designed to increase demand for Angus genetics... I was leading up to that by mentioning the loss of market share due to exotic breeds becoming stronger.

However, producers aren't stupid enough to be losing money every year for 20 years. The cattle industry is a business just like any other..... if you are losing money you change what you are doing. You don't continue to do it the same way.

Consumers drive the demand for beef, whatever breeding or quality that is does not matter. It is the producers job to supply enough beef at the quality the consumer demands and be profitable doing it. If you aren't profitable the business will fail.

And by the way I may not know the history to a T of every AAA program but I have tried to inform myself as much as possible. I'm only 23 years old and yes I haven't been around long enough as you say to earn my keep but I am most certainly not riding the coattails.

 

[MikeC]

Sorry, in my lengthy post I forgot to say that it was partially designed to increase demand for Angus genetics

Don't worry about it. No one read it anyway. :lol: :lol:

 

[Angus In Texas]

I figured that ;-)

 

[mtnman]

However, producers aren't stupid enough to be losing money every year for 20 years. The cattle industry is a business just like any other..... if you are losing money you change what you are doing. You don't continue to do it the same way.

Don't bet on it AiT. Even the CAB reports show that the premiums were so low as to be non-existant for the first 20 years. Producers give up heterosis to straightbreed, and there is no way that a $2.50 premium captured on only 10% (steers fed = cut the CAB acceptance rate by 1/2) of the calf crop outweighs the $70-$100 that a crossbred cow brings. Let's see, that would be gaining $0.25 per cow, while giving up $70, all while buying more expensive bulls. Producers have done exactly that! Anyone who sees it much differently is looking through "black-colored glasses"! It is a program about promotion and that is what it did. It promoted things so well, even the guys who invented it believed it.

Unless of course, you read the Angus "10 Reasons" column, then it is all worth it.

mtnman