Improved prospects for rearing Holstein bull calves

Lower rearing calf prices, cheaper cereals, and an improving market for slaughter cattle, should already be making grain-fed, Holstein bull beef and rose veal more attractive to specialist finishers.

So says the National Beef Association which is aware that the economics behind Holstein bull calf rearing are suddenly becoming more favourable and cattle finished from this time next year are expected to be sold on a hungry market.

Replacement dairy heifers continue to be both scarce and expensive and as a result dairy bull inseminations in the milking herd remain at over 80 per cent. This is restricting beef cross calf supplies so much that some well established calf traders are complaining that they are unable to meet customer's orders..

One of the reasons for the heavy emphasis on dairy bull semen is a return at last to less unsustainable milk prices coupled with a shorter life within the herd for each cow. Because of this and because Holstein cows have longer lactations they now need to produce two calves to replace themselves.

In addition, TB is reported to be taking almost 1,000 dairy cows a week out of the system. The pressure from these two factors impacts on replacement heifer supplies and is not expected to ease in the medium term. It is likely that beef cross calves may soon become even scarcer, and even more expensive. Thus cheaper Holstein bull calves may emerge as an essential substitute.

Currently well presented Black and White bull calves are averaging only around £40-£45 a head and these attractive values are expected to persist as long as calf sales to Belgium and the Netherlands are restricted by the voluntary curb on export purchases from the UK.

In addition to this cereals are expected to be significantly cheaper throughout the 2008-2009 season. At present wheat is being quoted at £105-£110 a tonne off the combine and the forecast for October-November is £115-£120.

And although the current price for finished Holstein bulls remains an obstacle the NBA thinks improvements are in the pipeline.

Last week some feeders were paid 260p/kg for 0-3 carcases, although a more representative price range was 240-245p. These figures seem disappointing when it is considered that around 295p is said to be needed to put Holstein bulls in profit at 12 months.

However the sharp reduction in the number of beef cross calves available, which began in June, is expected to result in a 17-19 per cent fall in prime cattle output from September next year.

This should create a situation in which all available beef cattle will be in demand and much more expensive, all of which means that the cheaper purchasing and feeding costs behind turning out a properly finished Holstein bull at this time next year should have a more than favourable chance of being completely covered.

Rose veal remains an alternative too now that the Beyond Calf Exports industry group, which is supported by CIWF and the RSPCA, is backing the rearing of Holstein bull calves for both beef and veal in the UK.

Many farmers suffered in the past from the backlash created by invalid attacks on the UKs' high-welfare rose veal production and will feel that such backing is very late. A great number of useable dairy bull calves have been and continue to be slaughtered at birth because of unjustified vilification of British loose-housed straw-bedded veal production.