Michigan cattle producers unite to pursue market opportunities

Rural Cooperatives, March-April, 2005

Frustrated with the obstacles facing the beef industry and the challenges posed by bovine tuberculosis, a group of northeastern Michigan cattle producers have banded together to form North Country Beef Producers Cooperative. The group was formed to explore new marketing opportunities, increase profitability and provide educational opportunities for members.

In addition to working to strengthen their business skills, the 40 members also are educating themselves about vaccination, animal health and nutrition, genetics and management practices for cow/calf producers as well as backgrounders and feeders. As part of this effort, they approached Michigan State University (MSU) Extension, the MSU Product Center for Agriculture and Natural Resources, and the Michigan Department of Agriculture (MDA) to explore new marketing opportunities to increase profitability.

"The biggest challenge is finding new ways to market beef," says Dave Glenn, Presque Isle County MSU Extension director. "We are looking into value-added options to increase the profitability of beef producers in northeast Michigan. "Glenn is an innovation counselor with the MSU Product Center. He is working with a core group of seven of the cooperative's members to create a business plan and determine the best way to market beef using options that are feasible for the group. One option being considered is retained ownership--finishing the cattle rather than selling young stock--which will result in increased profitability.

"By feeding out our cattle, we don't have to worry about as many obstacles relating to TB--this removes one obstacle facing farmers in our area," says Marty Galbraith, a member of the North Country Beef Producers Cooperative. "One of the problems many of the producers face is that as individuals, they don't have sufficient cattle to attract buyers," says veterinarian John Molesworth, the co-op's executive director. "Forming a cooperative is one way of putting together larger groups of like kind cattle to attract buyers." For more information about the co-op, contact Marty Galbraith at (989) 826-3793.