Alliance Specifications

Which target are you aiming for?

This is a question more and more producers are asking themselves these days, as they evaluate the end beef product their cattle result in. In response to the decrease in the real price of the feeder cattle, cow/calf producers have historically sought ways to decrease their cost of production. Now, as we face greater efficiencies and greater amounts of meat produced per cow, producers are looking for new and innovative solutions.

Alliances have been the industry answer to this situation. Alliances are working to address at least two current industry issues. First, alliances allow a producer to capture the value of his genetics further into the system. Assuming this chance for increased returns also places a greater level of risk on the producer though. Second, alliances are working to differentiate products into specific markets. This allows producers to target what market their end product can fill. As more and more consumers seek a more consistent beef product, alliances will be positioned to supply these specific products. It is not advisable to make a decision to market through any alliance without first assessing your operation's ability to meet individual alliance specifications.

The following link will take you to a USDA listing of current beef industry alliances.