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Valuing Fed Cattle Using Objective Tenderness Measures

Published online by Cambridge University Press:  26 January 2015

John Michael Riley
Affiliation:
Agricultural Economics, Mississippi State University, Mississippi State, MS
Ted C. Schroeder
Affiliation:
Agricultural Economics, Kansas State University, Manhattan, KS
Tommy L. Wheeler
Affiliation:
USDA-ARS, U.S. Meat Animal Research Center, Clay Center, NE
Stephen D. Shackelford
Affiliation:
USDA-ARS, U.S. Meat Animal Research Center, Clay Center, NE
Mohammad Koohmaraie
Affiliation:
IEH Laboratories and Consulting Group, Lake Forrest Park, WA
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Abstract

Beef tenderness is critical in consumer satisfaction with beef steak products. Current fed cattle valuation systems do not differentiate carcasses based upon tenderness variation. However, considerable research indicates consumers are willing to pay more for tender relative to tough beef steak. This article develops a tenderness-augmentation to current fed cattle grid pricing systems. Using a large set of actual carcasses, we determine that a tenderness-augmented price grid would reorder fed cattle value by on average nearly $5.00/cwt dressed relative to current valuation methods. Substantial opportunity is present to improve beef tenderness through new price signals to producers.

Type
Research Article
Copyright
Copyright © Southern Agricultural Economics Association 2009

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