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What makes US beef special?

Last week I received an email from the head chef at Keen’s, an award-winning NYC steakhouse, with the following question:  What makes US beef special?  He is going to Japan in May to speak at a New York foods festival and will be speaking on this topic, and wondered how I would answer.  Below is my reply:

Bill,
I’ve thought about your question the past few days, and while I didn’t have any grand epiphanies over the weekend, I’ll share what came to mind.
For me the first thing that comes to my mind, because it is our passion, is the integral part of cattle on the landscape.  North America is home to some of the world’s largest intact grasslands, which play key roles in air & water quality, plant and animal species diversity, and climate change mitigation.  The prairie was developed with bison and elk as a keystone species, and now cattle perform the function of the large ruminant herbivore.  The US beef industry’s foundation is these grasslands.  We have the ability to raise cattle, not in spite of, but in cooperation with a very important ecosystem.  Grazing lands are not a single-use resource, only providing food for humans via beef.  It provides a whole host of ecosystem services, something even a vegan can appreciate.  Even better, this is a regenerative system.  Cattle grazing, done properly, takes nothing away from the resource.  There are very few industries that can make that claim.
US farmers and ranchers have been ahead of the curve in adopting technology to improve the entire production cycle.  From genetic selection, to feed efficiency, to environmental impact, to food safety, we have the most advanced systems in place of any nation in the world.  This makes our beef more predictable, more safe, better quality (with all due respect to Kobe), and more economical than many competitors.  The processors and distribution networks also have very high standards and employ technology to ensure food safety all the way to the consumer.
There are some structural advantages we have as well.  With diverse climate and geography, the US can grow a lot of different things.  Our transportation network means we can move things (cattle and feed) to the appropriate places.  The cattle industry is integrated with other food and fuel systems, utilizing byproducts from the ethanol, soybean, potato, and sugar beet industries, among others.  The US farmers’ incredible ability to grow corn means we can finish as many cattle as we want on a very consistent and predictable feedstuff.  This lends itself to managing cattle flow out of feed yards, providing the processors and then consumers with a steady supply.  It also provides a more predictable finished product than using forage alone.  That said, we have the forage resources to finish cattle to fit grass-fed markets as well.  No matter the consumer preference, the US beef industry has the resource base to provide the eating experience desired.
I would be remiss if I didn’t mention the people who care for the cattle.  I guess I can’t speak to the traditions and values of cattlemen and women elsewhere in the world, but the for the American farmer and rancher it is a labor of love for certain.  The hours are long and the business climate is filled with uncertainty in markets and weather.  The skill set most farmers and ranchers have would make a lot of CEO’s blush.  Marketing, finance, HR, R&D, strategic planning, operations, succession planning, investing, biology, physics, zoology…these people are the original multi-disciplinarians.  Problem-solving ability develops out of necessity.  “Design thinking” has been a recent trend in Silicon Valley.  It’s been a way of life for generations for farmers and ranchers.
In a nutshell, I think American beef is special not just because of what it tastes like, looks like, or smells like on your plate – it’s the entire process leading up to that eating experience that makes it special.  It’s how cattle-raising in the US is not a zero-sum game, playing key roles in grassland ecosystems and upcycling resources thrown away by other industries.  It’s the way technology is leveraged to create efficiencies and safety mechanisms to provide highly dense nutrition at an affordable price.  It’s the passion that folks have in raising those cattle and caring for those resources.  I think these are what make American beef special.
But I also think Japanese beef is pretty special, which is why we using Wagyu and Akaushi genetics on our Angus cows.  They have a great history.
What would have you said?
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Clean Meat vs. The Real Thing: It’s not really a fair fight

I’ve been following the buzz around “clean meat” for a few months.  If you’re unfamiliar with what I’m talking about, “clean meat” refers to meat grown in a lab from actual muscle cells taken from a cow (or chicken or pig or wallaby or whatever).  I’ll refer to it as cellular agriculture (or cell ag for short) hereafter, because I don’t believe the meat we produce is dirty in the first place.  After hearing where cell ag is at now, and thinking through the possibilities of what could be, I truly believe it has the potential to cause major disruptions in the ag sector – beginning with those of us in the livestock business, but also impacting crop growers as well.

Ten years ago, the iPhone had been out for less than a year.  Most of us thought they sounded cool, but we’d never need one.  They were expensive, at least compared to my flip phone, and (at that time) didn’t have nearly as many useful functions as now.  Siri wasn’t a thing.  Ten years later, we can’t do without them.  They have allowed third-world nations to leapfrog over more primitive forms of technology.  They are cheap (well, maybe not iPhones, but smartphones in general), easy to use, are everywhere and connect to everything.  In less than 10 years.

I mention this only to remind you of how quickly technology improves and becomes indispensable and cheap.

I think cell ag has three huge advantages over natural meat production: consistency, modularity, and a short generation turnover.

Consistency.  With cell ag, they have infinitely more control over the environment those cells grow in than I do on the ranch.  I’m dealing with a diverse ecosystem, complete with interactions from a variety of plants, other animals, and the always-unpredictable South Dakota weather.  They have a lab.  Additionally, cell ag can basically replicate the same cells over and over again.  They have control on the cellular level, being able to pick the specific genes they want to propagate.  I, on the other hand, have to deal with an entire animal.  Whose genes might not match up with its’ mate the same way every time.  Even if my cattle are extremely inbred (which is not economically or biologically feasible) they would still have more variation than lab-grown meat.

Modularity.  I have to grow an entire 1400 lb critter to make a steak.  That means there’s probably 1350 lbs of “not steak” as well.  Cell ag could potentially make exactly the amount of steak, or roasts, or tongues, or whatever, that the market is asking for.  There’s no having to “get rid” of certain unusable or unwanted parts of the animal.  Also, since a single product is being created with cell ag, there is no multi-trait selection to mess with.  When I’m selecting genetics, I need to consider far more than just the eating experience; I’m needing maternal traits, docility, good mobility, proper skeletal structure, hair coat, the list goes on.  The more traits selected for, the slower progress becomes in any one category.   Cell ag doesn’t have that burden.

Along with this, with cell ag they can potentially create the exact quality in demand as well.  All it takes is one cell to start with, and they could crank out 100% USDA Prime beef every time.  Or, if lean beef is in demand, they could do that next time.  Want to add a certain flavor?  That could be baked in as well.  The possibilities are only limited by the consumers’ imagination.

Short generation turnover.   The 1400 lb finished steer we got those steaks from a couple paragraphs earlier didn’t happen overnight.  He was conceived almost 25 months ago.   The data points I collect from him and his siblings will inform breeding decisions for next year, but those progeny won’t be harvested until at least 30 months from now.  It’s a terribly long process.  I don’t know exactly how long it takes to grow these cells in a lab, but I am quite sure it is not measured in years.  If something needs changing, they can adapt so much faster than I can with live animals.

 

I’ve got more thoughts on this topic, but I’ll save them for another post.  So much is unknown at this point, but when “clean meat” hits the market (supposedly in late 2018) we’ll likely know more about how the consumer reacts.  I believe they will accept it, especially as it improves in quality, choices, and value.

If you’d like to hear an actual intelligent conversation about cellular agriculture from some guys who are involved in the cattle business, check out the Working Cows Podcast Episode 42.

It’s not a level playing field.  But that’s the nature of disruptive technology.  We best start preparing for that very possible outcome.

 

 

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From East to the West

After a little over 1200 miles from New York my summer adventure has begun.  Hi folks my name is Matt Kelley and I am the 2018 summer intern for Rock Hills Ranch.  I come from a small town in New York called Cobleskill, granted it’s not nearly as small as the towns around here.  I am one of three boys in my family, and my mom reminds us every day she always wanted at least one girl.  My family owns and operates a hardware store in our hometown, but it is not your average hardware store.  Along with the hardware side of things we also have a full service lumber yard, a feed mill, rental business and sell farm and ranch equipment as well as our own meat products all under the same roof.  Another business that fills the rest of our time is the farm.  We raise registered Alpine dairy goats and also have a herd of registered Angus cows.  Growing up I had always been a part of 4-H and showing animals across the state and country.  Once I got older I really focused on the cattle side of our farm.  I worked with my animals endlessly and always looked for ways to improve our genetics and chances of winning in the show ring.  This past May, I graduated from Penn State University with a bachelors in Animal Science.  I had always planned to move back and work in my parents business with them and one day hopefully pry my father’s hands off of the reigns and run it myself.  I decided that before I do that I should get other experiences working for different managers other than my father.  So I decided to apply for this ranch internship, since I had always wanted to move West and get an inside look of how cattle country really operates.  I’ve been here for a few weeks now and have tried to hit the ground running.  This experience has been all that I had hoped.  The terrain here in the Midwest is stunning and you can never have a bad day when your office is on the four-wheeler checking cows.  The Perman’s have welcomed me very graciously to their ranch and are a great family to work for and get along with.  The four kids are a breath of fresh air after a hot day of working on the ranch.  Luke has taken the time to make sure I understand why we’re doing certain tasks.  We also have very engaging conversations and Luke always has a different way of thinking about things than I do and encourages me to think outside of the box.  All in all the internship has been a great success and I am looking forward to the rest of my summer here at Rock Hills Ranch.