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May 6, 2004 Beef Systems Center of Excellence Continues to Gain Momentum If North Dakota fed and processed 500,000 head of beef cattle annually, the direct additional contribution to the economy would be $300 million, according to Greg Lardy, North Dakota State University Extension Service beef cattle specialist. Yet there are no large-scale slaughter facilities in North Dakota, South Dakota or Montana. Ninety percent of the region’s feeder cattle are shipped out of the region for finishing. Recognizing this loss in economic opportunity, North Dakota State University experts and industry professionals introduced the concept of a Beef Systems Center of Excellence. The plan is to provide leadership, scientific and business expertise to develop a vertically coordinated beef processing industry in North Dakota. On March 10, 2004, the Beef Systems Center of Excellence gained momentum when the North Dakota Association of Rural Electric Cooperatives signed a $1 million USDA grant to establish an Agriculture Innovation Center. The Center’s first project is the Beef Systems Center of Excellence. Adding to the grant money and contributions from private individuals, donations of in-kind services from NDSU, the North Dakota Barley Council, North Dakota Corn Utilization Council, Minnesota Corn Utilization Council and the North Dakota Soybean Council comprise the current project budget. Further contributions are being pursued, including a grant from the North Dakota Beef Commission. The Agriculture Innovation Center governing board, made up of the Commissioner of Agriculture, the four largest commodity groups, (wheat, cattle, soybeans and sugar beets) and the two largest farm organizations (Farmers Union and Farm Bureau) will contract with NDSU for technical assistance to beef producers. The NDSU team includes Lardy, Ken Odde, Paul Berg and Marty Marchello. These individuals, with the help of farm organizations and commodity groups throughout the state, intend to fulfill their first objective within the next 18 months by developing the Center of Excellence, which will include a slaughter and fabrication facility in close proximity to NDSU. According to Lardy, the Center of Excellence is seeking business partners to manage the slaughter, fabrication and marketing aspects of the plant. The demonstration facility will be capable of handling 40 head per day and will provide internships and part-time employment for NDSU students studying meat science. However, Lardy also sees the facility serving a much broader purpose. “We hope that it will spur additional development throughout the state,” he says. The Center of Excellence team predicts that small slaughter and processing plants for regional markets would be an asset to North Dakota producers, because of the potential to reduce shipping costs and increase marketing options. Wade Moser, chairman of the Agriculture Innovation Center board of directors, adds that the Center of Excellence will create an opportunity to conduct greatly needed research in this and other areas. The second objective of the project is to enhance NDSU’s ability to provide research in the following disciplines:
Finally, the third objective, to offer outreach opportunities, will be accomplished by utilizing the research for classroom education and hands-on training activities. If you are interested in additional information about the Beef Systems Center of Excellence, contact Lardy at (701) 231-7660. ### Sources:
Greg Lardy, (701) 231-7660, glardy@ndsuext.nodak.edu |
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North Dakota State University |
