Local cattle producers are more optimistic about the coming production year after receiving news that the United States is preparing to reopen their border to live young cattle from Canada on Monday, March 7.

Canada is being considered a nation of minimal risk for BSE or bovine spongiform encephalopathy (BSE), commonly known as mad cow disease, in spite of a confirmed new case of BSE found in a dairy cow in Alberta last week.

"It's kind of what we've been looking for over the last 19 months. I think it's going to happen, even with this positive case showing up," said Brian Ross, the provincial president of the Saskatchewan Stock Growers Association, in an interview on Monday.

The Canadian Food Inspection Agency, the agency responsible for monitoring cases of BSE, confirmed on Sunday the dairy cow had BSE, but noted no part of the cow entered the food chain, either for human consumption or for ruminant feed. U.S. agriculture officials were told about the cow, and indicated this will not affect the March 7 border reopening date, as some instances of BSE are expected to be found as surveillance for the disease has increased substantially. The border is set to open to live Canadian feeder and slaughter cattle under 30 months of age, along with an expanded list of beef products.

"As we're testing some of the high-risk animals, we're bound to get some positives. It's going to get to be old news," said Ross, adding that Canada can find one or two per million head a year without changing their status as a minimal risk country.

The border to the U.S. and several other countries were closed to live Canadian beef in May of 2003 when one Alberta cow was found to have BSE, causing a widespread crisis through Canada's cattle industry. Lately the government has been encouraging Canada's meat processing industry to grow, which Ross says has increased production of domestic beef by some 25-30 per cent from a year ago.

Asked if he thinks there will be a turnaround in the industry in 2005, Ross replied, "I think there'll be a definite price increase. We won't know how much yet, but I would think 10 to 20 per cent. That could start fairly soon, because market will start speculating about the border reopening on March 7."

As for the older cull cows, Ross said it will likely be quite a while before these cows will be allowed into the U.S., although boxed beef products from older cows may start to be allowed, which would help producers out.

He added the increase in domestic production has begun to deal with the backlog of cattle, and now the border reopening will also help clear up the excess herd sizes.

Some producers have only been getting $150 for older cows, "which is nothing really," when the cost of feed and vet costs are factored in, said Ross.

"I think cattle producers are looking forward to a lot more positive 2005 than 2004 has been. Producers can't wait to get on to better things," said Ross, predicting that more international markets will reopen soon as well due to the U.S. decision.

Canada is also well-positioned with its upgraded BSE surveillance program, which includes ear tags that can carry information about the cow including its birthdate to prove its age.

"We can guarantee to these other countries what the age of the cattle is and whatever other information they would want to know. We're in a better shape to offer this than a lot of other countries are," he said.