This is the 4th presentation in a 4-part series on the ethnic marketing of lamb and mutton. The presentation was given by Dr. Richard Ehrhardt from Michigan State University.

1. Ethnic marketing of lamb and mutton:
Part 4. Your production plan
Richard Ehrhardt Ph.D.
Small Ruminant Specialist
Michigan State University

2. Topics:
•Optimizing breeding, feeding and
management systems for specific ethnic
markets
•Estimating cost of production and evaluating
marketing options

5. Similarities and differences of specific ethnic demand in 2
market regions:
• Metro NYC lamb market:
 Milk fed lamb: Italian 35-45 lbs , Greek 45-55 lbs peak demand
Christmas and Easter, low demand otherwise
 Muslim/halal lamb:70-80 lbs liveweight, lean product acceptable,
peak demand Eid al-Fitr, Eid al-Adha but decent demand year round
 Greek restaurant trade-70-80 lb well finished lamb, demand
throughout the year but highest during outdoor cooking weather.
 Lots of farm gate sales, little farmer to retailer, many lambs sold
directly to wholesalers who distributes to small retailers, some
wholesalers and retailers buy from public markets (New Holland,
others)
• Metro Detroit (principally Dearborn):
 Milk fed lamb: exactly the same specifications and demand cycle as
NYC but much smaller market, lower prices
 Muslim/halal lamb and Greek restaurant trade mixed together into
category of “lite fat” lambs, 80-115 lbs, finished lamb with uniform fat
cover preferred, less emphasis on lean lamb
 Lots of farm gate sales, no farm to wholesale or retail, lots of lambs
sold both to wholesalers and retailers at public market

6. Ethnic markets are diverse, each with
unique dynamics:
•
Markets vary greatly in degree of
specification and in demand dynamics:



Demand is relatively consistent and product
specifications less rigid in some markets
Demand is short lived and intense with very
specific requirements in others
Demand and specifications of various ethnic
markets can be complimentary thus increasing
market options

7. Milk fed lamb market: Intense and short-lived
• How big is this market?
• Timing of Western and Orthodox (Greek) Easter holidays
affect marketing dynamics:
Price lower when holidays are on the same day
Best scenario for sustained demand (and profit) is when
Greek follows Western Easter.
• Premiums paid for finished, muscular, high-yielding lambs
• Best suited for accelerated production schemes as cost of
production is likely too high for annual lambing systems
• Decision to participate in this market should include
evaluation of the profit of selling the same lambs later at
heavier weights
• No lamb feeding facilities needed, facilities can be
optimized for lambing and nursing moms and babies

8. Accelerated production systems:
• 8 month system: 3 lambing periods in 2
years
• STAR system: 5 lambing periods in 3
years (7.2 month intervals).

9. Cornell STAR® system

12. Milk fed lamb market specifications:
• Young lambs with light meat color that are well finishedfast growth needed to meet age and finish requirements
• Lambs sold directly off moms, gaining >0.60 lbs/ day
• Genetics
 Maternal: aseasonal and prolific, modest frame size with muscle: Finn, Dorset,
Ile de France, Romanov
 Rams: Modest frame size, early growth pattern, heavy muscling, aseasonal for
spring breeding: Ile de France, Dorset, Texel, Southdown?
• Management:
 7-9 month birth intervals
 High plane of maternal nutrition
 Indoor rearing of lambs with access to creep feed
 Males not castrated
 Lamb sold directly off of dams-not weaned
 Proximity of slaughter house to farm is important as these lambs shrink and
loose quality quickly

15. Matching genetics to production system
and market endpoints:
Proportion of mature size
1. Growth: highly related to mature size but there is also
variation in shape of growth curve.
0.7
0.6
Ile de France
0.5
0.4
Suffolk
0.3
0.2
0.1
0
0
50
100
150
Days post birth
200

17. .
0.32 lb/day
0.74g/d
337 lb/day
17
22
33
45
(lb)
Ehrhardt R A et al. J. Nutr. 2003;133:4196-4201

18. Generalities regarding Muslim/Halal markets
•
•
•
•
Large market in many regions
Low marketing/promotion effort by industry and farmers
Consistent demand with clear peaks
Market standards vary:
Quality standards ill defined: uniform fat cover but not overly fat
(less than 0.2 inch SQ over 12th rib; yield grade <3)
Inconsistent premium for quality
Smaller carcasses desired (<60 lbs) compared to “traditional” market
Premiums sometimes paid for intact males and “unblemished” animals
Demand for quality, mature animals
• Quality standards can often be met with grazing/forage-based, low
input, low cost production systems
• Marketing experience suggest that this market may be trending
towards demand for larger lambs (previous 40 lb carcass standard
may be increasing to 50-60 lb)

19. What is the target carcass for the Muslim market?

20. Genetics and management for Muslim market
• Genetics:
Maternal lines:
 <170 lbs maternal size, prolific, parasite resistant?
 Many breed possibilities, “hair” sheep certainly fit this profile
Sire lines:
 Efficiencies gained by use of larger mature size, terminal sires
 Leaner standards (?) favor large terminal sires however extreme size
perhaps not ideal in smaller ewes in a pasture based system (higher
growth offset by greater mortality)
• Management:
Lambs can be fed on presumably lower cost feeding systems
(forage/grazing based) with zero or limited grain finishing as
slower grown, leaner carcasses fit market specifications
Good management is required to negate pasture system
limitations: higher predation risk, lower energy feeds, parasitism

21. Source: Dr. David Thomas, UW-Madison

22. Matching genetics to production system
and market endpoints:
1. Growth: highly related to mature size
250
Suffolk
Body weight (lbs)
200
150
Ile de France
100
50
0
0
50
100
Days post birth
150
200

23. • Efficient systems that use terminal sires also
use “maternal” sires to produce
replacement ewes.

24. EFFECTS OF SIRE BREEDS ACCOUNTING FOR
BOTH GROWTH AND SURVIVAL
216-DAY WEIGHT
CORRECTED FOR LAMB SURVIVAL, LB
117
Texel
114
Dorset
111
Romanov Finn
108
105
Suffolk
Dorper
Comp.
Katahdin
Ramb.
102
Data provided by Dr. KA Leymaster, unpublished

26. Lamb growth, intake, efficiency and cost of gain in
lambs grazing brassicas vs. fed grain in a feedlot
•Dorset x Finn x Rambouillet x Targhee x Ile de France lambs in
the during the 70-90 lb growth phase
Brassica
Grain
Average Daily Gain (lb/d)
0.384
0.76
Intake (% of bodyweight)
5.1
4.1
Feed:Gain
10.5
4.0
Cost of gain ($/lb)
0.25
0.60

27. What is the cost of production for various ethnic
market production schemes?
•True cost of productions calculations are achieved via a process
requiring refinement and adjustment over time-a laudatory
goal!
•Use estimates to get the ball rolling and then refine
•Major costs of production:
Feed
Facilities
Labor
Budget calculator suggestion:
http://www.omafra.gov.on.ca/english/livestock/sheep/business.html

28. Partial budget estimates for 3 ethnic market scenarios
Hot house
Muslim
Hot House/Muslim
Annual
Annual
Accelerated
Farm feed $/ewe/yr
130
100
160
Facility $/ewe/yr
40
10
45
Labor $/ewe/yr
40
30
55
Total $/ewe/yr
210
140
260
$/lamb
Lambs sold/ewe/yr
$/ewe/yr
110
1.5
165
144
1.4
201.6
140
2.3
322
Return on feed and labor
-45
61.6
62

29. Lamb return scenario from early November 2013
Cost of ewe
production
Cost of Lamb production
Weight
Feed:
Feed $ Feed/
Feed $/
Lambs sold/
Ewe Feed $/
Total
(lbs)
Gain
$/lb
ewe/year
ewe/year
lamb sold
Feed$/lamb
$/lb
lamb
-feed
40
1
0.15
140
2.2
64
64
3
120
56
50
2.5
0.15
3.8
140
2.2
64
67
2.8
140
73
60
3.5
0.15
9.0
140
2.2
64
73
2.5
150
77
70
3.65
0.15
14.5
140
2.2
64
78
2.2
154
76
80
3.8
0.15
20.2
140
2.2
64
84
2
160
76
90
4
0.15
26.2
140
2.2
64
90
1.8
162
72
100
4.3
0.15
32.6
140
2.2
64
96
1.6
160
64
110
4.8
0.15
39.8
140
2.2
64
103
1.6
176
73
120
5.8
0.15
48.5
140
2.2
64
112
1.6
192
80
130
7
0.15
59.0
140
2.2
64
123
1.6
208
85
140
8.5
0.15
71.8
140
2.2
64
135
1.6
224
89
lamb
Note: Risk and yardage not accounted for in this scenario
Market Market $/ $ lamb

30. Summary:
•Ethnic markets are diverse and vary greatly in carcass
specifications and seasonal demand
•Market diversity and seasonal demand can be complimentary in
nature and mesh efficiently with accelerated production
systems.
•Marketing options can be evaluated with spreadsheet
calculators to optimize marketing plans
•Hot house production costs are high and generally only
profitable when targeted using an accelerated production
system
•Muslim market standards are less specific and are almost always
a more profitable target of lower input, pasture-based
production systems.
•Good management is imperative for profit in all production
systems.

31. Richard Ehrhardt Ph.D.
Email: ehrhard5@msu.edu
Office: (517) 353-2906
Cell: (517) 899-0040