This is not an easy question to answer because there is not a lot of data to help us formulate the outcome. There will be a cost to the cow/calf producer to initiate the ID system and some record-keeping associated with the process. The question that comes to mind first is, will the cow/calf producer get paid for implementation of this management system? The economists consider the beef industry in the United States a mature industry and it is difficult to expand a mature industry. There are a few ways to expand, or increase demand, in a mature industry:
1. develop new beef products,
2. expand the export market for beef and beef products, and
3. develop niche markets.
There may be more ways, but these are the ones that come to my mind first. the items mentioned above will need some age and/or source verification, and with that comes an identification system. So, will it increase the value of their calves? If the system increases the demand for beef, then by simple supply and demand, it should increase price. If ID is not a national system, there may be opportunity for individual producers to implement an ID system, which may fetch them more money. Feedlots that purchase their calves may have more marketing opportunities when the calves are finished.
