Rapid Communication: Variance component estimates for Charolais-sired fed cattle and relative economic impact of bovine respiratory disease.

Variance components were estimated and relative economic importance of bovine respiratory disease (BRD) was derived from 3 yr of performance, morbidity, and mortality data collected from a single beef cattle finishing operation. One thousand one hundred eighty nine of 12,812 Charolais-sired calves were treated for BRD during the finishing period. Weaning weight (WW), DMI, days to harvest (D2H), HCW, yield grade (YG), and marbling score determined by image analysis (MARB) were collected to quantify the economic impact associated with treatment for BRD. Observed means and (co)variances for carcass and production traits were used to simulate populations of 10,000 healthy and 10,000 BRD treated calves. A bio-economic model was developed to derive the economic value associated with the incidence and number of treatments for BRD during the finishing period. Carcasses from healthy calves were worth $58.28 more on average compared to calves treated at least once for BRD. Heritability estimates for BRD were 0.15 when the trait was measured as number of treatments (0 to 4), and 0.14 when measured as incidence (0 or 1). The model indicated that D2H had the lowest relative economic importance in this system, with a cost of $1.91 per head for each additional day on feed. Furthermore, the relative economic value of BRD morbidity was approximately 10.65 greater than D2H when recording the BRD phenotype as the number of BRD treatments. The economic values of HCW, WW, and DMI were 11.47, 5.15, and 3.61 times more important than D2H, respectively. This indicates BRD morbidity has the second greatest relative economic value in this system, with a one percent increase in morbidity associated with an average loss of $2.08 per head. These results indicate that BRD morbidity can have an equal or greater economic importance when compared to carcass and production traits during the finishing period. Further, this indicates the opportunity exists to increase the genetic merit for profitability during the finishing period by incorporating BRD incidence into terminal-sire selection indexes.