Farmers Deploy New DNA Test for Tastier Meat

When Mark Gardiner looks at one of his bulls, he sees generations of high-quality steaks.

By having his animals DNA scanned by a gene-testing firm, Mr. Gardiner, a Kansas cattle breeder, can tell nearly from birth how many pounds they are likely to pack on per day and how much rich, marbled beef their carcasses will yield.

U.S. cattle ranches, using technology developed by companies including food-safety firm Neogen Corp. and animal-drug maker Zoetis Inc., are conducting more-sophisticated genetic tests like the ones that give Mr. Gardiner a glimpse of his animals future. Advances in DNA analysis help veterinarians and breeders identify prize animals whose offspring will yield a larger volume of tastier steaksfetching producers higher prices from Cargill Inc. and other beef processors. Testing also can save money on animal upkeep by culling cattle with less-desirable genes.

Cattle breeders say such tests allow them to assess a bulls genetic value with the same accuracy as if it already had sired up to 20 calves.

Proponents describe the genetic analysis tools as Moneyball meets Bonanza. This helps give you a higher batting average, said Mr. Gardiner, 53 years old, whose family runs Gardiner Angus Ranch in Ashland, Kan.

The American Angus Association estimates that about 20% of the purebred animals registered under its breed in 2014 were genetically tested, up from less than 1% in 2010, when the Angus-specific tests became available. Two-thirds of commercial cattle ranchers in the U.S. say their cow herds include animals with Angus genes, according to the association.

Companies specializing in animal genetics and food science, including Neogen and BeefTek Inc., have joined Cargill and Zoetis in investing in the technology, betting that it can revamp the way cattle are bred in the U.S., the worlds largest beef-producing nation. Cattle breeders pay up to $100 an animal to conduct such genetic tests, which typically involve sending a blood sample off to a lab.

Soaring cattle prices are helping fuel investment in beef genetics. The nations cattle herd has dwindled to its smallest size in 60 years after years of drought in the southern Great Plains parched pastures and drove up feed costs. Tight supplies of steers and heifers have meant record prices for young beef cattle in the U.S., and retail beef prices were projected to climb 11% to 12% in 2014, according to U.S. Department of Agriculture estimates.

Some ranchers, anticipating bigger payoffs, now aim to rebuild their herds with animals boasting better genes, said Luke Bowman, spokesman for Select Sires Inc., an Ohio company that provides dairy- and beef-cattle semen to breeders. That is helping drive a surge in prices for high-quality breeding animals, Mr. Bowman said, with bulls fetching as much as $250,000 now, compared with about $50,000 four years ago.

Farmers and ranchers for centuries have picked sires to produce well-bred offspring. About four decades ago, cattlemen and beef industry groups began compiling statistics on individual animals including weight at birth and rate of reproduction. But it often took years to gather enough data to understand whether a bull or heifer was likely to pass on favorable traits to its offspring.

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Farmers Deploy New DNA Test for Tastier Meat