DNA technology will let the stud industry produce proven bulls at less than 12 months of age.

But it could also see a move to composite cattle bred for traits rather than breed, which puts a question over the future of breed societies.

This is according to Meat and Livestock Australia genetic improvements manager Rob Banks, who said while bulls were now six to seven years old before being proven, DNA markers could help to identify traits in bulls as young as six to seven months.

"The thing it will give the beef industry is the ability to select bulls and heifers much younger, we can double the rate of (genetic) progress," Dr Banks told a Team Te Mania gathering near Mt Gambier last week.

He said cattle producers had to achieve genetic improvement because costs of production were rising much faster than cattle prices.

Dr Banks said scientists could read up to 500,000 pieces of DNA information from a cow.

But this also meant that hundreds of thousands of records were needed on the performance of cattle to match the DNA sequence.

Dr Banks said the Brahman cattle breed had recently developed a marker-assisted EBV for tenderness and markers were being used to identify damaging genes that created problems such as fawn calf and curly calf.

"I suspect we will see a lot more of these," he said.

Dr Banks said once DNA markers were identified there was a chance these would be marketed by large corporations to produce composite cattle based on traits rather than breed.

This could leave studs working as contract growers and sound the death knell for breed societies. But the alternative role for breeders was to collectively test and market elite sires.

"I can see you (Team Te Mania) becoming an R&D organisation," he said.

Hamish McFarlane from Team Te Mania said the stud was progeny testing about 6000 cattle each year on team members' properties.

"There is an enormous data base out there for future research," Mr McFarlane said.

He said there was no similar organisation to Team Te Mania, which leases bulls to 38 clients, anywhere in Australia.

"Studs will survive, whether they survive the way they currently operate is the $64,000 question," Mr McFarlane said.