Details on how to implement a freezer beef program?

[Running Arrow Bill]

We are running a natural grass fed beef program. 10 to 14% CP bermuda and alfalfa for extra protein boost as needed. No hormones, steroids, antibiotics, or other foreign matter...

In our location in Texas Panhandle, the "commercial" cattle people rule. Local grocery stores rarely have any "premium" beef...might be different in Amarillo and Lubbock areas. Most of "local type" store customers are middle to low income + fairly large hispanic population. However, are probably a few customers who want our type of beef...but no inquiries to date. Others, go to Wally World or Sam's Club for their bulk purchases (we buy a lot of non-meat stuff from Sam's).

We do supply LH's to the Texas Longhorn Cooperative in Rice, TX. for their (in-progress) marketing program to Central Market and their stores (e.g., HEB). Will be more (hopefully) markets for the Farmer's Markets, Restaurants that the Cooperative is busy soliciting their business. As such, we don't expect this program to really take off until mid to late spring, 2009.

Our local processor is a non-USDA processor and stuff can't be legally sold that's processed by them. They also do a large Deer processing trade.

With all the "meat scares" in the USA (e.g., e-coli), it is very dangerous to sell any meat product as "packaged cuts" unless one has good product liability insurance and/or one's business incorporated to hopefully protect the principals in the business. Always the issue of "chain of custody" between the processor and retail consumer for product safety issues.

[forageconverter]

I put together a Calf Report for 2007 to 2008. You and others may find this interesting.

2008 Calf Report

September 20, 2007 Purchased 2 calves for $350/calf. (approx 400 lbs each)


Going Rate is $1.65/lb
Sold to friends @ 10% of $1.65 = $1.48/lb

Number 11 – Steer 1
Friend 1 – 321 lbs & Friend 2 – 321 lbs
Processing @ $40/kill & $0.38/lb = $142/half
Meat is $475.08
Total per half is = $617


Profit or Loss
Inputs $1,509
Sold $1,838
Profit $329
Or Paid $115+ processing for Meat

A lot of good information in your post. But it seems all your profit was made in the purchase of the calves. $329 profit for two calves is $164.50 per calf.

Assuming it cost 1.40 a day to keep a cow, and assuming a cow raises only one calf a year, those 400lb calves cost $511 to raise. Where you were able to buy them for $350 you saved yourself $161, which is about equal to your entire profit.

If one had raised these calves themselves, to make the same profit of $164.50, one would have to charge $80.50 more per half, or $0.25 more per lb hanging weight, which raises the total to price to $1.73 per lb hanging weight for the ten percent discount price.

To make the extra ten percent for the regular customers, one would need to charge close to $1.90 per lb in a $1.65 market. Can this be done? Or would we be right back where we started at the sale barn where it’s impossible to sell your calves for much more than the next guy who has no idea what he actually has in them and just takes whatever he gets?

[terra8186]

A lot of good information in your post. But it seems all your profit was made in the purchase of the calves. $329 profit for two calves is $164.50 per calf.

Assuming it cost 1.40 a day to keep a cow, and assuming a cow raises only one calf a year, those 400lb calves cost $511 to raise. Where you were able to buy them for $350 you saved yourself $161, which is about equal to your entire profit.

If one had raised these calves themselves, to make the same profit of $164.50, one would have to charge $80.50 more per half, or $0.25 more per lb hanging weight, which raises the total to price to $1.73 per lb hanging weight for the ten percent discount price.

To make the extra ten percent for the regular customers, one would need to charge close to $1.90 per lb in a $1.65 market. Can this be done? Or would we be right back where we started at the sale barn where it’s impossible to sell your calves for much more than the next guy who has no idea what he actually has in them and just takes whatever he gets?

The information was a lot better when it is indented in columns. The website pushed it all together and made it hard to read.

I want to start off by saying I have limited knowledge about this subject. I raised these calves hopping that I made some profit. At the end I figured out how I did. You may be right about the fact that I made the profit in the calves but I don't think I did. Calves usually go for $1/lb around here. I bought these thinking they were 350 lbs. They were probably 400 lbs when the guy delivered them. I bought these calves from a guy that his kids and him use them to practices roping. I probably have almost $1/lb getting them to 500-600 lbs that most people sell them.

I don't know the reason why these are weened by 200lbs and others are weened at 500lbs.

[Howdyjabo]

We are starting "Freezer Beef" this year--
check out my website--
feel free to comment - so I can improve it.

Hart Farm Freezer Beef
http://hart.stockdogjournal.com/

As an aside I had a lady make my web page- I thought she was real good and not expensive if anyone is looking to get a web page set up.

[skyline]

We are starting "Freezer Beef" this year--
check out my website--
feel free to comment - so I can improve it.

http://hart.stockdogjournal.com/

As an aside I had a lady make my web page- I thought she was real good and not expensive if anyone is looking to get a web page set up.

That is a very nice and informative website. Just curious, do you get many customers that have found you on the web? If so, about what percentage of your total customers?

[Howdyjabo]

I'm not counting on many people finding the website-- I wanted somewhere to send people to look so I didn't have to explain it over and over and over.

I have only sold a few so far- it started by word of mouth but I sent them to the site to cinch the sale

[HerefordSire]

We are starting "Freezer Beef" this year--
check out my website--
feel free to comment - so I can improve it.

http://hart.stockdogjournal.com/

As an aside I had a lady make my web page- I thought she was real good and not expensive if anyone is looking to get a web page set up.

Very nice! Do you make a living doing this yet?

[Howdyjabo]

Net yet but............"I have a dream"
My goal is 100 head a year-- might have to get into Labeled meat and individual cuts to do that though.
I wanted to wait to make that jump till next year after I get my teeth cut on the freezer calves-

[skyline]

I'm not counting on many people finding the website-- I wanted somewhere to send people to look so I didn't have to explain it over and over and over.

I have only sold a few so far- it started by word of mouth but I sent them to the site to cinch the sale

Makes sense. Even if they don't find you that way, I'm sure it does help to close the sale. I like it.

[forageconverter]

We are starting "Freezer Beef" this year--
check out my website--
feel free to comment - so I can improve it.

http://hart.stockdogjournal.com/

As an aside I had a lady make my web page- I thought she was real good and not expensive if anyone is looking to get a web page set up.

Looks like a nice site to me and answers all the common questions in a direct and simple manner.

My only recommendation, which may just be knit-picking, would be maybe use a more ‘consumer-friendly’ term for slaughter and kill, such as ‘processing’.

“All arrangements for slaughter(processing) must be made by the buyer. There is usually a long wait to schedule a kill(processing) slot so buy your calf (we require a $50 deposit) and make your kill(processing) plans months in advance.”

[terra8186]

Really nice website!!!!!

I agree with toning it down with the words kill and slaughter. It would also be nice to use a different word then calf. When people who are buying 1/2's and wholes, they think a calf refers to a new born. If you come up with a good word for a single finished freezer beef ______, let me know.

[Howdyjabo]

That has already come up in discussions
People seem to want to call them COWS-- but I flat refuse to call a calf a cow to pander to people not understanding the difference. And if I did it would turn off those that did understand the difference. The 1100- 1300lbs should clue them in that its not a baby
I tried yearling- but that really left them scraching their heads-
I get alot of input from non farmers- my family hasn't got a clue what I do.

I sent an e-mail to my web designer and asked her to change to "processing"-- Good catch on that one THANKS

[Howdyjabo]

Heres one to ponder if you would.

I keep getting people that want to buy a 800lb calf-- so they don't have as much meat.
I have tried all the normal responses--- they won't be finished, the meat will be too expensive(meat:waste ratio) ; It would be better to find a partner to split the beef with to end up with less meat.
They don't get it- or don't want to get it.

If they want one that size--instead of letting them go somewhere else to get it-- what would the meat be like? What would the Yield be? Would the cuts be too small(strike people odd)? I don't mind selling them like that if I can still have happy customers.

[grannysoo]

I keep getting people that want to buy a 800lb calf-- so they don't have as much meat.

Would the cuts be too small(strike people odd)?

These people need to buy a quarter, instead of a half. People have buying habits that have been learned in the supermarkets, and tiny steaks are not part of it.

The meat would be great, but the T-Bones and others way too small......

[forageconverter]

You could maybe say steer or heifer? Or just say beef or beeves.


On your site, you give a good simple definition of what the hanging carcass is. But sticking with the consumer-friendly theme, and this is just another suggestion, maybe instead of saying:

“The hanging carcass is basically the animal minus its guts, head and hide.”

You could say:

The hanging carcass is basically just the meat, bones, and excess fat of the animal.

Your definition is better, but I don’t how “minus its guts and head” will come across to the average consumer.