Price for Finished Beef

[mudfork]

We took our slaughter steers off this morning, but the scales at the slaughter house were broken so I couldn't get live weights. In order to price for my customers, I'm going to have to back into a live weight estimate based on hanging weight. The steers will range 900 to 1200 pounds live weight. What do you guys feel is a safe hanging weight ratio to live weight. What do you think is a fair price per pound of hanging weight for angus steers in excellent condition, finished on 1 to 2 percent of body weight per day of 50/50 cracked corn/dry corn gluten for 90 days?

[hooknline]

Let me get my popcorn made.
I was charging 4.00/ lb hanging for natural raised grain finished. But I've been able to get costs lower and will drop to 3.50/lb hanging

[TennesseeTuxedo]

Let me get my popcorn made.
I was charging 4.00/ lb hanging for natural raised grain finished. But I've been able to get costs lower and will drop to 3.50/lb hanging

If your customer is willing to pay $4 why would you lower it to $3.50?

[hooknline]

Because I price it based on how much I have into it. My cost goes down and so the price does. Based on profit margins. It used to cost me 400 for calf at 350lbs, anywhere from 1.50 to 2.00 a day for 2 years plus about 200 in grain to finish. That's the main reason I started growing our own calves.

[hooknline]

And, the price includes hauling 1.5 hrs (one way)to butcher, .40/lb butcher cost and 45 dollar kill fee

[TennesseeTuxedo]

Why not price to the market rather than just covering your costs at set margins?

I always try to maximize my bottom line. (No, I'm not in the cattle business, just talking business in general)

[hooknline]

Because I sell to a lot of friends. they know how I grow em, how I operate, and know exactly what they are getting. Some might say I'm taking advantage (and I've been accused of that here verytime this comes up) , but I promise I'm not making enough profit to even worry bout it. Especially with online specialty retailers and whole foods charging 5/lb for ground.

[TennesseeTuxedo]

I don't see how anybody could accuse you of taking advantage using your methods hook. I'd buy from you if you were close to where I live.

[hooknline]

I can arrange shipping
Actually, I havnt sold anything in 2 years. People keep asking me to, but we changed a few things up with the breeding instead of buying and we are at that awkward in between stage

[circlebllc]

Mid MO area, just raised to $1.90 hanging weight. Figure a 40% loss from live weight. Customer pays all fees at butcher. Answer you are looking for?

[mudfork]

I thank yall for the comments.

[Farmerjon]

Here I am getting $2.50 a pound hanging weight. Customer pays processing.

[shaz]

4.30/lb finished and packaged. Grass finished is up to the customer when they pre-order. I've found that they really don't care if it's grass finished or not.

My kill weights are around 1000lbs.

[Kathie in Thorp]

Ours is $2.75/lb. on the rail this year (up 15 cents from last year), plus self-pay cut/wrap charge and proportiate share of $75 kill fee.

[HEREFORD ROADHOG]

I can arrange shipping
Actually, I havn't sold anything in 2 years. People keep asking me to, but we changed a few things up with the breeding instead of buying and we are at that awkward in between stage

So in the past 2 years , corn has doubled, protein is much higher , feeder calves are also higher ,so how are you possibly raising them cheaper ??? there's NO WAY ! Also , at $4.00 a # I can't see how you have many friends left. If you're not making much profit at those prices ,give up now.
I figure about 60% from live wt. to hanging wt. If the top end of the mkt is $1.20 you would be looking at $2.00 a lb. hanging wt. I deliver it to the processer ,the customer pays the processing & picks it up. I don't have to "take what I get" from the sale barn, pay the commision or other fees ,& I still would have to haul them ,so it's fair to eveyone.