Right now with calf prices being what they are, milk replacer costs, figuring some compensation for your time, it is cheaper to buy weaned started holstein steers for $.70- $.85 a lb. I figure that I have at least $300 in a weaned holstein steer calf; and he is going to weigh in the 275 to 325 range. So in essence, it costs me $1.00 lb to raise that calf. A 400 lb holstein steer will cost you $320 at 4 to 5 months, figuring 400 lbs @ $.80 /lb. There is no way to make money at it now. Most holstein bull calves will cost $100 or more right now. And anything that is straight beef will cost what you are saying; $200 to $400.
The only reason I do it is because I have nurse cows. They raise an average of 3 calves if I don't switch them out at 4 months for a second set of 2 more. So, at an average cost to keep a dairy cow @ $600 per year, two weaned off calves will pay for her and the third one is "free" . If I only have her raise 3 per lactation, she will wean them off at 400 + lbs per calf. That is extra feed for at least the first 4 months, plus all the hay and or grass she can consume. Since the holsteins don't bring as much as a beef calf, I will figure that they will bring me $350 each. Every year is different. Cost of the calf is a big thing. I try to find some cross calves as more dairyman are breeding their lower end dairy cows to beef. But those calves here will bring $150 to $250 on average. I do not buy from the stockyards, I buy direct from a farm and have a pretty good relationship with a couple of dairies that I do real good with their calves. Right now I have been buying some jersey/holstein cross heifers that will make me more nurse cows in the future. I have 5 nurse cows now and one will be leaving due to attitude with both the calves and the other nurse cows. She's a 2 teater too. Have 2 jersey heifers coming fresh in May and June. They will hopefully raise 3 each.
Son of Butch broke it down pretty good. Milk replacer has gotten more expensive for the good stuff. I kept track of how much "more " grain I fed for my nurse cows to feed 3 calves as opposed to only 2 a few years back. If you figure a beef cow costs us between $450 and $500 year to maintain, raising one calf, it wasn't too hard to figure I was putting an extra $100 in my dairy cows in grain. Got the extra 2 calves, they bring less than a good beef calf but there are 2. The thing is, I LIKE my dairy cows so it is worth it to me. Weaned 3 off one cow and she has 2 more on her. There were 2 holsteins and her calf which is a 1/2 angus. I will keep her heifer and sell the 2 holsteins. Have another I just weaned 3 off and she also has 2 more on her. The other 2 will only raise 2 each. The one cow will go with the 2 calves and my old guernsey will stay even though she only raises 2. I am trying for a guernsey heifer from her. She will take anything I give her so she has earned her place. The 5th one just calved with a 1/2 angus heifer and I have put 2 dairy cross heifers on her so they will likely all stay as replacements down the road.
I don't see any profit in bottle calves anymore. 20 years ago you could when they were costing $25 or so. Milk replacer was half what it is now and the holsteins were worth $.50 lb all the time, at any size. So if you had $175 in a calf and you got back $250 to $300 you could make a bit.
Beef calves are scarce here so can't say if they would be worth it but at $300 for a calf, and getting it to 350 lbs and looking good, it would be worth $1.75 lb here; that's a bit over $600. So you are seeing very little over costs at that size. If you can graze them, then maybe you will see a lower cost per lb input, and some profit at 600 lbs.
