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holstein
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<blockquote data-quote="traderaaron" data-source="post: 758333" data-attributes="member: 13840"><p>From first hand experience I can tell you that Feedlots do like feeding holsteins but they aren't the profit centers they might appear to be, the margins are consistent if you can get them to convert consistently but they aren't particularly large margins and you are tied up with large amounts of money over a very long time period if feeding them from 300#-1250 as many do. Now if you are custom feeding them then it's a nice deal because you sell a lot of feed.</p><p></p><p>Maybe someone else has vastly different experiences than I.</p><p></p><p>And those 700# holstein steers at the auction may very well have been a feedlots rejects, I see them all the time.</p><p></p><p>A more accurate look at the market would be 300# calf-fed holstein steer calves bringing upwards of $1.20. Forward contracted Fat steers bring a discount to the market so say you could get $92, with the higher cost of gain associated, generally speaking, that doesn't look like it leaves a big profit.</p></blockquote><p></p>
[QUOTE="traderaaron, post: 758333, member: 13840"] From first hand experience I can tell you that Feedlots do like feeding holsteins but they aren't the profit centers they might appear to be, the margins are consistent if you can get them to convert consistently but they aren't particularly large margins and you are tied up with large amounts of money over a very long time period if feeding them from 300#-1250 as many do. Now if you are custom feeding them then it's a nice deal because you sell a lot of feed. Maybe someone else has vastly different experiences than I. And those 700# holstein steers at the auction may very well have been a feedlots rejects, I see them all the time. A more accurate look at the market would be 300# calf-fed holstein steer calves bringing upwards of $1.20. Forward contracted Fat steers bring a discount to the market so say you could get $92, with the higher cost of gain associated, generally speaking, that doesn't look like it leaves a big profit. [/QUOTE]
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