Is there any way to make money in the cattle business?

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HDRider said:
sstterry said:
HDRider said:
I am not sure they would have to collude.

All they have to do is not buy until the feed lots get full and desperate.

How many days of inventory of frozen beef can packers have?
But it certainly doesn't look like there is a lot of price competition when they are selling to the retailers.

To a point retailers have no choice but to pay packer prices. They have nowhere else to buy.

I believe you are correct the current system has them perfectly set to buy cheap on on end and sell high on the other. We need to have an alternative for both individuals and groceries to sell and buy American meat more directly. Or better yet dismantle the conglomerate monopolies so that the remaining American farmers and ranchers can have a chance and to give American consumers a choice.
 
TennesseeTuxedo said:
Consumers want cheap. Anything that drives up the cost will not be well received.

I really believe that if some inks in the existing chain are removed that producers could supply consumers cheaper than the current model and still make better on our end.
 
Ky hills said:
TennesseeTuxedo said:
Consumers want cheap. Anything that drives up the cost will not be well received.

I really believe that if some inks in the existing chain are removed that producers could supply consumers cheaper than the current model and still make better on our end.

That would be terrific. I don't know how to make that work but hopefully someone can figure it out.
 
TennesseeTuxedo said:
Consumers want cheap. Anything that drives up the cost will not be well received.

A more fair market for producers, and a more fair price for producers does not have to translate into higher price beef.

Packers have driven up the price, and have driven up their profits by using cheap imported beef, sometimes labeling it as US Beef.
 
HDRider said:
TennesseeTuxedo said:
Consumers want cheap. Anything that drives up the cost will not be well received.

A more fair market for producers, and a more fair price for producers does not have to translate into higher price beef.

Packers have driven up the price, and have driven up their profits by using cheap imported beef, sometimes labeling it as US Beef.

Glen Beck has Thomas Massie (R-KY) on his program right now talking about this very topic.
 
TennesseeTuxedo said:
Consumers want cheap. Anything that drives up the cost will not be well received.

Not exactly cattle related but definitely consumer related. The other day I ordered 2 pair of MooreMaker fencing pliers a plier sheath and a wire strainer. The pliers were $58 each, the sheath was $21 and the strainer was $25. All this stuff is American made and top quality. At the local feed store they sell fencing pliers with a sheath for $11 and a strainer for $12, no tax and no shipping ( I paid around $30 in tax and shipping) Which do y'all think the average consumer would buy? It's gonna be the same with beef.
 
Lucky said:
TennesseeTuxedo said:
Consumers want cheap. Anything that drives up the cost will not be well received.

Not exactly cattle related but definitely consumer related. The other day I ordered 2 pair of MooreMaker fencing pliers a plier sheath and a wire strainer. The pliers were $58 each, the sheath was $21 and the strainer was $25. All this stuff is American made and top quality. At the local feed store they sell fencing pliers with a sheath for $11 and a strainer for $12, no tax and no shipping ( I paid around $30 in tax and shipping) Which do y'all think the average consumer would buy? It's gonna be the same with beef.

Same sort of deal. With all the no China, buy American going around the wife and I looked at all the coats in the closet. The wife has 8, I have 4. Only two were made in America. Both Filson coats of mine. I am certain they cost more than the other 10 put together. And I am also sure they will out last all of the others. America has been trained to buy cheap rather than buy quality. What is Walmarts sale slogan? Something like, spend less live better. It sure isn't buy quality it is cheaper in the long run.
 
I try to buy American too TT but it's hard to find American made products nowadays. I think the pliers and stuff I mentioned was around $192. Would have been around $35 for the Chinese stuff the feed store had and I would have gotten 2 sheaths. I'm all for Real country of origin on all food I'm just not sure it'll work. Seafood does the verified gulf wild or something like that but it's about 3 times the price, not sure how it's working out for them.
 
Lucky said:
TennesseeTuxedo said:
Consumers want cheap. Anything that drives up the cost will not be well received.

Not exactly cattle related but definitely consumer related. The other day I ordered 2 pair of MooreMaker fencing pliers a plier sheath and a wire strainer. The pliers were $58 each, the sheath was $21 and the strainer was $25. All this stuff is American made and top quality. At the local feed store they sell fencing pliers with a sheath for $11 and a strainer for $12, no tax and no shipping ( I paid around $30 in tax and shipping) Which do y'all think the average consumer would buy? It's gonna be the same with beef.

If beef producers didn't have the arbitrary regulation hurdles and could get their beef processed locally, and could sell direct I really think it could be done where consumers weren't paying as much as they are now. I know that the reality of that isnt going to work for everyone with the total of their market animals but certainly an opportunity to sell a few along that way could be beneficial. If there were co op type feedyards or some sort of management plan in place I think local producers could supply stores as well. I think that there is a percentage of consumers that would patronize locally raised beef especially if it was priced comparable
 
Ky hills said:
If there were co op type feedyards or some sort of management plan in place I think local producers could supply stores as well. I think that there is a percentage of consumers that would patronize locally raised beef especially if it was priced comparable

I have told it here before. Look at Oregon County Beef or Country Natural Beef. Both are one in the same. Google it they have a website. It is a coop of ranchers. There calves are all treated the same and sent to a feedlot together. It is not difficult to find feedlots will to custom feed a group of calves. But you do need numbers. 10 or 20 just isn't going to make it. Same with processing plants. Oregon Country Beef gets killed at Washington Beef which is owned by Agri-Beef. That is a privately family owned operation. They are not one of the big four but big enough to process around 1,200 a day. It takes volume for these companies to be interested. Again 10 or 20 just isn't worth their time. While you are on their website look at the number of restaurant and stores that sell their meat. That list is pretty impressive. One more time realize that it is going to take enough numbers to provide a product they want 365 days out of the year. That 10-20 head just isn't going to cut it. But while looking at this realize it didn't happen over night nor without considerable effort. If some of you are actually interested in how it works contact them. One of their contacts listed is Alex Oliver. He is the son of my next door neighbor in college...... Hmmm 50 years ago.
 
Thanks Dave.

https://www.countrynaturalbeef.com/

This is how it needs to be...

https://www.countrynaturalbeef.com/our-locations
 
Dave said:
Ky hills said:
If there were co op type feedyards or some sort of management plan in place I think local producers could supply stores as well. I think that there is a percentage of consumers that would patronize locally raised beef especially if it was priced comparable

I have told it here before. Look at Oregon County Beef or Country Natural Beef. Both are one in the same. Google it they have a website. It is a coop of ranchers. There calves are all treated the same and sent to a feedlot together. It is not difficult to find feedlots will to custom feed a group of calves. But you do need numbers. 10 or 20 just isn't going to make it. Same with processing plants. Oregon Country Beef gets killed at Washington Beef which is owned by Agri-Beef. That is a privately family owned operation. They are not one of the big four but big enough to process around 1,200 a day. It takes volume for these companies to be interested. Again 10 or 20 just isn't worth their time. While you are on their website look at the number of restaurant and stores that sell their meat. That list is pretty impressive. One more time realize that it is going to take enough numbers to provide a product they want 365 days out of the year. That 10-20 head just isn't going to cut it. But while looking at this realize it didn't happen over night nor without considerable effort. If some of you are actually interested in how it works contact them. One of their contacts listed is Alex Oliver. He is the son of my next door neighbor in college...... Hmmm 50 years ago.

Thanks Dave, I agree there would have to be a lot of planning and logistics involved in getting a new system going. That is something I have realized and yes it would take a large and steady supply to be viable. I have been saying for years that areas like we are in need to have some kind of option to pool calves together and send them to feed lots to either sell direct or retain ownership through feeding out. Now I'm of the mindset that there needs to be another option for selling direct to consumers or stores. With the amount of grain being produced in part of this state now it looks to me that some kind of co op feedlots may be possible closer to home. There are a few commercial vegetable producers in the area that sell to the grocery stores so I'm sure that there is some way to figure something out that would work. The current system didn't just happen overnight either.
 
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