I've been losing money

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cypressfarms

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I have been supplying two local nursing homes with beef for a few years now. I also sell calves to individual people as well, normally through word of mouth. I usually make more net profit (at least $100 - but usually more) per calf doing this. Any surplus calves go to the stockyard.

This morning I got a call from a woman who asked a ton of questions about what I do (She had heard about me from a mutual friend). Seems she had read that "grass fed" beef is better for her family years back, and insists on it. I was in a good mood and invited her over. She came out and I showed her what I did (the horse ride for her kids helped :) ) So I asked her to define "grass fed" or me. She said that any animal that grazes on natural grasses or feed is grass fed; in addition no growth hormones or antibiotics can be used. I asked her how much she normally paid for "grass fed" and my jaw dropped. She's been driving over an hour to get "grass fed" beef for the last 5 years or so. (This woman knows NOTHING about raising cattle themselves, but she's definitely done her homework on grass fed. It dawned on me that all of my calves are grass fed by her definition. We quickly made a deal for a calf, then I started thinking (always dangerous), many of us have grass fed calves! We could get in on this premium. If we do have a sick calf requiring antibiotic treatment, then said calf would go to the stockyard. Only calves without health issues would be kept as grass fed. I've since found that normal vaccines and wormers do NOT disqualify a calf from being "grass fed".

I keep detailed records just like everyone else (I assume) on each cow and calf; so it's easy for me to thumb through my notebook and see which calf, if any, needed antibiotics or was sick - I don't use growth implants. So within a couple of hours, my whole herd was transformed into "grass fed". Very strange indeed. Within an hour of her visit a locally owned market called me about my grass fed calves thanks to this woman. They have their own butchering facilities, and are looking for "grass fed" beef to market in their store for a premium.

So, today I've learned several lessons. First, and most important, is that the woman of the family makes the food buying decisions. Also, this woman is very well educated and takes her job very seriously - so much so that she reads up on the details of each type of food she purchases. This woman had detailed questions and wanted to see my pasture. She is also willing to pay much more for beef she considers superior to normal grocery store beef. She pays right at 40% MORE than I normally charge for freezer calves. So I guess I've been losing money......

I did call the owner of the nursing homes and told him that the beef was considered grass fed. He said it doesn't matter to him, his residents can tell when he buys from me compared to the normal beef supplier (a large contracting company). His residents can tell the difference in the hamburgers made from me versus the contractor... free advertizing!

Anyone have this experience??? I'm almost at a loss for words, which is rare for me!
 
inbredredneck":3p9otwis said:
cypress you as the producer first must obtain the grass fed label from the FSIS.


This sounds like red tape....... I hate red tape.

No I haven't adjusted my prices. The people that have been buying from me will receive the same deal. Maybe new customers will pay a premium
 
inbredredneck":3ceanl93 said:
cypress you as the producer first must obtain the grass fed label from the FSIS.
Not necessarily.....I raise 100% organic grass fed beef, and I sell it as such to private individuals. It's not certified by any government agency. I tell the customer how our beef is raised, they don't have to believe it, and they don't have to buy it. I have been asked by some "how can I be sure your beef is grass fed?" I say, if you don't believe me, don't buy it. Im okay with that, I don't have a problem getting it sold. I suppose if I was selling it to a restaraunt it would be a different story,...but then again,...I don't have "certified angus burgers" either.
 
I had a similar experience about three years ago. Was visited by a professor who was definitely a tree hugger type who was in the market for some beef. After seeing how I did things he was amazed at how I was a lone eco-friendly cattlemen amongst the world of factory farms. I tried to tell him that I wasn't doing anything special and most people I knew did essentially the same as I but he wouldn't have any of this. He was educated and knew better. He got some beef from me and later called and told me how great it was. He later called and asked permission to feature me and my ooperation in an eco-like website discussing how I do it.

I hate to say it but it appears to me someone has painted an awefully bad picture of cattle producers and farmers.
 
Jogeephus":38098fwv said:
I had a similar experience about three years ago. Was visited by a professor who was definitely a tree hugger type who was in the market for some beef. After seeing how I did things he was amazed at how I was a lone eco-friendly cattlemen amongst the world of factory farms. I tried to tell him that I wasn't doing anything special and most people I knew did essentially the same as I but he wouldn't have any of this. He was educated and knew better. He got some beef from me and later called and told me how great it was. He later called and asked permission to feature me and my ooperation in an eco-like website discussing how I do it.

I hate to say it but it appears to me someone has painted an awefully bad picture of cattle producers and farmers.

I keep hearing the cow/calf guys knocking grass fed because they claim all cows are grass fed. That is true the first part of life. Consumers don't have a problem with the cow/calf stage. It's the calves that get to the feedlot that they see as problems. Isn't that most of the beef produced?

Much of what happens in feedlots is a legitimate subject for criticism.
 
Jogeephus":1mmuzgnd said:
I hate to say it but it appears to me someone has painted an awefully bad picture of cattle producers and farmers.


You got that right. In my opinion, the country's media, as a whole, has gone way left, and as a result our country is getting soft. Policitally correctness has replaced good ol common sense
 
I would imagine that the vast majority of the folks on this board (except for the stocker guys) can call their cattle "grass fed". My cattle get nothing besides pasture grass, grain and loose minerals, so I guess I can call mine "grass fed" when I bring them to the stockyard. :lol2:
 
grubbie":1r23r66e said:
inbredredneck":1r23r66e said:
cypress you as the producer first must obtain the grass fed label from the FSIS.
Not necessarily.....I raise 100% organic grass fed beef, and I sell it as such to private individuals. It's not certified by any government agency. I tell the customer how our beef is raised, they don't have to believe it, and they don't have to buy it. I have been asked by some "how can I be sure your beef is grass fed?" I say, if you don't believe me, don't buy it. Im okay with that, I don't have a problem getting it sold. I suppose if I was selling it to a restaraunt it would be a different story,...but then again,...I don't have "certified angus burgers" either.


Cypress wrote "Within an hour of her visit a locally owned market called me about my grass fed calves thanks to this woman. They have their own butchering facilities, and are looking for "grass fed" beef to market in their store for a premium."


Now read that real slow, they are looking for "grass fed" beef to market in their store. Retail beef sales requires a USDA inspection. Selling USDA Grass Fed labeled beef not only will require an inspection but also a grass fed label approval for cypress by the FSIS. You are selling uninspected, unlabeled beef to some buddies of yours.
 
djinwa":3tcf54by said:
Jogeephus":3tcf54by said:
I had a similar experience about three years ago. Was visited by a professor who was definitely a tree hugger type who was in the market for some beef. After seeing how I did things he was amazed at how I was a lone eco-friendly cattlemen amongst the world of factory farms. I tried to tell him that I wasn't doing anything special and most people I knew did essentially the same as I but he wouldn't have any of this. He was educated and knew better. He got some beef from me and later called and told me how great it was. He later called and asked permission to feature me and my ooperation in an eco-like website discussing how I do it.

I hate to say it but it appears to me someone has painted an awefully bad picture of cattle producers and farmers.

I keep hearing the cow/calf guys knocking grass fed because they claim all cows are grass fed. That is true the first part of life. Consumers don't have a problem with the cow/calf stage. It's the calves that get to the feedlot that they see as problems. Isn't that most of the beef produced?

Much of what happens in feedlots is a legitimate subject for criticism.
The only person I have ever seen criticize feedlots is you.
 
inbredredneck":c6gkj6kw said:
You are selling uninspected, unlabeled beef to some buddies of yours.


Wrong!!! Every calf I sell is inspected and stamped by the USDA. They come twice a week to the butcher that handles my calves. It is entirely legitimate. I see why you have your user name. Don't assume, you might look bad.
 
cypressfarms":1fsxxuz5 said:
inbredredneck":1fsxxuz5 said:
You are selling uninspected, unlabeled beef to some buddies of yours.


Wrong!!! Every calf I sell is inspected and stamped by the USDA. They come twice a week to the butcher that handles my calves. It is entirely legitimate. I see why you have your user name. Don't assume, you might look bad.
Never said you did slick calm down, read slower. I went back and fixed that for you so you could follow along
 
djinwa":gieyngse said:
Much of what happens in feedlots is a legitimate subject for criticism.

Only if you're stupid and have no idea what is going on in the feedlot. Uneducated people giving opinions on something they know nothing about is the biggest problem we face. Feedlot cattle have a pretty easy life especially for something that was given a death sentence and a one way ticket the minute it was purchased for the feedlot.
 
Cypress Inbred is right if you sell to the the store for retail. Somebody will have to put the grassfed label on the meat to sell as grassfed. Who is going to do that you or the store??
 
robertwhite,

Your animals being fed grain will not comply with grass fed requirements. I believe the animals must consume only a forage-based diet, no grain.
 
Cypressfarms, your title for the thread is not quite correct. I don't think you've been losing money or you wouldn't still be doing it. You have just had your eyes opened to the fact that you have likely been leaving money on the table.

If the typical city/suburban consumer really knew and understood the production of beef, they would all want to buy direct from the producer. Not saying the beef industry is bad, just that parts of it appear very ugly to the uninformed who are on the outside looking in. It takes more work to get certifications, it takes more work to do marketing and work with people, it takes more record keeping than some are currently doing. But there is money to be made and relationships to be fostered and a lot of good education of consumers can be done in the process if you are willing to do the extra work. You already took the first step by marketing to the nursing home, are you willing to take a few more steps in the interest of making more money?? Good luck, whatever you decide!
 
Cypress, many small producers here have also glommed on to the term "grass fed" in selling halves, and are asking and getting hefty $$. Now, whether or not they are actually totally grass fed, I don't know. In the short time we've been in this, we pull the steers off pasture except for a couple acres for exercise, and we grain & hay finish for about 10 wks., which certainly costs more than leaving them out in the pasture. But our customers are happy, they keep coming back, and referring others -- we have a "waiting list" now for beef that won't be ready until next Nov. We've talked about doing otherwise (just grass) . . . . but haven't convinced ourselves that we'd be ahead if we did.
 
inbredredneck":ogfanajd said:
grubbie":ogfanajd said:
inbredredneck":ogfanajd said:
cypress you as the producer first must obtain the grass fed label from the FSIS.
Not necessarily.....I raise 100% organic grass fed beef, and I sell it as such to private individuals. It's not certified by any government agency. I tell the customer how our beef is raised, they don't have to believe it, and they don't have to buy it. I have been asked by some "how can I be sure your beef is grass fed?" I say, if you don't believe me, don't buy it. Im okay with that, I don't have a problem getting it sold. I suppose if I was selling it to a restaraunt it would be a different story,...but then again,...I don't have "certified angus burgers" either.


Cypress wrote "Within an hour of her visit a locally owned market called me about my grass fed calves thanks to this woman. They have their own butchering facilities, and are looking for "grass fed" beef to market in their store for a premium."


Now read that real slow, they are looking for "grass fed" beef to market in their store. Retail beef sales requires a USDA inspection. Selling USDA Grass Fed labeled beef not only will require an inspection but also a grass fed label approval for cypress by the FSIS. You are selling uninspected, unlabeled beef to some buddies of yours.
If you read my earlier reply "real slow", I said,......I sell to private individuals. My point is that you can still sell at a premium without a government agency putting a stamp on it.
 

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