need advice on selling steers

[okieaggie]

I have 25 steers that weigh approximately 600 pounds. I wanted to sell these before the winter but the selling price is not too attractive. I was wondering about sending these to the feedlot and that would buy some time (4mos) to allow the market to stabilize and hopefully go up. I am not really familiar on how the feedyards work. Can I send the cattle to the feedyard, pay for the feed and have them find me some buyers? Do I need to look for the buyers myself?? Would these be more profitable than selling the steers in the sale barn at 600 pounds?? Please help.

Thanks in advance

 

[somn]

Don't take this the wrong way but only 25 head will not be attractive to 99% of the the feedyards in America. From now until Feb you only have a $1 carry so you stand to gain around $9. However selling today would stop $15.00 dollars interest on your money if it is borrowed anywhere. So if you can find a feedlot to take your cattle you need to hope your gain won't cost you to much nobody dies.

 

[novatech]

I have a friend that has been doing this for years. His market is individuals and small independent butcher shops. The feedlot he takes them to charges by the head per day plus feed.

 

[blackcowz]

I'm always looking for a deal to stick my nose into. ;-) But seriously, I would consider taking that many head if you were to cover feed and throw in a little extra for care and pen use. But, if you wouldn't want to ship them to colorado, I would understand that. My suggestion? Throw them babies out on winter wheat pasture of you could. But, by the time you pulled them off, your ONLY option would be to send them to a feedyard and either sell them to the yard or retain ownership until they're ready to kill. I also would look into selling them private treaty to individuals. Runnin' 25 head through the sale barn would be O.K. if they're all the same color.

 

[bigbull338]

if you can afford to feed an hay them.i would do that till feb or march.an then sale them as 800lbs+ steers.an make you more money in the long run.but i dont know if youd breakeven on the feed cost though.

 

[gberry]

From now until Feb you only have a $1 carry so you stand to gain around $9.

somn, can you explain this to me, I don't understand (not really surprising, I don't understand a lot). What do you mean by $1 carry and how does that translate to $9 gain?

 

[somn]

From now until Feb you only have a $1 carry so you stand to gain around $9.

somn, can you explain this to me, I don't understand (not really surprising, I don't understand a lot). What do you mean by $1 carry and how does that translate to $9 gain?

I can't remember exactly what the figures were on that day but for example Nov futures we will say were at $96.25 and Feb futures would have been $97.25 that is the carry. He said his cattle now weighed 600# by Feb they should weigh atleast 900# so he would have gained $1 per cwt on 9 cwt. Thats where the $9 came from.

 

[gberry]

Thanks.

 

[Stocker Steve]

From now until Feb you only have a $1 carry so you stand to gain around $9. However selling today would stop $15.00 dollars interest on your money if it is borrowed anywhere.

Somn - - Do you know why are the feeder cattle projections much higher than futures right now?