Selling Beef on the whole of half

[SPH]

Either way you look at it, no matter what you are charging if you have visited the meat counter at your local grocery
store the price and quality they are selling pales in comparison to what someone can buy freezer beef ....

B.S.
Not always... 15 yrs ago my brother bought an over priced beef steer 1/2 from a hobby farmer at his work place.
He and his wife were so pxzzxd off with the quality, they ended up feeding 1/2 of it to their dogs... and then went
and bought a half dozen cows, just to raise a few good beef each year for their family and friends because he grew up
on a farm and loves doing it.

That's why you buy from someone that you trust and will back their product. Not saying there isn't crap beef someone is selling out there but I would guess to say the scenario you described is not the norm.

 

[Son of Butch]

This came across my facebook feed yesterday, might be of interest in this thread...

If something sounds to good to be true... it is.
I went and checked the prices at local grocery store and the local butcher shop.
Biggest error in listed prices T-Bone Steaks USDA Choice 10.49 lb not the above listed 16.10 lb
Roasts and Steaks graded USDA Choice averaged $7.04 lb NOT $11.04 that's a 36% difference and these
were the everyday prices Not Sale prices... which a thrifty shopper could really take advantage.
Beef Stew Meat and Lean Hamburger freshly ground from local butcher $4.59 lb not $8.00 and $5.60

396 lbs x 7.04 = 2,788 and 243 lbs x 4.59 = 1,115 2788 + 1115 = 3,903
639 lbs purchased at local grocery store and butcher shop = $3,903 NOT $6,024.24

price to have 800 lb h.w. animal butchered, cut, processed and wrapped 70 cents lb = $560 not $750

Paying $3,900 for 4 H steer + $560 processing = $4,460 vs $3,903 Choice USDA inspected meat from your grocery store.

As for take home 79.88% (639 lbs) of 800 lbs hanging weight also a load of :bs:
Try 68.25% of h.w. on a choice steer for 546 lbs take home NOT 639 lbs
339 lbs roasts and steaks @ 7.04 = 2387
207 lbs hamburger and stew meat @ 4.59 = 950
buying 546 lbs at grocery store $3,337

1300 lb steer $2,277 = (1.75 l.w. or 2.85 h.w.) plus processing 560 = $2,837 (vs 3,337 for a savings of $500)
(this pricing doesn't apply to grassfed or Wagyu influenced or kobe style beef ect.)

In my opinion... if consumer can't save $125 per 1/4 ($500 per steer) buying in bulk... then they are better off buying
USDA inspected Choice meat as needed from their local grocery store... but to each their own.

As for Wal-Mart (and some other grocers) watch out for deceptive labeling!
I've noticed they will package select and standard grade beef cuts and label them in giant letters USDA INSPECTED
but... they do not put the grade on the package. I'm sure that's where bxtchin' starts about Wal-Mart steaks
Wal-Mart usda Choice steaks are as good as any... but shoppers looking to save a buck will grab the super lean
select or standard grade steaks... because they look so lean and healthy... when in reality they are tougher than he//

 

[jscunn]

SOB,
You stole my thought process exactly. I saw this post on a local Ag teachers website, so I clicked the link. I noticed that the site was Canadian, so part of the price issue might be the exchange rate into Canadian Dollars ( $1.30 Canadian to $1.00 US Approx). Thanks for taking the time to break it down for everyone on here.

 

[Fire Sweep Ranch]

SOB thanks for breaking it down. I figured the numbers might be fudged a bit, and realistically a "bargain shopper" will NEVER buy a side of beef because of the purchase price (like people who buy $35 hay for a 4 x 4, but refuse to pay $40 for a 5 x 4 that is better quality and more volume... it is the initial sticker price!). People on a budget buy meat one package at a time because that is all they can afford. We raise our steer for our own personal consumption. My sister keeps asking me to raise one for her (a half), but I can not justify the expense and loss. The kids raised broilers, and the final cost of the birds, whole in my freezer, is about $10/bird. Each one is 3.5 to 5 pounds... and my sister squacks when I tell her how much she would have to pay to buy one (I gave her a few when she picked up her half of a pig we raised). She tells me how much cheaper it is in the store to buy whole fryers.... oh well, more for me to eat!

 

[ky colonel]

great feed back. so right now i have a steer thats around 14 months and 850 range. should i wait form him to get to 1000 or would it be ok to butcher him now? i have ppl wanting steaks but i dont want to run off business giving a bad product.

 

[Black and Good]

I sell 5 or 6 a year. A retired friend of mine feeds them out. I take them to his place 60 days weaned he takes care of everything from there. He gets them to around 1200#'s does a great job! This year we sold them for $2.45 per pound hanging buyer pays processing. Then we spilt the profit. Like SPH stated, this year it was right around $3.00 per pound in the freezer.
B&G

 

[Son of Butch]

I'd wait until at least August... to have steaks to sell by Labor Day weekend.
You would get more bang for your buck taking him to 1,100 lbs as the skeleton frame forms first... so you'd have
a good bit more meat on his bones and increase his retail yield and your profit butchering at 1,100 lbs vs 900 lbs
You only get to butcher them once.

 

[Son of Butch]

The kids raised broilers, and the final cost of the birds, whole in my freezer, is about $10/bird.

Yup, chickens are my plan to get rich whenever I see grocery stores selling whole rotisserie cooked chicken for
$4.99 - $6.99 per bird.

Now let's see... if I buy 1,000 chicks, buy feed and grow them out, then all I have to do is butcher 'em, clean, package,
cook 'em and find buyers for 1,000 of them... at their convenience... for $6 apiece ...
Then go home and clean out the chicken barn for the next group... while counting all that easy money....hmmm
Well you do the math... but I'm pretty sure I'll be rich in no time!

 

[ky colonel]

does it matter if its grass fed? this steer has been on just grass since march.

 

[Stocker Steve]

does it matter if its grass fed? this steer has been on just grass since march.

Yes

Some steers will not finish on grass in a reasonable amount of time.

We used to buy a couple heavy feeder steers and try to finish them by late summer. They would only gain about 1 #/day on average grass and were select when butchered.

 

[ky colonel]

we had planned to finish him on grass, so you think if i take him now or at 1000lb he probably still be select?

 

[Stocker Steve]

Unless he is low line or jersey - - 1,000 pounds is far from finished. Usually you get some chewy low favor meat from feeders. Think about more corn for steer vs. more ketchup for lean gray burger.

 

[Jeanne - Simme Valley]

I really thought about "biting my tongue" on this one.
Stocker Steve worded that well. I would NOT sell beef to anyone until you try your own meat - a good steak, not hamburg.
We shoot for that "fine line", between being as young as possible for more tenderness, yet have a little age for flavor. But, in my book, it is a must to have a well finished steer. At 14 months old and 850#, you cannot be seeing any fat. Fat will show up in the brisket (between the front legs), in the flank, and on the side of the tail head. If you butcher him now, it will be more like eating venison (an old buck).
I believe that most steers raised on grass, are closer to 20-30 months of age to be "finished", and they are hung at the butcher for a longer time if possible for tenderness. Try to find someone else that raises grass fed beef, and buy a good steak from him (like a ribeye) and see if you like it.
Raising grass fed beef is extremely high management. Done right, they say they eat well. I, personnally, would never bother trying it. I like my grain fed beef, and everyone I know that has done it, loves their pot roast & hamburg, but not their steaks.
For an example of grain fed steers, you should be shooting for a finished steer (1200-1400#) at 14-16 months of age.

 

[ddd75]

I sell it for 2.35 / lb family/friends and 2.50 / lb to everyone else.

i know a guy who has belties 'grassfed' and i think he gets around 3.50 or 4.00 / lb hanging.

 

[BigBear]

We sell our pasture raised, grain finished Angus beef for $3.00/lb and buyer pays processing. I never take them off pasture. Had a couple old pros tell me it makes em marble real good (more on that in a minute).

We did our first batch of Angus last year. I fed them 2% of their body weight in 14% CP feed for the whole time I had them (9 months, 375 lb ww). They finished right at 1000 lbs each for an ADG of 2.19 lbs/day. Pretty awful. I believe they were low line Angus and the seller didn't disclose that. You live and you learn.

So after telling my wife I thought it better to go back to jerseys, the butcher called. He proceeds to tell me that our beef is some of the best he's ever cut, it would grade at prime, and that he would like me to call him next year when we have steers ready. I was shocked. Also we got close to 66% carcass yield. Another nice surprise.

We sold this beef to several new customers and all have already told us to put them down for more next year. I made ribeyes the other night and the last time I had a steak like that my company paid $50 for it!

Sorry for going off on a tangent, but I guess I don't really care what the store (or anybody else for that matter) sells their beef for. I do this as a side business and I need to be at $3/lb to make it worth my while. And as long as my customers are good with that price then it's all good.

 

[Son of Butch]

USDA Prime is hard to achieve. 97% of the beef produced in the USA is not prime.
Historically only 2-3% grade usda prime. One poster mention feedlot selling on the grid produced 2 prime out of 132.
I have no problem with paying Prime prices for a Prime product... but there are more charging Prime prices for
a Select product than there is Prime produced.

Just like the butcher that called you...
I'd be calling the seller that sold you those low line ANGUS and tell him you wanted more of his calves.

In 1974 74% graded low choice or better
1995 49%
2005 55%
2011 61%

2011 2.8% graded low Prime - or better
USDA Prime - 1.3% (13 out of 1,000 graded Prime minus aka low prime)
USDA Prime 0.4% (1 out of 250)
USDA Prime + 0.1% (1 in 1,000 animals graded Prime plus in 2011)

 

[Supa Dexta]

@ 4.20/lb cut and wrapped here.

 

[Son of Butch]

@ 4.20/lb cut and wrapped here.

You Canadians... always mucking up prices
4.20c = 3.25 usa or 60 Mexican pesos

 

[ky colonel]

great info everyone. this is new to me and of course i want a great product. if i didnt like it i wouldnt sale it because i feel like i would be stealing from people. i have never tried grass fed and no one offers grass fed angus close to me. the burger was great, so now i just need to learn when the steer is ready for steaks. i am not really tied to grass fed it was just how it was going to work out. i suppose i could start him on corn?

 

[Son of Butch]

Yes, in your case I'd suggest Big Bear's model of leaving on grass and supplementing corn.
Start him slow, a few lbs per day for the first week and then adding a couple pounds per day till he doesn't clean it up.

I'd suggest buying a couple choice grass fed steaks, so you understand what it is.
I like the flavor, but many accustomed to corn fed hate it.
Supplementing corn will tame down the flavor.