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Selling calves to feedlots
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<blockquote data-quote="simangus23" data-source="post: 496551" data-attributes="member: 7772"><p>money to go around anymore.</p><p>The cattle industry was broken up into segments- and each segment had their ups and downs but sooner or latter they made money.</p><p>Cow/calf</p><p>Salebarns</p><p>backgrounder</p><p>Feedlot</p><p>Processor</p><p></p><p>Profit has been so tight that every segment is getting into the others, Processors are trying to own calves. Cow/calf operations are turning into feedlots or backgrounders. Feedlots were turning into backgrounders(thats over for now).</p><p>For years the goal was to get a piece of someone elses share. Find a way to cut them out and maximize profit. The last few years its been to cut out the salebarns and sell direct or feed direct. </p><p>All the segments are needed to keep the market stable.Karen</p><p></p><p>Karen thats where you are wrong!</p><p>Anyone that depends on the salebarn to sell their calves isnt going to make much of a profit anyway--that is why the guy that owns the salebarn has a new truck every 2 years and you are driving dad's hand me down with the 1980 dew eze on it. </p><p>Have you ever wondered why the buyers aren't interested in your cattle? I can tell you why------ because you have no data on your calves. They need data and without it you are stuck with making the local livestock exchange guy richer-- shame it is. </p><p>My family has been in the cattle business since 1833 and I can tell you this much--- We are a cow calf outfit/ we are a stocker outfit a feedyard and do our own processing. Before we did all this we kept data on all our calves by retaining ownership. We knew what their data was from the time they hit the ground > to weaning > to what they gained on wheat pasture > to what they gained in the feedyards > to what they graded on the rail. We retained ownership so that we could have real data on what we were producing.. We did all the work for the stocker -- the feeder and in the end the Packer knew what he could expect from our cattle---------- </p><p>So you are a small operator-- why cant you small operators get together and retain ownership on 500 head thru the whole process keep your data as it will help you decide what you should be doing if you need to change at all -- The packers all want a consistant product and until you provide it with real data you will make the guy at the Livestock exchange richer. </p><p></p><p>After acquiring your data for several years you will probably make some changes in the type of cattle you are raising and in a few more years you will have buyers waiting at your gate wondering when you plan to sell your calves. </p><p></p><p>This takes time but what else do we have but time---- and heck its a fun ride................ </p><p>More to come</p></blockquote><p></p>
[QUOTE="simangus23, post: 496551, member: 7772"] money to go around anymore. The cattle industry was broken up into segments- and each segment had their ups and downs but sooner or latter they made money. Cow/calf Salebarns backgrounder Feedlot Processor Profit has been so tight that every segment is getting into the others, Processors are trying to own calves. Cow/calf operations are turning into feedlots or backgrounders. Feedlots were turning into backgrounders(thats over for now). For years the goal was to get a piece of someone elses share. Find a way to cut them out and maximize profit. The last few years its been to cut out the salebarns and sell direct or feed direct. All the segments are needed to keep the market stable.Karen Karen thats where you are wrong! Anyone that depends on the salebarn to sell their calves isnt going to make much of a profit anyway--that is why the guy that owns the salebarn has a new truck every 2 years and you are driving dad's hand me down with the 1980 dew eze on it. Have you ever wondered why the buyers aren't interested in your cattle? I can tell you why------ because you have no data on your calves. They need data and without it you are stuck with making the local livestock exchange guy richer-- shame it is. My family has been in the cattle business since 1833 and I can tell you this much--- We are a cow calf outfit/ we are a stocker outfit a feedyard and do our own processing. Before we did all this we kept data on all our calves by retaining ownership. We knew what their data was from the time they hit the ground > to weaning > to what they gained on wheat pasture > to what they gained in the feedyards > to what they graded on the rail. We retained ownership so that we could have real data on what we were producing.. We did all the work for the stocker -- the feeder and in the end the Packer knew what he could expect from our cattle---------- So you are a small operator-- why cant you small operators get together and retain ownership on 500 head thru the whole process keep your data as it will help you decide what you should be doing if you need to change at all -- The packers all want a consistant product and until you provide it with real data you will make the guy at the Livestock exchange richer. After acquiring your data for several years you will probably make some changes in the type of cattle you are raising and in a few more years you will have buyers waiting at your gate wondering when you plan to sell your calves. This takes time but what else do we have but time---- and heck its a fun ride................ More to come [/QUOTE]
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