MrBilly
Well-known member
Below is a SARE funded study done in Iowa comparing the costs to three Institutions (a university, retirement home and a short order restaurant) that buy whole beef animals from local producers, compared to that which they would have paid if they bought similar amounts of meat from conventional sources.
http://www.uni.edu/ceee/foodproject/report.pdf
I have a few concerms with the data, or the lack of:
Of course the costs of feeding and finishing a steer (assuming they fed them grain?) will be less in Iowa compared to here in Georgia. Also, it would have been useful for the authors to break out the non- farm share price into its component parts. 32% seems a bit high, but then I really don't know what is in their number.
They also should compare apples with apples, which I don't think they did? In other words, they should be comparing Angus beef prices with Angus beef in the the conventional market - usally about $1 per pound more than generic beef.
Similarly, I don't think they took into consideration that the local beef is without antibiotics and hormones, this also should bring a premium of another $1 per pound in the conventional market.
I also don't understand the setting of the animal's total price based on the auction market for that week? Here our auctions do not sell finished, or fed, beef; I must assume they do in Iowa otherwise they are again short changing themselves on what they charge???
Billy
http://www.uni.edu/ceee/foodproject/report.pdf
I have a few concerms with the data, or the lack of:
Of course the costs of feeding and finishing a steer (assuming they fed them grain?) will be less in Iowa compared to here in Georgia. Also, it would have been useful for the authors to break out the non- farm share price into its component parts. 32% seems a bit high, but then I really don't know what is in their number.
They also should compare apples with apples, which I don't think they did? In other words, they should be comparing Angus beef prices with Angus beef in the the conventional market - usally about $1 per pound more than generic beef.
Similarly, I don't think they took into consideration that the local beef is without antibiotics and hormones, this also should bring a premium of another $1 per pound in the conventional market.
I also don't understand the setting of the animal's total price based on the auction market for that week? Here our auctions do not sell finished, or fed, beef; I must assume they do in Iowa otherwise they are again short changing themselves on what they charge???
Billy