Shooting in the foot

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Just for reference, I Just looked up some other prices at Walmart (I don't shop there but it is easy to find on the internet). Ribeye's- $12.07/lb; Strip Steak- $11.97/lb; T-bone $ 14.47/lb. And these are all graded 'Choice". I am sure glad I have two steers held for my freezer.
Packers are absolutely making a killing the last 16 months. $1200-1500+ per carcass that goes down the line.
 
Went to a local farmers market today, 3 local beef sellers there. I saw one price for brisket-$6/lb. there is a point when the chasing of the "niche" market is making a lot of folks really reconsider home-grown beef, I would think...I charge $5/lb HW, processing included, and easily sell out. To triple or quadruple the store price seems ludicrous though-especially in the middle of beef country. I can profit approximately $500/head depending on grass supply at this price. Are people who sell individual cuts really able to sell at those prices? Thoughts?
Maybe I am not following you. $5 per # hanging is high to me.

Then you go on to say $6 per pound for brisket is high? That confuses me. Kroger is $8 per pound
 
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Have bought several 1/2's of beef in the last several years. The guys I deal with, no not my buddies but know them so not getting any discount, I usually pay around 10% extra market price per hanging and pay for processing. I live/lived in Northern Oklahoma and Southern Kansas. I have seen MANY ranchers ask for 3.50-5.00 hanging wt plus processing. Many seem to pay a lot more than the stuff in the stores. Here is the group many, many thousand strong, just started about a year ago or so. https://www.facebook.com/groups/shopkansasfarms Some sell fruits, vegetable, chicken, turkeys and hogs etc. Hogs 2.25-3,50 hanging wt and pay processing. You can scroll down and see many posts as you want to.
 
It helps when you operate as a virtual monopoly
Talked to a high level manager from Tyson this weekend. He said that Tyson is losing money on chicken but more than making up for it on beef. This is pretty typical for Tyson over the years.
 
Talked to a high level manager from Tyson this weekend. He said that Tyson is losing money on chicken but more than making up for it on beef. This is pretty typical for Tyson over the years.
I have to wonder if chicken production is beginning to exceed demand.
 
I have to wonder if chicken production is beginning to exceed demand.
I doubt it. Everyone is eating chicken because it's supposedly a healthier choice based on the erroneous assumption that fat is bad.

I think the problem is that the business model doesn't work. The meat companies control the entire production chain. I'll bet the financial results in their pork business is not much better.
Another issue with chicken is dumping. Costco raises their own chickens to sell below cost to lure customers into the store.

They make most of the money on beef because the farmer already did most of the work.
Just my 2 cents.
 
Tyson is probably loosing money on chicken operations because they agreed to pay a 221.5 million,yes 221.5 million dollar fine in January for price fixing of chicken
 
Chicken production is not meeting supply demand right now for a couple reasons ,one of which is that Tyson's had a lower then expected hatch rate do to them selecting a poor lower fertility line of roosters to try to supply all there producers with chicks .
Another reason is almost every fast food chain has or is planing on adding a chicken sandwich to the menu to compete with chick-filet etc
 
Tyson is probably loosing money on chicken operations because they agreed to pay a 221.5 million,yes 221.5 million dollar fine in January for price fixing of chicken
That's probably not factored in. I recall several years ago Tyson blaming poor earnings on chicken.
 

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