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Cattle Boards
Breeding / Calving Issues
thinking out loud
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<blockquote data-quote="Commercialfarmer" data-source="post: 879131" data-attributes="member: 14544"><p>I was able to get inside the inner circles of a couple big feedlot operations that fed out their own cattle several years back. I know at that time they weren't keen on the idea of following other industries, where there was passage of harvest data back to the producer. </p><p></p><p>I think the purchase buyers know a lot more than you think they know. If you look at who gets information back, it is who owns the cattle at the point of slaughter. I truly believe there is more compiled information out there than you think. </p><p></p><p>Here is how I see it. If you don't retain ownership, you will never know what you have. If you know that your cattle will perform/grade well, then you will be able to ask more for them. If you didn't take a chance on testing your own herd, why should you be able to profit from this? The guy taking the chance should be the one to gleam the profit from the risk. </p><p></p><p>Our cattle have sold at the top of our market for the past several years, and the auctioneer tends to talk them up. We don't know him personally, nor any of the purchase buyers. I think they must be making someone a profit. But, I don't want to lose my arse feeding them to find out. So we take what we get. We focus on efficiency and maximizing lbs. We're blessed in hitting the high end of the market. </p><p></p><p>If you have a different business model, where your costs are going up to improve your genetics- you have to have a way of recapturing that. If you don't have a way of recapturing your costs, your making someone else money. And that's not a good business model.</p></blockquote><p></p>
[QUOTE="Commercialfarmer, post: 879131, member: 14544"] I was able to get inside the inner circles of a couple big feedlot operations that fed out their own cattle several years back. I know at that time they weren't keen on the idea of following other industries, where there was passage of harvest data back to the producer. I think the purchase buyers know a lot more than you think they know. If you look at who gets information back, it is who owns the cattle at the point of slaughter. I truly believe there is more compiled information out there than you think. Here is how I see it. If you don't retain ownership, you will never know what you have. If you know that your cattle will perform/grade well, then you will be able to ask more for them. If you didn't take a chance on testing your own herd, why should you be able to profit from this? The guy taking the chance should be the one to gleam the profit from the risk. Our cattle have sold at the top of our market for the past several years, and the auctioneer tends to talk them up. We don't know him personally, nor any of the purchase buyers. I think they must be making someone a profit. But, I don't want to lose my arse feeding them to find out. So we take what we get. We focus on efficiency and maximizing lbs. We're blessed in hitting the high end of the market. If you have a different business model, where your costs are going up to improve your genetics- you have to have a way of recapturing that. If you don't have a way of recapturing your costs, your making someone else money. And that's not a good business model. [/QUOTE]
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