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Vertical Integration of the Beef Industry
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<blockquote data-quote="andybob" data-source="post: 185818" data-attributes="member: 2703"><p>Bandonm2; I agree this has been the case untill recently, my point is that from this springboard of cattle kept on the pig farms, expansion into the cattle business is now being seriously persued under a different company name, but still an integral part of the overall company. Packing plants, feedlots and grazing are all being purchased, mill capacity already exists, but can quickly be expanded,and , following the pattern seen in the pig and poultry industry,the purchase of, and controll of in-house genetics will be a logical step in a few years time.</p><p>This is not some evil conspiracy, just a large company expanding its resources, my point is, what steps do existing cattle breeders take now in order to have their own businesses in 15-20 years time?</p><p>Contract to the company in the early stages.</p><p>Form your own branded product with like minded prodcers.</p><p>Accept you may just end up working for a large company as a manager.</p><p>Relatively few ranches are big enough to stand alone, small and medium producers need to be proactive in order to retain their own and their heir's future independence in the industry.</p></blockquote><p></p>
[QUOTE="andybob, post: 185818, member: 2703"] Bandonm2; I agree this has been the case untill recently, my point is that from this springboard of cattle kept on the pig farms, expansion into the cattle business is now being seriously persued under a different company name, but still an integral part of the overall company. Packing plants, feedlots and grazing are all being purchased, mill capacity already exists, but can quickly be expanded,and , following the pattern seen in the pig and poultry industry,the purchase of, and controll of in-house genetics will be a logical step in a few years time. This is not some evil conspiracy, just a large company expanding its resources, my point is, what steps do existing cattle breeders take now in order to have their own businesses in 15-20 years time? Contract to the company in the early stages. Form your own branded product with like minded prodcers. Accept you may just end up working for a large company as a manager. Relatively few ranches are big enough to stand alone, small and medium producers need to be proactive in order to retain their own and their heir's future independence in the industry. [/QUOTE]
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