Some time ago, I predicted that there would be a change in the current business model of cattle industry. It was a no brainer – with higher grain prices and lower margins backgrounders and feedlots will make adjustments to protect profits. I said point blank…Cattlemen, are going to have to own ‘em longer and run ‘em on grass till they are almost grown. Take a look at Drover’s Magazine explaining” the shift that now faces cattlemen.”
In a nut shell, the industry will figure out that it really is more economical to feed steers on grass then on corn and grain: Less inputs, less labor, less herd health, less loss and less financial exposure equaling a shorter turn-a-round for the big guys at the end of the day. http://www.cattlenetwork.com/cattle-resources/cow-calf/BeefTalk-Grass-vs-grain—-Steer-gains-128952248.html
FACT: The Industry will be moving towards purchasing older cattle and the cow-calf producer will become the new ‘Frontline’ back-grounder (holder of yearlings) for as long as possible.
Drover’s “ With the increased cost of feedlot inputs, should producers be adding 2.80 pounds a day to their calves as yearlings or selling the calves at weaning time? Technically, the calves that were sent to market in early May would be classified as yearlings. However, is the additional gain on grass worth it? How much time in the feedlot will be reduced by the weight the calves’ added while on grass? Will the perceived benefits of calves on grass carry through to the producer’s pocketbook? “
FO TIP: Yes, you can be in the game for profit…if you take the right steps. Profitabitly of a herd really means staying power and that my friend is your cow herd efficiency score and not the fat calf score. A range efficient cow brings home the bacon; cows are your measuring stick. As for keeping long steers, it takes more than casual logistics. Consider enhancing pastures with water facilities, realigning pastures with hot fences and laying away standing fields for winter forage.
Adding a grass fed component is best done by ‘chunking’ the project. Minimize the financial strain of retaining cattle that would normally be your bankroll. Start easy… retaining 1/3 of your market cattle into a grass fed program and get the feel for it. Retain the good-dooers and sell the heaviest 2/3’s of the weaners for capital. Check to see if calves from high milking mama’s can hold their own on the pasture to finish. If they are weak, cull the mom or check your bull battery. Oh, you don’t single sire mate? Umm, there are ways around that conundrum.
FO TIP Herd inventory made simple: We call it… feet-first, dump the bad ones now. Second, check hips and general darn good structure meaning a full bodied and medium framed cow. No long hotdogs walking on four tall sticks. Next, retain on fertility and ability to retain condition. Your our report card will be self-evident years 2 & 3.
Drover’s made another good point and it is one where Fair Oaks Ranch ~ Grass Based Genetics can fill the gap…Drovers: “Producer efforts already are in place and offer real examples of how producing and direct marketing grass-finished beef can work.
However, that brings up more questions;
Just where is the grass-fed industry?
What are the genetic opportunities?
How does grass-fed beef fit with soil health?
How do chefs feel grass-fed beef fits in with American tastes?”
ANSWER:
Fair Oaks Ranch Angus Grass Based genetic is working on the ranch with beef history to prove the product. We have a fully functional 100 yr old herd designed to finish steers on native forage and grass. Our Angus genetics are outside the American gene pool and our cattle finsih on grass. These genetics are old and are the working type cattle upon which Angus industry was founded. Fair Oaks Genetics excel at functionality with a great end product component.
The grass fed industry is here and you can see it with independent growers working their own programs across America and selling out each year. www.eatwild.com
Opportunities? You really can recapture 56% profit back to the ranch by selling direct to consumers…on the internet!
Soil health? In my humble opinion there is nothing better for the ranch than managed grazing and a good steward is always kind to the land.
Chefs? Chefs are crying for locally grown superior product, just ask them. The real chefs are the ones making dinner at home. For tips on cooking grass fed beef check out www.pioneerwoman.com .
You are welcome to ask our bull buyers how our genetics have improved their programs and tell them we said hello!.
Morris Grass Fed Beef (San Juan Batista, CA)
V-6 Ranch (Jack Varian Parkfield CA)
Johansing Farms (Paso Robles, CA)
Lots more of our genetics will be in Californian as well as Wyoming and Oregon this year. Stay tuned!
