RANCHING Business
signals for change become much clearer.” By retaining ownership, produc-
ers can also capture the benefi t of their superior genetics, nutritional practices, health program and over- all management system. In addition to adding value, producers can also use retained ownership to maxi- mize other resources such as labor, facilities, feedstuffs, management skills and capital. “By increasing the length of
time producers control the cattle, retained ownership also increases producers’ fl exibility to determine when, where and why a group of cattle should be sold,” Homeyer says. For example, calves can be sold as feeder cattle of different weights up to approximately 900 pounds or sold as fed cattle. Or some calves can be sold at weaning, some as feeders, and some as fed cattle,
spreading marketing and price risks over time. “With that said, it can be dif-
fi cult to attract a packer buyer to the ranch for a small pen of cat- tle, so producers need to consider whether it’s in their best interest to feed the cattle themselves or to use a commercial feedlot,” Homeyer says. “Regardless of an individual’s decision, retaining ownership adds an enterprise to the ranch, increas- ing its diversity and its potential for gross revenue.” Producers considering feeding
cattle at home have to realistically evaluate the operation and deter- mine whether they have the neces- sary labor, skills, feed and equip- ment to run a successful enterprise. If all of these ingredients are in adequate supply, feeding cattle at home may be a good way to sell these resources, he says.
T&S Mfg., Inc. “Even though cattle fed at home
may not gain as effi ciently as those in a commercial feedlot, net ranch income may increase by market- ing available resources through a retained ownership situation,” he says. On the other hand, placing cattle
in a feedlot allows producers to “hire” specialists with state-of-the- art facilities and equipment. “Large feedyards may have mar-
keting and risk management spe- cialists as well as consulting nu- tritionists on staff,” Homeyer says. “Their sole focus is profi tably mar- keting cattle. Generally, individuals can’t afford to provide that level of expertise.” Some feedlots have installed
scales under their working chutes, allowing the feedlots to provide individual weights. These feedlots, in many cases, also have a work-
Take the labor out of your feeding! SAVE TIME & SAVE MONEY!
T&S Mfg.’s Range Cattle Feeders come in both pickup and trailer models in 8 various sizes.
Our feeder counting system is accurate and measurable.
Buying feed in bulk and using a T&S Trip Hopper to feed cubes and cake is one sure way to save $20 – $40/ton. (Depending on location and feedstuffs available.)
The Livestock Industry’s Feeding Partner Since 1979 Jim Taylor – Owner Jermyn, Texas, USA 940-342-2005
tsfeeders.com 50 The Cattleman November 2013
thecattlemanmagazine.com
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