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Pound of Gain?


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#1 Tim/South

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Posted 10 May 2020 - 11:52 AM

I have sold my last 2 groups of calves to different stocker operations. Sold by the lb. The first guy is relatively new, no pressure type young man, easy to deal with. Knows cattle.
The second guy is just starting out, know almost nothing. Bought some reclaimed land, fenced, cross fenced, built a nice barn and wants to raise stockers. I gave him a price and he accepted. I have known him for years and was fair.
I delivered the calves and saw some 6 wt. steers. He said he was growing them on contract, had 65 of them. He volunteered that he was getting 65 cents per pound of gain. Knock me over with a feather. I knew some were getting .50 - .55 cents. I told him not to buy another calf, raise them for others.
Is 65 cents the going rate now? I am in the wrong end of the cattle business.

 


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#2 Markwright

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Posted 10 May 2020 - 03:27 PM

Keep in mind both 50 cents and 65 cents are fair... Just depends on the final home for Your end product.

Some folks sell Beef, others sell cattle.

Some folks get say $2.50 per Lb live for cattle and others are only getting $1.10 per Lb live for their fat cattle now.

#3 Tim/South

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Posted 11 May 2020 - 08:24 AM

My math is not real good but I see a lot more profit in 65 cents than I do 50 cents.
.65 cents is good money.


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#4 hog987

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Posted 11 May 2020 - 09:59 AM

My math is not real good but I see a lot more profit in 65 cents than I do 50 cents.
.65 cents is good money.


Depends on the cattle and the pastures. The right cattle on the right pasture you could make far more money at 50 cents. It all depends

#5 Tim/South

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Posted 11 May 2020 - 02:26 PM

Depends on the cattle and the pastures. The right cattle on the right pasture you could make far more money at 50 cents. It all depends

Not sure how that works. I am in need of being educated if you have time to help me understand.


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#6 hog987

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Posted 12 May 2020 - 01:08 AM

Not sure how that works. I am in need of being educated if you have time to help me understand.


Your being paid by gain. Some cattle gain really good, others poor.
Some pastures are poor and full of weeds, others are lush and productive.
So for example good cattle on good pasture gain 2 pounds per day at 50 cents. You make $1 per day per head.
Poor cattle on poor pasture gain 1 pound per day at 65 cents. You make $0.65 per head per day.
It all depends on the pasture and the cattle.
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