Date post: | 12-Jul-2015 |
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Food |
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Producing Beef for the Retail Market Meat quality, customer satisfaction,
and financial returns
January 10th, 2015
Ranch Foods Direct
Few places in the world provide adequate nutrition for year-round grazing…
Meat quality is directly related to feed quality and nutrition.
The radical “grass-fed” ideology is failing both animals and eaters…
Hunters know the importance of harvesting wild game at peak body condition in the fall…
…so why are some domesticated animals not provided adequate nutrition in the non-growing season?
Grass-fed beef from Colorado mountain pastures in a dry year…
Poor quality grass-fed beef is killing demand.
Grass-fed Angus/Wagyu heifers Craig Powell Ranch, Peyton, Colorado
A good grass season at the base of the Palmer Divide
Grass fed beef - Powell Ranch - Peyton, Colorado Angus/Wagyu cross
Time of harvest and nutrition is critical for grass-fed meat quality
Angus/Wagyu heifers, St. Francis, Kansas Post weaning, cattle are fed a healthy, drug free diet of hay and grain.
Grass raised – hay and grain finished, St. Francis, Kansas Angus/Wagyu
Flavor and nutrition is in the fat
Live Animal to Finished Cut Analysis 1,200 lb. finished animal x 63% yield = 756 lb. carcass x 74% yield to retail =
564 lbs. retail weight 564 lbs. x $6.30/lb. ave. USDA retail =
$3,553 revenue per head
Financial Analysis – Finished Animal Slaughter fee $65 per head Processing fee (1,200 lb. live weight)
(74 cents/lb. x 756 lb. carcass wt.) $559 per head Total cost $624 per head
$3,553 - $624 =
$2,929 net per head Or $2.44 per lb. live weight
Live Cattle Market Jan 5, 2014 $1.65/lb.
Selling at retail generates nearly $1,000 more income per head than the live cattle market.
Financial Analysis – Light Weight Animal Slaughter fee $65 per head Processing fee (900 lb. live weight)
(74 cents/lb. x 500 lb. carcass wt.) $370 per head Total cost $435 per head
360 lbs. retail wt. x $6.30/lb. = $2,268 - $435 per hd. cost =
$1,833 per head $2.03 per lb. live wt.
Dec 20, 2014 850 to 900 lb. Steers:
Ogallala Nebraska Livestock Market
$2.30 to $2.49/lb.
Today, selling a light weight animal (feeder calf) at retail loses around $280 per head for the producer compared to the market price for feeder cattle, and nearly $200 less revenue per head for the processor if charges are based on carcass weight.
Foreign live animals are around half the market price of U.S. cattle. Freight is approximately 4 cents per pound of meat from Australia.
Meet your competition…
Marketing the whole animal, bone-in standard-cut , directly to the end customer nets the most value to the producer and works best for the processor, while providing the customer more value than commodity retail beef.