Top the Market – and Lose Money –

I recently received a call from a consultant who claimed to be working with several cow-calf producers in the southeast.  This consultant was interested in helping his clients become profitable and wanted to know if Pharo Cattle Company could help.

 I was surprised when this so-called “consultant” spent so much time explaining the importance of “topping the market” at local sale barns.  He also placed emphasis on cattle with larger frames and higher growth.   I began to wonder if he was consulting for feedyards or for cow-calf producers.  It seemed as though he thought the price received at the local sale barn would determine the profitability of his clients.

 Throughout the conversation… I couldn’t help but think of the graph shown below.  For the past 30+ years, cow-calf producers have been chasing bragging rights and top-dollar bids at the local sale barns.  That focus has resulted in producers topping the market – and losing money.

 

Image result for annual cost to carry a cow

4 responses to “Top the Market – and Lose Money –

  1. That is the thinking in the Southeast. I have question that is related to cow size. Would the Southeast need a the same size and type cow as other less humid areas of the country? Didn’t know if heat and humidity would justify a different cow
     
     

    1. Kevin, the deer in the southeast are considerably smaller than the deer in Wyoming and Montana.   If left up to Mother Nature, the cows would be smaller and less thick in the southeast than they are in the arid west.

      1. In biology this is called Allen’s rule. Warm-blooded animals in northern regions generally have a larger body mass than their counterparts in southern areas. Larger animals lose less heat per pound of body weight. 

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