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Agricultural News

CAB's Justin Sexten Explains What Really Effects the Value of Cattle Entering the Feedyard

Tue, 23 Jan 2018 10:22:02 CST

CAB's Justin Sexten Explains What Really Effects the Value of Cattle Entering the Feedyard Asking cattle buyers to fill your pens with “good, black cattle” isn’t descriptive enough.

"There is a tremendous amount of range in and variation in feeder cattle," said Justin Sexten, director of supply development, Certified Angus Beef LLC. "And if we think about just the average calf today, we think about a black steer that's going to gain three eight and maybe convert five five, five seven but the variability around that performance in the feed yard is high. As is that calf's ability to grade and ultimately, the performance on the rail.”

To watch a video clip featuring Justin Sexten, supply development director for Certified Angus Beef, talking about what really effects the value of cattle entering the feedyard and how cow-calf producers can communicate that message to buyers, click or tap the PLAYBOX in the window below.

Of all the factors that play into price, genetics may contribute the most to profit or loss, but gets the least attention on the up-front buy, Sexten says.

“And as you look at the data, between two and four dollars per hundred weight can be attributed to flesh, fill, point of origin, and a number of factors that, again, we think about every day when pricing feeder cattle," Sexten said. "But the genetic potential that each of those calves or ultimately a pen of calves has, has a tremendous amount of variation around it.”

There’s an opporunity for farmers and ranchers to be more active in how they market the value of their genetic selection.

Sharing genomic information or previous feeding history is a start.

“And the opportunity from a cow-calf perspective is how can I help communicate the investment in genetics that I have made. Because as we look at all of those other traits, flesh, fill, condition, those type of things, all of those are traits that can be observed or previously known. The genetic potential of an animal is largely unknown without either some testing or some background information," Sexten concluded. "And so just encourage the cow-calf and commercial cattlemen to work towards communicating that information to the feed yard customer.”

Once those cattle are in the yard, there’s little any feeder can do to change the final outcome. Simply put, high-quality beef starts at the ranch level.

Source - Certified Angus Beef



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