Oklahoma Farm Report masthead graphic with wheat on the left and cattle on the right.
Howdy Neighbors!
Ron Hays, Director of Farm and Ranch Programming, Radio Oklahoma Ag Network  |  2401 Exchange Ave, Suite F, Oklahoma City, Ok 73108  |  (405) 601-9211

advertisements
   
   
   
   
   

Agricultural News


Backgrounding Can add Value, flexibility

Mon, 19 Jul 2021 09:14:18 CDT

Backgrounding Can add Value, flexibility Getting maximum value when marketing cattle is a constantly evolving process that takes careful planning.

USDA National Agricultural Statistics Service 2017 data reports 70% or more of beef calves are born in the spring. Come fall, this leaves the glut of 550 pound calves at a prices disadvantage compared to their contemporaries that are held and sold after the first of the year.

Backgrounding calves can open gates to new revenue paths, though not without risk. When more cattle are sent to the grazing fields or grow yards, thereís a shift in the seasonal pattern of the market and more opportunity to take advantage of better prices.

Weight adds dollars
Even for just a couple months, backgrounding can add weight and gross income without using limited grazing resources year-round to stock more cows.

Adding weight may boost income, but requires strategy, says Dan Loy, director of the Iowa Beef Center at Iowa State University. He suggests backgrounding the lighter half of steers to reach heavier average sale weights.

"If you market the heavier ones direct from weaning, and have done that for years, you'll have a more uniform group," he says. "That in itself may help the price on those heavier calves."

If it seems overwhelming to add a backgrounding enterprise, donít be afraid to hire expertise, says Chad Cargill, of Cargill Ranch LLC, Medicine Lodge, Kan. He provides services for larger cattle feeders at his custom yard, with help from a nutritionist, veterinarian and environmental consultant, plus pharmaceutical representatives.

Every producer has different needs, but the staples are the same. Bunk space with some kind of concrete apron or a grass trap on which feed can be delivered with a mixer wagon, are necessities, as are a chute and working facilities to vaccinate or treat sick calves.

"These resources are a substantial investment but necessary for successful backgrounding," advises Dale Blasi, extension beef specialist at Kansas State University.

Time boosts health
Calf health is often the highest concern for feedyards, so this also gives calvesí immunity time to get through the most stressful event in their lives.

"To me, backgrounding should include preconditioning," Loy says. "That verifies health and lets the vaccines kick in, plus getting calves eating out of a bunk and drinking from new waterers."

The dollar-advantage of weaning is well clear. According to the 2020 Iowa Precondition Sales data, Loy says preconditioned calves vaccinated for respiratory and clostridial disease, treated for parasites and weaned for 45 days brought at least $50 per head more than unweaned contemporaries.

"One issue is easy to handle, but those things together add up to bigger issues," Cargill says.

As calves mature, their immunity improves. Thatís important as natural beef labels and other process verified programs become popular. The biggest challenge for those kinds of programs is ensuring calvesí health so they arenít disqualified due to antibiotics.

Yesterdayís most valuable feeder calf may only be average moving forward. Thatís because buyers still look for groups with uniform weight and hide color, but verification is gaining importance. The market may soon require certified pre-weaned and vaccinated, age-source-and-genetics verified, records for performance and carcass history, along with animal welfare claims.

When itís time to head down a new road of marketing, learn from others who have made the trip before you, Blasi suggests.

Those are the lessons from peers and mentors, he adds. Participate in a marketing network, or join local and state beef association meetings to learn from each other

   

Article written by Morgan Boecker with Certified Angus Beef.

 

WebReadyTM Powered by WireReady® NSI

 


Top Agricultural News

  • Water Resources Center part of Five-year USDA Dam Project  Fri, 23 Jul 2021 09:38:47 CDT
  • Research Shows Grazing Cattle Provide Many Benefits For Both Humans And The Environment  Fri, 23 Jul 2021 06:50:48 CDT
  • Plains Grains Calls Southern Plains Wheat Harvest 100 Percent Done for 2021  Fri, 23 Jul 2021 05:37:21 CDT
  • Feeder Steers Steady to Higher, Feeder Heifers Higher, Steer and Heifer Calves Unvenly Steady at Woodward on Thursday  Fri, 23 Jul 2021 05:25:39 CDT
  • Oklahoma Grain Elevator Cash Bids as of 2:00 p.m, Thursday, July 22  Thu, 22 Jul 2021 16:20:08 CDT
  • Oklahoma optimism is High as 91% of the State remains Drought free According to the latest Drought Monitor   Thu, 22 Jul 2021 16:09:42 CDT
  • Cattle Hides in High Demand- Pushing Drop Credit Values to Best Levels Since 2015  Thu, 22 Jul 2021 14:19:41 CDT
  • Dr. Rosslyn Biggs offers advice on Testing New Additions to the Herd  Thu, 22 Jul 2021 13:36:27 CDT

  • More Headlines...

       

    Ron salutes our daily email sponsors!

    Oklahoma Beef council Oklahoma Ag Credit Oklahoma Farm Bureau National Livestock Credit Ag Mediation Program P&K Equipment Tulsa Farm Show Union Mutual Stillwater Milling Oklahoma Cattlemen's Association KIS FUTURES, INC.

    Our Road to Rural Prosperity sponsors!

    Banc First OPSRC ORWA TPAOO TPAOO

    Search OklahomaFarmReport.com


       
       
    © 2008-2021 Oklahoma Farm Report
    Email Ron   |   Newsletter Signup   |    Current Spots   |    Program Links

    WebReady powered by WireReady® Inc.