STARBUCK, Minn. – Whether the feeder calf market is high or low, there are steps cow/calf producers can take to increase the dollars they receive.
Dar Giess, a seedstock producer from Pierz, Minn., shared his ideas for getting the top dollar at the sale barn. He spoke at 2023 University of Minnesota Cow/Calf Days held across the state.
Dar and Lynn Giess (DLCC) ranch with their grown children, Lane, Kate, and Leah. Specializing in South Devon seedstock, the Giess operation focuses on the value of crossbreeding.
Giess pointed out that understanding who your customer is will help cow/calf producers sell a desired calf. Selling a healthy calf that is ready to grow well in the feed yard is likely to garner the most money.
The very first item he mentioned was the importance of castrating bulls. Steers will generate $10-$25 more than bulls.
If a producer knows they won’t be selling bulls, it’s best to get those bull calves banded correctly at birth, he said. If a producer decides later to castrate, using a knife and making sure everything is healed up before selling the steer is best.
Vaccinating calves correctly and providing documentation is worth another $15-$30.
Weaning calves before they are brought to the sale barn will garner another $30 over calves that are simply put on the trailer and brought to town.
“When you add all of that up, it starts to get pretty significant,” Giess said. “Producers who vaccinate, wean, castrate and get them healed up, they get the $200-$400 per head that you left behind.”
Developing a business relationship with a veterinary clinic and supporting a veterinarian with your business is another step toward improving a cow/calf operation. This includes discussing and implementing a vaccination program.
The annual management cost per cow/calf pair is about $19, he said – about $10 for the cow and $9 for the calf.
“Just by vaccinating your pairs, you’ll get that back every time,” he said. “But if you don’t have a mineral program – or if you don’t have a good nutritional program, vaccinations basically won’t work. You have to get a relationship with a feed company, too.”
Giess has a nutritionist that he calls to line up his mineral and feed. He gets sound information on what he needs to feed for the herd’s stages of development.
To get the top price at the sale barn, he also recommends having strong and appropriate cattle fencing and equipment at home for working calves. They can also keep neighbors, family members, and employees safe.
It takes an investment of about $13,950, he said. That includes 21 heavy-duty panels at $450 each for about $9,450. Add another $1,500 for shipping, and $3,000 for water fountains that work year-round. Over a 10-year period, the cost per calf per year is $13.95. The value in farm safety is priceless.
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“Investing in cattle panels is one of the greatest things that’s come along, plus it’s not that expensive,” he said. “Cattle panels generally appreciate in value, and I dare say I’ve never seen any cattle panel go down in value.”
Another tool that can increase net income is crossbreeding to get heterosis.
Back in the mid-1970s, Giess was growing up in west Kansas and raising Herefords. One year, the neighbor’s Beefmaster bull got out and bred some of the Herefords. The Beefmaster/Hereford calves weighed about 620 pounds, while the straight Hereford calves of the same age weighed about 470 pounds.
“The crosses didn’t get as much per pound, but when you got the check there was a lot more money per head,” he said.
They decided to keep some of those crosses and to purchase a couple of Beefmaster bulls. Then they put a Charolais bull back on the Beefmaster-Hereford cross heifers. Back then, a big calf was 500 pounds, but the Giess operation weaned the three-way cross calves at 720 pounds.
“That was a lot more money for the ranch, and we started to learn about heterosis in the cow herd and in the calf and what it does,” he said.
In the 21st Century, many producers have gotten back to producing straightbred cattle. It could be time to put some crossbreeding back into the program, he suggested.
“It’s easy money. It’s a simple way to get a greater return on the cow herd,” he said. “It costs the same amount to feed a purebred cow as it does a crossbred cow.”
Giess suggests also taking advantage of all the knowledge that is out there on bulls and using EPDs to improve the herd. EPD indexes can take out some of the guesswork for commercial producers.
Selecting low birthweight or calving ease bulls plus breed-specific indexes will cover most of what commercial cattle producers need. Selecting bulls with index values at or slightly above the breed average will keep the producers’ herd moving forward without any “wrecks,” he added.
When it’s finally time to sell the calves at the sale barn, there’s several marketing tools producers can use to get top dollar.
Putting together a nice group of calves that look similar is a good way to increase the dollars received per pound. Then, working with the sales barn manager to line up a good date for selling the calves will help with advertising.
Producers need to make certain they can spend sale day at the sale barn. When the calves come into the ring, the auctioneer can call on the producer to talk about the calves.
Accurately representing the calves with documentation – and showing pride in a job well done – can give buyers the confidence to spend more for the calves. Calves that grow well for feedlots can make money.
“Those buyers like to see the people selling cattle in the seats. They can put their eyes on you – so they know it’s a fair deal. They know it’s a family that raised these cattle,” he said. “You’re proud of these cattle and you’re there to sell them.”
The DLCC Ranch annual production sale is April 15, 2023. Please visit dlccranch.com/sale for more information.