It’s been talked about for 60 years. It’s better for animals, preferred by most cattle feeders and could provide a 169% return on investment. “2014 was the biggest ‘no brainer’ year in history to precondition your calves,” says Purdue University veterinarian W. Mark Hilton. “2015 could be even better.” Crunching the numbers, Hilton first turns to an 11-year analysis of Indiana beef herds that showed weight alone added $50.84 average profit on preconditioned calves.
At his Cattlemen’s College session last month, I heard Mark present a pretty convincing case for preconditioning (a 11-year analysis of Indiana producers showed a profit of more than $80 per head, on average for 60+ day programs, for example).
But it wasn’t just about the economics of it all. It was about the principle.
Doing more with less. In the cattle business, that’s more than a nice idea; it’s the new survival plan.
“In any manufacturing system, if the number of units is reduced, the revenue per unit must increase,” said Pete Anderson, director of research for Midwest PMS, a U.S. livestock feed company. “The cattle industry must focus on maximizing revenue from each animal produced.”
Paying the feed bill has cleaned out bank accounts faster than Jesse James in recent years, as high corn prices left cattlemen everywhere looking for the cheapest, most efficient alternatives. Answering that search, Galen Erickson shared research results and insight on distillers grains at the Feeding Quality Forums in Omaha, Neb., and Garden City, Kan., in August. As of late summer, the ethanol byproducts were selling at near corn prices. Many cattlemen responded by cutting back or removing it, but Erickson, feedlot Extension specialist at the University of Nebraska-Lincoln, said that could be a mistake.
Ford County Feed Yard is a big one. In fact, Certified Angus Beef LLC (CAB) has never licensed a larger feedyard, but the 50,000-head-capacity business runs like a collection of smaller yards. Maybe that’s because it is family owned and operated, and 22-year manager Danny Herrmann is the youngest son of a founding partner. Wheat-stocker and feeder George Herrmann went in with four others, including three from what later became National Beef in Dodge City, to build the feedyard 15 miles to the southeast, near Ford, Kan., starting in 1972.
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