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Napanee, Ontario | Just thought I'd shed some light for a lot of the feeders' posts recently regarding expensive feeders. I didn't see a lot of cost comparison input from the cow guys, so i thought i'd take the time.
This is a comprisal of what others i've heard on this board and elsewhere quoting (ie pasture prices, hay, other feed ect):
Consensus Operating costs (per cow). This assumes that all feed is bought and only a loader tractor required for feeding animals in a few acre yard in the winter. In the summer, Pasture is all rented as it assumes no land is held personally. If there was supply of own land and feed, depreciation costs would be higher and there would also be land payments, but pasutre rent and feed costs substantially lower. I will compare our costs
Pasture Rent...................$230/pairs
Winter Feed (cow).......... $400 ----(This assumes the following: 5.5 months on feed, all Hay, 35# / day, @ $135/ ton for hay)
Calf feed ............................ $130 -----(This assumes feed to take from wean wt to feeder sale rate: 18-25# per day, mix of corn silage and hay)
Vacinations/tags -calf.....$30
Lice/fly/worm- cow.........$14
Fuel/trucking......................$15/20 -------(trucking to sales, pastures, regular checks, feeding hay -)
Equip Depreciation...........$50-70 ------- (feeding heavy wrapped hay every day, cost of bale feeders, feeder wagons ect)
Insurance............................ $15
Death loss @ 5-8%.......... $40
Sales Comm. @ 2%.............$18
Total expenses.................. $954
Gross Sale ......................... $960 ----------(This is based off a 600# animal @ 1.60.)
Profit................................... $6.
*****I havn't persnally seen 500 wt animals for 2.00 around here yet
Our Operation:
Pasture Rent.........................$50/pairs ----(pasture for about 30% of our animals, and pairs rent here is 120)
land payments......................$45
Winter Feed (cow)........... $160 --------- (based on COP for our own feed)
Calf feed ............................ $70 ---------- (based on COP for our own feed)
Vacinations/tags -calf.....$30
Lice/fly/worm- cow.........$14
Fuel/trucking......................$15/20 -------(trucking to sales, pastures, regular checks, feeding hay)
Equip Depreciation...........$85 ----------- (for extra equip making own feed - corn silage and seed/cover crop rotation each year)
Insurance............................ $15
Death loss @ 5-8%.......... $35
Sales Comm. @ 2%.............$18
crop ins................................$15
Property taxes.................$12
Total expenses.................. $569
Gross Sale ......................... $960 ----------(This is based off a 600# animal @ 1.60.)
Profit................................... $390
So like I said earlier, if both the standalone cow guy and the feeder guy are barely making it, maybe people should start looking at the packer and that 130 - 200 fat to rail spread.
Or you have to serioulsy start thinking like Jim said and become integrated, or look at making more of your own feed by buying more land. It is pretty clear that $2 feeders isn;t going to make it for the cow guy renting land and buying feed, or for the feeder guy buying feeders and feed too.
Edited by OldMcdonald 8/6/2013 10:14
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The Cow Guy's Perspective...
