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Alpena MI | I watch auctions on LMA pretty frequently to keep a handle on the national feeder and fat cash markets. It is fair to say we have the lowest feeder prices in the midwest as a generalization. We also have one of the worst basis for our corn of anywhere in the country @ -$.75 for cash corn and -$.65 for new crop corn. Feeding cattle should be as profitable or more profitable here than most anywhere in the country.
Jim's 1100# feeders at $1.60 puts us at $1760 per head. Feed it until 1/15/2025 and a weight of 1500# gives us a gain of 3.15, a solid average from our historical numbers.
$.40 per head per day for yardage covering bedding, water, facility rent and time(just a figure for ourselves, not out of pocket), $.78 cost of gain and $35 total interest (both these figures are out of pocket costs) on the animal for time on feed puts us at $2157.80 total cost in the animal.
Sell it at $1.80 on 1/15/2025 with a live weight of 1500 for a total of 2700 minus trucking @ $65 and commission @ $27 per head puts us at a final check of $2608 for a profit of $450 per animal.
I didn't double check all my math there but that gives you an idea how we work our buying and selling program. And an 1100 pounder better be pretty fancy before I'll give $1.60 for it. I only have so many $ to work with so I really pick and chose what we feed. | |
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Sell steers as freezer beef or sell at auction as feeders
