Justin Sexten: Rapid Changes Require Flexible Systems
As I write this month’s article the range in future cattle and feed grain values has experienced historic swings in both directions. Industry experts have pointed fingers at inflation, weather and politics but in reality no one is really sure.
Regardless of the actual cause, this market offers several lessons worth considering. Most major market movers reside beyond the ranch gate. The information you need to anticipate market movements may or may not be available at the time you need to make a decision. Even if you have the information, the market may not respond the way you anticipate. Market prophecy and weather prediction rarely lack for debate in conversation.
There are many factors we can control that affect the bottom line despite market volatility and unpredictable weather. In many cases these factors are not difficult to implement with a bit of planning. We plan for many aspects of beef production and fortunately making key adjustments are often not a new practice but rather changing the timing on a common practice.
For example in many places it's hot and dry, pastures and forage supplies are getting short, and early weaning discussions abound. Same practice, differential timing. Early weaning is a solid method to reduce the nutrient demand of the beef herd very quickly. Stopping milk production offers additional benefits beyond reduced forage intake. Late calving cows are likely to return to estrus faster. High production cows will lose less body condition and the whole herd can begin accumulating condition sooner.
The only downside to early weaning is cows do a good job of feeding calves. Weaning shifts the feeding responsibility to the producer which is no small task. Many operations are challenged by preconditioning traditionally managed calves and early weaned calves present some unique circumstances.
The pen environment is key to success for early weaning. Lightweight calves will often find holes in fences you didn't know you had. A good weaning pen will pay dividends the first week after cows and calves are sorted.
Making sure water and feed are within reach is the second key to calves getting started. Starting calves on creep feed before early weaning is a good practice to get them adjusted to eating feed while providing a familiar feeding location. Calves develop functional rumens around 60 days of age so putting out creep any time after this will begin the adjustment process.
This timing coincides with branding or turnout processing. Vaccination and processing while nursing the cow provides opportunity to build immunity prior to early weaning. Since early weaning is typically caused by drought, realized these dry, hot and dusty conditions will provide a respiratory challenge mandating respiratory vaccines for success.
For those where early weaning calves is a challenge another, perhaps more practical method is early wean the cows. I realize we don’t wean cows per se, however we can “weaning the unproductive” from the herd using early pregnancy diagnosis.
Cull cow prices are generally seasonal lowest in the fall. Regionality will influence the pattern based on number of cows being marketed. Skilled veterinarians whether by palpation or ultrasound provide producers the ability to market pairs 30 days after the last day of breeding season.
If selling pairs doesn’t match the market in your area consider honing your early weaning strategy on calves from early open cows. Ideally the pasture saved from early culling is minimal due to high conception rates, however the return on early culling is high due to the failed reproductive success.
Being prepared offers the most valuable asset to the ranching enterprise after land, options. Early calf processing or pregnancy diagnosis offers the option but not a mandate to make a change. Success favors the prepared, and being prepared is key to navigate rapidly changing market dynamics.
The ability to not do something you plan for is much easier than dealing with the regret of wishing you had been prepared. Over the next month 1000’s of cattle will trade in video auctions. Every lot will reflect the planning and preparation of the manager. This is one of the best times to watch and observe the practices needed to enhance value
Not all practices that add value will fit your operation, just like early weaning isn’t for everyone. However because it doesn't fit today doesn’t mean you cannot plan to make the change down the road. Video sales help identify the primary value drivers to consider while providing a tangible financial indicator outside the ranch gate.
