Oklahoma Farm Report masthead graphic with wheat on the left and cattle on the right.
Howdy Neighbors!
Ron Hays, Director of Farm and Ranch Programming, Radio Oklahoma Ag Network  |  2401 Exchange Ave, Suite F, Oklahoma City, Ok 73108  |  (405) 601-9211

advertisements
   
   
   
   
   
   
   

Beef Buzz News


Do You Know What Your Cattle are Really Worth? CAB’s Justin Sexton on the True Value of Quality

Wed, 17 Oct 2018 15:46:48 CDT

Do You Know What Your Cattle are Really Worth? CAB’s Justin Sexton on the True Value of Quality If you are in the stocker cattle end of the beef business, you know the right kind of cattle can make or break your operation, financially speaking. Justin Sexton is director of supply development at Certified Angus Beef. According to him, it is a good idea for stocker operators to think about the next owner of their cattle. Even as you are buying them, he says you need to buy them with consideration of what the next buyer will want in order to offer an animal that will command a premium price at auction block.


“From a quality perspective, we see feedyards have increased competition and the quality grade has continued to improve. So, what are some of the supplementation strategies the stocker operator can engage in to make sure that the next customer - the feedyard - has the greatest opportunity for those cattle to grade,” Sexton said.


The truth is, numbers tell a story when it comes to profit and loss. In reality, the market is trending toward a preference for cattle that are managed with quality in mind as a standard benchmark. According to Sexton, managing your cattle in such a way that moves the needle only marginally but enough to bump them up into the next quality grade can command a modest premium of $4 to $6 per head. However, if cattle are not managed for quality, functionality slides as much as 32 percent of these cattle outside of the premium scale and ultimately takes away from the producer’s bottom line.


“So, if the $4 to $6 premium going forward isn’t enough, the idea of a $13 to $15 loss is something surely for them to think about as they plan their strategies going forward,” he said, adding that it is ultimately up to the producer to promote the investment put into his cattle. “When a stocker operator can communicate the genetic potential or even the management practices they have to the feedyard operator, that’s when it has the most value to them. So, really the challenge is - how do I communicate that in a way that conveys the confidence that they can buy those cattle.”


Sexton’s advice is to build a one on one relationship in order to have those discussions in person, face to face, for the best results. He suggests also engaging with an auction market that focuses on this type of direct marketing that can help producers effectively communicate the value and quality of their cattle to buyers.


For more of Sexton’s advice on how to develop your cattle’s full potential value and effectively market them based on those qualities, listen to his full interview, with Radio Oklahoma Ag Network Farm Director Ron Hays, on today’s Beef Buzz.


The Beef Buzz is a regular feature heard on radio stations around the region on the Radio Oklahoma Network and is a regular audio feature found on this website as well. Click on the LISTEN BAR below for today's show and check out our archives for older Beef Buzz shows covering the gamut of the beef cattle industry today.



   



   

For more of Sexton's advice on how to develop and market your cattle's full potential value, tap below.
right-click to download mp3

 

WebReadyTM Powered by WireReady® NSI

 

Beef News

  • Selecting for Leg and Hoof Structure- Dr. Jennifer Bormann Says a Genetic Baseline is Being Developed  Mon, 18 Mar 2019 09:02:37 CDT
  • NCBA Chief Vet Dr. Kathy Simmons Explains the Necessity of Responsible Antimicrobial Stewardship  Fri, 15 Mar 2019 11:34:50 CDT
  • BQA Program Highly Regarded as Producers' Most Important Tool to Ensure Quality Beef Production  Thu, 14 Mar 2019 12:48:31 CDT
  • 2018 an Exceptional Year for US Beef Exports Especially in Asian Market Despite Current Challenges  Wed, 13 Mar 2019 10:58:19 CDT
  • Meat Scientist Brad Morgan Unphased by Rise of Fake Meat, Says It's No Competition for Real Thing  Tue, 12 Mar 2019 12:01:16 CDT
  • Market Watcher Derrell Peel Says USDA On Feed Report Suggests Spring Weather Market Brewing  Mon, 11 Mar 2019 12:22:29 CDT
  • Beef Industry Claims Major Victory in Fake Meat Fight But NCBA's Colin Woodall Says War's Not Over  Fri, 08 Mar 2019 13:02:24 CST
  • If US-China Relations Fixed, Beef Demand Could Grow Exponentially - Unless Recession Gets in Way  Thu, 07 Mar 2019 11:32:46 CST
  • NCBA's Alisa Harrison Explains Why Checkoff Research is so Critically Important to the Beef Industry  Wed, 06 Mar 2019 14:25:56 CST
  • Industry Seeing a Return on Its Digital Investment - NCBA's Alisa Harrison Says Strategy is Working  Tue, 05 Mar 2019 13:05:18 CST
  • There's a New Expert in Town and His Name is Chuck- NCBA Formally Launches Chuck Knows Beef  Mon, 04 Mar 2019 12:14:30 CST
  • National Cattle Count Shows Slightly Bigger Total US Herd as of January First, 2019- Derrell Peel Sees No Surprises in Report  Fri, 01 Mar 2019 04:51:41 CST
  • NCBA’s Kevin Kester Urges Producers to Take a Stand For WOTUS, Submit Comments to EPA  Fri, 01 Mar 2019 07:05:06 CST
  • "Meat" Becoming a Relative Term as Market Continues to Grapple with Advent of Lab-Grown Protein  Wed, 27 Feb 2019 15:41:36 CST
  • American Angus Association President John Pfeiffer Talks Angus Link and Angus Source with Ron Hays  Tue, 26 Feb 2019 08:03:35 CST
  • Dan Thomson Reinforces Stance on Judicious Antibiotic Use, Cites Very Real Threat of Resistance  Tue, 26 Feb 2019 05:58:12 CST
  • K-State Vet Dr. Dan Thomson Argues Judicious Antibiotic Use Remains Essential to the Beef Industry  Fri, 22 Feb 2019 12:22:29 CST
  • American Hereford Assoc.'s Shane Bedwell Gives Us 'a Look Under the Hood' in Genetic Evaluation  Thu, 21 Feb 2019 10:22:47 CST
  • Hereford Association Overhauls Breed's Genetic Evaluation System, Leverages Its Value Programs  Wed, 20 Feb 2019 17:01:00 CST
  • "It's Not Going to Amount to a Hill of Beans What You Eat in Terms of Climate Change" - End Quote  Tue, 19 Feb 2019 11:30:49 CST
  • The Untold Story of the US Beef Industry - NCBA's Dr. Sara Place Adds "Upcycling" to the Narrative  Mon, 18 Feb 2019 16:22:50 CST
  • The Untold Story of the US Beef Industry - NCBA's Dr. Sara Place Adds "Upcycling" to the Narrative  Mon, 18 Feb 2019 12:19:41 CST
  • Market Watcher Derrell Peel Breaks Down Current Feed and Hay Situation- Bottom Line, We're Good  Fri, 15 Feb 2019 11:51:42 CST
  • Roadmap to Disease Traceback System Takes Shape, But Many Devilish Details Still Left to Iron Out  Thu, 14 Feb 2019 12:39:42 CST
  • USDA Lays Groundwork on Disease Traceback System as Industry Begins to Warm Up to the Idea  Wed, 13 Feb 2019 10:05:43 CST
  • USMEF's Dan Halstrom Says New Deals Like the USMCA Vital for Sustainable Long-Term Growth  Tue, 12 Feb 2019 11:08:40 CST
  • 2018 US Beef Export Sales Set to Break Record with an Estimated $8.5 Billion of Total Product Sold  Mon, 11 Feb 2019 10:30:48 CST
  • Can't Make Heads or Tails of ELDs, Hours of Service? No One Can... Allison Rivera Sets Us Straight  Fri, 08 Feb 2019 11:11:47 CST
  • Clock Ticking as USDA Plays Catch Up from Shutdown, Drags Its Feet on Implementing the Farm Bill  Thu, 07 Feb 2019 12:44:02 CST
  • CattleFax's Randy Blach Says Evolution of US Beef Industry Remarkable, Still More Work to be Done  Wed, 06 Feb 2019 10:09:13 CST
  • CattleFax CEO Randy Blach Shares Positive Outlook on Cattle Markets, Warns of Possible Setbacks  Tue, 05 Feb 2019 16:16:20 CST
  • The Trouble with Trade - NCBA's Kent Bacus Says with Trade Deals, We're Our Own Worst Enemy  Mon, 04 Feb 2019 11:28:00 CST
  • China Holds Potential to Increase US Beef Exports by $4 Billion - Provided Trade Negotiations Go Well  Fri, 01 Feb 2019 09:28:53 CST
  • Fighting the Good Fight - NCBA's Colin Woodall Says Beef Industry Has "Fake Meat" Labs on the Run  Thu, 31 Jan 2019 13:42:49 CST
  • From the Cattle Industry Convention- Don Close Talks Cattle Inventory and More With Ron Hays  Wed, 30 Jan 2019 07:31:15 CST

  •  

    Beef Buzz Archives

    Old Archives  |   2010  |   2011  |   2012  |   2013  |   2014  |   2015  |   2016  |   2017  |   2018  |   Jan 19  |   Feb 19  |   Mar 19  |   Apr 19  |   May 19  |   Jun 19  |   Jul 19  |   Aug 19  |   Sep 19  |   Oct 19  |   Nov 19  |   Dec 19
       

    Ron salutes our daily email sponsors!

    Herbs Herb Oklahoma Ag Credit Oklahoma Farm Bureau National Livestock Credit P&K Equipment Oklahoma City Farm Show Stillwater Milling KIS FUTURES, INC. Oklahoma Cattlemen's Association

    Search OklahomaFarmReport.com


       
       
    © 2008-2019 Oklahoma Farm Report
    Email Ron   |   Newsletter Signup   |    Current Spots   |    Program Links

    WebReady powered by WireReady® Inc.