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


Emerging Segment in Beef Pipeline Gains Importance - Rabo Analyst Don Close Explains Grow Yards

Fri, 26 Apr 2019 10:04:34 CDT

Emerging Segment in Beef Pipeline Gains Importance - Rabo Analyst Don Close Explains Grow Yards When it comes to the beef cattle industry, we are quite familiar with the different sectors of the supply chain that become standard; those sectors being the cow/calf, stocker, feedyard and packer. However, a new report out from Rabo AgriFinance, suggests that a new sector has started to emerge in the industry. Rabo Senior Analyst Don Close sat down with Radio Oklahoma Ag Network Farm Director Ron Hays this week in New Orleans during the 2019 Cattle Industry Convention and Trade Show to talk about this rising niche market, dubbed “grow yards,” and the role they are taking on within the beef industry’s changing landscape. You can listen to their complete conversation by clicking or tapping the LISTEN BAR below at the bottom of the page.


“We’re seeing that as the commercial feed yards have gotten bigger, both in size of yards and with the number of yard ownerships per company - just having the ability to handle either lightweight or high-risk cattle - is becoming increasingly difficult for those commercial feeders,” Close explained, setting up the current situation that continues to develop. “So, as a result they are turning more and more to the grow yard to have their cattle conditioned.”


The benefits of doing this, Close says, is that it enables companies to have a central collection point and provides them the opportunity to buy multiple weights of cattle instead of cattle from one narrow and highly competitive weight range, specifically those 800 weight cattle. While this means significant opportunity for established grow yard operators and emerging ones, Close also suggests that the growth in this sector could have ripple effects throughout the supply chain.


While the grow yard model mirrors that of the typical stocker or backgrounder operation, Close says grow yards will focus more on the 600 to 700 weight calves whereas stockers typically prefer 400 to 500 weight cattle. However, Close says this will create more demand and increased competition in the stocker market.


“It certainly provides more competition not only on price or number of buyers but it also enables the cow/calf guy some versatility in that he doesn’t have to sell his calf crop the same day as every one of his neighbors are,” he said. “So, we see some benefits there.”


In addition, as more cattle are diverted off the farm and out of the feedlot via grow yards, Close says this also creates more room for herd expansion as well. It also gives the high labor, low cost operators an opportunity to break into the business. And, given that operators in this segment generally do more regional business, Close contends that growth in this sector may also help advance the beef industry’s traceability agenda, too.


Listen to the full conversation between Close and Hays over this emerging sector in the cattle industry, 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.




   




   

Listen to the full conversation between Close and Hays over this emerging sector in the cattle industry
right-click to download mp3

 

WebReadyTM Powered by WireReady® NSI

 

Beef News

  • Producers Face Many Considerations as Feeder Markets Come Under Pressure of Rising Feed Costs  Wed, 17 Jul 2019 11:04:44 CDT
  • OSU Market Watcher Derrell Peel Shares His Observations from the Countryside on the Cattle Industry  Tue, 16 Jul 2019 09:57:41 CDT
  • R-CALF CEO Bill Bullard in Oklahoma to Promote a Pro-MCOOL Message to Local Beef Producers  Mon, 15 Jul 2019 11:31:25 CDT
  • Greenhouse Gas Guru, Mitloehner, Says Cow-Fart Protestors Spread More Manure than Beef Industry  Fri, 12 Jul 2019 14:15:28 CDT
  • LMIC's Jim Robb Says US Beef Exports Finally Catch Up to Speed While Imports are Larger Than Expected  Thu, 11 Jul 2019 10:39:43 CDT
  • Boxed-Beef Trade's Surprising Performance Underpinning Current Strength in the Marketplace  Wed, 10 Jul 2019 10:28:23 CDT
  • New Web-Based Sire Selection Tool Promises Easier Decision-Making with Herd Specific Optimization  Tue, 09 Jul 2019 10:25:26 CDT
  • Feeling Buried by All the EPDs Out There? University of Nebraska's Matt Spangler May be Able to Help  Mon, 08 Jul 2019 11:54:46 CDT
  • What Do Consumers Really Think About Beef? They Love It... They Just Don't Know Much About It  Fri, 05 Jul 2019 10:32:55 CDT
  • NCBA's Head of Market Research Rick Husted Talks Consumer Perceptions of Beef and Beef Production  Wed, 03 Jul 2019 10:24:30 CDT
  • Industry Association Spearheads Effort to Create Recovery Tool for Producers Victim of Dealer Default  Tue, 02 Jul 2019 10:34:22 CDT
  • BQA Program Continues to Benefit, Improve US Beef Industry as More Producers Commit to Quality  Fri, 28 Jun 2019 10:21:34 CDT
  • Ag Economist Glynn Tonsor Expects Strong Market Reaction if Positive Movement Made in Trade Talks  Thu, 27 Jun 2019 11:06:12 CDT
  • While Not a Market Mover, Latest On Feed Report Does Not Bode Well For Feeders' Bottom Lines  Wed, 26 Jun 2019 11:13:34 CDT
  • Oklahoma National Stockyard's First Female General Manager Kelli Payne Showcases Market's Historical Significance  Tue, 25 Jun 2019 10:53:50 CDT
  • Secure Food Supply Plans Allow Farmers and Ranchers to Take Biosecurity into Their Own Hands  Mon, 24 Jun 2019 12:22:48 CDT
  • RMA's Haying and Grazing Date Adjustment Good News for Cattle Producers Badly in Need of Forages  Fri, 21 Jun 2019 11:40:04 CDT
  • NCBA's Scott Yager Touts Livestock Producers' Regulatory Relief from Superfund Law Under FARM Act  Thu, 20 Jun 2019 11:07:36 CDT
  • Market Watcher Derrell Peel Shares His Advice on How to Build Your Strategy Around Market's Mounting Volatility  Wed, 19 Jun 2019 10:05:52 CDT
  • Prospect of Higher Feed Costs Generating Both Challenges and Opportunities for Cattle Producers  Tue, 18 Jun 2019 11:01:21 CDT
  • Beef Industry Experts Don Close and Kent Bacus Explain Why Mandatory Labelling Isn't So "COOL" After All  Mon, 17 Jun 2019 11:36:49 CDT
  • Rabo Agrifinance’s Don Close Shares His Top Four “Unknown Unknowns” of the Beef Industry in 2019  Fri, 14 Jun 2019 09:29:13 CDT
  • Despite Minor Declines, US Beef Export Business Continues to Perform Well as Fringe Markets Grow  Thu, 13 Jun 2019 13:19:37 CDT
  • Cattle Market Under Pressure as Corn Plantings Continue to Struggle, Adding to Price Weakness  Wed, 12 Jun 2019 11:07:37 CDT
  • Government Cracks Down on Sue and Settle Tactics Employed by Environmental Activist Groups  Tue, 11 Jun 2019 10:28:55 CDT
  • Industry Has Its Work Cut Out for Itself as Wildlife Service Weighs Listing the Lesser Prairie Chicken  Mon, 10 Jun 2019 11:19:40 CDT
  • NCBA's Colin Woodall Calls Out Misconceptions About Fake Meat's Claims of 'Zero-Sum' Production  Fri, 07 Jun 2019 10:49:24 CDT
  • Donnell Brown Proclaims Efficiency the Next Great Frontier, Genomic Enhancement will Get Us There  Thu, 06 Jun 2019 09:53:06 CDT
  • Generational Transfer Happens Whether We're Prepared for it or Not - So Why Not Plan Ahead Now  Wed, 05 Jun 2019 09:42:15 CDT
  • Food Industry Leader John Patrick Lopez Says Sharing Agriculture's Story is Everyone's Responsibility  Tue, 04 Jun 2019 10:15:01 CDT
  • OKC-Based Processor Behind McDonald's Non-Frozen Beef Menu Brings Chain Some Fresh Sizzle  Mon, 03 Jun 2019 11:57:26 CDT
  • China's African Swine Fever Problem Largely Seen as a Positive for US Ag- But What's the Downside  Fri, 31 May 2019 10:20:36 CDT
  • Angus Dollar Value Index Upgraded to Meet Today's Economic Conditions, Dan Moser Explains  Thu, 30 May 2019 10:59:45 CDT
  • Greenhouse Gas Guru, Mitloehner, Says Cow-Fart Protestors Spread More Manure than Beef Industry  Wed, 29 May 2019 09:40:47 CDT
  • USDA Reports Highest May 1 Inventory of Cattle on Feed Since '96 - Derrell Peel Shares His Analysis  Tue, 28 May 2019 10:21:29 CDT

  •  

    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!

    Oklahoma Ag Credit Oklahoma Farm Bureau National Livestock Credit P&K Equipment Tulsa Farm Show AFR Insurance 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.