Livestock and Forages News Articles
Arkansas Beef Improvement Program - An Integrated Resource Management Program
November 2008
Managing for profit
With the cost to raise a calf on the increase; it seems appropriate to give
thought on how to best manage new calves to maximize profit. There are several
management strategies that can assist producers in maximizing profit.
Crossbreeding.
The first and most important management tool available to producers is to use
crossbreeding to your advantage. Even though it will not impact this year’s calf
crop, it is time to consider bulls to be used later this year. How can
crossbreeding affect my profit you ask? Having a herd of crossbred cows will
give you a net return of around $90 per cow exposed over straightbred cows. A
crossbred cow will have higher conception rates and improved calf survival.
Additionally, crossbred cows will wean heavier calves due to increased milk
production. Crossbred cows also tend to live a longer, more productive life. It
is estimated that calves from crossbred cow will be 15-25% heavier at weaning
when compared to calves from straightbred cows. The one disadvantage of
utilizing crossbred cows is that is increases the amount of management needed.
If a producer is retaining replacement heifers, a special breeding system must
be in place to produce crossbred heifers that match the cowherd base. A second
component of using crossbreeding is to us the increased profits to design a
crossbreeding system that produces a desirable feeder calf. Producing a
crossbred calf can net producers up to $70 per head over production of
straightbred calves. Utilizing a crossbred cow with an appropriate, muscular
bull will result in the largest net change in profit than most other management
practice can offer.
Use a herd bull with superior genetics.
When you are selecting a bull as your herd bull, be sure to buy bulls that
have performance data. The use of performance data is the only means of
predicting how his calves will perform. The easiest form of production data to
use in selecting a herd bull is Expected Progeny Differences or EPD’s. By
choosing a bull that is 20 lbs over the breed average for weaning weight can net
producers up to $20 per calf marketed more than a bull that is at the breed
average for weaning weight. Buying a bull that is above average for weaning
weight EPD can net producers up to $40 per calf marketed over a bull that does
not have performance data. Buying a higher quality bull will often be more
costly, but will go a long ways in improving the quality of calves that
producers raise. One factor that is not accounted for in these calculations is
the superior quality replacement females that will be produced by purchasing a
higher quality bull.
Managing for a controlled calving season.
Often overlooked, having a controlled breeding and calving season can result
in heavier calves at weaning. Reducing a calving season from 120 days to 60
days, it is possible to see a 65 lb. increase in average weaning weights.
Controlling your breeding and calving season will result in a more uniform calf
crop due to more consistency in calf age. Additionally, having a controlled
calving season will allow more effective management of pastures and facilities
as well as reduce overall labor requirements thru the calving season.
Castration, dehorning and implanting of calves.
Castration of young male calves is a management technique that is
underutilized in Arkansas. However, castrated males receive $4-$6 per cwt
premium at market over intact males. Castration can be stressful to older calves
and will result in lost weight. Castrating a young calf minimizes stress and
health risks. Administering a growth implant to castrated steers will result in
a 15-25 lb increase in weaning weight over non-implanted calves. Dehorning
calves is another management practice that can increase profits. Properly
dehorned calves receive a price premium of $3-$5 per cwt compared with horned
calves. The easiest way to dehorn calves is through genetics, purchasing a
homozygous polled bull will guarantee that all his calves are polled. All three
of these practices can be combined and administered together, reducing labor
costs. Working calves around three months of age allows for castration,
dehorning and implant administration to be accomplished at the same time while
minimizing animal stress. Vaccinations can also be added to the processing to
further justify the benefit of processing your calves at this time.
Improved grazing management and ration formulization
Producers often do not maximize the use of available forage in their
pastures. It is estimated that cows only utilize 35% of the available forage in
a pasture that is not managed properly. Subdividing a larger pasture into
smaller, easier to manage lots can increase the forage utilization to 65%.
Managing pastures appropriately will also extend the grazing season and will
require less hay feeding. Producers that closely manage grazing typically see a
net return of around $12 per cow. Having your hay tested to determine the
available nutrients can also have an impact on your profits. Utilizing hay test
results, rations can be formulated to meet any nutritional deficiencies present
in your herd. Using appropriately formulated rations can net you an additional
$10 per cow exposed.
Pregnancy Checking
Cows that are not producing calves are free loaders; they require feed and
other resources without generating any return. Pregnancy checking your cows is
an easy way to keep non-producing cows from eating into your profits. The
earlier that you identify open cows and heifers allows flexibility on how to
market those animals to your best advantage. Producers that cull open females
tend to see net profits increase $15 per cow.
Each of the production practices discussed above is easy to implement. Now is
the time to set some of these management practices into motion. Start planning
your production year around these practices and allow your operation to maximize
its profit potential. Be sure to visit with your county extension personnel if
you need assistance implementing these practices.
By: Brett Barham, Assistant Professor-Breeding and Genetics
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