Andy Rest
Association Perspective
Angus genetics remove the guesswork.
As I write this article in late September it has been a very interesting spring and summer. Much-needed moisture in the northern part of the country where I travel has provided good crops and lots of feed.
I have had the opportunity to attend a number of video auctions this summer and early fall, and prices have increased dramatically over those seen in 2009. While prices have increased, the reason buyers are willing to pay a premium has remained the same.
Buying high-quality, reputation Angus bulls is a key. Potential buyers know the value of Angus genetics. Because of the Angus breed's carcass and marbling qualities, much of the guesswork is taken out for buyers when they purchase a set of straightbred or high-percentage Angus calves. Time and time again Angus-sired calves consistently topped video sales and weekly auctions across the country.
Along the same lines, enrollment in AngusSource® can help a buyer of registered Angus bulls ensure he receives a premium for the bulls’ progeny. It's a buyer's guarantee that the calves are sired by a registered Angus bull. The AngusSource program is one of the most cost-effective age-and-source programs going. There is an enrollment fee of $50 and panel tags cost only $1 a piece. A matched set of a panel tag and a radio frequency identification (RFID) tag costs $3.50. Furthermore, the AngusSource marketing document can tell any potential buyer about the bloodlines of the bulls and management practices the calves have received. It was my experience this year that the age- and source-documented calves were still bringing a premium.
Data from Superior Auction in 2009 showed that the AngusSource calves at Superior sales brought a premium of $2.65 per hundredweight (cwt.) over calves not enrolled in an age-and-source program and $1.08 per cwt. over calves enrolled in another age and source program. Data from Superior for their 2010 sales isn't available yet.
Marketing is all about relationships. Whether you sell cattle on the video, privately in the country or at your local auction market, you need to develop relationships with your video rep, order buyers and auction market reps. Make sure they see your operation and cattle before selling. If you are selling on the video, make sure the video that is seen sale day is of high quality and does a good job of showing your cattle off to their best advantage.
Taking advantage of Angus genetics and the AngusSource program, along with doing your own marketing homework, will ensure that your calves sell at the top of the market again next year.
[Click here to go to the top of the page.]