Rod Wesselman
Association Perspective
Marketing 101
Greetings from the Pacific Northwest! We have had a mild winter, and cattlemen have been able to save on some expensive hay bills. It is a double-edged sword, though, because we will need a lot of spring rains to maintain what moisture we do have.
I would like to share a friendly reminder and tips on marketing your fall feeder calves this spring, and even the calves or yearlings you will sell this summer and into the fall.
With the increase in ranch inputs today, producers need to maximize the returns on those great calves that you have produced. First, you need to start looking at marketing options early. Don't wait until the week before you want to sell your calves to see what the market is doing.
Look at when and where you might sell your calves, and determine whether or not you will prewean your calves. My suggestion is to start with watching market reports at least 60 days, and preferably 90 days, before you want to sell your calves. The USDA Weekly Market Reports or information from CattleFax are two great resources for market information.
A second suggestion is to start visiting with your local auction barn representative to see what their perspective is on the market and what their options might be for you to sell calves. If you have truckload lots, visit with your local video market representative to see when might be a good time to sell.
In addition to those two ideas, you should visit with local feedlot owners or representatives to find out their opinions on the market. They can offer you options for buying the calves private-treaty or retaining part ownership, and feeding the calves out to finish.
One option I have mentioned, and I recommend, is researching whether to wean your calves for 45+ days or to sell them straight off the cow with preweaning vaccinations. You need to look at what your investment in feed might be compared to your return in the market. Also, look at options like age and source verification through programs like AngusSource® and/or Gateway. For more information on those programs, check out The Source on the "Marketing" page of the EXTRA, or http://www.angus.org/angussource/.
After doing your research and starting early with your marketing options, you can pick the best one that fits your program. In today's market, you should look at many different marketing options to maximize your return.
Editor's Note: Regional Manager Rod Wesselman covers Region 11, including the states of Hawaii, Idaho, Oregon & Washington. Click here to find the regional manager for your state.
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