Kurt KangasAssociation Perspective
When should you market your calves?
As calving and breeding seasons wrap up, many producers begin to look at the marketing of their feeder calves. One of the most commonly asked questions is, “When should I try to sell my calves so I can capitalize on the highest prices?”
Chasing the summer video markets can be a frustrating experience, and using last year’s highs and lows to determine when to place this year’s calves isn’t always the best strategy. In the past two years, if you sold calves in June each year you would have captured a seasonal high last year, while catching a seasonal low the previous year.
The same could be said about the fall markets. Producers who sold in August and September last year in 2015 did not see the highs of those that sold in the spring and early summer. However, in 2014, those selling in the late summer and fall video sales sold their calves at a much higher price than those who sold in the spring of that year. If a producer tried to “chase” the highs and lows, it would not be inconceivable that they missed the highs and came close to catching the lows through each cycle.
When one markets one’s calves, it would seem advantageous to pick a time of year to sell them and stick with it year after year. The buyers who know and like your calves will look for them at certain times of the year. If those calves are constantly bounced around from fall to spring and then to the middle of summer, it makes it harder for those buyers to locate those calves. Basing success on a rolling average instead of a single sale season average might be a good way to look at the marketing of calves.
This could be an interesting year for selling calves on the video markets and sale barns; adding value to your calves with a prevaccination program or a genetic verification program such as AngusSource® could attract buyers to your calves. Providing a uniform group of calves with information on growth and carcass traits of the bulls used in your herd could differentiate your calves from your neighbors' calves and add value to this season’s calf crop.
Have an interest in your calves after they leave the ranch. If you have the chance to meet the buyer and/or feeder who takes delivery of your calves, ask them questions and get some feedback that can be used to help make decisions on the bulls that you buy in the future. Developing these types of relationships may help to get your calves marketed in the future.
Editor’s Note: Regional Manager Kurt Kangas covers Region 10, including the states of Alaska, Montana and Wyoming. Click here to find the regional manager for your state.
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