The Market Report

December 5, 2017

Last week we talked about a few of the changes in the beef business in the last 42 years. We identified communications as one of the key changes and the speed of information to travel in all these new ways of communicating. We also identified beef quality and food safety as issues on the very front of the consumers’ minds both nationally and internationally. We identified vaccinations that prevent disease as perhaps the most important thing producers can do to insure the quality of the beef they produce.

This week we want to talk about minerals and their impact on beef quality. It’s important to know inoculations given to cattle to prevent disease will not work as well in mineral deficient cattle. The cattle you produce need a good mineral program to go with the inoculations before you can expect the inoculations to work. That’s why we developed the new 2-V program and added minerals as an important part of that program. Inoculations and a balanced mineral program are two of the most important things we can do as beef producers.  In participating in this program you will limit the use of antibiotics and help increase the viability in your calves.

Now let’s turn to genetics. Six years ago I was invited to Middletown to talk to Mike Browning and Lee Leachman about selling their annual bull sale.  We had stopped selling bulls here at 101 Livestock.  There just wasn’t enough factual information available that made us like the bulls we were selling in the past. WDA (weight for day of age) was a tool used in our past bull sales to help determine value. We all know the more you fed the bulls the more they gained and while that might help to make a big WDA it also burnt their feet up and made big fat lazy bulls we never liked to sell. It’s important to keep in mind a lot of our customers in the past just bought bulls to use on their cows with very little emphasis on critical genetics. However, in that first meeting I thought they were on to something besides raising these bulls in the rocks and not over feeding them there was a genetic idea that looked far into the future. It was a plan you had to like but it was not easily understood. We have spent a lot of time trying to put this complicated formula into cowboy language. It’s a formula that produces bulls with the best and most balance of all EPD’s(expected progeny differences) then puts a $ value on that bull so you know exactly what he is going to be worth to you over the next four years. It might seem complicated but if you look at the numbers then it’s easy to see why we started selling bulls again.  The $ PROFIT number is the most progressive change we have seen in this business in the 42 years we’ve been here. Six years of selling these bulls means the quality of the cattle we sell each week has made some huge strides and is now bringing some special buyers to take advantage of the genetic makeup of calves that eat less gain more and produce the very best carcass money can buy. It’s also important to know we sell some high quality cattle that aren’t sired by Topline Leachman bulls. Those customers have been buying top quality bulls for years and their calves have real quality also. However, some have been buying their neighbors best calf to use on their cows or just buying bulls on visual selection because the industry never had the tools they needed to make bull selection easy. That has all changed by one word called $ PROFIT. Selling 150 bulls on average for the last six years has made a huge difference in the quality of the cattle we sell. It’s these two things; the use of minerals to make your inoculations work and the genetic base for producing the best in carcass, grade, and feed efficient cattle money can buy are important changes in the base of cattle we sell here. Buyers will pay premium prices for good genetics, a good mineral program, and the best in vaccinations. However, they don’t want just lip service they want the real deal and this has been the driving force behind the word quality here. When we tell our customers that these cattle are double vaccinated they can depend on that information to be correct. We have the computers, the computer programs and expertise to get that information in the buyer’s hands and then transfer that information directly to the processing center of the cattle’s new home.  This business offers some amazing changes that add real value to the cattle you produce. We want to get this information in front of everyone so they have the opportunity to take advantage of these new revelations in the beef world. Remember last week we talked about communications and we will use that word to transfer information that adds real value to the cattle you sell.

See you next week,

Jim Warren (831)320-3698

 

JUST A REMINDER

NO SALE ON

TUESDAY DEC 25 AND JAN 2

 

 

 

 

 

 

 

 

REPRESENTATIVE SALES

3 Blk, Char 413# steers sold for $171.00

3Blk 450# steers sold for $171.00

3 Blk 495# steers sold for $163.00

5 Blk, Char 551# steers sold for $139.00

8 Blk 563# steers sold for $140.00

3 Blk 584# steers sold for $138.00

3 Blk 687# steers sold for $125.50

 

11 Blk 471# heifers sold for $149.00

4 Blk, BWF 490# heifers sold for $134.00

5 Blk 510# heifers sold for $139.00

4 Blk 581# heifers sold for $144.00

7 Blk 602# heifers sold for $128.00

Steers
Weight Avg/cwt High/cwt
400-449 $140 $171.00
450-499 $147 $171.00
500-549 $123 $135.00
550-599 $135 $140.00
Heifers
Weight Avg/cwt High/cwt
400-449 $135 $141.00
450-499 $143 $149.00
500-549 $136 $139.00
550-599 $144 $144.00
600-649 $124 $128.00
Cow
Grade low/cwt High/cwt
Cutters $41 $56
Boning Utility $56 $63
Fat $74 $74
Bulls
Grade Low/cwt High/cwt
High Yield $71 $78
Others $51 $66