Beef 5- Feedlot sector

Question 1

How does the cow know that it is her calf?

Answer 1

smell and location

Question 2

Calf with breathing issues and producer is worried about respiratory disease. What is least likely?

Answer 2

enzootic pneumonia from BRSV and Mannheimia

Question 3

Feedlot sectors

Answer 3

-intensive production system
-100-350 animals per site
-some very large feeding organizations
-cattle placed on high energy, low roughage diets to optimize growth

Question 4

Feedlot management aspects

Answer 4

1. fiscal strategy
2. livestock inventory control
3. technical aspects fo feeding cattle

Question 5

Facility financing

Answer 5

-landscaping is major expense
-need to have access to land for spreading manure but does not need to own it
-most feedlots own land for silage production

Question 6

Livestock financing

Answer 6

Need to be able to but the cattle to feed
-banks will lend money at 1:4 basis at best
-some livestock agencies have purchase plans available

Question 7

What determines the price of a weaned calf?

Answer 7

-demand
-gender (males cost more; due to feed efficiency)
-weight (lighter calves cost more $/cwt; but heavier calves still worth more total)
-quality (steers more than bulls; breed types, conditions)
-size of group (advantage to selling larger calf groups because they can be put together) **higher price/cwt than small group

Question 8

What size groups are often for sale?

Answer 8

Often smaller groups 2-10 calves
-will sell for lower price than larger groups of same quality

Question 9

Cost of buying a calf example

Answer 9

Question 10

Costs of feeding calf before slaughter

Answer 10

-cost of feeder cattle
-feed costs
-health costs
-yardage
-freight
-bedding
-interest

Question 11

Cost of gain

Answer 11

Sum of all costs divided by total projected weight gain

Question 12

Yardage

Answer 12

Daily non feed costs not associated with ownership of cattle
-fixed costs: taxes, insurance, facilities
-non-feed operating costs: fuel, utilities, office, repairs, labor, medcine, bedding

”$/head/day”

Question 13

How long are calves fed for? Yearlings?

Answer 13

Calves: 180-280 days

Yearlings: 100-180 days

Question 14

Target slaughter weight for steers

Answer 14

1400-1550 lbs live

Question 15

Break even price calculation

Answer 15

Question 16

Custom feeding options

Answer 16

1. investing or owning a group of cattle
2. feeding a group of cattle for other investors/customers

**provides guaranteed cash flow for feedlot owners
**lowers risk compared to ownership

Question 17

Risk for custom feeding customers

Answer 17

Question 18

Independent cattle buyers

Answer 18

*local auction markets
*take orders from feedlot clients to purchase specific types of cattle

Question 19

MArketing cattle

Answer 19

-few major players in packing industry
-cattle may have to meet specific target weights
-must meet grade specifications

Question 20

Type of cattle available for purchase

Answer 20

Question 21

Sale on liveweight basis

Answer 21

-feedlot will need to sort cattle into attractive packages

-yield and grade wil be predicted by feedlot

-may accept bids from several packers before selling cattle

Question 22

Sale on the rail

Answer 22

Price paid on a carcass basis

Question 23

Sale on grid pricing

Answer 23

Packers may buy cattle on a carcass basis with bonuses and penalties based on carcass characteristics such as quality grade, marbling score etc.

Question 24

Factors affecting sale of finished cattle to packer

Answer 24

-consider price, freight, discounts, value of canadian $$

Question 25

Risk aversion

Answer 25

Feedlot must continue to operate even when profit can’t be projected

Question 26

What are strategies to mitigate risk of losses?

Answer 26

Question 27

technical operations of feedlot

Answer 27

Question 28

Feedlot employees

Answer 28

-compete with other industries
-offer pension plans, incentive bonuses
-needs specialized skills= reading feed bunks, detecting sick cattle, sorting fat cattle

Question 29

Feedlot energy sources

Answer 29

Western Canada:
Mainly barley
sometimes wheat

USA and rest of canada:
corn

Other byproducts:
-brewers/distillers grains
-cull potatoes
-potato chips/chocolate bars

Question 30

Starting cattle on feed

Answer 30

-encourage intake as soon as possible when arriving to feedlot
*less than 1.5% BW; take off starter rations 2.5-2.7%

Question 31

Starting feed components

Answer 31

-good quality long stem hay for 3-5days
-starter ration by day 2 (70-75% forage)
-increased mineral levels (potassium)

Question 32

Step up rations

Answer 32

Series of rations (8-10) formulated to specific nutrient requirements
-consistent increase in energy content
-each step= sub 10% grain for 10% silage
-every step 3-5 days
-progress to 85% concentrate finishing ration

Question 33

Advantages of step up rations

Answer 33

-natural progression of energy levels
-allows adaptation of rumen organisms
-can accommodate least cost formulation
-simple for day to day application

Question 34

How are cattle fed?

Answer 34

Mostly ad-lib
-get cattle on full feed, keep them there and avoid rumen acidosis
-feed consumption and daily feeding evaluation. Look at bunk each morning… dont want slick bunk (no feed left over at all)
*decide on amount and ration