💸 Strategic Spending: Navigating Replacement Heifer Costs for 2025 Herd Growth

Ranch Reality, Beef Bonanza and Harvesting Crop Ops from Ranching.com by CattleMax

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NEWS

💸 Strategic Spending: Navigating Replacement Heifer Costs for 2025 Herd Growth

💸 Strategic Spending - Ranchers aiming to rebuild their cattle herds in 2025 should anticipate higher-than-average prices for replacement heifers. Economists suggest using annual input costs, estimated calf crop value, and cull rates to determine affordability, emphasizing careful evaluation of replacement heifer longevity and health.

📈 Production Projections - The USDA's Cattle on Feed report shows a September 1 inventory of 11.198 million head, with increased third-quarter placements anticipated. Beef production forecasts for 2024 and 2025 have risen, reflecting higher marketings and heavier carcass weights.

🌂 Hay Surplus and Continued Drought - Some cattle producers face improved hay stocks for winter feeding, but drought is dampening the outlook for cool-season grazing. While winter feeding costs are lower, ongoing dry conditions lead to cautious optimism about sustaining herds into spring.

☑️ Ranch Reality - Cattle ranchers face significant economic risks as traditional production models may no longer ensure long-term profitability. Rising input costs, stagnant cattle prices, and a cyclical market necessitate regular assessments and adaptations to maintain viability and capitalize on emerging opportunities.

🌽 Harvesting Crop Ops - The corn harvest is progressing rapidly, with producers utilizing stalks and stubble for cattle. Lower feed costs from earlier forage production and rising calf prices suggest evolving profit opportunities. However, backgrounding carries financial risks, requiring careful market analysis and potential hedging strategies.

🍔 Beef Bonanza - As of October 18, Choice boxed beef prices reached $320.65/cwt, the highest since July, driven by increased demand for various cuts. Despite rising production, particularly in fed beef, prices remain robust, indicating strong consumer demand.

🐮 Unlocking the Power of Estrus Intensity - Estrus intensity is crucial for breeding success in cows and heifers, with variations in estrus cycles affecting pregnancy rates. Research by Dr. Ronaldo Cerri highlights the importance of monitoring estrus intensity to select optimal breeding candidates using tools like activity monitors and breeding indicator patches.

RANCHING KNOW-HOW

Guide to Maximizing Values of Cull Cows

The National Cattlemen’s Beef Association and CattleFax have released “Right Way. Right Time. – A Guide to Cull Cattle Management,” aimed at helping cattle producers enhance profitability through informed culling decisions. The guide emphasizes the importance of timely marketing and animal welfare, highlighting cull cattle as valuable market assets.

Cattle Drenching Tips Help with Efficacy

Benzimidazoles, or white dewormers, are crucial for managing internal parasites in cattle, but proper application is essential for effectiveness. Experts Dr. Leonor Sicalo Gianechini and Dr. Nathan Meyer stress the importance of accurate placement, dosing, and technique to maximize drug efficacy and prevent resistance. Proper administration ensures that the dewormer reaches the rumen for optimal absorption, ultimately improving animal health and productivity.

CATTLE COMMUNITY
QUOTE OF THE WEEK

“Agriculture was the first occupation of man, and as it embraces the whole earth, it is the foundation of all other industries.”

E.W. Stewart

READER POLL

In what segment of the beef industry do you consider yourself/your operation?

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LAST WEEK’S RESULTS

How do you feel about state regulations on lab-grown meat?

67.1%: Strongly Support

7.7%: Somewhat Support

7.7%: Neutral

3.2%: Somewhat Oppose

14.2%: Strongly Oppose

THOUGHTS FROM VOTERS

Strongly Support

  • “It’s not just to protect agriculture. One’s health is dependent upon what is in the food we eat and, consequently, in our bodies. There is already far too much ‘tinkering’ with our food, which has negative effects on health. Nature provides us with the necessary nutrients we need, not technology.”

  • “A substance grown in a lab is not beef. The consumer should know what they are putting into their mouths.”

Somewhat Support

  • “It needs to be regulated just like USDA/FSIS regulates all meat production at processing plants in the US.”

Neutral

  • “I believe in free enterprise and support the real beef industry and don't think this is an area appropriate for legislation. The product will succeed or fail on its own merit without this type of intervention. In addition, I don't think government should subsidize either.”