Calf prices look to be strong for the next few years as the national cow herd continues to bounce back from liquidations related to drought. These market conditions pose a great opportunity to increase profit potential through value-added programs.
A value-added program makes calves better through the use of specific management protocols. Value-added programs have historically focused on vaccine protocols and preconditioning to get calves “bunk broke” before marketing. Now buyers are looking for more from their investment, and nutrition plays a key role in preparing calves for market.
For instance, 2023 data from Superior Livestock Auction shows buyers are willing to pay at least $31 more per head for calves born from cows fed a high-quality mineral. The nutrition cattle are fed is a critical component for adding value.
By using the management protocols required by many value-added programs, including vaccinations, deworming, nutrition, days weaned and more, you can market healthier, bigger calves that buyers will seek. Here are a few tips to get the most from your value-added nutrition and management program:
Feed a foundation
Nutrition sets the foundation for calf performance, which is a major reason buyers seek information on the nutrition background of cattle.
Starting with a quality mineral program for cows contributes to developing a robust immune system in calves. Recent research from North Dakota State University found that when dams are fed a quality mineral program from conception to weaning, their calves have higher mineral statuses and will receive more colostrum. Calves in the study born from dams fed a high-quality mineral also had larger rib-eye areas and weaned 36 pounds heavier than those that weren’t fed mineral, delivering more weight to market.
At weaning, feed calves a diet that allows them to gain at least 2 pounds per head per day. This ensures the calves have a functioning rumen, the immune system is supported and they’ll be ready to perform when they move to the feedyard.
The weaning ration doesn’t have to be complicated. Quality starter feeds are available in pellet forms that offer a high level of nutrition to support both performance and immune function while calves are in a drylot. If you can achieve 2 pounds of gain per day on grass by feeding 1% of bodyweight with a grain mix, that’s a great option as well. Be sure that a high-quality mineral is included to help balance out the nutrition, no matter your weaning program.
Also, the longer you wean calves, the better off they’ll be. Value-added programs that are 45 days or more are in high demand. Calves enrolled in value-added programs requiring 45 days of weaning brought $45 more per head above average cattle at Superior Livestock Auction.
Communicate with potential buyers
Before selling calves, the best thing you can do is contact your local cattle marketing representative to let them know how your calves were managed. The representative will then relay that information to the buyers.
Buyers will want to know about the various health and nutrition protocols the calves have experienced. From a nutrition standpoint, inform your marketing representative about your mineral program and what was fed at weaning. This type of information will help them determine who potential buyers could be.
If you’ve worked with the same buyer for years, talk to them about what they’re looking for in management and nutrition programs. They may have some input on what other producers have been doing that is working for them.
Don’t forget to talk with fellow producers for input on their experience with a value-added program. They may have valuable input to help you determine what works best for your situation.
Build a reputation
When the cow herd rebuilds and prices level, you’ll likely see significant differences in value between the reputation cattle and the nonreputation cattle. And, while building a good reputation is a long-term process, now is the time to try something new so you know what nutrition and management programs add value to your calves when the cattle cycle turns.
Start by making your marketing decisions 60 to 90 days before the cattle go to market when you are preparing to wean. You can’t make the marketing decision the day you sell the calves because there’s not enough time to set them up to perform. Choosing a value-added program that prioritizes nutrition and health will help you deliver high-quality calves buyers want year after year.
It takes time to build up your reputation, so stay vigilant. Establish and maintain a good reputation by being consistent in what you’re selling. Find a value-added program that works well in your area and that your cattle marketing representative is comfortable promoting. Use the program for at least three or four years to build a reputation. You won’t build a reputation by skipping the program every other year.
Establish your reputation by sending calves to the market that have a foundation for performance built on quality nutrition. Communicate what you are doing on your farm or ranch with buyers, and they’ll continue to seek your calves at sale time.
Talk to your local cattle marketing expert or nutritionist today to see how you can get more profit at marketing through value-added nutrition programs.
References omitted but are available upon request by sending an email to an editor.