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101 Things to reduce cost of production and improve returns for cow calf producers in Western Canada | |
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- Grazing Management – Try to graze for 7 and feed for 5 months instead of the reverse
- Make it a priority to learn more about grazing management and setting grazing plans
- Use Legumes in pasture – Alfalfa reduces Nitrogen needs, improves productivity, drought tolerance and pasture quality
- Use fertilizer when and where it makes sense
- Soil test to know how to manage your soil nutrient needs
- Use Electric fencing – It is cheap, allows for fencing flexibility and is quick to put up and take down
- Don’t overstock grazing land
- Manage your grass for the worst case scenario – the worst that will happen is that you will have too much grass
- Use early weaning to manage grass, feed and improve body condition for cows going into winter
- Understand and know how to rate Body Condition – It will improve conception rates, colostrum levels and can reduce feeding and bedding needs
- Balance rations and know the weights of the feeds you are feeding
- Eliminate bedding and feeding in corrals
- Let the cows lick snow – research has proven there are no negative issues as long as cattle have access to clean loose snow
- Calve on grass and give the cows space for calving and mothering
- Select for longevity…. Look at why cows are being replaced within the herd
- Run the right type of cows for your environment (ie milk traits)
- Focus on reproduction and not on weaning rates
- Improve stock handling skills
- Pail feed and tame the wild ones
- Enhance the vitamin, mineral and TM salt program
- Have a short breeding season on the heifers to select for high fertility
- Enhance energy in feed program at breeding
- Address the main causes of abortion
- Fall semen test bulls
- More bull power
- Extend the breeding season on the cows and/or have a second breeding season for the opensduring times of low values for cull animals
- Have a proper vaccination and preventative health program
- Replace equipment through custom operators or shared ownership
- Use the byproducts from the grain industry – stubble graze, using straw and chaff and screenings
- Discover the 80 / 20 rule – 80% of your time will be spent on things that make you 20% of your income; conversely there are things that take 20% of your time and make you 80% of your income – discover which activities are which
- Eliminate, Delegate, Cooperate, Procrastinate
- Evaluate your skills - do more of what you do well and hire what you do poorly
- Set Goals…. Long term and short term – Goals should be the driving force of what you do
- Evaluate the best profit opportunity of land use. ie cash crop canola vs. grass production
- Turn bush pasture into woodlot management
- Keep things simple
- Are you fully employed on your ranch?
- Build bridges that were burnt and enhance business relationships
- Can you as neighbors combine and feed your herds together for 100 days to save yardage costs?
- Custom feed cows out / in
- What are the off farm job opportunities
- Reduce manure handling
- Develop and protect natural wind shelter
- Use portable shelters
- Use portable feeders - Good feed bunks reduce waste and pay for themselves
- Consider skip a day feeding and review feed delivery program
- Know what it costs you to make feed – including the opportunity cost of owning the land on which it is made
- Understand the value of harvest, storage and feeding losses
- Know what it costs you to deliver feed – including the costs of replacing equipment when it is worn out
- Reduce feed handling and cut feeding losses
- Find ways to make use of the feed value in bedding straw
- Use water systems to enhance grazing opportunities
- Know your cost of a day on pasture and of a day on feed
- Use supplements to get the most benefit from forage
- Balance rations by phase of production
- Understand rumen function and nutrient requirements
- Own a scale – to know how much you are feeding, what you are buying and what you are selling, cattle and feeds
- Commit to business management. Specific financial and production goals that can be measured and monitored
- Make wise purchase decisions to reduce investment and depreciable assets… ie machinery and vehicles
- Avoid industry fads that are not cost effective -
- Buy replacements and use terminal cross bulls if you are a small producer
- Don’t spend money to reduce your taxes if it will cost you a dollar to save 30 cents
- Get a good inventory and management accounting system to accurately measure and monitor performance
- Learn the meat industry – what are the cuts from a beef animal and who buys it
- Learn how meat is graded - there is more to meat that just marbling
- Know what you produce…who buys the cattle, where do they go, were they happy with them
- Produce a uniform product… breeding, calving length, color
- Value-add to the calves….. Pre-vaccinate and wean
- Learn and use low-stress weaning methods
- Reduce people and stock stress when handling cattle
- Be diligent with injection sites, IM injections in neck only or use SQ
- Keep and improve your record keeping skills
- Improve identification
- Own a computer and use it for records, accounting, rations and internet resources
- Truckload size your sales
- Work with your neighbors for marketing
- Know your cost of production…. What is your breakeven?
- Know the difference between feasibility (cash cost) and profitability (full cost)
- Understand the feedlot performance of your cattle – Average Daily gain is important but Feed Efficiency is even more
- Find out about the carcass characteristics of your cattle
- Know where your cattle fit into the market
- Spread your market timings to reduce risk
- Do not try to top the market in the fall, set a strike price and follow through
- Be prepared to market…. Have things set up
- Send a thank you card to the buyer of your cattle…. You will definitely be remembered
- Who else is on your Christmas card list…. Maybe there is another time to send appreciation thank-yous
- Direct market your cows and bulls as hamburger, sausage, jerky and high quality meat
- Milk you resource team; bankers, AAFRD specialists, feed mill nutritionists, equipment suppliers, accountants etc.
- Enhance your resource team; AAFRD, Ag. Canada, researchers, meat processors, etc
- Maintain a network of informed and progressive beef producers
- Limit your time with negative people– 1 negative person can offset the positivism of 20 people
- Get involved in industry organizations - Alberta Beef Producers, Canadian Cattlemen’s Associations, Forage Associations
- Are you aware of and using all government support programs
- Consider debt restructuring
- Do you have a business plan Are you using it?
- Look at every tradition you have done and redo them
- Don’t let the cows run your life
- Pick 5 items on this list and start working on them today
- Pick another 10 items and pick them to work on in the next 6 months
- Print out this list…. add your own items …Put it on the fridge, in the bathroom, in the tractor and read it from time to time to keep challenging your self
- Treat your farm or ranch as a business; the way of life is a nice, but it has to pay for your cost of living
By: Christoph E. Weder, Rod Carlyon, Lorne Erickson and Trevor Yurchak Alberta Agriculture Food and Rural Development
The contents of this page are no longer available.
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This document is maintained by Stacey Tames.
This information published to the web on January 21, 2004.
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