be a profitable business. Even if a person is raising Longhorns as a hobby, good planning and management practices can help make the experience more profitable. It is relatively easy to make money raising cattle when the market for them is high, but it is harder when the market is low. Having a budget and paying attention to income and outgo, along with trying to utilize cost-effective management practices, can help ensure that the herd can make money even when times are tough.
B
Record keeping is always important in order to know exactly what is coming in and going out, and where the money is being spent. This should be the first step in all management practices in order to recognize whether operating the program at a profit or loss.
Since feed (especially winter feed) is usually the biggest input item when raising cattle, whether pellets, grain or supplements, shop around and find the best value for the money. Even take a look at alternative feed not considered before making cost-effective management decisions. If it is a good buy, make sure it is something that will still provide the nutrients necessary for the cattle to maintain nutrients. Do the homework and pencil out all costs and savings. Some feed might be really cheap, but if the supply is very far away and costs more in freight to get it to the ranch, it might not be a saving. Also, make sure a balanced ration still remains when using the cheaper feed. It will not be cheap if the cattle end up with a nutritional imbalance and are not as healthy, or the cows do not rebreed as quickly or the calves do not grow as well as they should.
Extending the grazing season (having the cattle harvest their own feed) is one of the best management practices to reduce costs, and this might mean utilizing rotational grazing, planting summer annuals that can provide grazing well into the fall/winter, stockpiling some pastures to save for later in the fall/winter, or utilizing windrow grazing or bale grazing. Any time the cattle can feed themselves, time and money can be saved.
reeding and raising cattle should
Perhaps the biggest way to save money/ make money is to make sure the cattle production system is as efficient as possible, especially in the cow herd and the total cattle management. All too often it is easy to be penny wise and pound foolish—pinching pennies and saving money on the small things, yet losing/wasting money on the big things. The goal is to lower the costs of production while optimizing the end product, such as working toward more profitable cows that raise good calves—the kind of calves wanted for replacement heifers, or show calves, or breeding stock.
This means improving the health and fertility of the herd, and optimizing the production of the pastures, hay crops, etc., with the least input costs. There are a number of tools that can help with these goals including, pregnancy testing (not having to winter open cows), strategic vaccinations (improving herd health to avoid costly reproductive diseases or illnesses that might result in treatment costs or death losses), use of calving-ease genetics (Longhorns calve easily, but still breeders need to make this a factor), taking advantage of bloodlines that are not only in demand but also fertile, efficient, and trouble-free. Breeders need to produce fertile, long-lived cows, which means fewer replacement females needed and more feed for the cows that are already producing calves. Working toward a more efficient cow herd that requires fewer expensive inputs, and adapting grazing systems that minimize use of harvested feeds, are the best ways to save/make more money in the cattle business.
Cost-effective management includes practices that help reduce illness in calves, from birth through weaning. This means making sure the pregnant cows have their proper vaccinations ahead of calving, so they can provide optimum protection for their calves via colostrum. Making sure cows and calves have adequate feed/pasture while the calves are growing up is also important. Keeping cattle healthy and preventing illness and death loss is the goal. This will mean strategic calfhood vaccinations at the proper times
in the life of the calf. Low-stress weaning methods will keep calves healthy through the weaning process and after. Finding ways to winter the weanlings inexpensively while still optimizing growth is often the secret to being cost-effective—such as letting calves spend winters at pasture—a healthier environment than confined in a feedyard—and utilizing a supplement if necessary, rather than having them on full feed.
WAYS TO CUT DOWN ON TOTAL EXPENSES
Take a close look at what is being spent weekly, monthly, and yearly (and for what) and then prioritize expenditures. In order to save money, look at personal expenses as well as what is being spent on the cattle. Some families spend more than they realize on prepared food—eating out, or getting into the habit of grabbing lunch in town instead of taking a sandwich or snack when away from home at mealtime. Often the amount spent on one restaurant meal for the family would have bought several days’ or even a week’s worth of groceries.
There are always places in spending that can be tightened up, or areas that could stand a bit of economizing. Do you need to buy a new tractor, build a new fence, purchase a new chute/working facility or can you fix the old one adequately (and with much less expense)? With some expenditures, is it something that is needed or is it just a want? Sometimes savings can be immediate (resisting the desire to buy something that you can do without) or long-term. The long- term economy might consist of choosing a better quality item that might cost a bit more today, like replacing a burned-out light bulb with an LED light—that will save money on a power bill over the long haul.
Electricity is a cost that keeps going up in many regions. Finding ways to cut electricity use, especially during the months the power bill is highest, can be beneficial. For instance, during winter, consider plugging in the tractor at 5 a.m. instead of the night before, if it only needs a few hours in order to start. Figure out which electrical uses cost the most, and
2017 AUGUST i TEXAS LONGHORN JOURNAL 29
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