North Coastal beef weaners (improved country) gross margin budget

Farm enterprise Budget Series: June 2010

Enterprise: North Coastal weaners 2 (improved country)-stores

Enterprise Unit: 100 cows

Change in gross margin ($/cow) for change in price &/or the weight of sale stock (Note: Table assumes that the price and weight of other stock changes in the same proportion as steers. As an example if steer sale price falls to 195c/kg and steer weight to 225 kg, gross margin would fall to $191 per cow. This assumes that price and weight of all other sale stock falls by the same percentage.

An increase of 5% in weaning percentage increases gross margin per cow by $20.9

Assumptions

North Coastal weaners 2 (improved country)-stores Enterprise unit is 100 cows weighing on average 425 kg Weaning rate: 84% , conception rate 90%.

Selling costs include: Commission 4%, yard dues $3.28/hd, MLA levy $5/hd, average freight cost to saleyards $6.00/hd, NLIS tag @ $2.90 for all sale cattle.

Cows: age at first calf : 36 months Mortality rate of adult stock: 2%. The average feed requirement of a cow + followers is rated at 13.82 dse’s*. This is an average figure and will vary during the year. Note that replacement heifers are assumed joined in the second year and this adds to the dse rating of this enterprise.


Marketing Information:

Mixed sex weaners sold in Autumn, normally on a $ per head basis. (Cents/kg liveweight used as an indicator). Suitable liveweights for feeder steer/heifer for pasture or grain finishing. Local or export trade depending on breed. Price for cull heifers will especially depend on breed.

Production Information:

Pasture maintenance cost will vary depending on stage of improvement, pasture degradation, rainfall and soil type.