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Take Advantage of Seasonal Markets for Cull Cows

Marketing cull cows (cows that are old or are not producing calves) accounts for about 15 to 17 percent of revenue for a cow-calf operation, according to Dave Weaber at Cattle-Fax. Unfortunately, most cull cows are sold when prices are at seasonal lows, he says. “There is a big chunk of revenue there that’s not managed very well.” But understanding the seasonality of the cull cow market can increase the income a producer can receive from his cull cows, according to YourCattle.com.

Prices for Utility grade cows usually begin in January at the average for the year. They increase to above average levels into February, then peak in March and April, Weaber says. Prices then decline, but are still above average into August, when they are near average again. Below average prices occur in September. Then prices drop sharply in October and November, to the lowest point of the year. Prices begin to recover in December, but are still below average.

A lot of cull cows are just put on the truck after their calves are sold, Weaber explains. But by analyzing the market, retaining ownership of these cows through the downturn in the market could net more total dollars.

According to the USDA Ag Market News Service, cull cow market prices across the country were steady to higher, with good demand last week. Average prices in Kentucky were $1 to $2 higher, in Tennessee prices were steady to $3 higher, in Oklahoma City, prices were firm, and in the Texas panhandle, prices were $1 to $2 higher.

Records kept since 1980 show a $64 per head advantage by selling cull cows in the spring. Of course, cows that are crippled, sick or have no teeth need to be marketed no matter what the prices are, Weaber says. But the majority of open or dry cows in the fall can be fed until the market begins its seasonal upswing.

 
 

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