Who is buying cows?

[grassfarmer]

There has been much discussion on the cattle cycle based on guys currently (allegedly) paying $1300-$1500 for cow/ calf pairs and high prices for breds. Is this really happening? who is actually buying at these prices - anyone on this board? any of your neighbours? Are there grain farmers out there buying cows to set up new herds? or American smugglers? I'm intrigued by this as I was buying cows last fall when there were hundreds of dispersal cows in the $600 range going to slaughter and the very best cows were bringing only $900. Buyers were few and far between then so why the sudden change? calves were a good trade then - better than they are now and you would never get a cheaper winter to feed cows through. Certainly cull cow values have lifted close to $200 - is this money just being bid back into replacement stock?

[mb_rancher]

Not going to get me paying $1300 for pairs. I seen quite a few good pairs a few weeks ago bring up to $800. Those are money makers.

[Cattleman]

Good question Grassfarmer, as I was wondering this as well. I was at some dispersals last fall where the better young cows were selling in that $800-850 range, and slightly older ones were around $650, yet you talk to people around and they were talking of cows for $1200- $$1300. It did seem to be coming more out of Southern Alberta, from what I could gather....anyone verify this? How many cows have people seen sell over $1100? I have wasn't at many fall sales, but I only saw a couple cows reach a $1000.

[PureCountry]

I too can't understand why or where it's happening. If someone walked into our place and offered 1300 they could take a few that's for sure. I haven't heard of any selling that high for 2 weeks though.

[PureCountry]

Last dispersal I went to was around $950 for an average, these were Red Angus predominatly and some with calves, some way long in calf. I wasn't impressed with the cows but they were mainly around 6 yr olds.

[cowman]

I think they pretty consistently quote the $1300 as tops in the western producer? Which I guess would be a pretty fancy dispersal cow?
I don't think you can build much of a cowherd out of the auction mart. Ususally those cows are there for a reason?

[cswilson]

Some reputation private treaty cows have brought that and a bit more-but these were realllll good cows.

[crossfield_beef]

The fellows buying cows are not going to reply to this thread saying what they are paying. They do not want to drive the price up.
I raise most of my own heifers and do not often buy breeding heifers or cows.
But if there is any future in the cattle industry at all I do not feel that $1300 for a bred self propelled forage harvester is too much. A young strong cow that will not require a lot of attention in calving or vet bills down the road is a real asset.

Anyone who is making some money with off farm work or endeavours might well feel that this is not too much to pay.
If you are making $300--$500 per day in the oil patch and have your wife at home looking after the cows, then paying a little more for a good cow makes sense.

If you are trying to make your living off of the farm, then any time you go to buy anything it is too much to pay.
(Unless you get it for next to free)

The problem is not the price of cows-- but rather trying to provide for your wife and kids from a farm income.

[mb_rancher]

There has been quite a few good herd dispersals head through auction marts this fall and winter here in Manitoba. Some of the guys who sold last fall took a real kicking.

[mb_rancher]

There have been some reputation herd dispersals in this area as well. These were one iron cattle, as compared to some of the herd dispersals that over time had been a dogs breakfast of cows that owners had picked up at auction markets around the country.

[cowman]

We all know that in every herd there are superior and inferior cows, so the cow bringing home that 800 lb. calf consistently compared to a similar cow bringing home the 600 lb. calf...well which one makes you the most money?
All our cows don't bring home a 650 lb. calf...so all cows are not equal?
The cow consistently bring home 100 lbs. of extra calf is obviously worth more money?
A good producing cow at $1300 is a better buy that the poor producing cow at $800?
Quite often what you are getting at the auction is the poor producing cows...no matter how good they might look! I do believe to get the top cows you have to raise them and consistently cull out the lower end? Seldom do you get the opportunity to buy someone elses lifetime of producing a good cow herd! When you do you should expect to pay for it?

[cowman]

agreed cowman. I have a neighbour that never kept a heifer of their own, instead they went in to the auction every spring and bought cheap cow/calf pairs.
They dispersed their herd in January, and got an $840 average. Everyone knew they had built a herd of other producers lower end cattle.

[cswilson]

Not sure but I might be selling a load of black second calf pairs-this Bse deal has got me a little long on cows and short on grass-maybe adding 190 heifers in 2003 had something to do with it lol.

[PureCountry]

"Seldom do you get the opportunity to buy someone else's lifetime of producing a good cowherd."

Best line you've had in awhile Cowman. I couldn't agree more. When we went looking for pureberd Galloway cows, I went to the 2 or 3 best herds in Alberta. One guy wanted too much for 6 cows that HE HAND-PICKED, and we ended up buying 5 from a fellow who offered us pick of the herd. How can you measure that? Someone's lifetime of producing and developing an elite cowherd, and you're given a price, and your choice from the top end.

With an offer like that, I had no problems at all with paying a fair price. I'll do it again in a couple years, too. Maybe sooner than I think though if rkaiser's bodybuilding career keeps taking off.lol

[kpb]

PureCountry, I was looking at the pics of the Galloway sale this weekend and noticed that while some of the bulls are solid color, others have that belt. These are likely dumb questions but I'm going to ask them anyways--are there any differences, other than color, between the belted and solid color Galloways? And if you have a herd of, say, belteds are you likely to get offspring that are solid colored or is the belt consistent? Also, is the color or belted of any consideration at all to breeders? Do they breed between the two colors?

thx in advance for your answers


kpb