The threat of drought in any year is a real problem for most of the country. Many of us have seen severely less than average rainfall, which has strained our businesses. The most frustrating thing about it is that drought is one of the few things we, humans, have no control over.
And if things could not have seemed worse, we also see higher than average prices for the inputs we need, such as fuel, fertilizer, and grain. A combination of drought and high feed prices will result in higher cow/calf costs across the country. What makes this a real problem is that agriculture is one of the few industries with a very thin profit margin.
With these current problems, many producers are asking themselves how they will be to make. They are wondering if they will even be in operation next year. Though you can’t always control what is happening, there are ways that you can make it more tolerable for you. Here are four things that you can do to help you make it through this:
Know your break-even costs.
As with any business, knowing your product’s break-even costs is essential. A break-even cost shows the minimum amount of return you can make on that product that covers your expenses. Once you know what that is, you can move forward without losing money intentionally.
Here is an example of figuring a break-even cost:
Weaning weight and weaning rate will determine the effective weaning weight, total pounds of calf weaned divided by the total number of calves exposed. This formula means that a herd of 100 cows exposed to weaned 90 550lbs calves will yield a total of 49,500lbs at weaning or 495lbs weaned per cow. At an annual cost of $750 to keep a cow, the feeder calf price required to break even would be $151.51 per cwt. You get that number by dividing $750 by 495 lbs.
Try to improve calf performance.
Now that we know the break-even point, we can reach that point. You could do the typical answer, which is to reduce costs, but that will affect the quality. Instead, a better option would be to improve the performance of your product which is the calf.
There are a couple of different strategies you can use to improve performance. One way you can do this is by using implants to get them to gain extra weight. Implants can work, particularly if you have access to quality pastures, and creep feeding is an option. Ensuring reproductive success is another way to ensure success moving forward.
I do warn you to stay moderate with this strategy. You can improve performance in many ways, but they can come at a cost, some more than others. It is essential not to go overboard and increase your expenses more than you can handle. Think of it more in terms of investing your money; pick the strategies that will give you the most return on your investment.
If you need to feed supplements, there are ways to reduce your feed costs:
- Increase forage production
- Test your forages nutrition value
- Minimize hay waste
- Track your feed costs
I go into more detail about these strategies in a previous post, “Some simple ways to reduce your feed costs.”
Consider early weaning during drought.
One tried and accurate method that producers have used for decades to reduce their costs is early weaning. Early weaning works because you are taking the nutritional requirements off of the cow. In turn, this means that she will need less feed to meet her requirements. Early weaning calves at 6-8 weeks of age can effectively get high rebreeding rates in even very thin cows.
This concept works because lactation is roughly double a cow’s protein and energy requirements. When you remove that calf, the quantity and quality of forages needed are obviously reduced. Of course, early weaning is not advocated for all producers all of the time, but it does have its uses. It can be an attractive option if large amounts of forage are needed to be bought.
The age that you decide to wean the calves early is essential. According to Oklahoma State, calves can be weaned early, at 40-80 days of age. When calves are 40 days old, they do not require milk replacers in the ration. Them not needing milk replacer is because they are old enough to begin eating dry feed. Since smaller calves can have difficulty competing for feed, keeping them in similar age groups is essential.
The first two weeks after early weaning are crucial. Calves must overcome the stress of weaning and learn to eat dry food very quickly. The first ration should be highly palatable and high in protein and energy. Needing to be highly palatable is because the total ration consumption will be small at first. Creep feeding in the pasture early can help reduce some of this stress and then go to feed quicker.
Some strategies for dealing with early-weaned calves:
- The calves should be placed in a small pen with some shelter. The feed bunk and water source should be easily accessible and recognizable. Placing them perpendicular to the fence will increase this since the calves will be walking the fence trying to find momma.
- Calves should be fed a started ration till consumption reaches 4-5lbs per head per day. Getting this amount usually takes about 10-14 days. The starter ration should have a type of roughage, such as cottonseed hulls. However, if hay is used instead, producers should use molasses to minimize dust. Soybean meal is a preferred supplement because it is high in crude protein. In order to allow the more timid calves a chance to eat, limit the number of calves to 20 per pen during the first few days.
- After 10-14 days with the starter ration, the calves can be moved to a larger enclosure. Once they are moved, you can move to a different ration provided in a self-feeder. You should use the second ration for about six weeks. Then you can use a finisher-type ration until the average weaning age.
Keep the land in mind during drought.
The most crucial detail to remember is to take care of the land first. Taking care of the land will ensure you can keep going after these problems have passed.
An important thing to remember is to not put undue stress on your pastures by overstocking. Remember that it is not a constant number and can always change. The stocking rate will change as forage production declines from things like drought.
How you remove cows from your pasture is very crucial. It is imperative that you reduce your numbers in the correct order. Start with early weaning calves, then remove your older, less productive cows, than possibly any replacement heifers. The key is to keep your most productive breeders in place for when things improve.
The soil and the forages are the foundation of your operation. You should look at yourself more as a grass farmer, and cows are just a means of harvesting.
