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The Effect of Value-Added Management on Calf Prices at Superior Livestock Auction Video Markets

Author

Listed:
  • Zimmerman, Lance C.
  • Schroeder, Ted C.
  • Dhuyvetter, Kevin C.
  • Olson, K.C.
  • Stokka, Gerald L.
  • Seeger, Jon T.
  • Grotelueschen, Dale M.

Abstract

Value-added management practices for cow-calf producers have become prevalent as feeders have recognized the value of calves raised with certified health and weaning programs. Export markets requiring age and source verification or non-hormone treated cattle and advancement of markets for naturally raised cattle have also presented profit opportunities for cow-calf producers. This study estimates the value of value-added calf production and marketing programs. Weaned steer calves sold with certified health programs realized $7 to $10 per cwt premiums. Age- and sourceverified steers received $1 to $2 per cwt premiums exceeding added costs of about $0.67 per cwt in 2010 despite rapidly expanding supply.

Suggested Citation

  • Zimmerman, Lance C. & Schroeder, Ted C. & Dhuyvetter, Kevin C. & Olson, K.C. & Stokka, Gerald L. & Seeger, Jon T. & Grotelueschen, Dale M., 2012. "The Effect of Value-Added Management on Calf Prices at Superior Livestock Auction Video Markets," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 37(1), April.
  • Handle: RePEc:ags:jlaare:122317
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    File URL: http://purl.umn.edu/122317
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    References listed on IDEAS

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    11. Bailey, DeeVon & Peterson, Monte C., 1991. "A Comparison Of Pricing Structures At Video And Traditional Cattle Auctions," Western Journal of Agricultural Economics, Western Agricultural Economics Association, vol. 16(02), December.
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    Cited by:

    1. Williams, Brian R. & DeVuyst, Eric A. & Peel, Derrell S. & Raper, Kellie Curry, 2014. "The Likelihood of Positive Returns from Value-Added Calf Management Practices," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 46(01), February.
    2. Pendell, Dustin L. & Tonsor, Glynn T. & Dhuyvetter, Kevin C. & Brester, Gary W. & Schroeder, Ted C., 2013. "Evolving beef export market access requirements for age and source verification," Food Policy, Elsevier, vol. 43(C), pages 332-340.
    3. Schumacher, Tucker & Schroeder, Ted C. & Tonsor, Glynn T., 2012. "Willingness-to-Pay for Calf Health Programs and Certification Agents," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 44(02), May.
    4. Burdine, Kenneth H. & Maynard, Leigh J. & Halich, Greg, "undated". "Factors Affecting Feeder Cattle Prices in the Southeast," 2013 Annual Meeting, February 2-5, 2013, Orlando, Florida 142976, Southern Agricultural Economics Association.
    5. Schumacher, Stephanie & Peel, Derrell S. & Raper, Kellie Curry, 2013. "Non-Adoption of Best Management Practices: Demographics and Adoption Constraints of Oklahoma Cattle Producers," 2013 Annual Meeting, February 2-5, 2013, Orlando, Florida 143094, Southern Agricultural Economics Association.
    6. Blank, Steven C. & Saitone, Tina L. & Sexton, Richard J., 2016. "Calf and Yearling Prices in the Western United States: Spatial, Quality, and Temporal Factors in Satellite Video Auctions," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 41(3), September.
    7. Schulz, Lee L. & Dhuyvetter, Kevin C. & Doran, Beth, 2014. "Factors Affecting Preconditioned Calf Price Differentials: How much do Market and Sale Conditions Matter?," 2014 Annual Meeting, July 27-29, 2014, Minneapolis, Minnesota 170570, Agricultural and Applied Economics Association.
    8. Williams, Brian R. & DeVuyst, Eric A. & Peel, Derrell S. & Raper, Kellie Curry, 2014. "Reducing Self-Selection Bias in Feeder Cattle Premium Estimates Using Matched Sampling," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 39(1), April.
    9. Mitchell, James & Peel, Derrell S., 2016. "Price Determinants of Bred Cows in Oklahoma Auctions," 2016 Annual Meeting, February 6-9, 2016, San Antonio, Texas 230077, Southern Agricultural Economics Association.
    10. Riley, John Michael & Williams, Brian R., 2013. "Cow-Calf Industry Expansion on the Horizon? Market Signals vs. Outside Factors," 2013 Annual Meeting, February 2-5, 2013, Orlando, Florida 143044, Southern Agricultural Economics Association.
    11. Mallory, Shannon & DeVuyst, Eric A. & Raper, Kellie C. & Peel, Derrell & Mourer, Gant, 2016. "Effect of Location Variables on Feeder Calf Basis at Oklahoma Auctions," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 41(3), September.
    12. repec:ags:joaaec:163228 is not listed on IDEAS

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