The 5 Profit Drivers In A Cattle Enterprise
FarmBiz|November 2019
Five important factors generally determine the profitability of a cattle herd. According to well-known cattle consultant, Barry Symons of Estcourt in KwaZulu-Natal, managing these factors can either mean extra profit in the farmer’s pocket, or it can render the farming enterprise unsustainable. He recently discussed the profit drivers in a cattle herd during a farmers’ day held at Elmic Beefmasters.
Izak Hofmeyr
The 5 Profit Drivers In A Cattle Enterprise

“The five factors that determine profitability are conception, productive female animals, weaning percentage (which essentially reflects herd health), marketing and cost reduction.”

He says reducing costs is a function of good management and an integral part of each of the other four factors. “Expenditure must be weighed against the potential increase in revenue it can generate.”

Higher conception rate

Barry emphasizes that an increased conception rate almost directly correlates with nutrition. “As such, nutrition is by far the most important factor when it comes to profitability.”

As an example of the impact a conception rate of 90% or more has on a farming enterprise, he pointed out that a herd of 1 000 cows (with 750 followers) with an annual conception rate of 80% will increase by only 48 animals in three years – provided that all dry cows and surplus weaner calves are sold and 80% of the weaned heifers are retained for breeding purposes.

In contrast, a similar herd with a conception rate of 90% would increase by 757 animals within three years if the same culling policy is followed. This means an additional 757 animals that can be sold if the herd is unable to grow any further.

Correcting nutritional deficiencies

According to Barry, the key to obtaining a 90% conception rate lies in correcting nutritional deficiencies.

The following factors affect nutrition:

• The correct carrying capacity on the veld to ensure the availability of enough roughage year-round.

• Optimal veld production through long rest periods and short grazing periods.

• Building-up of root reserves.

• Correcting nutritional deficiencies such as protein, by supplying the correct licks.

• Roughage reserves for seasonal shortages.

• Veld as the cheapest source of roughage.

Diese Geschichte stammt aus der November 2019-Ausgabe von FarmBiz.

Starten Sie Ihre 7-tägige kostenlose Testversion von Magzter GOLD, um auf Tausende kuratierte Premium-Storys sowie über 8.000 Zeitschriften und Zeitungen zuzugreifen.

Diese Geschichte stammt aus der November 2019-Ausgabe von FarmBiz.

Starten Sie Ihre 7-tägige kostenlose Testversion von Magzter GOLD, um auf Tausende kuratierte Premium-Storys sowie über 8.000 Zeitschriften und Zeitungen zuzugreifen.

WEITERE ARTIKEL AUS FARMBIZAlle anzeigen
Hauling In A Full Net: Reaping The Benefits Of Processed Fish
FarmBiz

Hauling In A Full Net: Reaping The Benefits Of Processed Fish

As local and global governments deal with the full impact of the COVID-19 pandemic, producers are now more than ever searching for new options for expanding their businesses. That said, farming and value addition to produce does not have to be limited to landlocked food sources.

time-read
3 Minuten  |
September 2020
Grow Produce Year-round With Tunnels And Greenhouses
FarmBiz

Grow Produce Year-round With Tunnels And Greenhouses

Climate change is an inescapable reality and can wreak havoc in open-field production systems that rely on the right weather patterns to produce good yields. For this reason, many producers worldwide have turned to growing crops in tunnels or greenhouses. These production systems offer protection from changing weather patterns, allowing them to grow crops throughout the year.

time-read
4 Minuten  |
September 2020
Saving Soil: Harnessing The Microbiome
FarmBiz

Saving Soil: Harnessing The Microbiome

We live in unprecedented times.

time-read
4 Minuten  |
September 2020
Summer Grain Production: A Producer's Perspective
FarmBiz

Summer Grain Production: A Producer's Perspective

The 2020 planting season for producers in the summer rainfall areas is here and most of them are looking forward to the first summer rains so that they can plant their crops. FarmBiz spoke to Jaco Minnaar from the farm Uitsny near Henneman about the new season. Jaco is vice-chairperson of Agri SA and currently serves on the Senwes board.

time-read
6 Minuten  |
September 2020
Electronic Auctions: The New Normal?
FarmBiz

Electronic Auctions: The New Normal?

The South African livestock industry has suffered a tremendous setback with challenges posed to physical auctions. However, the industry is nothing if not resilient. The first ban on livestock auctions was imposed during the outbreak of foot-and-mouth disease (FMD) in 2019.

time-read
5 Minuten  |
September 2020
Oxygen Types That Damage Crops In Extreme Weather Conditions
FarmBiz

Oxygen Types That Damage Crops In Extreme Weather Conditions

Oxygen is best known as a life-giving gas without which life as we know it, would not be possible.

time-read
4 Minuten  |
September 2020
Asia's Maize Imports Likely To Grow
FarmBiz

Asia's Maize Imports Likely To Grow

In 2019, the Asian maize market was finally on the rise to reach US$204,4 billion after two years of decline. The total consumption indicated buoyant growth from 2009 to 2019. Its value increased at an average annual rate of 5,1% over the last decade.

time-read
4 Minuten  |
September 2020
Cultivated grazing: Fertiliser is the key to success
FarmBiz

Cultivated grazing: Fertiliser is the key to success

Nowadays everything in agriculture has to be done on a larger scale. Cultivated grazing has also become a science, with producers forced to think bigger to get more out of their grazing – all at the most economical cost.

time-read
5 Minuten  |
September 2020
Industry Giants Comment On Special Adjustment Budget
FarmBiz

Industry Giants Comment On Special Adjustment Budget

Prof Johan Willemse, an independent agricultural economist, says the supplementary budget delivered by the minister of finance on 24 June was a real shocker. According to him, the government is spending an additional R145 billion on the COVID-19 issue. The real issue, however, is a record budget shortfall due to the economic meltdown, with wrong policy choices and corruption on the cards.

time-read
5 Minuten  |
August 2020
Rethinking The Conversion Process Of Poultry Litter To Biogas
FarmBiz

Rethinking The Conversion Process Of Poultry Litter To Biogas

The poultry industry is generally comprised of broiler chicken production, egg production, day-old chick suppliers and other poultry. While micro-enterprise businesses are gaining prominence as a means to address the challenges of job creation, economic growth and equity, the industry has future challenges concerning poultry litter management.

time-read
5 Minuten  |
August 2020