looking for price difference

[julie030676]

Does any one know what the price difference is in between organic and non organic cattle around SD? I am A producer and wondering if I should get certified orgainc?

 

[Faster horses]

I haven't even seen any real evidence that going "all natural" pays the
producer to do so. Oh ya, the buyers say that, but when it comes
time to pay the additional for them, it's just not there.

 

[Justin]

we have been certified organic for 15 years. on the cattle end of things there is an attractive difference in price vs. conventional. with that being said, the markets are getting harder to come by. i few years ago, it was good. the last couple it has dropped off some.
but if you are thinking of getting certified, get a good idea of what that takes. it dam sure doesn't happen over night and there is a $hit load of paper work. what alot of people don't understand is that there IS a big difference between natural and certified organic. i have had a couple neighbors that wanted to go organic....after seeing what was all involved, they decided against it. we'll see how things go this fall, but i'm debating on whether or not to recertify the cattle. time will tell. i gotta run, daughter wants to go ride......hit me with any questions you may have, chances are i've asked the same ones.

 

[Justin]

Does any one know what the price difference is in between organic and non organic cattle around SD? I am A producer and wondering if I should get certified orgainc?

i guess i didn't answer your original question. 20% over the conventional market at that time is gererally the premium. example: if a conventional 600lb angus steer is worth 1.10 or $660 per hd. the same steer calf, ceritfied organic should be worth $1.32 or $792 per hd. $132 premium on 100 steer calves is a $13,200 bonus, not to bad if you can put up with everything else that goes along with being certified organic. but like anything else the buyer may try to buy for less, but usually 20% is the number to go by.

 

[mrj]

Justin, what numbers of calves are we talking about at the prices you mention? Pot loads, individual sales for a home freezer, or something in between?

What age and feed, such as grass only, or what level and what grain if grain fed?

How are they marketed, through local sale rings, ads, other?

Probably most of us could qualify as "natural", if not organic, but jumping through the ' hoops', plus the liability of someone finding a problem we did cause and did not know about might take the 'profit' out of the deal pretty fast, IMO.

mrj

 

[Justin]

Justin, what numbers of calves are we talking about at the prices you mention? Pot loads, individual sales for a home freezer, or something in between?

What age and feed, such as grass only, or what level and what grain if grain fed?

How are they marketed, through local sale rings, ads, other?

Probably most of us could qualify as "natural", if not organic, but jumping through the ' hoops', plus the liability of someone finding a problem we did cause and did not know about might take the 'profit' out of the deal pretty fast, IMO.

mrj

most probably could qualify as natural i wouldn't dissagree. and if you are worried about causing a problem that you are unaware of, then stay the way you are.
i sell feeders in the fall in pot loads. organic is no different than conventional, there is more profit to be made if a producer can put together a pot load of uniformed calves.
i have never taken certified organic calves through the sale ring, at least not without precond. them. otherwise i would end up giving them away.
our calves are weaned for around 45 days then shipped. fed only grass/alfalfa hay. alot of buyers prefer that because most of these calves are finished on grass. over the past 6-7 years most of our calves have been sold to an organic producer in Pennsylvania. a few have stayed in south dakota. last year some went to Montana. when marketing organic cattle alot of it has to do with who you know and who knows your cattle. there is huge value in reputaion.