Managing Ranches for Sale in Colorado: How to Decide on Herd Expansion
As a rancher or an aspiring rancher, you have many considerations in managing your property, but generally, you must keep in mind this one thing: bigger is NOT always better. Take, for instance, the issue of herd expansion. The goals to grow your cow production and contribute immensely to the high demands of the beef industry may be great, but will it be beneficial to your cash flow? In these cases, you need to study expansion plans before carrying them out.
BEEF magazine surveyed 30,000 of their readers regarding plans on managing their cowherd. More than 70% of the respondents intend to grow (by 1-10% and 11% or more combined) within 2014-15, while about 17% will retain their cowherd size. BEEF magazine correspondent Burt Rutherford summarizes the other highlights of the report:
As we enter fall 2014, the “girls” will lead the charge as cattle producers restock. When those who plan to expand were asked how they will accomplish that, 84.2% said they’ll hold back heifers, while 36.7% say they’ll buy replacements. The numbers add up to more than 100% because some producers plan to do both. Only 12.8% plan to sell fewer cull cows, perhaps because there just aren’t many cull cows left to sell.
And why are cattle producers keeping heifers? Because the market is telling them to, according to 52.6% of respondents. In addition, more producers have pasture this year, with 46.7% saying the drought is over. Further, 18.4% say they bought or leased more land, and 15% are adding a partner or family member to the operation.
If you have similar strategies in place, consider the carrying capacity and conditions of your land, too. As you add and graze more cows, you must have the proper facilities together with the suitable herding techniques. You ought to think of purchasing and managing ranches for sale in Colorado, which have expansive, lush pastures that can accommodate the forage needs of a growing cowherd.
According to experts, it would be a couple of years before herd expansion throughout the industry would show yields for beef production, but the gains would be beneficial to the local and domestic scene, and of course, to the ranchers. However, brokers like Mirr Ranch Group can help you find the finest Colorado ranches for sale and even offer expert ranch management advice, so you can get a head start.
(Source: Herd Expansion? BEEF Readers Say It’s “Go” Time, BEEF, September 4, 2014)