I can't help it if your neighbor is stupid, using tried and tested methods of estimating the near and or long term demand for fed cattle is not the reason he over paid for his feeders. As far as you using cash contracts that is up to you, your few head may not break the market but multiply that times tens of thousands of others and it affects the markets, the packers know that and in your case it worked, they took roughly 4% off of your cattle. You may know your feed costs as we all do but the cattle feeding business in all phases is a margin business and always has been, no feeder can afford to give up too much on either end, not on calves going in the pens or fats leaving the pens. You are selling that corn you grew through those cattle, you still have the same input costs as if you had grown that corn to take to the elevator, except maybe drying cost, there is no drying cost in my area because corn is harvested in July and August.
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Today's Featured Article - History of the Nuffield Tractor - by Anthony West. The Nuffield tractor story started in early 1945. The British government still reeling from the effects of the war on the economy, approached the Nuffield organization to see if they would design and build an "ALL NEW" British built wheeled tractor, suitable for both British and world farming.
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