Teagasc has released a series of beef budgets for winter finishing steers, weanling to beef (steers and heifers), store to beef (autumn to autumn) and bull beef systems involving continental weanlings.
The state agency has examined the cost of production and break-even price per kg required by 6-month finishing and 8-month finishing bull beef systems.
Figures are based on purchasing a 320-420kg weanling.
| Finishing system | Silage and meals
|
All concentrate and straw - Advertisement -
6-month finishing |
8-month finishing |
| Purchase weight
October (kg) – First winter (total)
|
320
230 |
420
180 |
420
235 |
| Silage required (t) or straw @ ~ 1kg/day | 5 tonnes | 220 | 320 |
| Meals – kg/head/day
– Introduction period (20 days) – Finishing period – Average Daily Gain in finishing period (kg) |
–
4.5
1.25
|
4
11.5
1.5 |
4
12
1.35 |
| Sale date (assuming October purchase)
|
Early June | Mid-April | Mid-June |
| Liveweight at sale (kg)
|
608 | 675 | 725 |
| Carcass weight (kg) | 346 | 385 | 421 |
| Purchase weight | 320 | 420 | 420 |
| Assumed purchase price (€/100kg LW) | 264 | 243 | 243 |
| Purchase price (€/head) | 845 | 1021 | 1021 |
| Plus costs: (€/head)
– Variable costs (€) – Fixed costs (€) |
472
137 |
557
109 |
742
146 |
| Total costs (€) | 609 | 666 | 888 |
| Breakeven selling price required (€/head) | 1,454 | 1,687 | 1,909 |
| Breakeven selling price required (€/kg carcass) | 4.20 | 4.38 | 4.53 |
The state agency has outlined the effect of 2019 autumn weanling prices on break-even prices required in 2021.
| Silage & meals | All meals | All meals | |
| Lower weanling prices Autumn 2019
– € per 100kg liveweight – Breakdown price required €/kg carcass |
254
4.11 |
233
4.28 |
233
4.43
|
| Assumed weanling prices Autumn 2019
– € per 100kg liveweight – Breakdown price required €/kg carcass |
264
4.20 |
243
4.28 |
243
4.53 |
| Higher weanling prices Autumn 2019
– € per 100kg liveweight – Breakdown price required €/kg carcass |
274
4.30 |
253
4.50 |
253
4.64 |
Assumptions:
- Very good levels of efficiency with a high average daily gain;
- Meal cost at €240 per tonne;
- Silage quality critical to performance;
- Well preserved, 20% DM, 72% DMD, Cost of €30 per tonne;
- Good animal health – dosing and other health costs at €35 per head;
- Transport and marketing at €40 per head;
- Half the interest cost on feed and animals borrowed at 7%.;
- No mortality assumed;
- Selling price required only covers variable and fixed costs and does not include a margin.
Notes:
- Secure market outlet required for bulls before commencing system ;
- Some markets have upper carcass weight and age limits;
- High-risk system – sensitive to buying & selling price & performance achieved.
