Store-to-beef cattle finishers running autumn-to-autumn steer systems will need up to €4.39/kg in 2022.
That is according to a beef budget Teagasc released last week.
The state agency has published budgets for winter finishing steers, weanling-to-beef for heifers and steers, bull beef and an autumn-to-autumn steer system.
According to Teagasc’s Aidan Murray, its autumn-to-autumn system is the “most extensive” of all budgets.
It relies solely on performance from good quality grass silage over the winter and good performance off grass before slaughter next autumn.
He suggested that of all systems the state agency features, its autumn-to-autumn “offers probably the least risk to buyers”.
“If they have good silage and can exploit excellent performance, it minimises the need for expensive concentrates”.
Cattle finishers running autumn-to-autumn systems
Friesian Hereford-X Continental-X
Purchase weight October (kg)
Weight gain: Winter – 165 days – Summer – 180 days
– Silage required (tonnes)
– Liveweight at sale (kg)
– Carcass weight (kg) |
350
90
160
6.8
600
309 |
350
90
160
5.8
600
315 |
430
95
175
5.8
700
375
|
Purchase weight
Assumed purchase price (€100kg liveweight) |
350
170
|
350
214
|
430
261
|
Purchase price (€/head) | 595 | 749 | 1122 |
Plus costs: €/head
– Variable costs (€) – Fixed costs (€) |
273 185 |
273
190 |
273
203 |
Total costs (€) | 458 | 463 | 476 |
Breakeven selling price required (€/head) | 1053 | 1212 | 1598 |
Breakeven selling price required (€/kg carcass) | 3.40 | 3.84 | 4.26 |
Impact of autumn 2021 store prices on breakeven prices required in autumn 2022:
Friesian | Hereford-cross | Continental-cross | |
Lower store prices autumn 2021:
– € per 100 kg
– Breakeven price required €/kg carcass |
160
3.29 |
204
3.73 |
251
4.15 |
Assumed store price autumn 2021:
– € per 100kg
– Breakeven price required €/kg carcass |
170
3.40 |
214
3.84 |
261
4.26 |
Higher store prices autumn 2021:
– € 100 kg
– Breakeven price required €/kg carcass |
180
3.52 |
264
3.96 |
271
4.39 |
Assumptions for this budget:
- Very good levels of efficiency with a high average daily gain;
- Silage quality is critical to performance. Well preserved: 20% DM and 72% DMD.Cost of €30/t;
- Grazing costs: €48/head;
- Good animal health – dosing and other health costs at €11 per head;
- Transport and marketing at €40 per head;
- Half the interest cost on feed and animals borrowed at 7%;
- No mortality assumed;
- The selling price required only covers variable and fixed costs and does not include a margin.
Teagasc highlighted that farmers running this system must maximise performance at grass and minimise indoor feeding period on silage to control costs;
It outlined that no meals were fed in the budget. The body suggested it could be an option to feed up to 3 kg meals at grass for the last 45 days to sell earlier in a more favourable market.
Other budgets: