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Value of Single Source and Backgrounded Cattle as Measured by Health and Feedlot Profitability

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  • Abidoye, Babatunde O.
  • Lawrence, John D.

Abstract

Commingling cattle in the feedlot increases the odds of cattle getting sick. However, backgrounded cattle are less susceptible to diseases which allow the generalizing statements like "backgrounding is just like single source". Using data from over 15,000 cattle fed in 12 Iowa feedlots, we show that although backgrounded cattle do better than preconditioned cattle commingled in the feedlot, they have poorer carcass quality, health, and performance than single source cattle. Backgrounded cattle should be discounted $8.24/head relative to single source, and only received a small premium over multi-source preconditioned cattle though not significantly different.

Suggested Citation

  • Abidoye, Babatunde O. & Lawrence, John D., 2006. "Value of Single Source and Backgrounded Cattle as Measured by Health and Feedlot Profitability," 2006 Conference, April 17-18, 2006, St. Louis, Missouri 19008, NCR-134 Conference on Applied Commodity Price Analysis, Forecasting, and Market Risk Management.
    • Handle: RePEc:ags:ncrsix:19008
    DOI: 10.22004/ag.econ.19008
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    Keywords

    Livestock Production/Industries;

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