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BA Deere
Honored Advisor

Cost of Ranching

Like a actor that really wants to direct, I`m a corn jockey that would rather be a Wyoming rancher, so I stumbled on this You Tube channel "Our Wyoming Life" well here is a interesting break down of the true costs of running a ranch.  With what few cattle I have, he`s pretty accurate in the costs and it does translate into grain farming too.  Basically to make a small fortune farming or ranching, you start first with a large fortune.  No surprise to anyone reading this, I`m sure.

 

But, how long can this cheap food economics continue? 

 

 

https://www.youtube.com/watch?v=3Z3kXevsLfs

6 Replies
k-289
Esteemed Advisor

Re: Cost of Ranching

CLick  to  subscribe  -  inter-es$ting , I guess  ---

 

Wise man said  ''' Agriculture  $ells  Wholesale  - Buys  Retail  &  pay$  the  freight  both  wayz ''   ---  As  these numbers are, tossed  around ,  I wonder if  the  Merritt  of  the  %  on  itemized  conversations can be adjusted ---

 

Loosing the place, ranch, business isn't confined to Ag or Ranching,  a job  displacement  as we all know can have life, financial, complications for sure ---

 

I'll be back on the  economic$  reflection$  comparison ,  nice  read  B  A , thanks ---   

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k-289
Esteemed Advisor

Re: Cost of Ranching

The   33%  is somewhat a quick glance - U get a 1/3 , cow gets a 1/3rd, ranch gets a 1/3  & maybe some years U get  a 1/3 of a 1/3 after  U  ''chip'' back in Smiley Wink      

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BA Deere
Honored Advisor

Re: Cost of Ranching

What the Wyoming rancher said about needing a gimmick to make those ranch numbers of carrying a cow and such is the money shot.  You need a hunting guide service, oil wells, a successful You Tube channel...maybe get your wife a second job off the ranch  🙂   But those numbers don`t work on their own.  

 

And I see it with cash grain farming, you need that successful car dealership or contracting business to provide living expense and the farm keeps your employees wall to wall busy...dead weight at the car dealership can come out and sweep grain bins and such.  Hog buildings are cheap fertilizer, volume in farm size assures you don`t have to "buy retail" on your inputs, that same unit of DeKalb a small guy pays $250 for, the big guy gets for $160.   All these gimmicks to make sub parity commodity prices work, will eventually end up equalized probably when there are less than 1,000 farmers and ranchers left in the country.

 

If commodity prices were matching up to the real costs, food at the grocery store would be much higher.  If every cow/calf man over 70 retired, there would be a huge shortage of feeder cattle.  I guess we aren`t in danger of running out of 70 year olds anytime soon, but in another 45 years when the current 25 yr old video gamers reach 70, will they be so willing to donate their time to care for new born calves?

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k-289
Esteemed Advisor

Re: Cost of Ranching

Cheap   Food  Exemptions  needle  on  the  gauge nearing  empty  ?  ?  

 

Maybe  ag  W P A   in  the  future -  sending urban folks out in the country, to Work Production Ag , barter system  for canning goods &  freezer staples  / Smiley Wink   

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k-289
Esteemed Advisor

Re: Cost of Ranching

1  Side  Note -  bring their own jars, boxes, freezer paper supplies ---

 

Those 3 pressure cookers & gaskets we have been sav'n - might have '' PICKERS '' value soon --- 

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Blacksandfarmer
Senior Advisor

Re: Cost of Ranching

Thanks for sharing BA! I took a trip out west to South Dakota and Wyoming a couple years ago, and when I got back to the cornfields of Michigan/Indiana line, I missed seeing all the cattle. So I decided to make a small feedlot last year. I love the diversification and the cattle!

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