Video Auction Research Quantifies Value of Red Angus Cattle
Published on Mon, 08/31/2015 - 11:42am
Information shared at the American Society of Animal Science (ASAS) meetings held July 12-16 in Des Moines, Iowa, indicates that Red Angus calves are more highly valued by cattle buyers than other breed types.
The abstract, entitled “Effect of breed on the sale price of beef calves sold through video auctions from 2010 through 2014” (King, et al., J. Anim. Sci. Vol. 93, Suppl. S3-pages 640-641.), contained data on 33,811 lots of calves, totaling 3.3 million head, sold in 116 video auctions.
Breed description of the calves were categorized into five groups: English, English crosses, English-Continental crosses, Black Angus sired out of dams with no Brahman influence, Red Angus sired out of dams with no Brahman influence, and Brahman influenced.
Breed of the lot significantly affected the sale price of beef calves in these video auctions. Red Angus-sired calves sold for a higher price than all other breed groups. The average price of the Red Angus calves was $166.16 per hundredweight (cwt) — $7.38 per cwt more than Brahman-influenced calves; $3.61 per cwt more than English-Continental crosses; $3.30 per cwt more than other English and English-cross calves; and $1.92 per cwt more than Black Angus-sired calves.
Gary Fike, director of commercial marketing for the Red Angus Association of America (RAAA), said that this data is validation for Red Angus breeders. “It is no secret that Red Angus calves have proven their value in the arena of feedlot performance and carcass merit,” said Fike. “Red Angus-sired heifer calves used as replacements in the cowherd are also recognized for their docility, maternal characteristics and longevity. Now data exists that quantifies that value in the marketplace.”
“Demand for Red Angus genetics is at an all-time high. The industry has responded, paying record prices for Red Angus bulls and replacement females this past winter and spring. The fact that Red Angus-sired calves have outsold other breed types over a five-year period is a testament to the long-term value of the breed and its position in the market place. Cattlemen and women who use Red Angus genetics can be assured that their selection choices are being rewarded from a financial standpoint,” concluded Fike.
Buyers of Red Angus bulls that have the bulls’ registration papers transferred to them are also eligible to enroll in the Feeder Calf Certification Program (FCCP) and tag their calves with the yellow Red Angus tag. The FCCP is a genetic-, source- and age-verification program. Buyers of calves with the distinctive FCCP tags in place can be assured the calves are at least 50 percent Red Angus. This tag also qualifies finished cattle for grid programs offered by Tyson Fresh Meats and Greater Omaha Packing.
For more information about the abstract, contact Fike at 785-410-2608.
To learn more about the FCCP tags to enhance the value of your Red Angus-sired calves, contact the RAAA at 940-387-3502.
The Red Angus Association of America (RAAA) serves the beef industry by enhancing and promoting the competitive advantages of Red Angus and Red Angus-influenced cattle. The RAAA provides commercial producers with the most objectively described cattle in the industry by seeking and implementing new technologies based on sound scientific principles that measure traits of economic importance. For more information, visit www.RedAngus.org.