The Cost of a Cow: Part 1
So, I'm going to start a small series on the cost analysis of having a cow. I feel that it's important for the greater public to know what's going on "behind the fence" and in the "bank accounts" of the farmers and ranchers doing the work to bring your steak to your plate.
Unfortunately, all good cost analysis is only as good as the assumptions behind the cost analysis, so part 1 is largely going to be spent on defining the initial assumptions. They are as follows:
1. You already own the cow.
2. The cow will have a heifer or a steer calf every year (not accounting for calf mortality which can be as high as 10% for a range operation or the cow "not settling" aka not getting pregnant).
3. You butcher that steer or heifer in 24 months.
4. The cow lives about 7 years, which means she has 5 calves.
5. Your local costs for grazing is $30/head per month.
6. Your cost for winter feeding your cow is $2.00/head/day.
7. Your cost for a high quality mixed ration for the calf is $2.30/head per day.
These assumptions only apply to a small farmer situation (like 20-50 head of mother cows). Bigger feedlots and commercial farms can feed their animals much cheaper, but the animals from the bigger feedlots and commercial farms are also fed whatever ration will cause them to gain the most weight as fast as possible (food processing plant leftovers such as potato cutting waste, very high grain ratios with buffers to keep the cows from bloating, etc.) and low-dose antibiotics and all sorts of growth enhancing technology is all on the table for large scale feedlots and commercial farms as long as they comply with withdrawal periods before slaughtering the animals.
Not to say that some small farmers don't use those methods, but we don't so I'm not including it here.
First, in Montana, your typical farmer has his cow on grass (grazing) for 6-7 months out of the year. The remainder of the time is spent feeding hay or silage. Let's say 6 months grazing (May-October) and 6 months being fed hay or silage (Nov-April). So, we have a cow that costs $180 for grazing and $360 for winter feeding or $540 per year for feed.
That cow has a calf in April, but the calf doesn't have additional retail cost initially because it largely eats what it's mother does. The calf is weaned in November and goes into the feedlot for a mixed ration that is balanced in both protein and energy to grow a good frame for finishing. The calf then has $2.30/head per day for two months for a total of $138.
So, for the cow and calf, we have a total feed cost of $678 to get them both to the end of the first calendar year just for feed.
That's where I'll end part 1. Stay tuned!!
Be blessed. -Kenny
PS. If you have a different experience, please leave a comment! What I'm addressing here is the "baseline" or standard costs of an average smaller farmer. There are definitely some sustainable methods that can be employed to reduce costs, but this series is meant to address the average operation of a Montana farmer (or farmher, for that matter).
A day old calf and proud momma!