How Profitable is Backgrounding Cattle?

Lawrence, John D.; Petty, Dresden

ISU Extension: Iowa Beef Center, (2006)

Many producers question the profitability of backgrounding cattle before selling them. There are many variables tht can be part of a backgrounding program that can potentially impact the profitability of this venture. The purpose of this study was to determine when it is most profitable to background cattle considering price risk varibles. Some questions we had when this study was started were, is it more profitable to background heifers or steers, what length of time (60, 90, 120, or 150 days) are returns the highest, and does placement month affect profitability?