Livestock Enterprises for Small Acreage Landowners
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Livestock Options for Small Acreage Landowners 2020 New Landowners Program Joe C. Paschal Livestock Specialist Texas A&M AgriLife Extension Corpus Christi, Texas [email protected] Consider • Purpose of enterprise – Tax exemption – Additional income – Income expense • Size of resource • Productivity of land • Facilities • Expertise – Current – Needed – Available • Financial resources • Budget/returns • Livestock species/breed Purpose of the Enterprise • Tax Exemption • Added Income – Land resource must be – Market, expertise, large enough to support 5 availability, resources animal units (AU) (physical and financial) – An AU is the equivalent of a must be considered 1000-lb cow and her calf – Based on amount of grass • Tax Expense consumed in a year – Initially perhaps but not a – Solely for exemption desirable or sustainable purpose isn’t a good reason long-term plan – Might consider leasing to – Check with your tax advisor an ag producer Size of the Land Resource • One AU will consume 9600 • Maintaining good range lbs. of grass annually (9.6 grasses requires that 50% of round bales) the grass NOT be grazed and • One acre of native grass in likely an additional 25% will South Central Texas will be lost to insects, rodents, produce about 4500 lbs. of fecal material and trampling grass (introduced grasses will • One acre of native grass will double that if taken care of – support 1/8 AU even more with fertilizer and – 8.5 acres per AU (SR) weed control) – 85 acres will run 10 head (CC) • Stocking rate (SR) – number of • One acre of introduced grass acres allotted to an AU will support ¼ AU • Carrying capacity (CC) – – 4.25 acres per AU (SR) number of AU on the land – 42.5 acres will run 10 head (CC) websoilsurvey.nrcs.usda.gov Productivity of the Land websoilsurvey.nrcs.usda.gov Determining Carrying Capacity No. AU/Year Native Forage Production/Acre/Year Soil Class Acres Normal Wet Dry 18 1.4 3925 5425 2450 19 14.9 3860 5325 2395 25 0 4250 5100 2550 31 0.5 5510 6950 3960 32 18.3 5780 7235 4150 48 18.1 4250 5100 2550 Total Forage (lbs.) 248,463 313,023 163,196 Grazeable (lbs.) 124,232 156,512 81,598 No. AU/Year 12.9 16.3 8.5 Animal Unit Equivalents (AUE) by Kind and Class Beef Cattle AUE Sheep AUE 1000 lb. Cow w/ calf 1.0 130 lb. Ewe .20 1000 lb. Dry cow .77 75 lb. Lamb .12 600 – 900 lb. Heifer .60 - .80 175 lb. Ram (Buck) .25 1,500 lb. Bull 1.2 – 1.4 Goats 70 lb. Nanny .17 Equines 35 Lb. Weaned kid .10 800 lb. Horse .75 125 lb. Billy .25 1000 lb. Horse 1.0 Deer 1100 lb. Horse 1.25 Whitetail deer .17 Mule deer .25 Existing Facilities • Evaluate existing • Fences facilities and equipment – Perimeter fence and realistically • Five strand barbed wire or net fence determine their – Interior or cross fences condition and need • Four strand or electric repair or replacement • Well and water trough(s) • Determine what • “Catch” or working facilities and equipment corrals, pens, chute, etc. will need to be added • Feed bunks, hay rings • Hire, lease, or borrow equipment rather than • Truck, tractor, trailer own • Hay and equipment barn Current Expertise • Inventory your skills – Pasture management (grazing, weed control, fertilization, replanting) – Marketing for purchase of initial herd or flock and selling produce – what is your market? – General management: reproduction, nutrition, health, handling, marketing, etc. Available Expertise • County Extension Agent • National Resources – Good livestock and forage Conservation Service backgrounds (NRCS) – Educational programs and – Fencing, water, forage, materials grazing management – Access to additional • Livestock Market, “expert” advice Commission Co., Auction • Veterinarian Barn Owner/Mngr. – Herd health prevention – Good source of marketing and treatment, information reproductive work, – Source of day workers biosecurity – Cattle transport Financial Resources • Depending on the • Cattle existence and condition – Purebred cattle $2-4k/hd – Barbed wire fencing $3k – Breeding cattle $1-2k/hd per mile $6k net wire – Heifers $750-1500/hd – Water source(s) ??? – Stocker steers $500/hd – Pens and corrals $10k • Sheep – Squeeze chute $5k – Young bred ewes $150/hd – Barn $10k – Ram $250-500/hd – Tractor $25k – Guard animal $500-750/hd – Trailer $5k • Goats – Feed troughs and hay – Young bred nannies $125/hd rings $100 each – Buck $200-300/hd Financial Planning Budgets • Crop and livestock budgets – https://agecoext.tamu.edu/resources/crop- livestock-budgets/ • Cattle • Sheep • Goats • Hay • Small ruminant budget – http://extension.msstate.edu/content/small- ruminant-budget-excel-file Angora Goats • Fiber producing goats – Kid hair – Yearling – Adult • Adapted to desert conditions • Browsers • No local market for animals, meat or hair www.tsgra.com/ http://www.aagba.org/ angoragoat.com http://www.mohairusa.com/ Dairy Goats http://www.adga.org/ • Breedtypes – Toggenberg, Alpine, La mancha, Nubian • Adapted to tropical and subtropical environment • Browsers – require high energy/protein for milk • Milk and cheese production for local market • Must be milked every day • Kid production • Possible local market for youth projects Meat-type Goats • Breedtypes – Spanish – Boer – Mytonic – Kiko – Pygmy • High quality and availabity • Adapted to tropical and subtropical environment • Browsers not grazers • Fencing • Local market for youth projects and meat http://www.abga.org/ Boer Goats http://myotonicgoatregistry.net/ Mytonic Goats http://www.faintinggoat.com/ Mytonic Goats Wool Sheep http://www.sheepusa.org/ • Adapted for northern climates – shearing, parasites • Classed by breed and wool type – Fine wool – Medium • Prolific • Youth livestock projects • Grazers • No local meat market • Shearing required Hair Sheep • Dorper, Pelibuey, St. Croix, Katahadin, Black Belly, Corsican or Barbado • Environmentally adapted to Texas • No shearing required • High lamb production • Horn hunting • Market for colored hair • Market for meat • Grazers • Low numbers Pros and Cons of Small Ruminants • Small mature size • Marketing options (better for • Rapid growth rate goats than sheep) • Fertility rate • Expert advice – Maryland Small Ruminant Page • Large population size http://www.sheepandgoat.c • High carrying capacity • om/articles • Low investment • Small facilities/easy adoption of existing ones • Low maintenance • Parasites • Guard animals/Predators Cattle Cow calf (purebred and commercial) and Stocker Smaller Non-Traditional Cattle Breeds • Devon, Red Poll, Belted Galloway, Dexter, etc. • There are also 26 breeds of miniatures (not dwarfs) • Smaller in weight and size, require less land or feed • Smaller carcasses and meat cuts • Same requirements as larger cattle, just less total required • Good for local/family meat/dairy marketing http://www.minicattle.com Cow Calf Advantages and Disadvantages • Advantages • Disadvantages – Large supply – Initial cost (even higher – Easy entry/exit in market for PB) (not for PB) – Carrying capacity low – Expertise available – Low reproductive/growth • Extension rate • Veterinarian – Many marketing options – Semen source (bull or AI) (not for PB) – Corral, chute, fences, – Lifestyle barns, equipment, etc. – Prestige – Annual cost – especially feed (higher for PB) Stocker (lightweight, weaned) Cattle Advantages Disadvantages • Usually good supply • Competition from feed yards • Easy entry/exit in market • Need good fences and pens • Expertise available • Access to equipment and • Require less time for expertise (especially health) saleable product • Need to be grass managers Grass Fed, Natural, Organic and Freezer Beef • Grass fed – must have grass year long • Natural – several programs • Organic – rigid specifications • Freezer beef – – Sell live – Sell meat – inspected slaughter need permit Final Thoughts • The most profitable enterprise for small landowners might be small ruminants, meat goats or hair sheep of improved types, due to availability, access and marketability – however not everyone has the facilities or expertise to run them. • Hair goats and wool sheep are niche market animals in South Central Texas unless the youth market is targeted. • Parasites and predators are major problems for small ruminants. • Cow calf production offers a traditional means of land utilization but requires more capital investment and land to be profitable. • Purebred cattle are not recommended as a beginning business enterprise for smaller landowners. • Grazing lightweight stocker cattle (owned or grass leased) provides can provide income under most conditions and can be used with either of the other options..