By Andi Anderson
In spring 2025, cattle markets are seeing record-breaking prices. While this is good news for producers, experts are urging caution when making selling decisions. The focus should not be only on price per pound, but also on the value per head.
At recent Extension programs, many producers have discussed selling cattle earlier to take advantage of high prices. However, this move may not always bring the best returns. Selling calves early to avoid a price drop per pound may lead to lower total earnings, especially if those calves have the potential to gain more weight affordably.
A recent example from Kentucky shows that although 550-pound steers were selling at $0.50 less per pound than 450-pound steers, they were still worth $113 more per head. This proves that the heavier steers provided greater value overall, even with the lower per-pound price.
This shift in thinking is especially important during spring, when pasture growth offers an affordable way to add weight to cattle. Instead of rushing to sell lighter calves, it may make more sense to feed them longer and capture more profit.
The current market is unlike anything producers have seen before. In past years, a price drop of $0.50 per pound may have meant a loss. But today, with higher base prices, a heavier steer can still bring in more money overall.
Rules of thumb from previous markets may not apply anymore. It's essential to look beyond just the price per pound and calculate total earnings per head before making selling decisions.
As the market continues to shift, producers are encouraged to think carefully and base their strategies on value, not just price. This approach will help maintain profitability during this unique market period.
Photo Credit: gettyimages-shotbydave
Categories: Ohio, Business, Livestock