Integrating Stocker Cattle Grazing Warm Season Annual Forages into Cash Crop Rotations

September, 2019
Chris Prevatt, UF/IFAS Range Cattle Research & Education Center, Ona

Calf in stand of forage

The current economic environment of low commodity prices offers few opportunities for agricultural producers. Row-crop farmers across the Southeast have begun searching for new ways to further diversify their cash crop rotations and generate new income streams for their business. One alternative that producers have shown interest in is the evaluation of integrating livestock into cash crop rotations.

During 2018, a project began to evaluate the economics of grazing stocker cattle on warm-season annual forages in the Southeast. To gain a better understanding of the economics of integrating cattle on cropland during the warm-season, a simulated economic grazing experiment was developed to evaluate grazing warm-season annual forages as a cash crop alternative over the past fifteen years. Research data was collected from the University of Florida, Auburn University, and the University of Georgia to evaluate the potential forage yield, animal production, revenue, cost of production, and net returns of stocker cattle grazing warm-season annual forages. In addition, USDA AMS (Agricultural Marketing Service) data was collected from the past fifteen years to calculate the value of animal gain during the warm-season grazing period. The value of gain combined with animal production data from university grazing experiments estimates the annual revenue that could have been generated in previous years. An excel spreadsheet was developed to use the data collected to simulate the annual production and economic outcomes for the past fifteen years. The production variables being evaluated can be seen in Table 1. Please note, that the production information included in Table 1 is based on the research data included in this analysis and production expectations from our project advisors.

Production Summary Table 

*Warm-Season Annual Forage Mix consists of BMR Sorghum-Sudangrass, Peral Millet, Sorghum-Sudangrass DM, BMR Dwarf Sorghum-Sudangrass, BMR Forage Sorghum, Grain Sorghum, BMR Grazing Corn, Browntop Millet, Sunflower, Safflower, Buckwheat, Okra, Sunn Hemp, Mung Beans, Guar, Cow peas, and Forage Soybeans.

**Stocker Steers had an average weight of 600 lbs/head at turn-in.

This cash crop alternative is planted on cropland following a cool-season annual forage cover crop. It will receive 120 pounds of nitrogen (N) fertilizer in two applications (60 – 60) over 132 grazing days. The stocker steers will begin grazing warm-season annual forages at 600 pounds on June 5th and finish grazing on October 15th. Total production costs include the amortization of fencing and water systems, seed, hired labor, fertilizer, lime, custom applications, machinery and equipment, interest, general overhead, and land rent.

An economic summary (Table 2) for grazing stocker cattle on warm-season annual forages is available below. The results are broken down into three sections: value of gain (revenue), forage cost of gain (cost of production), and net value of gain above forage costs (net returns above specified costs). Please note, that the economic summary information included in Table 2 is based on research data included in this analysis and production expectations from our project advisors.

Table 2.

This cash crop alternative is planted on cropland following a cool-season annual forage cover crop. It will receive 120 pounds of nitrogen (N) fertilizer in two applications (60 – 60) over 132 grazing days. The stocker steers will begin grazing warm-season annual forages at 600 pounds on June 5th and finish grazing on October 15th. Total production costs include the amortization of fencing and water systems, seed, hired labor, fertilizer, lime, custom applications, machinery and equipment, interest, general overhead, and land rent.

An economic summary (Table 2) for grazing stocker cattle on warm-season annual forages is available below. The results are broken down into three sections: value of gain (revenue), forage cost of gain (cost of production), and net value of gain above forage costs (net returns above specified costs). Please note, that the economic summary information included in Table 2 is based on research data included in this analysis and production expectations from our project advisors.

If you have any questions about this article, please contact Chris Prevatt.

 

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