There are a lot of breeding systems that can be used for farm animals. The best breeding system to improve production is not always achieved without modern technology.
The number of calves and the weight of weaner calves sold determine the income in a cattle production system. If the main production goal is to produce one newborn animal per cow per year then the income goal is to sell these calves and non-productive cows at the best price.
The number of calves weaned as well as their weaning weights are the results of all the work done during the rest of the production cycle. It is now time to convert this result into money which is the driver for sustainable and profitable cattle farming operations.
The profit generated is calculated through a very simple equation:
Profit = Income (kg produced x price) - Expenses
A cow unit is used as an example to explain the basic calculation of the possible profit that can be obtained:
The profitability calculation is simplified as an example for training purposes but contains all the principles the livestock handler, whose primary role is to prevent production losses, must understand.
Basic Profitability Calculation for a 10 Cow Production Unit
Income |
Quantity |
Weight |
R per kg |
R per animal |
Income |
% of Income |
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Bull calves |
4 |
220 |
R20 |
R4 400 |
R17 600 |
44% |
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Heifers 1 |
1 |
200 |
R18 |
R3 600 |
R3 600 |
9% |
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Heifers 2 |
1 |
300 |
R17 |
R5 100 |
R5 100 |
13% |
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Cows |
2 |
450 |
R15 |
R6 750 |
R13 500 |
34% |
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Total Income |
8 |
R39 800 |
100% |
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Less |
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Expenses |
Quantity |
Unit |
Unit Cost |
Expense |
% of expense |
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Supplementary Feed |
10 |
Cows |
R 600 |
R6 000 |
42% |
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Animal Health |
21 |
Herd |
R75 |
R1 556 |
11% |
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Transport |
12 |
Month |
R125 |
R1 500 |
10% |
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Other expenses |
12 |
Month |
R450 |
R5 400 |
37% |
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Total Expenses |
R14 456 |
100% |
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Profit |
GP% |
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Profit |
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R25 344 |
64% |
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Average Monthly Income |
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R2 112 |
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Loss |
% of Profit |
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Loss of Calf |
R4 400 |
17% |
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Loss of Cow |
R6 750 |
27% |
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Profit = Income – Expenses
60% of income comes from the sale |
40% of incomes from the sale of cull animals (non-productive heifers and cows). |
The loss of one calf (R 4 400) not successfully weaned and sold will decrease the probability of this production unit by nearly 20%. |
The loss of one cow (R 6750) must be deducted from the possible profit, resulting in a 25% reduction in profit. |
Source: Afrivet – Livestock Handler Training Manual Module 12 Pregnancy diagnosis and weaning of calves
Beef cattle farmers have a very extensive breeding system going. They test the progeny of the bulls (they want to use in their breeding plan) in a well-structured way. They use production traits such as daily growth rate, weaning mass and a lot of meaningful production aspects in a national progeny-testing scheme.