Mexico-USA beef cattle supply line on track.

An 8 week project developed in USA´s and Mexico just finish, will bring a group of Northern Mexico cattleman a steady supply line to feedlots across the panhandle area in the US, and they will ensure a part of the supply they need.

The feasibility study and project implementation was ordered by a top Beef Cattle Feedlot in the Panhandle area, it will make sure that the cattle supply by these mexican cattleman will meet the quality and sanitary standards in full and on time (OTIF), and the price FOB will include animal purchase, freight costs, border crossing, customs fee and health costs.

Working together FGH Agro consultant´s, mexican cattleman and feedlot managers, brought quantitative and qualitative outstanding results, the overall shrink from cattle delivered, dead losses, USDA rejected calves reduction, among other parameters, the mexican side R.O.I. was above 15.2:1, while the american side R.O.I. was 7.1:1, showing an Internationally win-win project.

A variety of production and marketing practices are available to help cow-calf producers enhance calf values. "Though these practices are not new, many are still adopted by only a small percentage of producers, it’s been said, often correctly, that necessity is the mother of invention", says the FGH Agro, Chief Livestock specialist in Latin America, Mr. Javier Carrera.

"Producers must begin managing costs and managing costs is not to just stop spending. Rather, producers are encouraged to evaluate the management practices that have the greatest return on investment and spend money on those practices that return the most for each dollar spent. One example is to castrate and implant calves, but producers are encouraged to do a thorough analysis because margins will continue to tighten for calves in both sides of the border, this is the new price scenario for NAFTA cattle producers", finished Carrera.

(Photo credits FGH Agro staff)

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