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Natural beef sales help partners profitBy Larry Dreiling In a world where more and more retailers are selling beef sealed in packaging injected with carbon monoxide to improve meat case appearance, it is fascinating to see active interest among cattle producers who remain true to old traditions, like offering to feed a steer for some in-town friends and then selling them a side or a quarter. The Ferris and Elliott families of Colorado have taken that idea to a higher level with the development of Colorado's Best Beef Co., a partnership that not only sells sides and quarters to individuals but delivers beef to retail establishments, sells cuts at seasonal farmers' markets, and offers wholesale food service products to dining establishments. While both parties are ranchers, each family plays to their strengths. The Ferrises, with more ranchland, have a bit more of a hand in the production element, while the Elliotts, operating closer to the populous Front Range of Colorado, lead the marketing charge. The partnership began when the children in the Elliott family, who operate a small ranch near Boulder, wanted to become involved in 4-H. The family, which had a small Charolais operation, had gotten to know the Ferris family of Morgan County, which had a Charolais operation, too, through their breed association. Not only were the Elliott kids buying club calves from the Ferrises, the families often swapped bulls to improve hybrid vigor. As he got older, son Ben Elliot decided to go into business. By eighth grade, Ben had put a notice in his school bulletin announcing that he was selling beef sides and quarters. "As a group, they became indoctrinated into the cattle business," said Brian Ferris. "They got to a place where they couldn't expand." At the same time friends of the Ferrises who knew they raised cattle asked for some beef. "We'd get some ready each summer, selling sides and halves," Ferris said. "Then we started offering them twice a year." The drought of 2002 changed the thinking of the two families about their operations. "All the years before, our primary focus had been seedstock," Ferris said. "With all the cows that went to town during the drought, I knew continuing just a bull thing would be tough. "Then came the BSE scare in 2003 and we thought there were factors out of our control that were controlling how successful we could be and it caused us to ask how we could buy insurance, so to speak, to make us successful." The two families each realized the same challenges and recognized opportunities in producing natural beef in a direct sales format. "We took a risk and decided to move our friendship and partnership to another level. We've progressed from beef sales as a sideline to making it a priority," Ferris said. "It's starting to pick up some momentum in the last year. We've made our share of mistakes along the way and had some successes too." Together, the Ferrises and Elliotts run about 350 head over 4,000 acres, primarily at the Ferris operation. This ranch is unique in that it is operated holistically, with intensive grazing management. The ranch is divided into 13 paddocks. "In the spring, when things are growing quickly, I'll move the cattle every eight or nine days," Ferris said "Because we do run some purebred cows, I'll break some of the paddocks down into breeding groups as well. "We'll go into well-rested pastures during the slow-grow phase--although that may be the no-grow phase if we don't get some rain. Our warm season grasses need some help. It would be a real shame if they didn't get it." The few years that the ranch has been grazed holistically have shown the value of the program. "You stand over the top of our grass and peer in you will find species of grass we never imagined were there before we started rotational grazing," Ferris said. "The time we hold this land is but a snapshot in time and we aim to make our time well spent." In the fall, Ferris moves the cattle to rented corn stalks and to other pastures for the wintertime. The key is allowing the cattle to stand on their own, with little assistance from man other than bringing in water and a good health program. "We'll intervene when we need to. The thing is we try to make sure that with the land and the cattle that everything works in harmony," Ferris said. "In winter, we got three feet of snow, but our cattle were wintering down by Cope. They didn't get whacked really hard. In May, we got eight inches of rain. Now we need rain, so it works in cycles." Ferris's wife Marti is a veternarian and manages the cattle vaccination program. "To this operation, good animal health is key to making natural beef production with no feed antibiotics, no growth hormones and with the rotational grazing we do," Ferris said. "She keeps on top of that." The type of cattle that leaves the two ranches are what Ferris calls "good common sense cattle." "We want performance out of them," Ferris said. "They have to make money on feed. We don't need any giants. We don't need the conversation of, 'Your steaks are taking up my entire dinner plate.' We're pretty consistent with industry targets. I look for an 850 to 900-pound carcass. With our sales of quarters and halves we need that. "If a buyer has a big family, they want a big critter. If it's a smaller family, they want an animal that's smaller. Whatever their needs are we'll try and get them what they want. In the end, the goal is to produce a 1,200 to 1,400-pound animal. "We could go bigger. It's hard to get much smaller," Ferris said. "We need a year-round supply of cattle, so we have to stagger things out. When we do that, we'll get into some bigger cattle." As it is, what the families try to produce is sides and quarters for those who want cattle that grade high Select and low Choice, "Our label requires us to be at least one-half Charolais," Ferris said. "This gives us the opportunity to crossbreed when it makes sense. I use some Red Angus bulls in this for hybrid vigor." The cattle are shipped to Fort Morgan and the Keith Bath Feedlot there, where Ferris is the yard manager. "Keith is an integral part of the operation," Ferris said, indicating that preservation of the natural integrity of the cattle is crucial when they enter the feedlot. The usual steps of implanting cattle and feeding cattle ionophores must be avoided. At slaughter time the cattle are taken to Double J Meat Packing Inc., a U.S. Department of Agriculture inspected facility in Pierce, in Weld County, Colo. USDA inspection permits sales nationally. The carcasses are dry aged 14 to 21 days and packaged in cuts for delivery. That's where Ben Elliott's mom, Gina, takes a big role, not only handling sales but delivering beef as well. "Our primary focus had always been on quarters and halves," Ferris said. "One of our mistakes at first was to try to do a lot of wholesale work. We aren't competitive price-wise, although we do some wholesale." Where Colorado's Best Beef shines for retail cuts is at places such as Niwot Market and Longmont's Colorado Cupboard, where customers seek natural beef products. At the food service level, CBB is served at places seeking locally produced items. It can be found at places like The Sink, the historic restaurant and bar "On The Hill" in Boulder where its ground beef has become the primary component of the establishment's famous Sinkburger. CBB also is the primary beef supplier to the student-operated Aspen Grille at Colorado State University's Lory Student Center and to College of Culinary Arts at the Denver campus of Johnson and Wales University. According to the firm's website, cobestbeef.com, current pricing for wholes, halves and quarters is $2.90 per pound plus processing that adds anywhere from $550 to $650 per quarter, depending on how much deboning needs to performed. Customers simply fill out a form describing what they want from a carcass and how thick they want their steaks, how many steaks are desired in a package and how many roasts are desired. Individual items also are for sale at a per pound rate. Currently, boneless ribeyes sell for $15 per pound. New York strips are $14 per pound. Sirloins are $10 per pound. Ground beef ("No Old Cows!" the website reads.) is $4 per pound. Prices do not include shipping. Variety boxes and gift baskets are available. "The retail business is so very price sensitive. We are starting to get into some long-term relationships with dining establishments with a loyal following," Ferris said in describing why retail sales are not emphasized as much as direct sales. Still, it's a start and Ferris sees tremendous potential from the good start this partnership has had. "From where I am, in Morgan County, Colo., I can see Pikes Peak to the south and all the way to Wyoming to the north from up this hillside," Ferris said. "There's likely 4 million people along that route. If you can do business with a small percentage of them you can go through a lot of quarters and halves, steady out your income and not be subject to as many variables as there are from just ranching. "This gives us the opportunity to do what's needed to succeed." Colorado's Best Beef can be purchased by calling (866) 414-BEEF (2333) or by visiting cobestbeef.com. Larry Dreiling can be reached by phone at 785-628-1117 or by e-mail at ldreiling@aol.com. A 1 7/23/07 Date: 7/19/07
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