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Grid Pricing of Fed Cattle

Ted Schroeder (1998)

Summary

Recently there has been a much greater emphasis on improving the quality and consistency of beef. Cattle producers, breed associations, feed suppliers, and beefpackers have all initiated value based pricing methods commonly referred to as grid pricing. individual animal based on carcass merit. This fact sheet introduces the concept of grid pricing and discusses several management and marketing implications if fed cattle are sold on a grid as compared to being sold on a live or dressed weight basis.