A black Anguscow from Coaldale, Alta.sold for a record $140,000 earlier this month, setting a record for a southern Alberta auction house and the industry as a whole.
Listed as U2 Erelite 109z in the auction catalogue, the salewas part of U2 Ranch Ltd.'s complete herd dispersal, held atthe Perlich Bros.Auction Marketin Lethbridge, Alta.
It was standing room only at the auction,with buyers from Canada, the United States, Mexico and Europe all hoping to get the chance to own the prized animal.
"The sale started on Monday, Nov. 12," recalls Ken Perlich,one of the five family partners who own and operate the auction.
"We sold all through the red [Angus] andthe top seller there was $65,000. That was very impressive. Then the next day when the black [Angus] came in, theytopped-out the the two-day sale at at $140,000. That was truly amazing," Perlich said.
"I think the [seller's] family was surprised. We were surprised," Perlich said.
"I don't think there was anybody there that expected that kind of price range."
The auction catalogue included a detailed description of the $140,000 cow.
"109z is the most influential cow to walk our pastures," itreads.
"She is admired by all with her unique blend of massive power and exquisite femininity. She and her daughters are beyond compare for teat spacing and udder quality."
Every rancher is lookingfor different traits in a bred cowto improve the quality of theirherd. The Canadian Angus Association evaluates about 25 different traits.
That's why there's so much detail in the auction catalogue descriptions like those listed above.
"[109z]ranks in the top one percent for Weaning Weight, Yearling Weight and Total Maternal Value. Since 2015 she has had a perfect production record and turned into a very productive donor," read the catalogue.
$140,000 seems like a lot of money for one cowto many outside thecattle industry.
But insiders say that a price for bovine that's higher than a Buick shouldn't be a surprise.
"It's not uncommon for an Angus female to sell for $25,000up to $50,000," saidMylesImmerkar,Chief Executive Officer of the Canadian Angus Association.
ManyAngus bred cows will sell for $1,000 to $2,500 each.
When it comes to 109zspecifically, Immerkar says the value of that cow came down to her total maternal value.
If you're buying 109z, you're not buying her for meat. You're buying her for her production record and her pedigree.
When it comes to her breeding potential, 109zis a pregnant 8-year old cow. She's no spring chicken, but in those years she's proven herself.
All three of her sonshave sold to purebred herds.One bull, named Coalition, sold for $32,000. Anothercalled Temptation soldfor over $47,000.
While 109z is entering her twilight years, she's not done producing yet.
She's likely got another two to sevenbreeding years left in her.
Every year she'll give birth to a single calf and produce another 25 to 30 embryos, which can be transplanted into surrogate cows or sold for hundreds of dollars each.
If all goes well, 109z could produce over two dozen calves every yearfor the rest of her fertile life, which could mean hundreds of thousands of dollars.
So what does all this mean for the average Canadian beef eater?
Nothing directly. You're never going to find cuts from a $140,000dollar animal on sale at Safeway or Loblaws.
However, the meat from her lineagewilleventually end up on your kitchen table because 109z'sprogeny will pass her expensive genetics to the greater North American Angus herd.
Some of those genes will end up in the commercial sector, which provides meat for fine butchers, steak houses even on the menuat mass-market burger chains such asMcDonalds or Harvey's.
Genes matter because producers are always striving to breed better beef.
Sciencecan't help usgrow a better burger, so instead it helps the herd through selective breeding.
"Well, certainly [109z] isa recordwithin our association in Canada for a female selling," saidMylesImmerkar,Chief Executive Officer of the Canadian Angus Association.
"Earlier this year we did have another record where a bull sold for$200,000," he said.
At the Perlich Bros. Auction, the sale of 109z will stand as an important day in the market's 52-year history.
"It was a historic thing fornot just the cattle industry or the Angus industry but for our family business," saidMaureen Perlich-Kasko, whowas on the block during the historic sale.
"I don't think we'll ever be a part of anything so momentous. It's something we're very proud of, that it got to happen here and that we werea part of that day."
Written and produced by Tracy Fuller.
See more here:
A $140,000 lesson in the economics of bovine genetics and breeding - CBC.ca
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