Abstract

Abstract The objective of this study was to realize the economic deterministic analysis of steers production system in full cycle, finished in feedlot or cultivated pasture at twenty-four months old, utilizing or not the quality bonus from slaughterhouses. The study was realized using data from meta-analytic survey of studies in the central region of Rio Grande do Sul state, Brazil, in Microsoft Excel® spreadsheets. The systems were simulated considering the male and female calves weaned early, at the tree months of age, and finished at the 24 months of age in feedlot or cultivated pasture. After the slaughter, it was realized the economic deterministic analysis. According to financial return indicators net present value (NPV), benefit:cost index (IB:C) and additional return on investment (ROI) only the system in pasture show return at the end of planning horizon, and the internal return rate (IRR), modified internal return rate (MIRR) and discounted payback (PBd), show that this system possesses a higher risk of investment. The feedlot system show negative results as a investment project. The bigger cost center was depreciation, feeding supply and taxes, and the quality bonus shows up an interesting alternative of return, but was not sufficient to render the feedlot system a viable project.

Highlights

  • In Rio Grande do Sul state there are currently consumer market niches looking for best quality meats, usually coming from younger animals, where generally the technological changes in livestock production systems suffer an intensification of production processes targeting this market

  • The present experiment was realized at Universidade Federal de Santa Maria, Rio Grande do Sul Brazil, in the period from March 2013 to July 2014

  • By the internal return rate (IRR) and modified internal return rate (MIRR) the project shows a low risk, and by the payback descontado (PBd), the system would take more than 30 years to pay herself without the use of bonus and 27 years with bonus, which is more than the double the time of planning horizon to return the initial investment and start generating some profits. These results indicate that the decision maker will get most successful investing in minimum rate of attractiveness (MRA)

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Summary

Introduction

In Rio Grande do Sul state there are currently consumer market niches looking for best quality meats, usually coming from younger animals, where generally the technological changes in livestock production systems suffer an intensification of production processes targeting this market.In concern to optimize and facilitate the technical and economic performance of animals through nutrients consumption, Missio et al[1] suggest for example the supply of concentrated feed in feedlots. In Rio Grande do Sul state there are currently consumer market niches looking for best quality meats, usually coming from younger animals, where generally the technological changes in livestock production systems suffer an intensification of production processes targeting this market. While choosing the use of cultivated pastures, the restriction factor of the mated heifers at two years of age is the large dependence that cultivated winter pastures have of the weather conditions[5]. This information is corroborated by Martins et al[6] that mentions that productivity of forage grasses becomes one of the main factors responsible for the success of livestock. The pearl millet in summer ensures itself in systems that aim high productivity of forage and animal per area[7] and the black oats, the Italian ryegrass and the leguminous plants present themselves as the main cultivars used to intensify production in winter, due to its ease of intercropping which generates a longer time of grazing for the animals[8] besides offer suitable levels of weight gain[7]

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