The CHS Value-added Cattle Program makes cattle available to producers who want to better use any surplus labor, facilities and forage to feed cattle and boost their bottomline.
Through this collaborative program, CHS places cattle with a feeder who provides the necessary facilities, labor and management to properly care for the livestock. CHS owns the cattle, and when they’re sold, we pay the feeder an amount equal to the selling price, minus costs incurred by CHS.
These costs may include, but aren’t limited to, procurement of the cattle, management and marketing, transportation, insurance, hedging and/or options, interest on these costs and the basic program fee. Interest is calculated at a variable rate. The program fee also is a variable rate per head, and is charged when the cattle are placed into the program.
A separate account to manage these costs is established for each feeding project. All proceeds from the cattle sale are credited to the account, project costs are deducted, and the remaining balance is paid to the feeder as a return on labor, management and facilities.
For more information on the Value-added Cattle Program, contact CHS at 800-677-4482.
To apply for the Value-added Cattle Program, please complete the Value-added Program application.