Income Streams

By Deborah Huso
Progressive Farmer Contributing Editor

Grady Fort was once a cattleman. But three years ago, drought pushed this Texas Hill Country producer to sell off his entire herd and exit the beef cattle business.

Luckily, he'd started a meat goat herd seven years earlier. What began as a side operation now sustains Fort's 1,000-acre ranch.

"We'll probably go back to multispecies grazing eventually," Fort said, but he's sold on the greater profitability of meat goats. "I got interested in goats because they're much more profitable than cattle, and our land here in central Texas is more suited to goats because they're brush browsers."

The former cattleman began with seven goats, building to 250 adult nannies today. As many as 600 goats graze on his ranch at any given time.

He likes the quick turnaround on income that goats offer. "From breeding to auction is about eight months," he said. "With cattle, it's 14 [months]. Plus, you don't have such a heart attack if one lies down and dies."

Fort earns his income both through selling goat meat, which today sells for $2.40 per pound live weight, and selling breeding stock. Most of his goats are Spanish, though he has some Savannah goats in addition to crossbreeds.

Fort's goats have 200% kidding, while the average rate ranges between 150 and 175%. "Goats are very prolific," he says, "and we select breeding animals on the basis of twinning." He says it's possible to get three crops of kids over a two-year period.

PIQUED INTEREST OR PEAKED MARKET?

Until recently, the American meat goat industry was growing by leaps and bounds. That was due in large part to the importation of South African-developed Boer goats beginning in 1993 through a quarantine stop in New Zealand. The Boer breed produces a large animal with fast growth, increasing profitability potential for producers.

Boer is the most common and largest breed of meat goats in the U.S., though producers here also raise Spanish, Kiko and Savannah goats. Many producers are also raising crossbreeds.

"Boers have the best carcass," points out goat management consultant Frank Pinkerton, "though buyers don't buy based on breed but based on the appearance of the carcass." He says a 60-pound live goat translates into about a 30-pound carcass.

The goat industry in the U.S. peaked in 2008, however, explains Pinkerton, formerly a state Extension program goat specialist at Langston University. Since then, goat herds have dropped 9%, based on figures from the National Agricultural Statistics Service.

Pinkerton said the decrease is due to recurring area droughts and the exodus of many small-time farmers. A small herd can be supported on as little as 10 acres, and these "hobby" farmers tend to come and go.

Meat goats, however, didn't peak because of the lack of a market. Pinkerton reports U.S. meat goat farmers only produce 50% of the goat meat consumed in this country, leaving the remaining share of an expanding market open to imported meat.

MARKETING FOR A CULTURAL MELTING POT

Consumers from a diverse array of cultural backgrounds comprise the market for meat goats. Muslim consumers provide the largest demand, with people of Caribbean and Hispanic descent making up a significant portion of the market, as well. These markets continue to grow.

Pinkerton points out Latinos are now the fastest growing ethnic population in the U.S., and a fair number of "locavore" consumers also are becoming interested in buying goat meat.

JOINING THE HERD

Pinkerton points out goats are an ideal addition to row-crop farms. "People in the crop business always have some pasture," he notes, "and it's simple to add goats. Plus, their prices [per pound, at slaughter] are higher than for cattle."

Goats are also an ideal addition to a cattle operation. Fort says parasites that affect goats don't affect cattle and vice versa. That means the two species can graze behind one another on the same piece of ground and clean up each other's pastures. Goats tend to do best in dry climates because the parasite load is heavier in areas that receive a lot of rain.

Fort claims getting started in meat goats isn't hard if you have good fences. He recommends net wire. "If you don't have good fences, you're not going to have a goat herd," he chuckled.

He also recommends rotational grazing because goats are vulnerable to parasites if left to graze in the same pastures too long. "You don't have to worm them if you rotate pastures," he pointed out.

The kicker with getting into meat goats, however, is making sure you're close to auctions that sell them. Otherwise, your potential income gets eaten up in freight. Texas has numerous auctions that sell goats. New York and Los Angeles, Pinkerton reports, make up the bulk of the market for the meat.

Texas leads the country in goat meat production, making up 35% of the market. Oklahoma, California and North Carolina also have strong goat meat production along with breeding stock for sale.

"There's a huge market for meat goats," Fort said. "Goat meat is the most widely consumed red meat in the world." �

(VM/CZ)

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