2015 Nebraska Cow-Calf and Stocker Rental Rates

September 8, 2015 08:42 AM
 
2015 Nebraska Cow-Calf and Stocker Rental Rates

Grazing rates for cow-calf pairs fluctuate across Nebraska depending upon the district.
By: Jim Jansen, NE Extension Educator and Roger Wilson UNL Farm Management / Enterprise Budget Analyst

Panel members indicated the driving force behind these rates stem from record setting cattle prices along with the expectation for these values to remain high into the future. The average rental rates per month for cow-calf pairs and stockers are reported in Table 1. A complete listing of the counties located in each Agricultural Statistics District of Nebraska can be found in the full report.

Table_1_August_2015_BeefWatch_Pasture_Rental_Rates

Cattle producers across Nebraska have shown their willingness to bid up rental rates as the profitability of the cow-calf and stocker industry remain quite high. As landlords and tenants negotiate grazing rates for cow-calf pairs and stockers, both parties must keep in mind what rate would be viable to satisfy the needs of everyone involved in the transactions. Some of the common elements landlords and tenants must agree upon as part of grassland rental arrangement include which party is responsible for maintaining fences, wells, water tanks, and control of noxious weeds. Other provisions that may be negotiated include the checking of livestock and dispensing of mineral and salt depending upon the distance of the tenants operation from the rented parcel. 

Grazing rates for cow-calf pairs fluctuate across Nebraska depending upon the district. These rates vary from a low of $40.90 per pair per month in the Northwest to $65.55 in the North District. Local market forces along with inherent attributes of the ground influence the rental rates negotiated by cattle producers across Nebraska.

Survey results shown and discussed in this article are an excerpt from the University of Nebraska–Lincoln 2015 Nebraska Farm Real Estate Market Survey. Land values and rental rates presented in the annual publication are averages of survey panel members’ responses by district. Actual land values and rental rates may vary depending upon the quality of the parcel and local market for an area. Complete results from the survey are available electronically via the Nebraska Farm Real Estate website.

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