Beef producers who are stocker/backgrounding operators as well as those who retain ownership of cattle through the finishing phase of production lack knowledge of the risk management tools which can be used to improve returns. Extension specialists from the University of Tennessee and University of Georgia planned and conducted four educational workshops in each state to teach beef producers how to use futures and options to manage price risk. The workshops were attended by beef producers, Extension Agents and Vocational Agriculture instructors. There were a total of 103 participants in Tennessee and 85 in Georgia. Evaluations of the workshops indicated that there was an increased level of understanding and knowledge in each of the subject matter areas covered. As a follow up to the workshops, monthly teleconferences are being held with interested workshop participants to keep them up to date on fundamental and technical information related to feeder cattle and live cattle futures. Several producers have taken action to manage price risk on spring sales of fed cattle. Livestock market operators and dealers are being offered the opportunity to learn how to offer their customers forward price contracts for feeder cattle through the use of futures. Periodic surveys will be taken to determine the extent the knowledge gained has been used to manage price risk on feeder cattle and fed cattle.
|Conference||2007 National Extension Risk Management Education Conference|