To give you an idea of these fees. We sold 12 (twelve) cattle and it cost:
Government transaction Levy: $60.00
NLIS tags $5.00 for each animal (eg. 12 x $5.00 = $60.00)
What other industry would accept a hit like that?
That's near 11% to 12% in fees and charges, AND that's NOT counting costs to get the animals to market (usually 12 to 18 months on farm care).
Commission to selling agent can vary from 3% to 10% or more.
They can include:
- Feed (In drought and in good times)
- Drenching (ringworm, tapeworm, liver fluke, lice, ticks, etc)
- Maintenance: (New Gates, stockyard repairs, etc)
- Artificial Insemination or Bulls (there are costs with both methods)
- Fuels: (Diesel, Unleaded petrol, oils, insurance, registration, etc).
- Veterinary fees (Injuries, pregnancy testing and any other events)
Advice: Don't become a farmer unless you have a lot of money that you don't need and love animals.