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Why is beef so expensive? It is not difficult to understand once the process of marketing beef is understood. The number of cuts that a producer gets from a steer coupled with the variety of grades of beef and the fact that it is a perishable product much of it with seasonal appeal drives the price of the most desireable parts up. 

Every piece that spoils or must be sold below cost ultimately increase the average price of the cuts purchased. Less desireable cuts are stockpiled in freezers in the off-season. Much of this may need to be discarded. Even the best freezers only store beef for a year before it becomes damaged and dumped. 

The key to cheap beef is immediate and total consumption. This is only possible by means of Equity Barter.

The Exchange method of marketing beef: 

The first step is to form or join an Exchange established to market beef at the lowest possible price. Each member purchases one share in the Exchange Circle. One share represents one equal portion of the total marketing cost as estimated by the group. Each participant pays an equal portion of the total cost.

A steer or half or quarter is purchased according to the size and needs of the group and made customer ready either by the supplier or the purchasers. If there is a butcher within the group he with some helpers will find it cheaper to do the processsing themselves, perhaps at the slaughterhouse if space can be obtained for a few hours.

All work and preparation is paid for whether done on contract or by the members as part of the cost of the meat and incorporated into the cost of membership. That is all work done whether by members or outside contractors is paid for at a set rate and included in the total cost of the product.

A list is made available to the members of the available cuts and the quantity of each.

A silent auction is held. Each member bids on the cuts they wish. Each cut being available in packages with given weights.

Each package is bid on. Highest bids are processed but in case of default the next highest bid becomes the purchaser.

Every part of the carcass is packaged and sold by silent auction. If the packaged will be taken free the potential purchaser makes a zero bid.

Purchases are paid for at time of sale. Profits from the sale are shared equally amongst all members so long as they are paid up members that is whether they purchased product of not.

It is possible in this situation for a member to earn more than they spent.

No one is required to purchase a set amount or any amount, the purchase is paid for by the paid up shares and the cost is recouped in the sale. Profits or loses are divided equally amounst all members.

Less desirable cuts may be had at a very low cost if Demand is low.

Matching bids are filled first come first served.

$0.00 bids are allowed if the product such as bones will be accepted for free.

The Auction System: 

The meat is made consumer ready that is packaged in reasonable amounts by weight.

Product is sold to the highest bidder in a silent auction.

Profits are shared amongst members after all costs have been accounted for.

Killing:   

The animal can be killed at the local abattoir for a fee or hanging sides can be purchased depending on the groups preference. If an animal is purchased and custom killed the entire animal should be saved so that the guts etc can be processed into pet food.

Buyers: 

The fewer restriction placed on bids the better the auction will work. Each person can bid what they wish for what they wish for all the cuts they wish. If one person wishes to pay $30.00 a pound for tenderloin and bids this amount on every package then as the highest bidder he or she wins the bidding. In this respect he is a customer. Those who are willing to pay high get the meat they wish those who prefer to pay less spend a lower percentage vompared to the income they earn.

Work: 

Those who work deserve to get paid. Everything done for the Exchange as regards the purchase, preparation and distribution of the product has value and needs to be paid for otherwise the group will fall apart. Jobs should be auctioned off though a base rate should be agreed upon initially. If everyone is paid $10.00 per hour or $50.00 for the job then the only difference will be how many hours are worked or how many jobs are performed.

A person who thinks someone is being paid too much for the work done has the option of bidding to do the job cheaper. If everyone is unwilling to do the job at the posted rate then either it is contracted out or someone can offer to do it at a higher rate.

Money: 

Because beef will probably have to be purchased with conventional forms of money for the time being and other expenses paid for in domestic currency sales will need to be paid for in cash to recoup the money paid out. Membership fees need to be set at a level where the fund is liquid at the time of sale.

 


Change The Way You Buy Beef

the new economic order