GROWING a feedlot business can be hard - margins are often volatile - but the Herbert family has overcome these hurdles.
The Herberts now own and operate not just the Gundamain Feedlot at Eugowra, but also the Ladysmith Feedlot near Wagga Wagga.
These family operations have a total capacity 12,500 head - 6000 at Gundamain and 6500 at Ladysmith.
Andrew and Tess Herbert, the sixth generation to run "Gundamain", (with their children Caitlin, 20; Siobhan, 17, and Lachie, 14), got into lotfeeding 12 years ago to make better use of the feed produced on their farm.
They made it work by setting up forward contracts for their cattle, the biggest risk management tool in the business, according to Mrs Herbert.
"Because cattle are forward contracted we know what we can pay for grain and cattle to make it work," she said.
Most grain is purchased from local farmers and delivered to the feedlot when needed, with only about three weeks' worth of grain stored onsite.
The Herberts also have grain forward-contracted through marketers such as GrainCorp or AgFarm.
"We don't pull grain from very far away. A lot of our grain tends to come from Peak Hill, Canowindra and Forbes," Mrs Herbert said.
"We've never had trouble finding enough grain and we've never had to drop numbers significantly because of grain prices."
A lot of their other gains come from good stock handling.
They targeted the best practice in this field by incorporating the knowledge of world-renowned animal behaviourist, Temple Grandin, a Professor of Animal Science at Colorado State University in the United States.
The Herberts based their Gundamain yard design on her work.
Dr Grandin, a pioneer of the curved race, has been promoting the importance of good animal handling techniques for the past 40 years, with the aim to reduce stress.
"We've met her and just recently we bought a recommended Silencer cattle crush, which is quieter and smoother," Mrs Herbert said.
The family has built two feedlots, Gundamain and another at Coonamble, which was sold after the Herberts purchased Ladysmith in 2010.
"We have a V-shaped race in a curve leading up to the weigh box and crush so the cattle can see about three ahead," Mrs Herbert said.
"Panels can be lifted out if a beast falls so if one goes down it doesn't become an animal welfare issue."
It took two years to design and construct the Gundamain Feedlot.
"It's really important to get the angles exactly right," Mrs Herbert said.
"We had to build it in order to cope with cash-flow and for EPA (Environmental Protection Authority) compliance, so it was staggered from 4000 to 6000 head."
The feedlot uses conveyor belt rubber to minimise injury.
"We used a lot of it in the yards and on the exit from the crush. Instead of cement we have woven tyre matting so the cattle don't trip on the way out.
"That's one of Temple's measurements of animal welfare. The rubber slows them down and gives them extra footing."
Stock handling skills are also a priority, with no dogs allowed and no electric prodders used in the yards.
"Staff are allowed to use waddies but they're not allowed to hit the cattle," Mrs Herbert said.
The feedlot encourages staff to use body placement to move cattle, based on the principles of Dr Tom Noffsinger, a feedlot vet from Nebraska, US, who specialises in stockmanship skills.
The Herberts employ 15 people at Gundamain and 14 at Ladysmith.
"In our yards you don't have to get in with the cattle, there is a catwalk available. If you place yourself in the right spot the cattle move more freely."
The Herberts' animal welfare practices played a big role in Gundamain Feedlot winning the Feedlot of the Year award in the 3000 to 10,000-head category at BeefEx in October.
The award examined the feedlot's animal welfare practices, environmental responsibility, community and corporate responsibility, product integrity and quality and quality assurance system.
"We've been finalists every year we've been in it, but we've never actually won before so we we're pretty pleased," Mrs Herbert said.
The location of the Gundamain Feedlot also allows consistency in their feed supply, which is important for the cattle.
"We use tempered and rolled barley, silage, cottonseed, lucerne hay, a molasses supplement and meal mix pellets," Mrs Herbert said.
"Ladysmith has a similar ration, but it sometimes includes almond hulls, because it's close to the Riv- erina."
Much of the hay and silage used in feedlot rations is grown on the property and the feed rations are overseen by nutritionist and vet Dr Matthew George.
"Everything that's grown on the property is used in the feedlot," Mrs Herbert said.
"One of the reasons we set up the feedlot was so we could use what we produced on the property."
The Herberts also make use of the feedlot's waste.
Manure is used as a fertiliser on the property and effluent is used to irrigate crops.
"We don't use artificial fertilisers. We only use manure and it works a treat," Mrs Herbert said.