It's time for Barbecue Nation with JT So fire up your grill, light the charcoal, and get your smoker cooking.
Speaker ANow from the Turn It, Don't Burn it studios In Portland, here's J.T.
Speaker Ahey, everybody.
Speaker AWelcome to the nation.
Speaker AThat's Barbecue Nation.
Speaker AI'm JT along with my hall of Fame co host, Ms.
Speaker ALeanne Whippen.
Speaker ADave and Chris are slithering around the back doing whatever they are doing.
Speaker AAnd we would like to thank the folks at Painted Hills Natural Beef beef the way nature intended.
Speaker AYou can check them out online@painted hillsnatural beef.com and speaking of such things, Will Homer, the COO of Painted Hills Natural Beef, has joined us again today.
Speaker AI like to keep an eye on, obviously, the commodities markets and the beef market and that because I'm interested in it and I know our listeners are interested in it.
Speaker ABut also, we got to eat, so we got to know if we're going to get some cows in the store.
Speaker AWell, welcome.
Speaker BThank you.
Speaker BThanks for having me today.
Speaker AYou know, you don't sound very fired up today.
Speaker AUsually you're gregarious.
Speaker BYeah, well, you know, it's been one of those.
Speaker BIt's kind of a.
Speaker BI don't know, it's kind of a sleeper, I guess, today.
Speaker BI don't know.
Speaker BJust going to wake me up.
Speaker AWell, that's Gabrielle's job.
Speaker AI'm not, I'm not going there anyway.
Speaker AWhat's going on in the cattle business?
Speaker BWell, I don't know.
Speaker BI'm getting so tired of talking about change then, and I'm not seeing it anywhere.
Speaker BJust I don't know what to think.
Speaker BIn fact, I, I'm going to get on the road next week and get a feel for what's going on out there because you see, as you see my picture behind me, it's beautiful here.
Speaker BI don't like to leave here.
Speaker BIt's nice and quiet and there's nothing crazy going on.
Speaker BBut I got to get out on the street and see what's going on.
Speaker BIt seems like the pressure is building on the live animal side quite a bit.
Speaker BThere's quite a bit of increased value to the producer, which is a good thing.
Speaker BThe packer.
Speaker BAs a packer, I have to give a lot more money for cattle than I have in the past.
Speaker BAnd so my cost of goods have gone up quite a bit.
Speaker BAnd it seems like I don't know what's happening in the retail.
Speaker BI don't know what's happening in the grocery store, if they're moving or it's changing or it's even selling.
Speaker BIt's just.
Speaker BIt's just been.
Speaker BIt's been a weird.
Speaker BIt's just been a weird spring.
Speaker CWell, I will say that I see beef in the store.
Speaker CBeef prices have gone down in Florida.
Speaker BWow.
Speaker BYeah.
Speaker CNot substantially, but, you know, they have their loss leaders, of course, but I see it kind of going down a little bit.
Speaker BYeah.
Speaker BYeah.
Speaker BSo as you see, you see the big national guys report because they have.
Speaker BThey have stocks and things the stock owners and things they report to, you know, and they're all.
Speaker BThey're all saying.
Speaker BWaking up to the fact that it's cost them a lot more money for the cattle they have, and their cost of operations are a lot higher than they have been.
Speaker BSo if that's going to result in a higher cost of the grocer or the grocer's going to push back and sell more pork because it's still free, I don't know.
Speaker BI don't know what's going to happen.
Speaker AWell, I can give you your old buddy Jeff's spy observation on the retail level here.
Speaker BYeah.
Speaker AMy wife came home the other day.
Speaker AShe went out and did some shopping.
Speaker AShe let me sleep in that morning, which was great.
Speaker ASomething I rarely get to do.
Speaker AShe came back in, she goes, you know, the store was really weird.
Speaker AShe went to two different stores.
Speaker AAnd I said, how's that?
Speaker AAnd she goes, well, you're going to go back there in a couple hours.
Speaker AI know you will.
Speaker ASo why don't you.
Speaker AWhy don't you look and then tell me.
Speaker AAnd we talked about this before, but this was more kind of in.
Speaker AIn indicative of what we saw partway through the pandemic.
Speaker AThere was a lot of certain products, a lot of pork, except they didn't have any ribs.
Speaker AOkay.
Speaker AThere wasn't a rib to be found for the Memorial.
Speaker CMemorial Day.
Speaker AYeah, but.
Speaker AAnd I.
Speaker AThat was not to get off in the weeds here, but I was like, what beef department manager or what meat department manager, excuse me, wouldn't order more ribs for Memorial Day?
Speaker AYou know, fourth of July, that type of thing.
Speaker AIt didn't make any sense to me.
Speaker AWhen I went to the store, I actually asked the meat guy and he got real testy with me.
Speaker ANo, no ribs.
Speaker ANo ribs.
Speaker AI'm like, okay.
Speaker ABut there was a ton of.
Speaker AThey were selling pork tenderloins.
Speaker APackage of two for 299, not a pound.
Speaker A299.
Speaker BI told you it was free.
Speaker AYeah.
Speaker ASo I bought some, of course.
Speaker BYeah.
Speaker AAnd then other things, you know, just bulk packaged meats.
Speaker AYou know, chicken, pork, beef, whatever those are.
Speaker AYou know, they're never the best cuts, you know, when they do those family packs like that.
Speaker ABut they're okay.
Speaker AThere was a lot of those.
Speaker AThere was a small amount of pre cut steaks.
Speaker AAnd then in the end, in the glass counter, you know, where you think you're really getting exceptional service, but they're just pulling them out and throwing them on the scale for you.
Speaker ABut, you know, it's.
Speaker AIt's like there was a fair amount in there, but there was holes in there.
Speaker AOkay?
Speaker AThere was no, there was no tenderloins.
Speaker AThere was no New York's.
Speaker AThere was some ribeyes, but there was no New York's.
Speaker AAll right.
Speaker AAnd so I thought, well, that's weird.
Speaker AIt just looked weird.
Speaker ATheir produce, there was big holes in their produce department.
Speaker AAnd to me, you know, I grew up working in a grocery store for a while there, you shouldn't really be out of radishes, you know what I mean?
Speaker AAnd that type of thing.
Speaker ASo we went to another store in another little town just north of us, Camby, you know, and went to the Fred Meyers there.
Speaker AAnd it was about the same.
Speaker AAnd I.
Speaker ASo I don't know what the hell was going on.
Speaker AAnd it wasn't just because it was a holiday weekend, because usually those guys have stuff stacked in the aisles for a holiday weekend.
Speaker BRight.
Speaker ASo that's my worthless observation for you, but it's certain things, A lot of, like you said, a lot of pork.
Speaker AI mean, you could buy pork butts for $79.
Speaker AYou know, chops in that, they were still under three bucks.
Speaker AAnd so, you know, there's a lot of pork, like you said.
Speaker AYeah, but the beef, it was a fair amount, but not what you're used to seeing in, in those stores.
Speaker AAnd I don't know the reason for it because you go other places and they're full.
Speaker ASo.
Speaker AOkay, Svengali, tell me what you think about that.
Speaker BWell, I think distribution's still broken.
Speaker BI think.
Speaker BI really do.
Speaker BI think these warehouses and, and all this, even though you're talking about a enclosed system, I guess with Fred Meyer and Kroger and such, but I think that people in warehouses are probably going to be the last positions to fill.
Speaker BYeah, that'd be the last price I'd want to have to go work.
Speaker BBut it refrigerated, it's cold, it's dark, you know, all those things.
Speaker BAnd so I think that, I think when we go to a grocery store today, we see things that are broken, that Are distribution related.
Speaker BJust can't get stuff from point A to point B.
Speaker AWell, you can't have.
Speaker AWhen you're facing a shelf and most people knows what.
Speaker AKnows what.
Speaker AKnow what that means.
Speaker ASorry, didn't add that extra S in there.
Speaker ABut you can't have 10 rows of Nally's chili, the original chili, and then six rows of pot or six rows of turkey chili or whatever the different stuff there is it.
Speaker AThey're just filling shelves.
Speaker ABut the choices are getting more limited in some of that.
Speaker AOr are limited right now, I should say, because I know they're still producing those products.
Speaker ALeanne, when you're in Florida, did you notice that?
Speaker AHave you noticed anything like that in the.
Speaker CNo, I haven't.
Speaker CAnd I guess my question on the distribution is why is it that Amazon doesn't seem to have a problem?
Speaker BThe Amazon's got there.
Speaker BI think they're.
Speaker BWell, you know, they got a problem of their own.
Speaker BBut that's the side where they said, well, we have warehouses we're not going to open where we have warehouse, we have facilities we're not going to fill.
Speaker AWe got one right across the freeway here.
Speaker BYeah, they've got a couple in Seattle they've built and they're not, they're not going to put any people in them because they've just overspent.
Speaker BRight.
Speaker BThey've over.
Speaker BOver because they are big.
Speaker BBut I don't, I don't buy food.
Speaker BDo you buy food through Amazon, Leanne, to see.
Speaker BNo, I give you just other goodies.
Speaker BNo, I know because I got, I got an Amazon package coming every day this week and I've even even clicked on the consolidate button and it still didn't put them together.
Speaker BI don't know what I did.
Speaker BBut.
Speaker BBut I am curious, you know, I am curious as to how they do with the food side of things and, and who's filling that for them.
Speaker BBut yeah, it's probably different.
Speaker BYeah, I think they got some pretty cushy, you know, that's all brand new, right.
Speaker BAnd it's all.
Speaker BIf you got a choice, you're gonna work for Amazon.
Speaker BThey advertise on tv, they're gonna put me through college and they're gonna give me the best wages and they're gonna do all that.
Speaker BOr I can work in a grocery scenario where there's, you know, I mean, you ever been in the back of a grocery store?
Speaker AOh, yeah, it's just pleasant.
Speaker BThe distributor is actually more is better than that.
Speaker BBut it's, you know, it's got that.
Speaker BIt's cold and it's dark and it's.
Speaker AIt'S all that sticky floor.
Speaker ASticky, you know, and all that.
Speaker AYeah, well, with Amazon, because I did work for them for a while.
Speaker AYou and I have talked about that.
Speaker AAnd they're dry goods.
Speaker AI don't, I don't mean like fan belts or towels or something like that, but I'm talking about in the food side.
Speaker ASpices, dry goods, rubs, prepackaged barbecue sauces, Worcestershire, whatever.
Speaker AYou know, we, I actually do buy some seasonings and stuff through Amazon that I can't get at a regular basis anymore at the grocery store.
Speaker ASo I buy three packs and four packs and stuff like that.
Speaker AI know they have a, they have a fresh fruit food option in some areas of the country.
Speaker AWe don't have it here, so I can't speak to that.
Speaker CBut, you know, because I think they own Whole Foods.
Speaker ARight, right.
Speaker AYeah, yeah, yeah, yeah.
Speaker CSo you're right.
Speaker CIt's different.
Speaker CAnd, and they're dealing with, you know, I mean, food is totally different.
Speaker CIt doesn't have a long shelf life, especially produce or whatever.
Speaker CSo they aren't dealing with all the ramifications that are involved with, you know, distribution on that level.
Speaker ASo we are going to take a break here and be back with Will Homer on Barbecue Nation and Ms.
Speaker ALeanne right after this.
Speaker ADon't go away.
Speaker AHey, everybody, it's jt and this is a special version of Barbecue Nation.
Speaker AIt is brought to you in part by Painted Hills Natural Beef.
Speaker ABeef you can be proud to serve your family and friends.
Speaker AThat's Painted Hills Natural Beans.
Speaker AWelcome back to the nation.
Speaker AThat's Barbecue Nation.
Speaker AWe thank you for listening and letting the hall of Famer and myself and Mr.
Speaker AHomer into your ears and homes today.
Speaker AWe appreciate that very much.
Speaker AIf you'd like to email us, just send it somewhere.
Speaker AWe'll find it.
Speaker AYou can send it to barbecue nation, jt.com and we will get it and we will respond.
Speaker AAlthough I feel bad, I say that every show.
Speaker AAnd then about two weeks ago, I got a email from a listener and I lost it and I can't find it.
Speaker AAnd I wanted to respond to the gentleman and I couldn't do it.
Speaker ASo I'm going to keep looking, whoever you are out there.
Speaker AAnyway, we're on Facebook and, and Twitter and Instagram and Spotify and all that stuff, and we're killing them with impressions and stuff.
Speaker AAnd Leanne's out there on social media much more than I am, so you can find us.
Speaker AAnyway, we're talking Will Homer, CEO of Painted Hills Natural Beef.
Speaker AGreat product, terrific product.
Speaker AHey, all right, we gonna bring back that.
Speaker AI'll get this out of the way.
Speaker AWe're gonna bring back that special.
Speaker BYeah, sure.
Speaker AOkay.
Speaker BI don't even know what it is.
Speaker CIt was 15 off.
Speaker BWell, all right.
Speaker BOkay.
Speaker BWhat's the code, Jeff?
Speaker BDo you remember what the code is?
Speaker CIt was BBQ Nation.
Speaker ABBQ Nation.
Speaker AYeah.
Speaker AYeah.
Speaker ASo we can do that.
Speaker AWe'll, we'll start letting everybody know that.
Speaker AWell, you got Father's Day coming up, you got fourth of July coming up.
Speaker AYou've got summer barbecues.
Speaker BYou bet.
Speaker AAnd yep, it'll get.
Speaker BRight.
Speaker BDistributor, that's a distributor I can kick, you know, get them going.
Speaker BAnd so we'll get those, we'll get some action out of them.
Speaker AYeah, yeah, just like that.
Speaker AJust get them in the cheeks, so to speak.
Speaker BThere you go.
Speaker AYeah, you're not dealing with salmon cheeks.
Speaker AI don't think people realize.
Speaker AAnd we've talked about it many times when you've been on the show here.
Speaker AAnd I'm not going to give any numbers, that's up to you.
Speaker ABut I was reading the sheet you sent me last week.
Speaker BOh.
Speaker AAnd you know when I remember just like a few handful of years ago and some of the.
Speaker ALet me give you a made up example.
Speaker AOkay?
Speaker BMm.
Speaker AJust the flank steak.
Speaker AAll right.
Speaker BYes.
Speaker AFlank steak was never one of the, the choice, the big primal pieces, you know, it's like that type of thing.
Speaker ARight, but, but if I'm not mistaken, that over the last 10 years that price has almost doubled.
Speaker BOh, at least.
Speaker BYes.
Speaker AYeah, like that.
Speaker AAnd so, and you've got, you know, same thing, feed cost, production cost, packer cost, demand, man, people have learned to eat it.
Speaker BSo when I, when I started 20 years ago here, I didn't know anything about beef.
Speaker BAnd as far as the pieces, parts and all those things.
Speaker BAnd I have an ag economics degree.
Speaker BEconomics, right.
Speaker BSupply and demand.
Speaker BThat's the first thing you learn.
Speaker BAnd so what I learned was in the, the big four.
Speaker BAt the time it was four different ones than it is today, but it was the big four.
Speaker BThey drove the market and they sold the primary primals, the, the four rounds off the rear, the two chuck, the chuck and the clod and the chuck tenders off the front and the ribs and strips and tenders, all the sexy stuff in the middle, those were the items that paid for the steer.
Speaker BAnd then everything else was called a credit item.
Speaker BAnd I never understood what the heck did they mean by credit item and what they were, they were pricing it based on the whole value of the carcass.
Speaker BTri tips, flanks, skirts, all those things were two to $3 a pound.
Speaker BThey were cheap.
Speaker BThey were just get them gone, get them out of the way.
Speaker BWe'll focus on paying for this steer with the ribeyes and the tenders and the, and the, and the chucks.
Speaker BAnd remember, the cattle were 82 cents a pound total live cattle.
Speaker BThey weighed 1200 pounds away.
Speaker BThey cost 82 cents a pound life.
Speaker BAnd, and so that's how the industry kind of was back then.
Speaker BBeef was cheaper and, and that's the way it went.
Speaker BAnd so when I stepped in here, we were kind of in the beginnings of something new with Painted Hills.
Speaker BMel Coleman had started the idea with Wild Oats and Whole Foods in Denver.
Speaker BDo cattle without hormones, without antibiotics.
Speaker BDoc and Connie Hatfield, we're starting to drive the country natural and we're talking 60 head of cattle once a week.
Speaker BThis is, this, that's the kind of, that was the beginnings of any kind of branded.
Speaker BPut your name on product at all and do something different.
Speaker BAnd that's the values they were.
Speaker BAnd then I came in here and sat down and said, I'm not going to say I changed the world, but I, but I sit down, I said, well, gosh, if, if I have customers who want 25 cases of flanks a week and I can only make seven, maybe I ought to charge more than 350.
Speaker BWhy, why do you get away with 350 if, if you have this many people asking for it, right?
Speaker BSo we started pushing those numbers in the middle there, those, those credit items.
Speaker BAnd, and I've, you know, and then the industry's followed.
Speaker BWe have bistros today instead of steakhouses.
Speaker BWe have ribs.
Speaker BUsed to be short ribs.
Speaker BWe collected them in the freezer and then sold them to the warehouse that we stored at, hoping they would find an exporter to send them to or something because nobody knew how to do with a short rib here in the States.
Speaker BAnd now they're, they're like gold, right?
Speaker BA bony.
Speaker BThat bone in short rib you showed us behind you there a minute ago is $7 and 50% of it is bone.
Speaker BSo that's the, that's the market that we've, we've generated over time.
Speaker BAnd, and on the other side of that, I have messed that up in the past.
Speaker BOne time, flanks, I got flanks to 999.
Speaker BAnd I went right on thinking this is, you know, we just demand is demand and away we go.
Speaker BAnd I priced them out of the counter and what happened was as soon as I priced them out of the counter and, and it happened to everybody all at once.
Speaker BIt was weird.
Speaker BIt was a weird thing because we work with lots of retailers scattered all over the northwest and the country and they all dumped it at the same time.
Speaker BSo I had all the flanks in my lap at the same time.
Speaker BWe might have been talking about only about 50 cases, but 50 cases a week, five cases, five weeks in a row gets to be a big problem in a hurry.
Speaker ARight.
Speaker BBut, but once you've lost.
Speaker BOnce I lost that space for flanks in the case and the meat guy said I'm not buying them and he filled that spot in, I had to drop the price all the way down below generic to buy my way back in that case to get back and start over again and start the march over again.
Speaker BSo right now, as we talk about cattle have reached $80.
Speaker BNot just 80, but a $80.
Speaker BAnd my flanks and some of my sexies tri tip and the flanks and such, you see them on that list up in the nines.
Speaker ARight, Right.
Speaker BI'm scared to go to 12.
Speaker BAlthough I need to pay for this car somehow.
Speaker BI'm scared to go on because I'm scared that I'm going to lose the.
Speaker BI'm going to buy my.
Speaker BI'm going to fall out of the case again.
Speaker BRight.
Speaker BAnd have to buy myself back in and start over.
Speaker AAnd we're going to pick this up on the other side of break because I got too long winded there.
Speaker ABut we're going to be back with Will Homer, COO of Painted Hills Natural Beast Beef, Ms.
Speaker ALeanne and myself, right after this.
Speaker AHey, are you ready to fire up your grill and get ready to taste the difference this spring and summer?
Speaker AHi, I'm JT and I'm thrilled to announce our further collaboration with Painted Hills Natural Beef to bring you your best barbecue experience.
Speaker AAs a special treat, Barbecue Nation listeners get a 15% off discount by just typing in the code Barbecue Nation when you check out.
Speaker ASo all you got to do is go to the Painted Hills Natural Beef website, click on the store, place your order and one that has discount or code at the bottom, type in BBQ Nation.
Speaker ADon't miss out on this really juicy deal from Painted Hills Natural Beef.
Speaker AWelcome back to the nation.
Speaker AThat's Barbecue Nation.
Speaker AWe'd like to thank the folks at Painterdale's Natural Beef.
Speaker AWe just happen to have Will Homer on the show with us today.
Speaker AThat is beef the way nature intended and they have really beefed up.
Speaker AHaha.
Speaker ATheir Online store.
Speaker ASo if you go to painted hillsnaturalbeef.com and you pick an order, pick some, you know, whatever you want, T Bones, what have you.
Speaker AWhen you go to check out, there's a little thing on the bottom left hand of your screen, type in BBQ Nation and you get 15 off.
Speaker AYou heard it here first.
Speaker BYou bet.
Speaker AAnd also I want to tell you about, because certain holidays are coming up, pig powder, Ms.
Speaker ALeanne.
Speaker AThis is a infomercial show here today, folks.
Speaker BYes, it is.
Speaker AMs.
Speaker ALeanne's dad, whose nickname was Trim Tab, created this wonderful dry rub called Pig Powder.
Speaker AI've used it.
Speaker ADid you get it in yet, Will?
Speaker BI did.
Speaker BIt's delicious.
Speaker BYeah, Gabrielle thinks it's a hit too.
Speaker BSo it's.
Speaker BYeah.
Speaker BVery good.
Speaker BVery good.
Speaker BYou bet.
Speaker CIt really.
Speaker CIt really is a good rub.
Speaker CI'm not just saying that because my dad developed it, but it won best rub on the planet amongst a lot of other awards.
Speaker CAnd a lot of my friends that compete use it and that says a lot because, you know, they're competing and they've tried a lot of products out there.
Speaker CSo it really is.
Speaker CSo you can go to pigpowder.com and I will personally ship it out for you because that's what I do all day long.
Speaker BGood.
Speaker BThat's good.
Speaker AAnd check this out.
Speaker ASomebody actually, you know how I tease her and say she'll sign an autograph or autograph a picture for you.
Speaker ASomebody ask her for one of those.
Speaker CYep, I ordered my pig powder, but I didn't see a way that I could ask for an autograph.
Speaker CAnd so, but there is a, you know, an email thing that we get.
Speaker CSo if you have any questions regarding it, you know, just go to our.
Speaker ASite and bigpowder.com so there you go.
Speaker ABeef and pig powder dot com.
Speaker AIt's quite the deal.
Speaker AAnd you can find us on social media, but we were talking about retailers and different things in the previous segment.
Speaker AAnd you've always Painted Hills, not to sound redundant, but has always held quality kind of your first priority.
Speaker AI know that's how your dad did it when he, when he started Painted Hills with the other ranchers.
Speaker AAnd they did that and they higher quality of meat because people will pay for quality products.
Speaker BNow, we want consistency.
Speaker BWe want to, we want you to know what you're going to get.
Speaker BYou're, you're going to be confident when you buy it that you had a good experience last time and you're going to have a good experience the next time.
Speaker BAnd so we want consistency and we want it to be good, of course.
Speaker BBut yeah, we want it to be.
Speaker BIt's, it's kind of, that's kind of how we built the thing.
Speaker ASo now, besides my relationship with you guys, I can honestly say that I have tried and been sent samples of and I even gave you some samples of some beef that came from not of this world.
Speaker AAnd.
Speaker CIt really is amazing.
Speaker CSo our tradition for Christmas is, you know, bone in prime rib.
Speaker CAnd it was the most amazing prime rib that my whole family and every year.
Speaker CSo we're comparing.
Speaker CYes.
Speaker CAnd it was the best prime rib that we've ever had.
Speaker CIt was just remarkable.
Speaker CAnd yeah, you might pay a smidgen more than, you know, commodity stuff.
Speaker CIt is so worth it.
Speaker CSo worth it.
Speaker AI'm guessing now that that's why people like to come to my house at Christmas.
Speaker AThey're not particularly interested in my smiley face, but they know they're going to get Painted Hills prime rib and they line up at the front door.
Speaker AWe're going to have to make sell tickets or something going forward.
Speaker BYou said your family shows up with Tupperware though?
Speaker AYeah, they true.
Speaker BThat's the best.
Speaker AYeah, they do.
Speaker AThey, they come in and I won't see them all year and they'll come in and they'll say, oh, I thought I'd bring this back for you.
Speaker AYou know, like a $50 piece of Tupperware that I bought at the Dollar General or whatever, which is now a buck 50 general.
Speaker ABut the point is, is then I don't see it for another year.
Speaker ASo there you go.
Speaker AThere you go.
Speaker AWhat are the.
Speaker AYou're in a non enviable position, Will at times.
Speaker CYeah, I would say it's quite trying.
Speaker AI'm sure when you sit in a board meeting.
Speaker BYes.
Speaker AOr you're talking to.
Speaker AI've been to a lot of events with you and you're talking to not only people that work with Painted Hills, but other ranchers and stuff.
Speaker AAnd the, the, if you've been around ranchers, which I grew up around, they were always, oh, the price of fuel is killing me.
Speaker AThis was back in the 60s and 70s when I was a kid.
Speaker AYou know, they're.
Speaker AOh, the price, oh, the feed price has gone.
Speaker AI don't know how I'm going to make any money.
Speaker AIt hasn't changed.
Speaker BNope.
Speaker AThat attitude hasn't changed.
Speaker AThey're great people, but they bitch a lot.
Speaker BWell, they don't, they don't control any of their costs.
Speaker BRight.
Speaker BAnd they don't control their sales Yeah, I mean, they can't sell things.
Speaker BYou know, they, when the rubber hits the road, they sell a steer just like the neighbor does and everybody else.
Speaker BAnd they need to differentiate the best they can.
Speaker BAnd they can, they can where they can.
Speaker BAnd they, and some are doing a really good job and some are still doing the same thing they've been doing, but that's the, that's their biggest.
Speaker BThat's the biggest thing working against them is they don't control their sale.
Speaker BBut they're, they're.
Speaker BRight now, I think we're just kind of breaking free to kind of catch up with all those costs we've talked about over the past.
Speaker BHow long?
Speaker BYears.
Speaker BI mean, they feel like they've been beat up now for years, which they have.
Speaker BAnd so money's kind of going to come their way.
Speaker BBut, boy, the next guy in line, the corn price because of this war thing and, and the fuel and the expenses and.
Speaker BOh, my goodness.
Speaker BI just, I don't know who.
Speaker BThere's nowhere in the, in the chain yet to find the slack.
Speaker BYou know, the, the rope's tight and it's going to get tighter and, and it either needs to pull the consumer along and get them to pay more.
Speaker BI, I don't know.
Speaker BI just don't know where they're open the, the slack in the rope is, or, or we just get more cattle people out of the business, which is hard because, you know, we've talked about, you talked about last time.
Speaker BWe're at the lowest cattle number since 1962.
Speaker BBut in 1962, we had a.
Speaker BI think a fed steer was a thousand pounds.
Speaker BAnd, you know, and today I fed steer, a 1600 pound, a hormone, a regular generic steer in Nebraska.
Speaker B1600 pounds.
Speaker BI'm not doing anything like that.
Speaker BBut, yeah, that's the difference.
Speaker BSo.
Speaker AWell, that was my next question, and you kind of touched on it.
Speaker AIs there enough cattle?
Speaker ABecause Pat from Cattle Facts, the bovine verse version of Carfax, gave a speech last year, your deal last year, and I love that.
Speaker AAnd he said, we're going to be a million head short.
Speaker AAnd I was sitting behind him because I was trying to stay out of the way, and I went, a million head.
Speaker AThat's a lot of.
Speaker AThat's a lot of beef on the hoof, man.
Speaker AIs there enough.
Speaker AIs there enough cattle we export?
Speaker BI think the United States has gotten up to export 18% of the beef they produce.
Speaker BYeah, so you in the United States just have to outbid the, the export market, which is pretty easy to get.18 back.
Speaker BThat's.
Speaker BThat's a big deal.
Speaker BOne million is a week and a half's production.
Speaker BSo I'm not going to run the calculator here, but yeah, it'll balance out.
Speaker BIt's okay.
Speaker BIt's.
Speaker AYeah.
Speaker CWhere do we export from?
Speaker CAustralia?
Speaker BExport to two.
Speaker BYou mean, is it.
Speaker BWe're going to.
Speaker CI'm sorry, import.
Speaker BImport.
Speaker CImport.
Speaker BWe export.
Speaker BWe export beef and we import beef both.
Speaker BAnd it's because the fact that we have so many different types of beef that come off a carcass.
Speaker BSo we export a lot of beef to Asia and value high value items and items we taught the Japanese years ago to eat.
Speaker BChuck, rolls, ribeyes, short ribs, briskets.
Speaker BSome things that.
Speaker BThis was a long time ago.
Speaker BThey slice real thin, see?
Speaker BYeah.
Speaker BSee, now all of a sudden, briskets, you know, but, but way back when the brisket was the same way.
Speaker BWe'd wait for them to ball up in the freezer and then sell them to somebody who could sell them to Texas for a dollar and a half a pound because nobody knew what to do with them.
Speaker BSo then, now they've worked on China because they think China was going to be the answer.
Speaker BAnd so they've worked on China, but when they worked on China, they taught them to eat more of the whole carcass as a whole.
Speaker BNot altogether, but the round meat and the chuck meat along with the middle meats.
Speaker BBecause in China, years ago, this was before COVID I don't have any recent examples, but I listened to a guy on here that talks about China all the.
Speaker BThey would take that nice big heavy T bone that we, we eat here and we try to.
Speaker BTen years ago I consumed the whole thing, right?
Speaker BWell, in China they take that big thing like that, they throw it on the table there in front of you for $300 and then four or five people eat on it.
Speaker BAnd so that's.
Speaker BWe've taught them to eat.
Speaker BWe've taught me beef.
Speaker BBut.
Speaker BAnd then, and then export.
Speaker BWe don't export a lot of cattle to the EU and such.
Speaker BTheir EU has pretty strict protection.
Speaker BThey're protectionists.
Speaker BThey protect their own industry, protect their own people there.
Speaker BYou know, you, you can't talk about tariffs and all that stuff anymore, but there is.
Speaker BAnd then we send livers and, and some other non typical items to Egypt and we sell lots of other non typical items to Mexico.
Speaker BI think Mexico process further processes it, sells it back to us really.
Speaker BBut.
Speaker BAnd then we import lean beef, which is, which is like that crap I brought over to you worn out cows?
Speaker BWorn out dairy cows, which we harvest here in the States about a hundred thousand a week.
Speaker BBut we also bring lean beef from Australia, New Zealand, Brazil.
Speaker BNow, beef that we wouldn't grill.
Speaker BYou couldn't chew it.
Speaker BTo grill it, you grind that to go with the fat.
Speaker BThe excess fat we make here in the States, and that fills in some of the demand for hamburgers.
Speaker BOh, interesting.
Speaker BSo we.
Speaker BWe have a huge demand for hamburger, and our hamburger's gone up in value a little bit because actually, Japan has moved to eating more hamburger.
Speaker BThey figured out we've been fooling them into eating rib steaks all this time, and now they figured out hamburger's cheaper, so they're buying more hamburger and grind items now, too.
Speaker BYeah, yeah, I'm rumbling on stuff.
Speaker ANo, no, no, that.
Speaker AThat makes a lot of sense.
Speaker ABut speaking of not working, we gotta take a break so we don't have.
Speaker AAnd we're going to be back with Will Homer from Painter Hills Natural Beef right after this.
Speaker BOh, goodness.
Speaker AHey, everybody, it's jt, and this is a special version of Barbecue Nation.
Speaker AIt is brought to you in part by Painted Hills Natural Beef, beef you can be proud to serve your family and friends.
Speaker AThat's Painted Hills Natural Beef, everybody.
Speaker AWelcome back to Barbecue Nation.
Speaker AI'm JT along with Ms.
Speaker ALeanne Whippen.
Speaker AShe's been a busy girl.
Speaker AYou can see her on qvc.
Speaker AShe's been out there smiling.
Speaker AYeah, she's had several appearances on there lately, working with her folks at pit boss, and it's a wonderful thing.
Speaker CAnd the day I flew back, I did more training for my food truck and then opened up my food truck on Saturday.
Speaker AYeah, she's a go getter, I'll tell you that.
Speaker AShe runs circles around me, so.
Speaker AAnd that's not very hard to do.
Speaker AThey're just big circles, though, to get around.
Speaker AAnyway, we're talking with Will Homer from Painted Hills Natural Beef.
Speaker AYou know, I don't want the listeners to think that it's all doom and gloom.
Speaker AIt's not.
Speaker AI don't think it is.
Speaker AWe tend to cycle through these things every few years, and then we come out on the other side.
Speaker AChanges are made.
Speaker ASome procedural changes are made along the way, but, you know, there's still going to be Painted Hills and.
Speaker AAnd other quality meats on the shelf for them.
Speaker AIs that not true?
Speaker BYou're talking about an industry that's awful big and it's got awful deep pockets.
Speaker BAnd we were talking about earlier, talking about board members sitting around a boardroom at A board table.
Speaker BAnd they've been doing it for 25 years.
Speaker BThey're still the same people today that they were 25 years ago.
Speaker BThere's no war chest.
Speaker BThere's no buckets of background, background money.
Speaker BThere's just.
Speaker BWe've been in a scramble and a struggle to be in business for 25 years and it's going to be that way.
Speaker BThat's the commodity business, that's the industry we're in.
Speaker BSo when you get in these downturns that go with the upturns.
Speaker BYeah, we went through an upturn recently that was a good, that was a good year and a half.
Speaker BThis is a downturn that we don't know yet where the bottom is.
Speaker BAnd that's the side.
Speaker BThat's the, the biggest question is this isn't just down here in a, a week or two.
Speaker BWe, we've been down quite a while and we don't.
Speaker BAnd we're on, still on that trajectory.
Speaker BSo.
Speaker BAnd we kind of put it in print next month when we buy calves next month we'll buy calves for beef for next April and that'll be, it'll be set in stone at that point.
Speaker BThe decisions made.
Speaker BSo the decisions made.
Speaker BHow many head of cattle and how many head of cattle will you need when and how much we have to.
Speaker ASell it for part of that reason though, those same people for the last 25 years, it's, to me it's self explanatory.
Speaker AIf you just look at the picture behind Will, when they can live in that beautiful country that gets a little cold in the winter and hot in the summer and it's kind of dry, but it's the most scenic place and there's a lot of freedom that goes with that.
Speaker AAs far as, you know, Costco isn't come to Fossil anytime soon.
Speaker CDo you think that, you know, with the presidential election looming that that affects the pricing?
Speaker CLike everyone's worried about costs and you know how much food is and you know these candidates might push for lower food prices as part of their platform.
Speaker BHow will they do that?
Speaker CI don't know.
Speaker CUsually when they talk about it, like when Biden talks about, oh he's going to get gas to go down, we know how he does that.
Speaker CHe pulls it out of the reserve, whatever.
Speaker CBut I don't know is what they say, does the industry try to follow suit and make us believers or what.
Speaker BIs it.
Speaker CSo politics really doesn't affect it?
Speaker BI don't know.
Speaker BI don't, I have a, you know, let's talk about Fuel for just a half a second.
Speaker BWe do the, we have a fuel jobber here in Fossil.
Speaker BMy parents do it.
Speaker BIt sells about two semi loads of of fuel a week.
Speaker BIt used to sell 10 and when it did that's how Painted Hills had the money to get started.
Speaker BAnd, and, but anyhow, my point is barrels today are under 80 bucks and fuel is $4 at the pro pump.
Speaker BGo back in time we used to pay, we used to pay a set dollar seventy with four dollar fuel.
Speaker BSo there's other costs that have eaten that margin up.
Speaker BAnd I don't know, I'm not going to begrudge anybody and say they've, they've, they're putting in their pocket.
Speaker BI'm just going to say there's other costs that have eaten that a lot, eaten that up.
Speaker BThat's the same kind of pressures we're dealing with.
Speaker BWhen it takes, when we take that steer off that mountain back there in the back and put him in a place to make him weigh 1500 pounds and make him edible, make him eat that, have the best eating experience you've had, those costs have increased just like that fuel cost and used to feed it.
Speaker BWe used to take that steer off that mountain for 55 cents a pound gain and today we put him on and we, we give him a two dollar a pound gain.
Speaker CWow.
Speaker BAnd he gains and he gains £500 and that's the cost that's just really eating this up.
Speaker BHow do we get that money back?
Speaker BThe corn guy has to have bumper crop and he has to be, he has to be swimming in corn.
Speaker BNow the downside to that, I spent some time with some corn guys out of the Midwest about two months ago and they're the same farmer.
Speaker BThey're saying good God, I hope it doesn't get below 5.
Speaker BBuc will never make it work at that.
Speaker AYeah.
Speaker BSo they're the, they're a farmer.
Speaker BThey're a commodity guide set against the commodity guy.
Speaker BSo there we are.
Speaker AYep.
Speaker AAbsolutely.
Speaker AWill is going to stick around for after hours.
Speaker ADon't forget that you can now get Painted Hills beef barbecue nation discount by going to Painted Hills Natural.
Speaker AI had a question and then we're almost out of time.
Speaker AWhat is the.
Speaker AThere's a couple ways people can get online and go to, you know, naturalbeef.com or whatever.
Speaker BYeah.
Speaker BNatural-beef.com because we got beat to naturalbeef.com sorry, somebody else.
Speaker BIt's paintedhillsbeef.com or paintedhillsnaturalbeef.com so okay, I don't do phnb.com because somebody's got it scalped and they want 25, 000 out of me to buy it.
Speaker BAnd I want.
Speaker AI want you.
Speaker BAnd they've had it for.
Speaker BThey've had it for 20 years and they're still waiting.
Speaker AMaybe you should send me to talk to them.
Speaker BThey've had it for 20 years and they're still holding out.
Speaker BYeah, we had.
Speaker BWe had that good year a couple years ago, and I said, mess.
Speaker BI'm gonna give them 1500 bucks and get them go away.
Speaker BI'm gonna take my name.
Speaker BThey didn't budge.
Speaker AAll right, well, now that we got everybody fired up for.
Speaker BThere you go.
Speaker AQ season coming up.
Speaker AWe are going to get out of here because we're out of time for the regular show.
Speaker ABut Will is going to stick around for after hours.
Speaker AThat's always the.
Speaker AMs.
Speaker ALeanne's food truck is open.
Speaker ADon't forget about her pig powder.
Speaker AAnd me, I just got a new Hawaiian shirt.
Speaker ASo that's the big highlights of the week.
Speaker AAnyway, we thank you for listening, Will.
Speaker AThanks for being with us, Leanne.
Speaker AGreat job as always.
Speaker AAnd we'll be back next week with another edition of Barbecue Nation.
Speaker ATake care, everybody.
Speaker BSam.
Speaker ABarbecue Nation is produced by JTSV, LLC Productions in association with Salem Media Group.
Speaker AAll rights reserved.