A new service will allow cattle buyers and sellers to trade cattle from their computers, smart phones or tablets. During the recent Cattle Industry Summer Conference in Denver, representatives of AgriClear, a division of the TMX group, demonstrated their service to interested cattle traders and media.
Nevil Speer, who many in the industry know from his years on the animal science faculty at Western Kentucky University, serves as vice president for U.S. operations for the new company. Speer says using the online, attribute-based system costs buyers and sellers $6 per head. There are no listing fees – the transaction fees are paid once the buyer and seller agree on the sale.
The service also has built in a system of payment assurance, in which the buyer places money in a custodial account prior to the cattle shipping. Once the cattle arrive properly, the funds are released to the seller.
Buyers can set up a “watch list” in the AgriClear system to alert them when cattle meeting their specifications are listed. Listings include cattle breed type, number, weight, location, preferred shipping dates and any other attributes the buyer wishes to list, such as details on vaccination programs, weaning practices or past performance history.
Sellers also list their asking price, and potential buyers can either accept that offer or place a counter offer on the cattle. Buyers and sellers can place time limits on their bids. Once the buyer and seller agree upon a price, they enter closed negotiations on contract details. And when the buyer takes delivery of the cattle, the system accommodates post-sale negotiations to account for discrepancies such as lighter-than-expected weights or a different head count.