With values for pedigree animals at an all-time high and continuing to rise, the stakes have never been higher.
As we head into spring and the May bull sale season approaches, there is increasing focus across the industry on recognising the true value of pedigree livestock and ensuring they are properly considered within the overall farming enterprise.
With sale activity building momentum, Harrison & Hetherington , H&H Land & Estates , and H&H Insurance Brokers are highlighting the importance of viewing pedigree stock not simply as breeding animals, but as significant financial assets within a modern farming business.
Representing many of the UK’s pedigree societies, the H&H teams across all three divisions see first-hand the level of dedication, commitment and investment involved in building pedigree herds and flocks.
With strong demand expected ahead of the spring sales, James Little, Pedigree Sales Manager & Auctioneer at Harrison & Hetherington, is anticipating another busy season. “Here at Borderway we conduct sales on behalf of most of the main pedigree societies, and we are expecting increased entries across all breeds for our May sales. Entries are still coming in and currently we are on course to offer through the sale rings in the region of 700 head of stock.
“Recent values for bulls and breeding cattle have increased significantly, with most breeds now averaging close to and over £10,000. The purchase of a pedigree bull is therefore a significant investment for any farming enterprise, particularly at a time when other input costs remain extremely high. When we take into account the values of store stock, the return on investment still demonstrates that investing in a good bull represents strong value for the purchaser.”
James also highlights the risks involved from both buyer and vendor perspectives: “the risk in not insuring bulls from a vendor perspective is the possibility of a bull not fulfilling the National Beef Association’s breeding warranty. In that case, the purchase money would need to be returned to the buyer, along with associated costs.
“From the purchaser’s side, whilst the NBA warranty offers protection in terms of fertility, if injury or illness occurs, the responsibility still lies with the purchaser, regardless of any warranties or luck penny insurance taken out by the vendor.”
Pedigree livestock represent a significant asset within any farm business and are often built up over many years through careful breeding decisions and financial investment.
“As values increase, there is a growing need to factor livestock into wider business planning and risk management” says Jonathan Hird, Associate Director H&H Land & Estates, here he stresses the importance of recognising this value: “Your pedigree cattle and sheep should not be treated as an afterthought. This stock forms a key part of the overall value of a business and must be properly accounted for when assessing your financial position.
“Historically, many farmers have only required land and property valuations. Today, however, banks, accountants and families need a clear understanding of the value of the entire business, and this includes livestock.”
Pedigree livestock are long-term investments built on genetics, breeding records and sale potential. Whether it’s a breeding bull or pedigree ewe, the loss of a single animal can have both financial and operational consequences.
For that reason, it is important to understand what protection is in place. Cover for pedigree animals can include risks such as mortality, permanent loss of use in cattle, mortality in sheep and infertility in bulls, as well as extensions for events such as Government-mandated slaughter. Typically, this type of cover applies to individually specified high-value animals and can be arranged on a standalone basis.
Amy Scott, Agricultural Team Leader at H&H Insurance Brokers, said, “the H&H in-Livestock insurance product has been developed by people who genuinely understand farming and the specific challenges faced by those working in agriculture.
“Our experienced team has a strong track record of supporting pedigree breeders and a deep understanding of the pressures involved in managing both livestock and breeding programmes.
“We’re able to provide quotations immediately following a purchase or sale, and with our team present at all major H&H Pedigree Sales, farmers can access on the day support and expert advice when they need it most.”
In a market where pedigree values continue to rise and margins remain under pressure, recognising livestock as a key business asset is increasingly important. Ensuring it is accurately valued and appropriately protected can help safeguard both the investment itself and the future of breeding programmes.