As many of you know I have a commercial sheep farm and this week had two Ram Lambs coming up on a year in age and wanted to cull them from the flock. I had room in my own freezer for them and wanted to see what the numbers looked like on doing my own slaughtering versus going to a slaughterhouse. At first glance it seems intuitive; doing it yourself would be a lot cheaper, but in farming it takes a sharp pencil, so lets look at the numbers closely.
First off, farm slaughtering means killing the lamb, skinning and breaking down the carcass, hanging it and letting it chill for a few days, then cutting up the meat and packaging it. For this, slaughterhouses charge a flat fee for sheep...it is not by the pound, and is $60 per head here in Maine. Therefore, slaughtering these two sheep would have cost me $120 at a custom slaughterhouse (no Maine or USDA Stamp). My total cost for a blade for my reciprocating saw costs $5.50, and it costs $22 dollars for the vacuum sealer sleeves needed to package the meat. This was a total cost of $27.50.
But there are some hidden cost involved. For one, it would require me to make a one hour round trip to the slaughterhouse, and a distance of about 42 miles...with a minimum of two trips required. At a semi-skilled labor rate of $10.50 per hour. Therefore to slaughter the lambs at the slaughterhouse, it would have cost me $21 in labor, and a mileage allowance of $46.20 (at .55 cents per mile).
But you get quite a bit of gain by slaughtering something out yourself. For instance I kept the lamb livers and heart, plus I saved the brisket and gleaned a few pounds of meat from the fore legs and hind shank that slaughterhouses would not normally take. I figure I got about 10% more meat by doing that. At $3 per pound in hang weight, I get an additional $23.10 in meat based on what my customers would pay for my lamb.
So...lets look at the numbers thus far. If it would have cost me a total of $187.20 to cut up these two lambs at a slaughterhouse, and it only cost me $27.50 with an additional $23.10 in meat, at this point I am ahead by $182.80 for on farm slaughtering.
But then it took some time to cut up these sheep. Getting ready for the kill, bringing them into the squeeze, slitting their throats, and skinning them out took 1-1/2 hours for both sheep. It took another hour to break the carcasses down into individual cuts, and another half hour to wrap these cuts in vacuum sealed packages. That is a total of 3 hours worth of labor. At a skilled labor rate of $12.65 which butchering is, I figure my labor was worth $37.95.
All in all, when you factor in everything, I get a grand savings of $144.85 for farm slaughtering two lambs on my farm. In the end, this netted me 77 pounds of prime lamb meat, cut and packaged just as the slaughterhouse would have been and placed in my freezer.
The reality is, my figures were based on farm costs, but retail speaking, and assuming half the lamb meat is high end cuts worth $17.50 per pound for naturally raised, grass fed only lamb, and $8.50 per pound for the lower priced portions, I put $1000.25 worth of lamb in my freezer at a cost of $42.35. Not bad, not bad at all.