The purchase price is directly related to the bargaining ability of the purchaser. According to Dr. Frank Pinkerton, a retired goat extension specialist from Langston University, Oklahoma, a fair price for a young, purebred or grade (yearling or two year old), non-pregnant foundation-quality animal is one that should not exceed the current or likely sales value of two 70-lb. market kids (selection grade 2). Information under “Budget Projection for Meat Goat Operation” has been used to calculate the fair price offered for a breeding doe or herd sire with some modifications.
To calculate the price, if kids are sold for $1.25/lb. (price may vary depending on your location), then a fair price offered for a grade animal would not be more than $175 and a more appropriate price would be close to $150 ($146.25 gross income per doe). If she only stays in the herd for 5 years and is sold as a culled animal for $100, there will be (150-100) = 50/5) $10 loss per year or her annual depreciation. Considering the annual maintenance for the doe including labor to be $97.27 (feeding, health, breeding, and repair, also see above section) and interest on capital invested of $4.50 ($150 x 3%), then the animal only will net $34.50 ($146.25 - $97.27 - $4.50 - $10.00). As you see there is very little money to be made. However, if you exclude the labor costs of $30.00 per doe, the profit will be $64.50/doe per year. To make more money, you should invest in a good breeding doe, keep your breeding doe longer, use her kids as the replacement herd and produce more kids per doe (accelerated kidding).
Similar calculations can be done to establish the price for the buck by estimating the total cost based on annual maintenance cost, cost of capital interest, and depreciation cost. Gross income can be estimated based on total number of does served and total kids produced and weaned at 50 lbs. per year. A higher value could be justified for a buck as compared to a doe because it has more impact on your herd (serving 25-30 does in one breeding season). Commercial kids sold for meat should be purchased and raised for profit and their price would depend on current market prices.
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