KEMPTVILLE —Robert Kerr believes he’s found a way back into beef where he won’t lose his shirt. Finishing beef for the regular market paid too little and the cost of producing organic was too high because of the cost of organic feed. He figured he might be able to make it with what has been labeled Natural Beef, beef raised without hormones, antibiotics and away from insecticides.

A one-time president of the Ontario Cattlemen’s Association, he says he chose to market Angus because it already had a consumer profile and it marbles well on grass. However, he has not gone completely to grass, his original intention, and still uses some grain.

Kerr came to eastern Ontario because he’s looking for what he calls a "relationship." Kerr Farms, of Chatham, is looking for Angus cattlemen who want to market their cattle as Natural Beef under a branded program.

Speaking to the Ottawa Valley Angus Club in Kemptville, Kerr said the break-even point on an 800 pound steer is about $1.79 per pound but the Cargill price at its plant is only $1.58. That means a beef man is losing 21 cents on every pound.

Kerr has been paying producers $1.90 or 32 cents more than Cargill. That’s not all extra because it costs 11 cents more per pound to produce Natural Beef.

In 2006, he processed 1,726 animals. This year he is sending 30 animals per week to the slaughter house.

For the moment, he is at capacity but says new contracts are expected to be signed over the next few months and he’ll be looking for more suppliers in Quebec or Ontario.

He says anyone marketing "Natural Beef" through him must have integrity because he must guarantee that the buyers, mostly small chains and upscale stores, get what they pay for.

All animals must be traceable and the farm business must be open to an audit, he said.