AUGUST 1995 BACK ISSUE

Part of Horse Previews Magazine website. Posted on 8/1/95; 10:00:00 AM.

Equine Analysis

The news on how to make your best bid at a horse auction

Mr. Ken D. Duft of Washington State University sent us an update to his equine research findings (See Horse Previews article Auction Economics March 1995). He and his daughter, Research Assistant Keeley E. Duft, continue collecting data on factors affecting the auction sale price for horses at the Hermiston, Oregon Horse Extravaganza. This update entitled "Equine Auction Economics" of May 10, 1995 includes additional data from the winter auction in Hermiston, February 17-19,1995. Data from the third sale this spring will be collected and analyzed before their project is over and the final report prepared.

After the second sale their random sample of horses about doubled to 626 and boiled down to 517 transactions which resulted in a successful sale. This accounted for statistical integrity and auction "no sale" minimums. For breed characteristic, Quarterhorse, then Paint, Appaloosa and Thoroughbred were the most conspicuous. Duft adds, "It should be noted that the Hermiston Horse Extravaganza has a long-standing industry reputation for the large number of Paint horses offered for sale within the Pacific Northwest." For primary color the order changed slightly to Chestnut as most frequent, then Sorrel, Bay, followed by white, etc. If you can't tell the difference read that red, bay, then white, etc.

The order of sex remained solid at gelding, mare, filly, colt and stallion. For breed registration, Quarterhorse, now Grade, then Paint and Thoroughbred, closely followed by Appaloosa, then Mule, etc. This order poses a useful comparison to the quarterly statistics based upon weekly classified advertisement of horses for sale in The Exchange Nickel Want Ads by breed for the 39 weeks ending June 30, 1995. Those statistics for breed indicate order as Quarterhorse, Arab, Breed (or Grade), then Paint, followed by Appaloosa, Tennessee Walker, then Thoroughbred. It looks like Thoroughbreds might move better at the Hermiston Auction Sale and Arabs better around Spokane, Washington.

The average price by breed, primary color, secondary color, and age--all attended by graphs--were revealing. At the Fall sale the average price per head was $1484 and at the winter sale it was $1644. Quarterhorses and Paints sold at quite above the average. The average price for color was Sorrel, $1568; Chestnut, $1508; and Bay, $1455. White horses averaged $300 below the norm and Roans and Palominos all sold for an above average price. The Blacks were the most pricey.

The Dufts have extensively refined their statistics and come up with some solid evaluations of factors impacting the average auction sale price for horses. Sifting through all the data presented in their paper, you can see that your 5-1/2 year old, red, gelding Quarterhorse (without an Impressive Link--HYPP negative) has plenty of company, but it is anybody's guess what would happen if you showed up in Hermiston with a buttermilk colt Saddlebred. If you are privy to the Duft paper you are certainly ahead of the rest of the auction audience. Their "hope is that the information provided in this paper will give rise in an increased market awareness by horse buyers and sellers. Any agricultural market, be it for horses or apples, will function poorly and inefficiently when buyers and sellers lack a solid understanding of factor/price relationships."

If you want to study up on the 14 different phenotypic/genotypic factors thought to affect auction sale price then contact Professor Duft with questions or suggestions about the project. Write Ken D. Duft, Professor, Cooperative Extension, U.S. Department of Agriculture, Washington State University, Pullman, WA 99164-6230 or telephone (509) 335-5556, Fax (509) 335-1173. This knowledge aforehand could have definitely cancelled a few of the nags in my life.

~ Bob Howdy