Dairy: What will you change to increase profit in 2017

Keepgrowing

Any thoughts on what changes/plans anyone has for 2017 and onwards. Our immediate plan is to increase stocking rate on milking block to 4.2 cows per ha. We will have to either destock the heifer ground or lease more land to stay within N derogation.

Unless land is sub €200 it'll be the former

I also plan to aggressively target the lower performing paddocks this year in an attempt to drive more milk from grass or surplus bales.

I intend taking on a seasonal guy/gal for calving and breeding, it'll hopefully take some pressure off others and make life a bit more pleasant.

Improve attention to detail around the calving and after calving care of our first calvers. 14% of those calved this spring didn't go back in calf, a massive financial loss.

We are doing a safety review on farm at the moment and acting on any issues. Seems to be lights and trip hazards we're finding but remedying as we go. A simple trip or fall at a busy time can really pour on the pressure. Since we're not so busy everyone's getting plenty of time off to recharge.

Here's to 2017

pedigree 6

Try to find out how my neighbour has his cows out still grazing by day and he has good bit of grass in front of them still and me with the cows in fulltime for the last 10 days.:D

I am looking into the research coming from America on organic farming and getting the elements right in the soil. Not going organic but still want to try and see what it's about. Cow Fertility is very good here and it all starts with the soil so don't want to mess it up too much what I already have but will soil test more to find out what I already have.

I have a fairly low cost system as is so don't want to make it into a high cost system. I will try and continue working smarter not harder.:p

Calf housing needs to be sorted. I use a shed that's used for storing straw and it is empty when calving starts. But I would like to make my own special housing for the calves.
That's mostly it I suppose.

Signpost

Increase stocking rate
Reseed another 10 / 15 % of lower producing paddocks on farm
Continue to push for more grass. By grass recording definitely growing a huge amount more year on year.
Cut down excess water entering tanks to reduce spreading, especially parlour washings.

Possibly build on a new shed which would essentially allow me to near double cow numbers without putting a major strain on the rest of the infrastructure I have put in place the last while. Thats down to milk price thou. Done all previous work and purchases from cash reserve so very cautious of letting the banks into the equation without knowing I'll have a solid repayment platform.

kowtow

As the only one here who has 100% of the costs of a dairy herd and 0% of the revenue (excepting calf sales) increasing profit ought to be simple - all we have to do is sell some milk or cheese! - so we'll gear up in the spring to supply both our own farm milk direct in a limited fashion and hopefully send the spare to the creamery rather than the slurry tank. Even when you are as pig headed as I am milking "direct to drain" can get to you after a while. If all goes well our own milk will be joined by our first cheese in the Autumn.

And meanwhile, we're going to get a bit more creative about the inevitable waste milk - at the very least we'll run it through the pasteuriser and give it to the neighbours either as milk or yogurt for calves.

But I've learned a little along the way about commodity milk and I'd have only one piece of advice for those supplying it - there is *no* correct price for milk, every price it sells at is the right price on the day because that is the nature of markets. We've been through a period of low prices and we will go back there again, maybe sooner than we would like, but hopefully not for a while. As long as we think of low prices as "wrong" and high prices as "right" we will keep being caught out. Practice during the low prices for the effectiveness you are going to need during higher prices, and when higher prices come build up a buffer (of cash, long leases, fertiliser, cows - whatever will preserve your own business for longer when the market comes down hard).

I'm fairly certain that the "rescue" package we just got is the last we can expect, whatever the cause and wisdom of low price marginal milk it can hardly be the job of the EU to underwrite us against it's effects - frankly this is the time for us to take responsibility (and control?) back from our processors, supply chain, etc. and stand on our own feet.

Don't let the higher prices become cover for the processing chain and others to put their own operations ahead of yours, while asking you to take bigger risks for more delayed rewards. Don't be fobbed off by people in suits, ever - I've spent a lifetime with them and honestly most don't come within a country mile of dairy farmers for hard work, resilience, courage & creativity.

We're going to need every bit of the profits we can generate now for the next part of the cycle, make sure the cash comes through the farm gate before someone else spends it on your behalf.

Signpost

Probably missed the party but why are you running a dairy herd and dumping the milk? I'll admit I'm far from clever but that one even sounds a bit daft to me?

Buford T. Justice XIX

I'm restarting reseeding this year. I haven't done anything since 2009 and even the paddocks grazed then and before are showing up a lift of 2L over the permanent grass before and after. 11 acres to start with with maybe a drain dug at either end as well. And lots of lime, about 100t hopefully.

kowtow

Signpost wrote: »

Probably missed the party but why are you running a dairy herd and dumping the milk? I'll admit I'm far from clever but that one even sounds a bit daft to me?

Cheese - we have more milk than we need while we experiment, build up the herd, and put a few things away to age, and despite asking all of my neighbours, and two or three "Experts" at Teagasc, nobody has been able to show me where the on/off switch on the udder is.

No seriously this year we could and should have sent some in on a schedule to the creamery, but things kept getting in the way of getting organised for it.

whelan2

Im going to pay myself.........

Timmaay

Signpost wrote: »

Increase stocking rate
Reseed another 10 / 15 % of lower producing paddocks on farm
Continue to push for more grass. By grass recording definitely growing a huge amount more year on year.
Cut down excess water entering tanks to reduce spreading, especially parlour washings.

Possibly build on a new shed which would essentially allow me to near double cow numbers without putting a major strain on the rest of the infrastructure I have put in place the last while. Thats down to milk price thou. Done all previous work and purchases from cash reserve so very cautious of letting the banks into the equation without knowing I'll have a solid repayment platform.

Snap! I can echo the most of them goals here. Efficency above expansion, I will keep on tipping away adding the 5/10% a year but efficient gains should keep netting me more than that.

Timmaay

whelan2 wrote: »

Im going to pay myself.........

I need to bump up my monthly direct debit. I'd probably cry if I averaged out what I've drawn down from the farm over the last 5years and put it into an hourly rate. Payback time now however thankfully.

Mooooo

Reseed and drainage. Roadway if I can manage it. Plan for more accommodation Reduce young stock increase cows. Take someone on part time either milking or days. Please god be clear of fcuking tb

SKIPPY150

more reseeding , some drainage and definately loads of lime. Started grass measuring this year so hopefully get more milk from grass with less wastage. Also starting milk recording this year

Bass Reeves

How long before all this extra supply will drop the price of milk again

pedigree 6

Bass Reeves wrote: »

How long before all this extra supply will drop the price of milk again

Booo.
Less of the negative waves. Man.
Less of the negative waves.;)

We're grownups.

jaymla627

Bass Reeves wrote: »

How long before all this extra supply will drop the price of milk again

On the whole milk supply is dropping like a lead balloon worldwide the only real exceptions would be the likes of Ireland/holland ( who are after getting the rug pulled from under their feet) and most worryingly the US who are the game changers.....
Read a very good article recently that made the point that if milk stalled around 30/31 cent and bounced around this average worldwide, the taps wouldn't be turned on and the market would plateau, but if it goes past 35 into high 30's the dairy bandwagon will start again worldwide and we will need be looking at milk low 20's fairly quickly

kevthegaff

Looking at savings in general. cow management (no skimping) disease programme, reseeding, lime, weed control, soil testing. Time off, holiday also

Timmaay

Mooooo wrote: »

Reseed and drainage. Roadway if I can manage it. Plan for more accommodation Reduce young stock increase cows. Take someone on part time either milking or days. Please god be clear of fcuking tb

Are you reducing the youngstock to make room for cows, or just because you have stopped expanding? Only had 14 heifers this year (against normally 25ish), probably will be the same again this spring, the other 10 can get bought in. Everything on the milking block here so each blade of grass a heifer eats is one less for a cow ha.

simx

Will spread more lime, reseed another field, thinking strong of grass measuring, spend nothing on machinery only maintence the same for buildings

kevthegaff

Timmaay wrote:

Are you reducing the youngstock to make room for cows, or just because you have stopped expanding? Only had 14 heifers this year (against normally 25ish), probably will be the same again this spring, the other 10 can get bought in. Everything on the milking block here so each blade of grass a heifer eats is one less for a cow ha.

Bought alot of heifers last year now vac for ibr nxt week which untold of before this...

Waffletraktor

Buford T. Justice V wrote: »

I'm restarting reseeding this year. I haven't done anything since 2009 and even the paddocks grazed then and before are showing up a lift of 2L over the permanent grass before and after. 11 acres to start with with maybe a drain dug at either end as well. And lots of lime, about 100t hopefully.

Would you be better to sort drainage first. Get ground ready to go for higher/better production first?.

Buford T. Justice XIX

Waffletraktor wrote: »

Would you be better to sort drainage first. Get ground ready to go for higher/better production first?.

Nope, worst field for grass so getting a heavy ground grass mix. Drainage is secondary as I can't reach it if it's wet, not to mind cutting/grazing it.

I'll have a look at the way the budgets are looking at the start of April and decide then about the drains.

pedigree 6

Buford T. Justice V wrote: »

Nope, worst field for grass so getting a heavy ground grass mix. Drainage is secondary as I can't reach it if it's wet, not to mind cutting/grazing it.

I'll have a look at the way the budgets are looking at the start of April and decide then about the drains.

I'm with waffle on this. Do you not think it's wet because of the lack of drains to take the water away?

Buford T. Justice XIX

pedigree 6 wrote: »

I'm with waffle on this. Do you not think it's wet because of the lack of drains to take the water away?

No, it was a tillage field let to a spud man who decided to dig spuds during a wet spell before christmas and wrecked the old field drains. 300m of drains, tops, will sort it but it's not in the budget for now.

I'll see how things go till April and decide then. I can always come back in later in the year if the money is there.

alps

kowtow wrote: »

As the only one here who has 100% of the costs of a dairy herd and 0% of the revenue (excepting calf sales) increasing profit ought to be simple - all we have to do is sell some milk or cheese! - so we'll gear up in the spring to supply both our own farm milk direct in a limited fashion and hopefully send the spare to the creamery rather than the slurry tank. Even when you are as pig headed as I am milking "direct to drain" can get to you after a while. If all goes well our own milk will be joined by our first cheese in the Autumn.

And meanwhile, we're going to get a bit more creative about the inevitable waste milk - at the very least we'll run it through the pasteuriser and give it to the neighbours either as milk or yogurt for calves.

But I've learned a little along the way about commodity milk and I'd have only one piece of advice for those supplying it - there is *no* correct price for milk, every price it sells at is the right price on the day because that is the nature of markets. We've been through a period of low prices and we will go back there again, maybe sooner than we would like, but hopefully not for a while. As long as we think of low prices as "wrong" and high prices as "right" we will keep being caught out. Practice during the low prices for the effectiveness you are going to need during higher prices, and when higher prices come build up a buffer (of cash, long leases, fertiliser, cows - whatever will preserve your own business for longer when the market comes down hard).

I'm fairly certain that the "rescue" package we just got is the last we can expect, whatever the cause and wisdom of low price marginal milk it can hardly be the job of the EU to underwrite us against it's effects - frankly this is the time for us to take responsibility (and control?) back from our processors, supply chain, etc. and stand on our own feet.

Don't let the higher prices become cover for the processing chain and others to put their own operations ahead of yours, while asking you to take bigger risks for more delayed rewards. Don't be fobbed off by people in suits, ever - I've spent a lifetime with them and honestly most don't come within a country mile of dairy farmers for hard work, resilience, courage & creativity.

We're going to need every bit of the profits we can generate now for the next part of the cycle, make sure the cash comes through the farm gate before someone else spends it on your behalf.

Gonna print out the above, stick it to the front cover of my new FJ2107 diary, stick another one on the isnide of the cheque book, sit down with all all concerned and get fully planned for the next downturn.
Then we'll be ready to drive on again...

Mooooo

Timmaay wrote: »

Are you reducing the youngstock to make room for cows, or just because you have stopped expanding? Only had 14 heifers this year (against normally 25ish), probably will be the same again this spring, the other 10 can get bought in. Everything on the milking block here so each blade of grass a heifer eats is one less for a cow ha.

A bit of both really. Everything bar calves in one block this year as didn't bother with rented ground we had previously as too far away, there was quota with it, well more or less in one block some across a stream or road but cows can get to it of needs be even if it may take a few standing on the road. Reducing young stock will give me a chance to reseed and set things up better for cows. I think I need to pause and get a better handle on what's here now before adding any more. Once going comfortably again will look at renting a block for heifers.

visatorro

Filling out a profit monitor this year for the first time. Will work off that really.
Won't be upping numbers.
Won't be taking more land
Won't be doing any more work myself.

Meal and veterinary bills are two I'm going to target.

Grueller

Beef man specifically suckler to weanling.
1. Dropping rented ground.
2. Reducing cows by 20% to still be able to claim bdgp payment with a buffer for empties etc.
3. Reducing fertiliser
4. Culling all emptypes spring calves without replacing
5. Selling weanling whenever prices are good throughout the year, not waiting for autumn weanling sales
6. Take the vet off speed dial.

Sorry, missed the dairy in the title. Never mind me.

yosemitesam1

Keepgrowing wrote: »

I also plan to aggressively target the lower performing paddocks this year in an attempt to drive more milk from grass or surplus bales.

Have you anything obviously wrong in those paddocks like pH etc?

Keepgrowing

yosemitesam1 wrote: »

Have you anything obviously wrong in those paddocks like pH etc?

Just looked at lowest performers
P27 ph 6 p4 k1 never seeded. Old burial ground considering stitching this year. Grew 12.7 t Jan-AP 3 AP-Aug 5.4 Aug-nov 4.4 with 44.9 daily av

P26 ph 6.6 p4 k4 Very sour and hard to get cows to graze out. Grew 13.1 j-A 1.7 A-Aug 6.6 Aug-Nov 4.9 Need to take bales off this sooner but it's beside parlour so handy for Sat night 46.5 daily ave

P6 ph 6.6 p 4 k4 Sour same as above. Grew 13.5 J-A 1.3 A-Aug 10.8 Aug-Nov 2.4. 54.5 daily ave

P24 ph 5.7 p1 K2 needs reseeding and it's a cold late paddock Grew 14.5
Jan-AP .6 A-Aug 8.5 Aug-Nov 5.4. Daily average 51.2

It's all fixable.

Mooooo

Those sour paddocks do you think it's grass variety or something else seeing as indexes are high? would you just do a normal soil sample or would you do the more detailed ones?

GrasstoMilk

Keepgrowing wrote: »

Just looked at lowest performers
P27 ph 6 p4 k1 never seeded. Old burial ground considering stitching this year. Grew 12.7 t Jan-AP 3 AP-Aug 5.4 Aug-nov 4.4 with 44.9 daily av

P26 ph 6.6 p4 k4 Very sour and hard to get cows to graze out. Grew 13.1 j-A 1.7 A-Aug 6.6 Aug-Nov 4.9 Need to take bales off this sooner but it's beside parlour so handy for Sat night 46.5 daily ave

P6 ph 6.6 p 4 k4 Sour same as above. Grew 13.5 J-A 1.3 A-Aug 10.8 Aug-Nov 2.4. 54.5 daily ave

P24 ph 5.7 p1 K2 needs reseeding and it's a cold late paddock Grew 14.5
Jan-AP .6 A-Aug 8.5 Aug-Nov 5.4. Daily average 51.2

It's all fixable.

Burn off and direct drill straight abergain into each of those poor performers and sour paddocks.
That's my shilling worth any way. Monos are the way to go imo

Keepgrowing

GrasstoMilk wrote: »

Burn off and direct drill straight abergain into each of those poor performers and sour paddocks.
That's my shilling worth any way. Monos are the way to go imo

Yes it something I'm considering for 2 of them the others its management. Not a massive fan of mono

Who2

Sell more and buy less, it's as simple as that.

mf240

Buford T. Justice V wrote: »

Nope, worst field for grass so getting a heavy ground grass mix. Drainage is secondary as I can't reach it if it's wet, not to mind cutting/grazing it.

I'll have a look at the way the budgets are looking at the start of April and decide then about the drains.

I'd do the drains first.