Dairy Chitchat 4, an udder new thread.

Bass Reeves

https://www.boards.ie/discussion/comment/120954155#Comment_120954155

Probably back about 7-8 years ago when it dropped to 22c/L and the fixed .price was 28c/L. But it was margin even then

older by the day

https://www.boards.ie/discussion/comment/120953902#Comment_120953902

My brain is gone today. What tbiss

Castlekeeper

Yeah backabout 4 -5 years ago when it was fixed about 33 or 34 and actual price was about 31-32. I never lost money on the few I fixed in, the novelty wore off before things went sour. However when with the bonuses were counted, it balanced out that it was only a marginal gain anyway.

degetme

https://www.boards.ie/discussion/comment/120954155#Comment_120954155

Kerry had 48cent offer in September 2022 for 2023 milk

Castlekeeper

https://www.boards.ie/discussion/comment/120954250#Comment_120954250

Tbess, the high electricity price compo.

Jack98

Had heard from a few prominent dairygold suppliers there was talks of sub 30c next year, but with a fixed scheme being offered of 33/34c from Kerry judging on the last few fixed price scheme offerings would people reckon the fixed price offering is more in line with what’s going to be ahead of us next year?

green daries

https://www.boards.ie/discussion/comment/120952553#Comment_120952553

It won't be pretty at that price 🤮😖😖

ginger22

https://www.boards.ie/discussion/comment/120954429#Comment_120954429

Well milk hasn't bottomed out yet. Chinese economy going bad and their domestic milk production up. Milk production will have to drop a lot before things improve.

Mooooo

Nz starting with a lower forecast may bring back their production a bit for the year ahead may change things slightly by next year but the Chinese reducing imports may be more than that so who knows.

jaymla627

https://www.boards.ie/discussion/comment/120955776#Comment_120955776

Looking at this link I reckon alot of cows worldwide will be happy-meals, hopefully beef prices stays strong enough to encourage high culling rates

You can see how the pinch point is just coming now for milk producers in the next few months, any buffer that was their from last year is quickly going up in smoke with milk prices plummeting accross all regions Chinise price is still very strong though

https://www.clal.it/en/index.php?section=latte_cina

straight

Well I'm doing my bit to cut production anyway. Cows are well back here this year.

Mooooo

https://www.boards.ie/discussion/comment/120956596#Comment_120956596

Same here

GrasstoMilk

Going okay here. 5kgs ahead of last year up to end of July

ginger22

https://www.farmersjournal.ie/milk-processors-could-seek-compensation-from-cull-scheme-778251

Some shower of greedy f,,,,,s

ginger22

https://www.boards.ie/discussion/comment/120957938#Comment_120957938

Up 12% here to date. Silage all in in good order. 1st start of May, 2nd middle of June, wholecrop wheat 2 weeks ago, maize looks best ever.

roosterman71

https://www.boards.ie/discussion/comment/120959136#Comment_120959136

The government, if they have any sense, won't put a cent towards a reduction scheme. The current strategy of banding, storage, changing calves ages before moving, etc is all leading to a reduction in milk and cows. Add on top the processors cutting prices galore will see more culled. Shouldn't someone somewhere point that out to the processors? I think days of farmers breaking their balls (or the girls equivalent) to send milk away for nothing is over. The newer generations are no mugs and have ample opportunities for handier lives without being welded to cows. The processors would do well to remember that. Unless they pay a fair price, they'll have nothing to buy eventually.

K.G.

https://www.boards.ie/discussion/comment/120959183#Comment_120959183

And I think you have to stand back and look at the overall picture.there was alot of pent up appetite for cows released the last few years and now people are in the thick of work and pressure keeping things going and nothing but extra hassle and negative sentiment coming their way which now means that maybe a kind of a natural settling the next couple of years.i wouldn't describe it as a soft landing ,it's going to hurt but maybe it's time to sit back and take stock of things

mahoney_j

https://www.boards.ie/discussion/comment/120959183#Comment_120959183

An afull lot of lads are in so deep financially now tho they’ve no choice …all that extra ss has/is been paid for by suppliers …coops creamed it off last year and consistently paid a few cent per litre shy of market returns ….this year they e cut the shite out of what there paying …we are producing milk now with no idea of what we’re been paid until mid September …bonkers …..if they want milk pay us. A fair return ….I’ve no sympathy for coops

White Clover

A kind of a simplified viewpoint but in hindsight would lads have used last years windfall to reduce borrowings and just consolidate the business instead of more investment and expansion. Was that an option for many and if so did many go that route?

mahoney_j

https://www.boards.ie/discussion/comment/120959331#Comment_120959331

Consolidate wasn’t on Radar for loads …still on the expansion mode ….things will change this year …gloss of last years milk price quickly diminishing and now all the enviro stuff and extra money that will have to be spent on compliance and more land if lads want to stay driving on

Siamsa Sessions

Another potential cost:

"Slurry storage requirements only going one way, everyone must have 3 weeks soiled water storage for 2023, 4 weeks storage needed for 2024. The storage requirement is for the cow numbers milked at peak during the year and not numbers milked during December."

https://twitter.com/WilliamConlon/status/1688913687724306432?s=20

roosterman71

https://www.boards.ie/discussion/comment/120959650#Comment_120959650

Fair enough to have adequate storage. The more the better. But why in the name of jaysus do you need storage in December for anything other than the animals on farm at that time?

Say my name

https://www.boards.ie/discussion/comment/120959678#Comment_120959678

It's the optics are driving this.

The optics being lads spreading "dirty water" through the winter and it plastered over social media.

The guys or gals who dry off in November and calve again in January, February are being asked now for more separate dirty water or parlour washing storage even though they'd be empty during the closed period.

It's the optics.

Expect worse rules to come. Expect the worst case scenario for slurry storage that you'd imagine the dept would delight in enforcing to encourage bovine farmer retirements and them hitting "climate targets".

Mooooo

https://www.boards.ie/discussion/comment/120959469#Comment_120959469

It'll likely have to be spent if lads want to stand still, not amind drive on. That's the catch, less cows paying for more concrete something won't add up esp the way building costs are.

Tbh I think those that went all out back in 15/ 16 or before re facilities etc prob are in the best position as back would be broke in payments and facilties solid. Those of us that are only getting going now are in a different kettle of fish between interest / capital costs/ regs and then uncertainty re stock to cover it all.

Obv if one is to stay at it things have to be done and dice has to be rolled but a riskier enviroment

jaymla627

https://www.boards.ie/discussion/comment/120959925#Comment_120959925

All the heavy lifting is done here facility wise parlour housing slurry storage, another 2 years of significant repayments and that's it debt per cow would be under 600 euro.....

I still see no way of pushing on/standing still given costs of production, and land rental prices half my ground is rented between maize/silage ground and its a non-runner to keep going as is you'd probably would if land was costed in at 200 a acre which I was paying but two tenants are looking for 300 plus next year

straight

https://www.boards.ie/discussion/comment/120959959#Comment_120959959

Is that 600 in total or 600 per year?

Jack98

https://www.boards.ie/discussion/comment/120959959#Comment_120959959

You are right to be planning ahead if you were to lose rented ground but with the way things are planning out this year and into next year appetite for ground like we saw at the start of this year May wean depending on your location. Only lads able to secure land from a business point of view next year at high prices would be the likes of the lads in west munster sitting on a mountain of shares.

We are currently in the process of putting down a large collecting yard tank that should have been done years ago as we are hand scraping a lot of the collecting yard into a tank at end of the collecting yard due to existing building being in the middle of the collecting yard so new tank will save a considerable amount of labour and time each day. Tank costs have gone up significantly in the past few years but it will ease a lot of hardship, if you had no one coming on hard to see lads making the investment.

GrasstoMilk

https://www.boards.ie/discussion/comment/120959959#Comment_120959959

Is an extra 100€ an acre on some of your land going to cause your business to automatically become unprofitable?

we’re paying for every acre here between purchased land and land rental it’s averaging over 300€ an acre and we still make nice profit per cow

maybe the system needs tweaking jay ?

1848

Have to get away from situation where slurry is spread in closed period. Slurry spread then is going to end up in watercourses. This means 16 week slurry storage & also separate storage for parlour washings etc 4 weeks. If parlour washings stored with slurry then need more than 16 weeks storage. In everybody’s interest that this happens. Will get pressure off our backs.

jaymla627

https://www.boards.ie/discussion/comment/120960211#Comment_120960211

Should you not of worded the above "where" making a nice profit, have you worked out what it's costing re all inputs on this rented ground and paying contractors etc for maize/wholecrop.....

What's your break-even milk price at the minute our do you even have it worked out, obviously your in derogation, if its gone in 2026 will you go rent another 100 acres at 400 plus our whatever it's making in your area and still be profitable?

My figures are showing given where contractor costs/fertililzer rent etc where at will be for 2023/24 it's gone from a kilo of grass/maize costing 14-17 cent per kilo of dm in the yard for 2019-2020 as a average to 25 cent plus per kilo of dm at the minute