dairy grazing does it make dollars & sense in your operation?
TRANSCRIPT
DAIRY GRAZING
Does it make
Dollars & Sense
In your operation?
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PROFIT = INCOME - EXPENSES
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REASONS TO GRAZE
1 – Natural feed habit
2 – Reduce stress on cows & people
3 – Improve crop yields
4 – Reduce labor
5 – Improve health – cows & people
6 – Increase the life span of cows & machinery
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REASONS NOT TO GRAZE
1 – Tractor arming is more fun
2 – We’ve never done it before
3 – It’s the last thing guys do before selling out
4 – “Good” farmers don’t do it
5 – Not modern – not progressive
6 – Lower per unit machinery cost with no pasture
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Which List Makes Better Dollars & Sense??
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Grazing will NOT -
1 – Solve all of your production & management problems
2 – Make you a “doctor’s wages” from the farm
3 – Give you endless free time
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Grazing can -
1 – Save labor costs
2 – Reduce “chore” times
3 – Save operating expenses
4 – Improve grass yields
5 – Improve animal health
6 – Improve milk production
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Continuous vs. Managed Grazing
1 – Large pastures vs. small paddocks
2 – Long periods of occupation vs. short periods
3 – Managed combines rotating pastures and regrowth
Both systems can work – Managed grazing will be more profitable
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$0.00
$50.00
$100.00
$150.00
$200.00
$250.00
$300.00
$350.00
Gross Return Direct Costs Net Profit
Corn Silage Hay Continuous Pasture Managed Pasture
Forage ProfitabilityPennsylvania Dairy Farms 1992
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Crop Dairy vs. Pastured DairySelected Expense Categories Pennsylvania 1992
Per CowCrop Pasture
Purchased Feed $571.00 $330.00
Breeding/Testing $50.00 $38.00
Vet & Medicines $57.00 $25.00
Livestock Supplies $79.00 $70.00
Crop Seed/Supplies $100.00 $20.00
Fertilizer & Lime $67.00 $40.00
Machinery Repair $119.00 $72.00
Fuels $57.00 $25.00
Total Expenses $1274.00 $794.00
Difference $480.00 per cow savings
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Effects of Nine Years of Grazing Northern New York Dairy Farm
Year 1983 1987 1991
Days on Pasture 153 188 186
Milk Sold/Day 1712 1970 2562
No. Cows 55.4 48 42
Milk/Cow/Day 31 42 61
Lbs Grain/Cow 10.2 11.1 12.2
Grain to Milk Ratio 1 to 3 1 to 4 1 to 5
Grass production, milk production & efficiency all increased over time.
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Who can benefit from grazing ?
1 – High Debt Load Farms – decrease expenses
2 – High Equity Farms – increase net income without increased debt or risk
3 – Middle Aged Dairymen - increase net income approaching retirement
4 – Starting Farmers – lower capital requirements less risk
5 – “Cow Men” - less crop work more time for cows
ALMOST ANY DAIRY FARMER CAN BENEFIT BY DEVELOPING A PASTURE SYSTEM!!
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