Teagasc/Glanbia Monitor Farm Programme

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Teagasc/Glanbia Monitor Farm Programme Teagasc/Glanbia Monitor Farm Programme 2015 - 2018 SOME OF THE PROGRAMME SUCCESSES FROM 2014 TO 2018 2014 2018 Cow Number 100 175 Milk Solids Per Cow 393 496 (kgMS/Cow) Milk Solids Per ha 813 1,340 (kgMS/ha) Overall Stocking Rate 2.07 2.70 (LU/ha) Grass Growth 13 13 (tonnesDM/ha) Soil Fertility Lime 40 90 (% Index 2&3) Phosphorous 50 70 Potassium 55 50 Six Week Calving Rate (%) 73 86 SCC (,000) 187 123 Milk Price 39.3 37.16 (Cent/litre) Net Profit Per Cow (€) 713 652 (Before Drawings, Tax, Capital Repayment) Net Margin/Dairy ha (€) 1,475 1,760 SUPPORTING SUSTAINABLE GROWTH Purpose: The overall purpose of this Joint Programme was to ensure that suppliers were equipped with the necessary skills and knowledge to sustainably and profitably develop their dairy farm businesses, following quota removal in April 2015. Objectives: This Joint Programme had six objectives: • Improved cost control and farm profitability achieved through better financial and business management skills • Increased grass growth with maximised forage usage • Improved herd fertility leading to optimised calving pattern • Increased milk solids production per cow and per hectare • Improved milk quality to meet more challenging market requirements • Maximised compliance with the Open Source Sustainability standard Eleven monitor farms play a central role in promoting the adoption of the new and existing technologies. 2018 2015 Grassland Maintenance All the farms were soil tested in 2015 at the start of the Programme. pH was very low on all the farms. Most farms spread 5 tons of lime per hectare in the first year and spread more if required in 2017. The lime status of the farms improved dramatically. Samples taken on all farms in 2017 confirm significant progress with 90% of samples being at the ideal pH. Fertilizer containing higher levels of P and K was used over the 3 years of the Programme. Seventy percent of the soils on these farms are now at index 3 and 4 for phosphorus. Potassium remained static over the 3 years. A lot of surplus bales were made and this management practice has a major impact on Potassium due to off-takes. Grass grown per hectare per annum increased from 13 to 16 tons DM/ha between 2015 and 2017. Soil fertility, management, reseeding and weather all had an impact. All the farms were grass measuring over 35 times per year. The out farms were identified as particularly low in P and K and in need of reseeding. The grass growth potential of these blocks of land were low and a significant investment was made in improving soil fertility and reseeding. In 2018, due to adverse weather conditions grass grown declined to 13 tons/ha. Grass Growth tonsDM/ha 2015 2016 20 2017 18 2018 16 14 12 10 8 6 4 2 0 Physical Performance of the Teagasc Glanbia Monitor Farms 2014 to 2017 Milk yields per cow and per farm have risen dramatically, with over 100 kg extra milk solids per cow now being produced. Fat and protein percentages have also increased worth 1.5 cent a litre comparing 2014 to 2018 percentages. EBI of the herds has also increased and all farms are using Sire Advice through ICBF to pick their team of bulls. Weighing heifers and achieving target weights was an integral part of the Programme. Six week calving rate increased to 86%. Better management during the breeding season, grass quality, better use of heat detection aids and record keeping were critical in achieving this increase in six week calving. The amount of concentrate fed remained fairly static up to 2017 at 700kg/head. In 2018, due to the draught the meal feeding doubled and silage had to be bought because of the decrease in grass growth to 13 tons of DM/ha. Overall stocking rate increased to 2.7LU/ha. Most of these farms are now at peak stocking rate and further expansion will come from other blocks or an increase in the size of the farm. To manage the increase in stock numbers, 50% of the farms are now contract rearing out heifers and hiring at least half a labour unit. On average €200,000 has been spent to develop these farms. Teagasc/Glanbia Monitor Farm Programme 2015 - 2018 Each Monitor Farmer Tells Their Story MAKING THE SWITCH TO DAIRY FARMING WORK - EFFICIENTLY AND SUSTAINABLY “The programme has been fantastic. We’ve seen big improvements in a number of areas but the focus on finance and planning has been especially useful” Michael Doran Johnstown, Co. Wexford Michael Doran is quite a new entrant to dairy farming based at Johnstown, Duncormick, Co Wexford. He is the 4th generation to run the family farm but a lot has changed since the time his parents, James and Catherine, were farming. His father’s parents had a mixed farm with 12 cows all milked by hand, some sheep and tillage. They stopped milking cows in the 1950’s. Michael studied agricultural at Rockwell College finishing in 1994 and came home to farm full time. Michael started with 50 suckler cows, 75 ewes and 12 hectares of cereals. He became a well known suckler farmer, increasing the suckler herd to 120 and sheep to 200, with 40 hectares of grain. In September 2012 his son, James, was born with Down’s Syndrome and spent much of his first year in hospital. It was a worrying time. They faced decisions about Ciara leaving work. Income from the beef enterprise was declining. Waiting in hospitals, Michael spent some of his time searching profit monitors online and explored differences between dairy and beef. Looking at the profits made by good quality dairy farmers, he felt it would be a logical decision to switch from beef to dairy, as he believed it would offer better opportunities. ‘I had never milked a cow. But this was the best decision we ever made for the farm,’ says Michael. He and Ciara had a lot of contacts in Teagasc and spoke with advisers who gave them very valuable advice. In 2013 Michael applied for a milk quota under a new scheme for entrants and was allocated a quota of 200,000 litres. He built a new 24-unit herringbone milking parlour, upgraded roadways on the farm and sold about 60 suckler cows to buy 80 in-calf Jersey cross heifers. His decision to go with Jersey cross cows was well researched and based on the their good track record in fertility, solids and easy handling. He managed to buy the first 80 in- calf heifers from two farmers in October 2013. He milked his first cow in January 2014 and started supplying manufacturing milk to Glanbia Ireland. MONITOR FARM PROGRAMME Michael joined the Teagasc Glanbia Monitor Farm Programme in 2015 and says it was a ‘brilliant’ decision. The Joint Programme set out to help dairy farmers promote sustainable growth post-quotas. Michael has found the experience very useful as he has had access to superb information. ‘It’s been fantastic. We’ve seen big improvements in a number of areas but the focus on finance and planning has been especially useful.’ Michael had 135 cows when he joined the Programme but knew when he reached a herd size of 200 cows he would need more land. In 2015 Michael purchased an adjoining 26 hectare block. He sold about 16 hectares of land five miles away from the milking platform and the additional land increased his milking platform to 80 hectares. MANAGING THE COSTS OF EXPANSION Michael continued to expand his herd and in 2018 milked 240 cows. Over the a three year period from 2013, Michael invested €309,500 on infrastructure alone including the new parlour/dairy, housing cubicles, storage and field infrastructure such as water, roadways and fencing. ‘Managing our finances has been crucial with this investment. We use the Cost Control Planner every year and have six year plans in place for the farm which are reviewed regularly. The Monitor Farm Programme has given me a brilliant discipline about financial planning.’ Michael has managed to reduce variable and fixed costs between 2014 and 2017. The overall net profit per cow has increased from €607 per cow in 2014 to €936 per cow in 2017. MAKING THE GRASS SYSTEM WORK PROFITABLY Michael believes that having the right cow and getting grassland management right are both critical. ‘I called myself a grass farmer before I called myself a beef or dairy farmer,’ says Michael. He has been measuring grass since 2008. Michael’s average milk yield in 2017 was 4,754 litres but he says that pushing big yields is not as important as improving solids and maximising production from grass. Average milk solids in 2017 were at 427 kg/cow, protein % at 3.87 and fat % at 4.85, with 55% of the herd first and second calvers.In 2017 stocking rate was 2.85 (LU/ha). Michael was achieving 18 ton DM/hectare grass growth but had also improved soil fertility with pH >6.3 at 85% in 2017 up from 20% in 2015. P Index 3/4 was up to 90% in 2017 from 65% in 2015; and K index 3/4 was at 95% in 2017 from 90% in 2015. He is doing soil testing every year to ‘keep a handle on it all.’ MANAGING A LARGE HERD Michael works closely with his vet on herd health plans and a good vaccination Programme. In 2018 he sent 40 heifers for Contract Rearing. ‘It did free up more time and made sure our stocking rates weren’t under pressure, especially when we faced conditions like drought.’ WORK & LIFESTYLE BALANCE Michael now has two labour units working with him.
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