Heifer Grazing Project Northland – 18th November 2015 Page 1 Project outline This project is part of a national initiative to improve the way that dairy heifers are grown in New Zealand. LIC research indicates that less than a quarter of heifers that are regularly weighed achieve industry targets by 22 months. This undergrowth impacts milk production, reproduction and lifetime contribution to the herd. The purpose of the industry heifer project is to outline good practice for growing dairy heifers and to give those involved in dairy heifer growing an opportunity to discuss regionally relevant issues and share ideas to improve their businesses. Questions that the focus farms are seeking to answer are: What does “good” look like in our region, both with stock and working relationships? What is realistic for growth rates for heifers in the area and how is someone achieving them? What farm systems work to achieve industry targets for heifers? What is a fair price to pay/charge for heifer growing? The farm information also contributes to resource development, newsletters, and a heifer webpage. Graziers are valued contributors to the dairy industry and we seek to identify win-win opportunities for both graziers and stock owners. Visit the heifer project website for more information www.dairynz.co.nz/what-we-do/research/keyprojects/heifer-grazing-project Specific Resources: Grazing Responsibility Checklist Questionnaire for Graziers/Dairy Farmers – Setting expectations Healthy and safety guidelines We want everyone to enjoy today’s field day and get home safe and healthy, one of the ways to do that is to abide by the day’s health and safety guidelines: Stay with the group at all times, children are to be supervised at all times Hazards specific to this farm are: Travelling along farm tracks and unformed roads (slippery when wet) Speed limit on farm is 30km/hr Everyone must be seated when travelling on a vehicle, anyone driving a quad bike must be wearing a bike helmet For accidents, incidents or near misses please report to the Consulting Officer on pg 3 Page 2 Today’s programme –Wednesday 18th November 11:10 am Welcome, Introductions & Heifer Project Overview 11:20 am Heifer Liveweight Targets 11:30 am Journey to Better Grown Heifers – David Gray 12:00pm Answering Your Questions: Mark Forsyth & Gareth Baynham 12:45pm Workshop: How to Achieve Targets in a Tough Year How to Get Value from Growing Heifers 1:15 pm Key Points - Wrap-up & Evaluation 1.30 pm Finish Contact: Mark Forsyth DairyNZ Consulting Officer Phone: 021 2425719 Email: [email protected] Page 3 Growing heifers to target offers a number of benefits Early calving: First service conception rates improved 20% by reaching Lwt targets at first mating in an Australian study Genetic gain: Heifer empty rates greater than 10% limit genetic gain Milk production: Milk prod can be effected up to 5 seasons if Lwt targets are not met Improved reproduction: Missing the 22 month Lwt target by 10% can reduce the herd’s 6 week in-calf rates by 5% Lifetime productivity: Heifers that miss liveweight targets are at higher risk of losing days in milk, being empty at the end of mating and being culled for low production Reduced replacement costs: Lower empty rates and increasing productive years in the herd reduces the number of replacements needing to be reared each year Less intervention at mating second mating (e.g. CIDRs or OvSynch) Fewer animal health/calving issues & Less environmental impact Reduced farmer stress: Poorly managed stock can be quite stressful for farmers Industry Targets: Industry liveweight targets are well defined: Example Mature LW Mature LW (%) Liveweight of Mature Cow Target at Different Ages (months) 3 months 6 months 9 months 15 months 22 months 20% 30% 40% 60% 90% Jersey 400 kgLW 80 120 160 240 360 Cross Bred 450 kgLW 90 135 180 270 405 Friesian 500 kgLW 100 150 200 300 450 Your Farm Dairy Heifer Grazing from a Dairy Farmers Point of View – Dave Gray Dave and Heather Gray owns a high performing dairy farm near Awanui; running a system 2-3 farm, milking 730 cows on 240 ha, producing around 1200 kgMS/ha and 400 kgMS/cow. The cows are milked through a 40 aside herringbone (19 rows), located at one end of the farm. The motivation to grow better heifers was highlighted when analysing their herd performance with LIC; there was an opportunity to improve heifer liveweight and milk fewer cows for similar production with better reproductive performance. Mature cows in the Jersey Cross herd currently have a liveweight of 430-440 kgLW/head, growing cows to their potential mature weight of 480-500 kgLW/head and keeping the same liveweight per hectare, would mean milking 650 cows or 2 rows less per milking. Page 4 Achieving this increase in cow liveweight means growing an extra 40-60 kgLW/head by calving to be 435 kgLW at 20 months (90% of mature weight). This was achieved with the 2012 born heifers that calved in 2014. Dave and Heather considered all aspects of their heifer rearing system during the review. Their breeding objectives include: Herd BW in the Top 10% Dropping out the bottom 25% of the herd o Increasing the replacement rate to 25% for 4 years to accelerate gain Achieve Mature Cow Live-weight of 480 -500 KgLW/head o Heifers 90% of mature cow LW at 20 months Calves: From weaning calves are managed on a 30 ha block adjacent to the milking platform (200 calves or 6.6 calves/ha) Late calving cows are wintered on this calf block, creating good quality feed for calves once they are weaned The majority of calves are run in a single mob, shifted daily o “at risk” calves are run ahead of the main mob Calves are fed PKE in trailers through the summer and autumn (Jan-May) at 1-2 kg/head/day and silage made on the from the yearling heifer block o 200-250 kg/calf or $70/calf (at $350/t) Calves are drenched (triple combination oral drench) and weighed monthly o Weighing is the acid test of management Yearlings: Yearlings are run on 2 ~35ha effective lease blocks located 7 km from the home farm, each lease block is well subdivided (20 paddocks, each with water) Objective is to feed yearlings as well as possible on grass; blocks are mulched in the autumn and may be undersown in Italian ryegrass, nitrogen is applied in the winter. Mobs are shifted daily in winter (to manage pugging) and every 1-2 days for most of the season and run a 35 day rotation through the summer Yearlings are normally run in 2 mobs of 90 heifers o 180 heifers on 70 ha (2.6 heifers/ha) o This season running 241 heifers on 70 ha (3.4 heifers/ha) o There is no preferential mob – feed all heifers as well as possible Harvest silage to maintain pasture quality (~20 ha from 70 ha or 28%) and will top if required Key Focus Areas: Heifer liveweight targets are difficult to achieve – you need a dedication to reach them Page 5 o Dave uses their manager/2I/C who understands the objectives and is accountable for achieving them Weighing is critical – it’s the true test of how well the heifers are being managed and highlights problem areas: o Tough to grow heifers well during April in Dave’s system Good paddock sub-division is vital to manage feed quality; daily shifts for calves o If you don’t have it you need to get it If you lease land it must work for both parties: o Owner must be fairly rewarded, land well maintained (kept neat & tidy) o Leasee can afford to spend money on the block (e.g. replace water pump or undersow with Italian Ryegrass) If you don’t achieve LW targets, consider OAD milking as an alternative option o Dave identifies non cyclers during premating heats and runs them as a separate mob The Results: 2012 Born heifers achieved liveweight targets (still had a proportion of the heifers below target); first calvers averaged 445 kgLW in June! Page 6 Reproduction: Milk Production: 2015 based on first herd test First calvers producing 83% of Mature cows (75% is typical) o Includes some non-cycling heifers milked OAD Second calvers producing 91% of Mature cows Changes in a Low Milk Price Year: Dave and Heather cut nearly $1/kgMS from their overall farm budget in response to the low milk price forecast. Despite this significant drop in expenditure, relatively few changes were made to the heifer growing budget: Chose not to AB heifers – used quality bulls (DNA) to preserve the option of keeping replacements (average BW of yearlings is 193) Had planned to graze 60 surplus yearling heifers off farm (to be sold), but have brought them to the lease block and run with the Dave feels that improving farm performance by better growing heifers is a key part of their strategy; it doesn’t make sense to risk short term savings to an area which can deliver such long term gains. Page 7 Answers to Your Questions: Should I Keep My Calves on Longer? One option to reduce grazing costs is to keep calves on the milking platform from December to the end of April, then send heifers away to grazing on the 1 st May. How many cows would need to be sold to make room for the calves and what effect would this have on feed demand and milk production? Feed demand for heifers is outlined in the table below, based on cows achieving their mature weight potential. This represents the feed required (based on pasture at 10.5 MJME/kgDM without factoring in utilisation). Potential Mature Weight – kgLW Target Weight in Jan (6 mths) – kgLW Target Weight in April (9mths) - kgLW Average Daily Gain (kgLW/day) Average Dry Matter Intake (kgDM/hd/day) Jersey 450 135 180 0.49 4.9 KiwiX 500 150 200 0.55 5.3 Friesian 550 165 220 0.60 5.7 On an equivalent feed basis, this equates to around 3.1 heifers per milking cow, or reducing milking cow numbers by ~8 cows per 100 milkers (at a 25% replacement rate). Assuming annual production of 330 kgMS/cow, we’d expect milk production of 165 kgMS/cow from December to drying off (50% of production). There may be some savings from having fewer cows in milk, but these are expected to be minor. $3.85 $635 $9.70/hd/week Milk Price ($/kgMS) $4.60 $759 $11.65 $5.50 $908 $13.95 $ from lost Milk/cow Break even cost of grazing heifers This analysis suggests it’s unlikely to be profitable to keep heifer calves on farm at the expense of milking cows. Feeding PKE to Calves – is it profitable? Friesian Bull calf liveweight response to a Palm Kernel Expeller/Kibbled Maize blend ($500/tonne) was tested as part of the Beef + Lamb NZ Finished by 20 Months project. Run on a Northland beef farm near Matakohe, this evaluation indicated an average response of 0.31 kgLW per kg supplement fed ($1.60/kgLWG), but around 40% of this response was lost once supplement feeding stopped, giving a true response of ~$2.20/kgLWG. Page 8 In the second year of the trial (2013), calves were separated into 4 mobs as outlined in the graph below, all calves in the PKE blend treatments lost some of the initial gains once the PKE had been removed. Assuming a similar liveweight response from feeding PKE for 120 days (priced @ $350/t), the eventual cost would be $42/calf for an additional 29 kgLW ($1.44/kgW). Based on these responses, it’s likely that feeding PKE to increase heifer liveweight closer to the target would at least breakeven, and if 20 month liveweight would otherwise be more than 10% below target, it’s almost certain to be profitable. How Does Dairy Grazing Stack Up against Beef Heifer Finishing? A strength of dairy grazing is the ability to destock heavy cattle before their second winter, without getting caught in the cull cow bottleneck at meat processing plants during April and May. A similar type of stock policy was modelled using Farmax; purchasing reared heifer calves through the summer (74 heifers at 125 kgLW) and late Autumn (83 heifers at 180 kgLW), running them through winter and marketing before the end of May at an average of 216 kgCW. The results at long term prices (seasonal average of $4.50/kgCW) and recent prices (seasonal Average of $5.70/kgCW) are outlined in the table below: Purchase Number Weight Long Term Price Current Price 157 154kgLW $385/head $507/hd ($3.29/kg) 216 kgCW $875/head $490/head $34/head $456/head $4.50/$6.50/wk $1169/hd ($5.40/kg) $662/head $45/head $617/head $6.75/$10.20/wk Sell 157 Margin Less interest Net Margin Equivalent Grazing Rate R1/R2 This analysis indicates heifer grazing is a more lucrative stock policy than finishing beef heifers using long term beef prices, however at current beef prices grazing rates would need to be $2 - $2.50/head/week higher to provide a similar return to beef finishing. There are alternative stock policies which provide more flexibility in feed Page 9 demand and would be more profitable, but would require changes in management and infrastructure (e.g. bull beef). Dave Gray’s Heifer Growing Policy Operating Procedure: Replacements-Young Stock Farm Policy: Well grown replacements all calving at their target weight. Young stock monitored and actively managed to achieve this. How to: Calves. Good healthy well-reared calves weaned at their target weights by ten weeks, with well-developed rumen function. Calves shifted daily on good quality pasture. Residuals maintained with empty cows or the mower. (Good subdivision) Young stock regularly weighed and entered into MINDA weights. (We weigh our young stock monthly) Under-target replacements are preferentially fed. (really important in calves first summer) Good quality supplements are used when growth rates cannot be maintained with the pasture available. (PKE and silage) Regular drenching and health program worked out with our vet. Monitor trace elements required for maximum growth. Facial eczema managed, monitored and treatment used if required. Young stock well fed every day. Good observation of stock for health problems. Pasture managed to minimise damage during wet periods. Page 10
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