Milk from Forage only 100% grass fed

[FonterraFarmer]

The constant claim that production is of no importance is a bit of a laugh. For any farm owner or business owner to actually believe production is of no importance is moronic and they likely won't be in business long. No one actually believes that but why do people keep saying it, what are people making up for. We all get profit is sanity. Profit = revenue - costs. There is no revenue and therefore no chance of profit if you don't have any production.

So yeah it's always really improtant. But don't confuse important with increasing production regardless of costs or the other side of it, reducing costs regardless of the effect on production.

That depends on what the cheapest feed is. I'm pretty sure straw is cheaper than grass here often.


Kiwis like to get overexcited about other countries subsidies. Subsidies or not it doesn't change the fundamentals of dairy farming.

 

[Kiwi Pete]

That depends on what the cheapest feed is. I'm pretty sure straw is cheaper than grass here often.


Kiwis like to get overexcited about other countries subsidies. Subsidies or not it doesn't change the fundamentals of dairy farming.

Exactly. It doesn't change the fundamentals at all, it changes the financial position
That's why I didn't make a deal of it, other than to point out it makes no compete with huge scale grain fed producers, at their game, in their currency.
Smaller than huge, and less input reliant, still has it's place in the world's market- and some parts of the world do better at it than others.
Some areas would require huge areas to do what an average NZ dairy farm does every day, I'm quite concerned if our producers are forgetting our advantage for vanity's sake.

 

[awkward]

tried to produce 100% off grass last season because of milk price. first issue is stocking rate get it wrong and costs go through roof expect reduced production obviously didn't hit fertility as bad as I planed for. managed to minimise losses for year to almost breakeven @22 cent liter

 

[Dead Rabbits]

tried to produce 100% off grass last season because of milk price. first issue is stocking rate get it wrong and costs go through roof expect reduced production obviously didn't hit fertility as bad as I planed for. managed to minimise losses for year to almost breakeven @22 cent liter

Do you reckon you can keep your costs there? If not, why?

 

[newholland]

Hi @Dead Rabbits ..... are you with organic valley?

 

[Dead Rabbits]

Not with anyone, transitioning with no contract or subsidy. Organic Valley won't sign up anyone unless it's on their Grass Milk route, which ain't down here. The hope is Ov will pick us up

 

[Dead Rabbits]

I think OV is a top notch company. As far as farm advisors, I have been impressed by the vets. That South American nutritionist knows her sh!t. Really wish they would spend time down here.

On the crop side of things, I was very disappointed, the guy they sent down was useless. The farmers actually laughed at his presentation. Totally irrelevant to the situation here and way outdated.

Yeah I would like to go visit the organic grass fed guys. I'll get there eventually, but the nearest would be at ~ 10 hour drive. Till then, TFF

 

[Kiwi Pete]

Not with anyone, transitioning with no contract or subsidy. Organic Valley won't sign up anyone unless it's on their Grass Milk route, which ain't down here. The hope is Ov will pick us up

Is there much market that you could direct-sell into, either for pasteurised wholemilk or other dairy products?
For example, organic cream and icecream is and has been huge here. Very profitable little sideline for the price of a separator and another vat, plate cooler (heater)
The price differential between the milk going out the gate and the added value product was staggering, even paying for time to separate, and rent the nearest icecream factory for a day... better than 3x the milk price.
Must say- coffee has never been the same since those cream-filled pillows stopped coming

 

[Sid]

1. 25 dollars a litre? Where do I sign up

Be aware there are short and long cwt
US and UK gallons
Exchange rate.
Make it very cofusing.

 

[Sid]

I think OV is a top notch company. As far as farm advisors, I have been impressed by the vets. That South American nutritionist knows her sh!t. Really wish they would spend time down here.

On the crop side of things, I was very disappointed, the guy they sent down was useless. The farmers actually laughed at his presentation. Totally irrelevant to the situation here and way outdated.

Yeah I would like to go visit the organic grass fed guys. I'll get there eventually, but the nearest would be at ~ 10 hour drive. Till then, TFF

She has been in the UK for the last week speaking to our members. An excellent speaker that has given us all lots to think about!

Given your nearest grass milk producer is that far away so would the market?

 

[FonterraFarmer]

^^^^^ Sums most TFF threads up really, given any two options, the third option is usually the best one

Ffs , Winston.......

 

[Stinker]

Be aware there are short and long cwt
US and UK gallons
Exchange rate.
Make it very cofusing.

Yeah that was a guess based on dead rabbits conversions. Judging by what other people have suggested a cwt is I'm still no more sure on a price per litre.

 

[Kiwi Pete]

Yeah that was a guess based on dead rabbits conversions. Judging by what other people have suggested a cwt is I'm still no more sure on a price per litre.

Try working it all back to NZD/kgMS for a laugh!
I got that 22 cents per litre is about $3.75 /kgMS here, depending on the milk test as a percentage.
Recently, there were figures about here, that the AVERAGE NZ COP was around $5, which is really scary, or an average running loss of about £175ac.
Sure that includes debt/interest etc, but still badly the wrong way IMO.

I'm still waiting to hear back how spending more on inputs is going to remedy that.

 

[Sid]

Yeah that was a guess based on dead rabbits conversions. Judging by what other people have suggested a cwt is I'm still no more sure on a price per litre.

But whether ppl or cents per cwt.
Its never comparable if the cop is above it.

 

[multi power]

What to call this place? Wannabe organic? The guys I work for have always been pretty close to organic since they started. Didn't have the money to do a lot of the stuff others do. So right now we are almost done with the one year transition. Cows only need 1 year to "transition". The land takes 3 but since they didn't use fertilizer or spray or whatever else isn't allowed nothing had to be done.

The rules here say no antibiotics ever, even says that on the food labels. Also says that if an animal needs antibiotics, they must be given, then that animal must be sold.

There is an option here for a separate collection of milk from cow's that have never had antibiotics, it then gets dried and shipped to USA , think it's a 5 pence a litre premium over normal organic

 

[Sid]

There is an option here for a separate collection of milk from cow's that have never had antibiotics, it then gets dried and shipped to USA , think it's a 5 pence a litre premium over normal organic

As well as other hoops and hurdles.
It made into a wide range of products.
The 5p is incorrect

 

[FonterraFarmer]

Try working it all back to NZD/kgMS for a laugh!
I got that 22 cents per litre is about $3.75 /kgMS here, depending on the milk test as a percentage.
Recently, there were figures about here, that the AVERAGE NZ COP was around $5, which is really scary, or an average running loss of about £175ac.
Sure that includes debt/interest etc, but still badly the wrong way IMO.

I'm still waiting to hear back how spending more on inputs is going to remedy that.

If the average COP is $5.00 kg/ms, we know what the lower end is, then how do the ones at the other end survive ?

 

[Kiwi Pete]

If the average COP is $5.00 kg/ms, we know what the lower end is, then how do the ones at the other end survive ?

It certainly isn't diversification

I often wonder how many "top producing dairies" across the world are merely money laundering/ tax avoidance facility for other profitable business.
Wouldn't be at all surprised if it's exactly the same in some 'equity partnerships' locally.


)Tin hat on(

 

[multi power]

It certainly isn't diversification

I often wonder how many "top producing dairies" across the world are merely money laundering/ tax avoidance facility for other profitable business.
Wouldn't be at all surprised if it's exactly the same in some 'equity partnerships' locally.


)Tin hat on(

Pete can you please explain exactly what is an "equity partnership"

 

[awkward]

22 cent did not cover repayments .could not cover any further investment or development. was not kind to stock and could see higher replacements if I continued which would make that figure unrealistic going forward. but did learn how to pull costs to a level to carry my business through downturns in price.without rising debt .