Dairy News Australia - February 2019 - With Gippsland Region

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FEBRUARY, 2019 ISSUE 100

GIPPSLAND REGION

Rick Blackshaw, of Romawi, has to feed out every day to his dry cows, during ongoing drought in East Gippsland.

Dry times demand coping strategies JEANETTE SEVERS

THE BLACKSHAW partnership has invested as much as it can in safeguarding its dairy business against drought. Those decisions are paying off, offering drought-proofing options as the Blackshaws begin farming in their third year of drought, at

Romawi, East Gippsland. Unfortunately, it also means reducing herd numbers and laying off workers. Dennis and Maureen, and Rick and Tracy Blackshaw have been farming at Romawi since 2001, setting up their dairy on a greenfield 728 ha site. It came with an existing bore licensed to irrigate 31ha. During the past couple of years, an additional bore and about $400 000 invested in overhead

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irrigation infrastructure has brought 206 ha into irrigated production, particularly crops and lucerne. This summer, it means the milking herd is grazing irrigated pasture, providing a readily available protein source. Dry cows — the autumn calvers were taken out of the herd in early January — live in dryland paddocks and are part of the daily feed-out work. The farm business has four areas of focus — the

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milking herd, self-replacing heifer calves, raising steers for the beef market and growing out heifers for the Chinese export market. “We keep every calf and that enables me to choose when to sell them, adding cash flow to the business as we need it,” Rick Blackshaw said. For the past couple of years, steers were sold regularly and more heifers were exported.

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Chairman’s message Plan to inform future dairying direction OVER THE next few months we will all be hearing a lot more about the Australian Dairy Plan. What is it? What is it all about? The whole of the dairy industry including our peak national representative body Australian Dairy Farmers (which represents the six dairy regions across Australia, e.g. UDV), Australian Dairy Products Federation (processors), Dairy Australia and Gardiner Foundation have come together to complete a total scan of the Australian dairy industry and to set our future direction. As I reflect on my own situation in the dairy

industry, I am still very happy with my career choice to start a dairy farm apprenticeship some 30-odd years ago. Dairy has been good for me and my family over that time. As we look to the future, I welcome the opportunity to discuss the future direction of our dairy industry through the Dairy Plan. That means there will be a chance for everyone involved in the dairy industry to say what they think are the priorities for building a sustainable and profitable dairy industry for decades to come. The plan, which will form a response to rising costs of production, tough seasons and

challenging global and domestic markets, will soon be starting an engagement process with all industry stakeholders. GippsDairy is excited to be involved in the Australian Dairy Plan and has made a commitment to drive the engagement process in Gippsland. How we go about this is still being worked out, but the one thing we will require is feedback from all farmers and everyone that makes up our great industry. We’ve all seen plans, committees and forums come and go, often without much real impact on the lives of dairy farmers. But I truly believe

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this is a great opportunity for all of us to contribute to what could be one of the most important developments for the dairy industry in many years. So, when you read or hear about the Australian Dairy Plan looking to engage with Gippsland farmers, please be involved by joining in the discussions and have your say to make sure you can be part of shaping the future of the industry in Gippsland and beyond. Grant Williams GippsDairy chair

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GIPPSLAND REGION // 3

Dry season forces change < Continued from page 1

In 2018, Mr Blackshaw sold 130 steers — aged from four to 12 weeks old — at the end of October, in a bid to lighten the country. They were animals he would normally take through to 12 months old before selling. “We also increased the numbers of heifers we sold to export to China, from 60 to 87,” he said. Cows have been culled regularly. Before Christmas, Mr Blackshaw sold 30 cows that were empty or had histories of mastitis or high cell count, to lighten the load on feed and summer pasture.

“Culling was a priority action to combat drought.” “At joining, we also decided not to carry smaller heifers through — so two dozen of these were sold to China,” he said. “The feed wasn’t there so we knew we were going to be reducing milking numbers. We’ve been culling consistently for 18 months. “These decisions have all been a calculated ploy to lighten the load — both on the country, which is poor grazing where it’s not irrigated, and on the labour required to feed out.” The last of Mr Blackshaw’s steers and export heifers were sold in January. The herd, normally just over 1000 head, has reduced to 800. “So far I’ve kept last year’s spring bulls. I’d like to sell them at 12 months, but with no autumn break I’ll sell them at six to seven-months old,” he said. In the past couple of years, he has bought fodder and purchased overhead pivots and lateral sprays, supported by 22 km of underground piping.

“Between December 2017 and May 2018, we bought $104 000 of hay, paying up to $300/tonne. “That tied in with crops ready to harvest for silage. “But with another failed spring in 2018, we weren’t able to cut any hay.” In a normal year, the 1000-head milking herd consumes 2200–2400 round bales of silage. In 2018, Mr Blackshaw and his workers harvested 360 bales. There are currently some reserves of hay from the financial outlay last autumn. Irrigated lucerne will be harvested in January, before it is grazed. Heifers for the milking herd and the Chinese export market are selected on maternal performance indicators. The Friesian herd is joined using AI, with a focus on improving genetics. It is a focus that has paid off in the milk vat. “We use AI Friesian semen that’s from high performing families and we see the results in the vat,” Mr Blackshaw said. The 1000 cows milked more than 3.5 million litres in 2014–15. In 2015–16, it was 2.93 million litres; in 2016–17, 2.96 million litres; and in 2017– 18, the 800-head herd, with more autumn calvers, produced 2.97 million litres. However, to January 1 this year production is 100 000 litres shy of the same time in 2018. Mr Blackshaw said production was a result of focusing on genetics to improve the herd’s performance. “Culling was a priority action to combat drought,” he said. For now, he expects to be chasing water. “We have 4.5 waterings left for the season. Even the irrigated crops and pasture are under stress. There’s no subsoil moisture,” Mr Blackshaw said. “We’ve never had conditions this bad.” 2 Grants boosts infrastructure, see page 11

The 22Ml irrigation dam on the Blackshaw farm, which relies on run-off water. With the lowest rainfall on record, that run-off has not occurred for the past two years. Rick Blackshaw paid for a second bore to be sunk on the farm to offset livestock water needs during the ongoing drought and help grow pasture.

Rick Blackshaw and his family partners have invested more than $400 000 into overhead pivots and lateral sprays, supported by 22km of underground piping, to irrigate strategically around the farm.

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Irrigation options investigated JEANETTE SEVERS

AUBREY PELLETT and Jacqui Morrison of Hill End, in west Gippsland focus on autumn calving to make the most of their pasture and production system. In the past year Mr Pellett has investigated opportunities for irrigating pasture — the subsequent plans will be implemented in the next few months. The couple owns 210 ha of quite hilly land as the effective dairy area, supported by a lease property of 52 ha to grow out heifers. The 400 predominantly-Friesian milkers, peaking at 450, start calving in late March. The cows are joined using artificial insemination, with a focus on three AI cycles. Based on carrying capacity, the couple rears 120 to 140 replacement heifers annually. Future plans include selectively joining cows using Angus semen, breeding offspring for the beef market. “In the next few years, we’ll use more sexed semen within the heifers and young cows,” Mr Pellett said. Production is consistent at an average 500 kg MS/cow.

“We built the herd numbers up slowly, keeping every heifer we could, no matter the breeding,” Mr Pellett said. “Now, using semen selectively, we’re breeding a high Balanced Performance Index, reasonable production animal.” Hit by the dairy crisis and then depressed prices in the market, the couple pulled back from herd testing; but Mr Pellett said they would look at bringing it back into their business model. “Herd testing was something we pulled the pin on in 2015–16 and we just haven’t reinstated it yet,” he said. “All our counts are good. Our milkers have completed the Cups On Cups Off course and use milking time to check the cows. We rely on their expertise. “We blanket dry milking cows and teat seal.” The cows go through a 50-bail rotary milking platform and the milkers utilise a manual cups on, cups off system and ready-to-use teat seal. Mr Pellett is a relief milker and concentrates his time on raising the heifers and working alongside a farm worker to grow the best pasture possible. “One of our workers completed the Pastures for Profit course and we use those principles,” he said.

The farm is quite hilly and, although it has a 140Ml right to irrigate from dams, relies on a gun irrigator. That will change in 2019 with the purchase of a centre pivot.

Aubrey Pellett focuses on growing pasture to grow production.

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GIPPSLAND REGION // 5

Thirty per cent of the farm is renovated each year, with a focus on growing perennial pastures.

“We have a fair bit of machinery and renovate 30 per cent of the farm every year. “We make our own silage and fodder, taking the seasonal surplus.” They harvest a minimum 600–700 rolls; a longer spring can produce up to 1400 bales. “We also opportunistically buy standing hay,” Mr Pellett said. Perennial rye-grass dominates the system. This season, Mr Pellett sowed 10 per cent of the farm to sorghum, for summer grazing of dry cows, and turnips for grazing during the pre-drying-off period. The farm is reliant on autumn rainfall. Annual

average rainfall is 1000 mm, ranging from 750 to 1400 mm. “Autumn rainfall sets up the system for winter grazing. Quite a lot of the farm is red soil, which is very useful because it resists pugging,” Mr Pellett said. There is a right to irrigate about 140 Ml across the farm dams, for seasonal and strategic use of water. It has enabled the couple to gradually increase the home-grown feed, using a travelling gun irrigator and hydrants to irrigate up to 30 ha each year. In a bid to improve their irrigation system, in 2018 Mr Pellett investigated some options.

A minimum of 600-700 rolls are harvested each year; a longer spring can produce up to 1400 bales.

This included talking to Tasmanian dairy farmers, with similar farm topography, about their irrigation infrastructure. “I then used Google Earth to find the largest circle on the property,” Mr Pellett said. After identifying an appropriate site, Mr Pellett and his farm workers completed some earthworks, filled in a couple of dams and removed and resited fences. A few troughs and trees were also removed. Once the infrastructure is complete, an additional 23 ha will be irrigated by a centre pivot. “We’re still deciding how best to utilise that

land,” Mr Pellett said. “We’ll be pumping out of the 100 Ml effluent dam. I pump water into the dam during the winter and it has the capacity to irrigate 23ha. “Our focus is growing more feed to grow production.” Because they are using the effluent, albeit shandied, they bought a poly-lined centre pivot with a self-cleaning filter. “I talked to a few farmers and asked their advice, analysed the water test results and the manufacturer’s recommendations,” Mr Pellett said.

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March reminders

Fertiliser ■

Hay and silage stocks ■

Check your levels of hay and silage and do your sums on potential hay and silage use for the balance of the year. Allow for milking cows, dry cows and young stock. It’s often a challenge to feed the best feed you can and make use of the feed you have on hand. Feed test your silage and hay to help you make decisions around a balanced diet.

Balancing the diet with all the right feeds is great but using the feeds you have on hand and getting the diet balance in the zone might come with lower cash costs and still achieve target production. Baled silage is a great example of a feed with a use-by date, and when not fed for whatever reason it can turn out to be costly wasted feed.

March is a good time to apply fertiliser to pasture in preparation for the autumn break. Superphosphate and muriate of potash do not require rain to release into soil, rainfall after an application increases the risk of nutrient loss. Dairy effluent is a good alternative to traditional fertiliser. When applying dairy effluent be careful not to have any runoff or to overload soils with nitrogen and potassium. This will also empty effluent ponds to maximise capacity for the wetter months of the year.

Pasture renovation and over-sowing ■

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All soils that are sown should be soil tested to determine any limiting factors for plant growth and develop a plan to improve or maintain the soils and pastures. When planting pasture always check for pest activity and control if required. March is an ideal time for checking your paddocks for pasture density and making some decisions on what areas of the farm, if any, need renovation or oversowing. • If pastures have root mats, consider working the paddocks up and allowing some time for the root mat to rot before sowing the new pasture or plan a summer crop in this paddock for next year. • If pastures are just thin and have no root mat, oversowing is a good option. Consider the type and variety of seed to put in the ground. Where rye-grass is concerned it’s good to try to simplify the process using three categories for seed types: • Perennial — permanent pasture (sow once you have dealt with any soil issues in the paddock such as drainage or root mat issues). • Short rotation — two- to three-year varieties that tend to establish with more vigour than perennials after being well sown, and can last two to three years when conditions and management allow. Great plants for developing paddocks that may need to be sprayed out in the future while increasing productivity in the short term. • Annual — one-year varieties (May to November) that are very vigorous after sowing, strong winter performers but will not produce once they have gone to seed in spring. Great for a low performing paddock that will be summer cropped the following year.

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Lookout for the effects of mycotoxins such as facial eczema (looks similar to photosensitisation), affecting exposed areas of pale skin. If facial eczema is suspected, contact a veterinary practitioner for advice on prevention or treatment. Information is available on the Dairy Australia website http://www.dairyaustralia.com.au/Animalmanagement/Animal-health/FacialEczema-Monitoring.aspx Plan your transition diet for autumn-calving cows. The aims are to prevent milk fever, ensure the cows’ energy requirements are met, and introduce grain to the diet if a high level of grain is being fed in the milking herd. A properly-formulated lead feed ration or the use of anionic salts in the water troughs should be considered. Even a low level of milk fever in the herd has many flow-on effects including calf losses during calving, downer cows and cow health issues in early lactation. Learn more at www. dairyaustralia.com.au in the feeding and nutrition section.

Young stock ■

Poorly-fed young stock will impact your business when they calve down and become milking cows with low in-calf rates and higher mortality rates, and generally are likely to produce less milk. Good targets for young stock are 70 per cent in-calf three weeks after joining, with heifers due to calve two weeks before the cows in the herd. To join young stock this early they have to be well fed and have reached the target joining weights you can see in the Heifers on Target manual on the Dairy Australia website http://www.dairyaustralia. com.au/Animal-management/Fertility/ Heifer-management.aspx


DAIRY NEWS AUSTRALIA FEBRUARY 2019

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GIPPSLAND REGION // 7

Diary dates SOLAR ENERGY WORKSHOP Solar energy is becoming more popular for dairy farmers in an effort to reduce electricity costs. The Smart Energy workshop will be held at the Anderson farm in Denison, allowing a firsthand look at the cost benefits of switching to solar. Ross Anderson has added value to his system by utilising excess solar energy to heat water — essentially, storing the energy made throughout the day, in water to be used later. Phone Ashley Burgess on 0438 925 278 or email ashley@gippsdairy.com.au

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Grants boost drought infrastructure NEARLY 200 dairy farmers are among more

than 1600 Victorian farm businesses that have applied for On-Farm Drought Infrastructure Support Grants since October 2018. The grants, which are still open, provide eligible individual farm businesses up to $5000, with applicants required to fund at least half the project. The Victorian Government established the $13.2 million grants program to assist farm businesses implement on-farm infrastructure that improves drought management and preparedness, and puts the business in a better position for the future. Agriculture Victoria Dairy Services South East regional manager Del Delpitiya said farmers in East Gippsland had been proactive in seeking advice about using grants to help manage dry conditions. “For farmers looking to put in a feed pad, upgrading feeding systems or stock containment areas, coming up with a workable plan for managing the effluent is a priority.” Mr Delpitiya said Agriculture Victoria had expertise in managing effluent, and had been helping dairy farmers with developing effluent use plans. This process involves taking samples to determine the nutrient value of effluent and

providing on-farm application rate recommendations to address agronomic requirements. “Using effluent wisely means farmers make the most of the nutrients they already have onfarm,” Mr Delpitiya said. “By working with Agriculture Victoria and doing an effluent use plan, dairy farmers can save between $7000 – $10 000 per annum on fertiliser costs. Workshops led by Agriculture Victoria in conjunction with Dairy Australia regional development programs have taken place across the state, covering topics such as the climate, fodder shortages and global markets. But support isn’t just limited to business investments. Agriculture Victoria has several personal and family support options, including a pool of $1.25 million to help drought-affected families with kindergarten fees. There is also a camps, sports and excursion fund, as well as back-toschool support for families in the Wellington and East Gippsland shires. For more information on the assistance available, visit www.agriculture.vic.gov.au/ dryseasons Visit www.ruralfinance.com.au/ for application forms and guidelines, or phone Rural Finance on 1800 260 425.

Who can apply for On-Farm Drought Infrastructure Support Grants?

What are eligible infrastructure improvements? • Items to construct a new, or upgrade

• Those who own, lease or share

an existing, stock containment area.

farm businesses in the following local government areas can apply: Wellington, East Gippsland, Swan Hill, Gannawarra, Loddon, Campaspe, Greater Bendigo, Greater Shepparton, Moira, Strathbogie, Benalla, Wangaratta, Wodonga, Indigo, Alpine, Towong, Mildura, Hindmarsh, Yarriambiack, Buloke, Horsham and Northern Grampians.

• Reticulated water systems using pumps, piping, tanks and troughs for livestock.

• Irrigation system upgrades. • Permanent repairs to fixed water infrastructure.

• Improve water infrastructure for stock management.

• Eligible participants must derive at

• Long-term drought management

least 51 per cent of their gross annual income from the farm business or made a minimum farm-related capital investment of $50 000 (excluding land purchase) in the farm business.

efficiencies (e.g. soil moisture monitoring, weather stations).

• Grain and fodder storage. • Internal re-fencing to better match

• The grant amount must be 50 per cent of the total cost of the project — applicants must match the grant amount with their own funding.

property layout with land capability.

• Shelter belts for shade. • Upgrading of areas, such as laneways,

• As a guide, it is anticipated that farm turnover would exceed $50 000/year under normal business conditions (with no adverse climatic conditions).

• Applicants must be registered as a

to deliver lasting productivity and profitability benefits.

• Feeding system upgrades. • Adoption of precision farming techniques.

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GIPPSLAND REGION // 9

Helping young dairy people further their skills A DAIRY cattle show will be run by the

Gippsland Dairy Youth Group in March. The Gippsland Dairy Youth Group was founded in 1999 for young people to share in their knowledge, skill and love for the dairy industry with a particular emphasis on dairy cattle showing. It is a volunteer-run group including individuals up to the age of 25. The Gippsland Dairy Youth Group has been an active community group holding many educational and social events over the years. These

have been based around the art of cattle showing including leading, clipping and judging. Educational events including animal nutrition and health and social events such as farm walks and

bowling nights have been held. The group also appoints a representative team of 10 participants each year to compete in the Youth Challenge at International Dairy Week.

The main event and highlight for the year is a dairy cattle show run by the youth group to allow the members an opportunity to show their heifers/cows and demonstrate their skills and knowledge of showing dairy cattle. Co-ordinator Johno Spargo said this event had proven very successful during the past 20 years and also provided the opportunity for up-andcoming judges to enter into the judging world. The group’s 20th anniversary of its annual All Breeds Gippsland Dairy Youth Show will be held on Sunday, March 10, during the Labour Day long weekend.

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Diploid Perennial Ryegrass Violet Dodd steers her heifer at a Gippsland youth event.

DAIRY INDEX RISES National Australia Bank’s Australian dairy export price index rose 10.2 per cent from December 2018 to January 2019, in what is the biggest monthly gain since 2016, according to the latest Dairy In Focus report, released today by the bank. While the Global Dairy Trade (GDT) price index was pushed 4.2 per cent higher by slowing supply growth, the flow-on benefits were tempered by tough seasonal conditions and associated cost pressures. NAB agribusiness economist, Phin Ziebell, said the increase in the GDT index was largely attributable to slowing supply and depleted European stocks. “The price is being driven by reduced supply growth and a sharp rundown of the European Union’s skim milk powder stockpile. The United States and New Zealand are also close to the top of their five-year production ranges,” Mr Ziebell said. “While these price increases are certainly welcome, our forecasts aren’t showing any major gains for global prices in USD terms over the coming months.”

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DAIRY NEWS AUSTRALIA FEBRUARY 2019

10 // GIPPSLAND REGION

Sharefarming their way to make dream a reality JEANETTE SEVERS

“In autumn 2018 we realised we had too many cows to carry through, based on the seasonal weather conditions and outlook,” Mr Bradshaw said.

HONNIE WALLER and Aaron Bradshaw are

working to achieve their own dairy farm. After a few years working as a farm hand, Mr Bradshaw has spent the past four years running a business as a sharefarmer at Heyfield, with his partner, Ms Waller. “I was working alongside a sharefarmer and I thought I’d have a crack,” Mr Bradshaw said. His role encompasses all the duties of a dairy farmer and the couple appreciates the opportunities offered by the farm’s owners. “We brought our own machinery and herd to the partnership and the farm owners enabled us to buy their heifers,” Ms Waller said. The mixed hybrid herd peaked at 450 but because of ongoing drought conditions in the Macalister Irrigation District, in eastern Gippsland, they have reduced milking numbers to 350. Calving is split 50:50 but they are aiming to move the herd to spring calving.

“I always wanted to be a farmer and dairy is an industry that offers opportunities to get into farming.” “Our decision to reduce numbers was based against the expenses of fertiliser and achieving our production targets. We can’t afford to be too picky.” In early January, they pregnancy tested the herd and will sell 50 empty and carryover cows “It’ll reduce our feed costs,” Ms Waller said. “We’ve also got heifers coming into the herd from 2018’s autumn and spring drops.” The couple raises 100 to 120 self-replacing

Honnie Waller and daughter Zoe. Ms Waller and her partner, Aaron Bradshaw, are sharefarmers at Heyfield.

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DAIRY NEWS AUSTRALIA FEBRUARY 2019

GIPPSLAND REGION // 11

heifer calves to six months, then agists them until the point of calving. “Production was about 550 kg milk solids/cow, or 225 000 MS for the herd in the 2017–18 financial year,” Mr Bradshaw said. They employ 1.8 labour units, rostered as three relief milkers in the 50-bail rotary dairy. “We only get them to milk. We do everything else,” Ms Waller said. Mr Bradshaw maintains the milking platform, machinery, shed and pumps, feeds-out to calves and cows and develops and renovates the pasture. He also milks 20 shifts a fortnight. Ms Waller is also a relief milker, helps manage the business and looks after the couple’s infant. “Honnie is the finance minister,” Mr Bradshaw said. “I look after the pastures — fertiliser, spraying and topping. I also control sowing pastures. “The owners have been quite good — they’ve stood back and are supportive of me running the farm.” The pasture renovation program includes rotating annuals, crops and perennial pastures. They planted lucerne, which has responded well to irrigation; and maize which has been a challenging crop under flood irrigation. “It doesn’t like getting wet,” Ms Waller said. The business’ aim is to grow all the herd’s fodder. That aim has been challenging to achieve in the past two seasons of drought. They have a mix of flood irrigation and dry country.

They have to buy 200 Ml of water each year, relying on Southern Rural Water’s auctions of excess irrigation water and trading temporary shares with other licence holders. “It’s a farm that drinks water,” Mr Bradshaw said. “Being irrigated, we grow a lot of our own fodder, but we also buy in a lot. “When the dryland country doesn’t produce, we struggle to be self-sufficient. “We forward ordered hay last year and some of that did not turn out. “This year we’re buying it on contract.” They harvested the lucerne crops three times from September 2018 — producing 750 round bales in spring — and in January the milking herd began grazing it. The lucerne was sown in 2016 and they have used fertiliser and water to push the system hard to produce fodder this season. Pastures for Profit and courses about irrigation and business management have helped inform their decisions. They also talk to other farmers and take on ideas they think will work for them. A former secondary school physical education teacher, Mr Bradshaw enjoys the variety that working as a dairy farmer provides. “I always wanted to be a farmer and dairy is an industry that offers opportunities to get into farming. And working with animals is challenging,” Mr Bradshaw said.

Honnie Waller and daughter Zoe in the lucerne crop, sown in 2016 and pushed hard this season so they could harvest it three times. The cows began grazing the crop in late January.

Bugs and Brews David Hardwick (Agroecologist & partner at Soil Land Food) will present this practical hands-on, one day workshop. Around the world there has been an increase in the number of farmers making and using fermentation based products such as EM and biofertilisers. In this practical, hands-on workshop we will look at all these technologies as well as showing you how to make them yourself for low cost. The day will include: • On-farm biotechnologies • Fermentation based products—LAB/EM & Compost Inoculants • Bio-fertilisers, Bioles & Liquid Hydrolysates & how to use them • Discussion of ‘no turn’, inoculated composting • Commercial products Date: 19 February 2019 Time: 9am arrival, for a 9:30am start - 2pm Location: John and Irene Crawford’s Farm 39 Halletts Rd, Darnum Morning tea and lunch will be provided To register, contact GippsDairy 03 5624 3900 or info@gippsdairy.com.au

We’re backing AUSTRALIAN AGRIBUSINESS Talk to a NAB Managing Partner in your region today Northern Victoria Gippsland South West Victoria

Dave Davies Simon Waugh Jaime Barr nab.com.au/agribusiness

All farmers welcome — spaces are limited ©2018 National Australia Bank Limited ABN 12 004 044 937 AFSL and Australian Credit Licence 230686 A121729-1218


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