Dairy News Australia January 2021

PASTURE PARTNERSHIP

Dairy code warning PAGE 5 FANTASY IDW

Dairy Week goes digital.

PAGE 3

New research to focus on pasture profit.

PAGE 7

JANUARY, 2021 ISSUE 123 // www.dairynewsaustralia.com.au

FRESH START After 60 years at its Bacchus Marsh ‘Bullfarm’, Genetics Australia is on the move. PAGE 12

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10.4 - 16.7

2.0

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85.4

OTA Ochratoxin A

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DAIRY NEWS AUSTRALIA JANUARY 2021

NEWS // 3

Pick your cow dream team at fantasy IDW WHEN INTERNATIONAL

Production up but farmers leaving. PG.4

Dairy Week was cancelled many showring fanatics, cow lovers and over-zealous tail brushers hung their heads in misery.

But a ray of light appeared in November when Agri-Gene announced its own virtual, lighthumoured and fantasy footballthemed dairy week.

The Wangaratta-based semen and embryo trader has been involved with IDW for the past 20 years and wasn’t willing to let the third week of January go by without some great cow action.

Starting on January 18, AgriGene has organised four days worth of online events, kicking it off with a Dream Team Competition.

Much like the fantasy football league, virtually assembled teams of 10 cows containing at least three breeds will be pitted against one another in a battle royale.

These 10 cows must all be past IDW Supreme, Broad Ribbon and Class category winners.

The three ‘dream teams’ which impress judge Brian Leslie from Dairy Livestock Services will win either a $1980 semen tank, $1500 worth of CLARIFIDE tests or $1500 in Agri-Gene semen.

Entries will open once the dream team page goes live on AgriGene’s website in early January.

Agri-Gene general manager Chris McIlroy said the business was trying to make the event

unique and engaging for dairy producers.

“It’s been a tough year for everyone with COVID–19 and I think people are looking for things to be involved in and get excited about,” Mr McIlroy said.

“It’s something different.

This year was a good opportunity to have some fun and look back on the many great cows that have been shown at dairy week.”

After the headline event, an NRL star turned dairy farmer and dairy farm-residing AFL player will chat with the group.

Their identifies will be revealed a week out from AgriGene’s virtual dairy week.

Following on from the footy player chats will be a competition for most creative milkshake sculling video.

Truly something for everybody.

Rounding out the event will be a montage of local producers discussing their favourite IDW memories — which are sure to be a minefield, considering the frenzy that is International Dairy Week.

Finally, Agri-Gene will conclude with a virtual tour of the Blondin Sires farm with Simone Lalande, followed by a live Q&A session with Dann Brady.

Keep an eye on Agri-Gene’s Facebook page to stay up-to-date.

Jerseys win with BPI change. PG.14

Preventing heat stress. PG.22

NEWS ������������������������������������������������������� 1 – 20 OPINION ��������������������������������������������������������� 6 MARKETS �����������������������������������������������������10 ANIMAL HEALTH ���������������������������� 22 – 23 MACHINERY ���������������������������������������24 – 27

Could this girl be part of your dream team? IDW 2016 Illawarra Grand Champion and Supreme All Breeds Champion Wallumlands Sunstorm 8th.

DAIRY NEWS AUSTRALIA JANUARY 2021

4 // NEWS

Production up but farmers leaving NATIONAL MILK production is rising but Dairy Australia

reports a growing number of farm exits in northern Victoria.

The latest Dairy Australia Situation and Outlook report found about 11 per cent of Victorian farmers chose not to renew their licence for the 2020-21 season.

“This is a significant increase compared to the long term trend (four per cent), and higher than the rate of exits in 201819,” the December Situation and Outlook report said.

The last period recording regional figures revealed 12 per cent of northern Victorian licence holders did not renew their licence in the 2018-19 to 2017-18 period.

There are about 1100 dairy farms in the region.

On the positive side, Dairy Australia reports more favourable conditions across most dairy farming regions, supporting one of the best seasons of recent years, although a smaller national dairy herd, a drop in farm numbers and labour challenges related to COVID-19 are constraining milk production growth.

National milk production is set to increase in the lower end of a forecast range of one to three per cent growth (8.87 to 9.04 billion litres) due to a weaker than expected spring peak.

Dairy Australia also reports consumer demand for dairy products remains buoyant.

The easing of COVID-19 restrictions has unleashed pentup consumer demand and seen foodservice sales rebound.

Retail stores continue to report elevated sales, with sales of butter and milk increasing 8.7 per cent and 4.6 per cent respectively.

Dairy Australia’s Dairy Farm Monitor Project shows stronger farm gate milk pricing and lower input costs have supported increased farm profitability in all regions in the past 12 months, after the challenges of recent years. This is yet to be translated into increased production.

“This is set to be one of the best seasons of recent times,” Dairy Australia senior industry analyst Sofia Omstedt said.

“Good rainfall in most regions has enabled feed to be grown on farms and softened prices for feed and water, helping many farms to make good profits.

“After strong monthly milk production increases earlier this year, we’ve experienced a weaker than expected spring peak - reflecting a smaller national herd, fewer farm businesses and labour availability challenges from closed state borders and international workers unable to travel.

“Whilst there are risks to the global dairy market balance, an abundance of high-quality grain and hay at attractive prices, plus a continuation of good pasture growth remain the most likely drivers of a lift in milk production this season.”

Wetter weather and improved soil moisture have seen irrigation water prices ease.

Temporary water prices in northern Victorian and southern NSW are now trading below $200/Ml, less than half last year’s level.

FIX SUPPLY CHAINS, SAYS ACCC Once again the ACCC has ruled in favour of farmers.

Following a three-month inquiry into fresh produce supply chains — including dairy — the Australian Competition and Consumer Commission has recommended economy-wide regulatory change.

This follows the inquiry finding harmful power imbalances were rife between farmers, wholesalers and retailers.

ACCC deputy chair Mick Keogh said a lack of competition at the wholesale and retail level made farmers “particularly vulnerable”.

“In addition, the more perishable a product is, the weaker the farmer’s bargaining power often is,” Mr Keogh said.

The ACCC’s Perishable Agricultural Goods Inquiry Report was less critical of

the dairy industry compared to others, like poultry meat and horticulture.

Instead it identified positive developments since January 2020, including evidence of competition among processors after milk prices were announced in June.

The inquiry pointed to the introduction of the Dairy Code in January 2020 as a step forward, saying the code increased transparency of prices and contracting arrangements.

“While there may be room for improvement in some aspects of the Dairy Code, the ACCC considers it too early to be recommending substantial changes to the code,” the report said.

NSW Farmers said the ACCC’s findings validated farmer concerns around power

discrepancies in dairy, poultry meat and the horticulture supply chains.

NSW Farmers vice-president Xavier Martin said competition failures have been known for a long time.

“Dairy, poultry meat and horticulture farmers are bearing the brunt of supply chain inequities,” Mr Martin said.

“We also acknowledge the commitment to improve price transparency under the dairy mandatory code of conduct.

“However, we remain concerned around retail pricing on fresh milk and other popular dairy items.”

National Farmers’ Federation chief executive Tony Mahar said the NFF fully supported the ACCC’s findings.

“We ask that the government demonstrates its commitment to a fair go for Australia’s farmers by implementing

them (inquiry recommendations) in full,” Mr Mahar said.

At its core, the ACCC inquiry wants governments and industries to increase price transparency in perishable goods in order to encourage competition.

It also recommends the Food and Grocery Code, which governs grocer and wholesaler conduct, be made mandatory and include penalties.

The Perishable Agricultural Goods Inquiry Report also asked for an unfair trading practice prohibition to be introduced alongside the strengthening of small business unfair contract term protections.

The inquiry was conducted following a direction from the Federal Government to investigate concerns of harmful conduct in the fresh food industry.

DAIRY NEWS AUSTRALIA JANUARY 2021

NEWS // 5

Report finds code concerns IN GENERAL, dairy processors are engaging with

their obligations under the Dairy Code of Conduct according to the ACCC, but there are areas where improvement is needed.

The Australian Competition and Consumer Commission also revealed it was currently investigating alleged instances of non-compliance in milk supply agreements (MSAs) and hadn’t ruled out taking enforceable action.

“We encourage processors to consider whether their MSAs are compliant with the code in light of the issues identified in this update and to seek legal advice if necessary,” the Dairy Code: Initial Observations on Compliance report said.

Issues identified are: failure to make MSAs freely viewable by June 1, failure to publish nonexclusive MSAs alongside exclusive MSAs, failure to report on MSA disputes by reporting period deadline, failure to make MSAs a single document, MSAs allowing processors to terminate the agreement for non-code compliant reasons, failure to specify end dates in MSAs and the inclusion of automatic rollovers and renewable clauses which are in breach of the code.

Two processors that have had action publicly taken against them are Saputo and Union Dairy Company (UDC).

In Saputo’s case, the company published its MSAs at 3 pm on June 1, 2020 — one hour after deadline.

Following ACCC investigation it was found the failure to meet deadline was caused by a late

The ACCC has outlined multiple areas where non-compliance with the Dairy Code of Conduct is a risk.

technical failure, which caused the files to only publicly be visible by direct link.

Saputo immediately corrected the issue and committed to examining its internal processes.

In the case of UDC, instead of publishing standard form MSAs on its website the company required users to fill in an online form before they could access the MSAs. The ACCC considered this barrier to the MSAs inappropriate and an undermining of the transparency the code was aiming to achieve.

The Federal Government will lead a review of the code this year, with an accompanying report to be completed by December 31.

A second review of the code is scheduled for 2023.

BULLA FIRST WITH STEP-UP A family owned dairy company has become the first processor to announce a milk price step-up for the 2020–21 season.

Bulla Dairy Foods announced an increase of $0.10/kg of milk solids on Monday, December 7.

This step-up will see Band 1 suppliers paid $6.80/kg MS, with new pricing paid retrospectively on milk supplied to Bulla from July 1, 2020.

The new milk solid price for Band 2 suppliers is $6.60 and for Band 3 suppliers $6.40.

The increase follows a year of strong growth and expansion for Bulla and comes ahead of what is anticipated to be the company’s biggest Christmas and summer period yet.

This bumper period is caused by the successful launch of the Murray St icecream range and loyalty from Australian customers — in particular buying-up Bulla cream as more people turned to home cooking during COVID–19 lockdowns.

Bulla Dairy Foods chief executive Allan Hood said 2020 had been a challenging year for everyone.

“However, we wanted to end it with some positive news for our farmers leading into Christmas,” Mr Hood said.

“We are forecasting our biggest Christmas and summer period ever.

“The increase allows our farmers to securely plan for the next couple of months and it further demonstrates our appreciation for their ongoing supply, support and efforts to consistently deliver high quality milk.”

Bulla has no stop charge, volume charge or collection charge as part of its “simple and transparent pricing approach”.

The company also applies a flat payment model to improve farmer cash flow through the season.

Bulla Dairy Foods announced a step-up of $0.10/kg MS on December 7.

DAIRY NEWS AUSTRALIA JANUARY 2021

6 // OPINION work to contain NSW officers (FRNSW) and Fire and Rescue S) (RF s Lewins eer an De unt vol ge/ e P Ima Rural Fire Servic y 5, 2020. Picture: AA of Ulladulla on Januar th sou e hfir bus all a sm

EDITORIAL

One year on from Black Summer

Good news hides the bad news New year, new beginnings.

But often it’s a case of new year, same old story.

DAIRY FARMER Rob Miller has endured four

fires and three floods in a year.

The first blaze came on New Year’s Eve. “We were prepared, but I don’t think anyone could have prepared for last summer,” he said on his Milton farm on the NSW South Coast 12 months on.

He and his partner’s home and major infrastructure survived, but about 75 per cent of their land was razed.

What remained burned when the next fire hit on January 4.

Another one came six days later, a flare up from a nearby rainforest blaze.

The fourth swept through Mr Miller’s property on January 23.

They had 1000 milking cows that went hungry because the fires stopped feed coming in.

“We had them on rations, just waiting to get trucks in. That was the hardest part for a dairy farmer, to know that you’re unable to feed your animals properly,” Mr Miller said.

All up, including from the floods that followed, he lost about 150 cows.

The first rains came in early February: 500 mm fell in 48 hours.

It put out the fires but left a thick layer of ash “that set like concrete and killed everything underneath it”.

Two more floods came after that. Earlier this month, a windstorm ripped the dairy roof off.

“We just were like robots, just trying to keep everything happening. The animals depend on you, you can’t just stop,” Mr Miller said.

“There was no relief. We just had to cope.”

And nothing paints that picture clearer than Dairy Australia’s Situation and Outlook report.

Released in December it tells a familiar story of the dairy industry — national milk production is up, but the national herd size is smaller and dairy farmers are increasingly leaving the industry.

In northern Victoria alone, the largest dairying region in the country by production, 12 per cent didn’t renew their licence for the 2020–21 season.

It’s a figure that’s replicated across the state, with about one in 10 Victorian dairy farmers closing the farm gate for the last time.

“This is a significant increase compared to the long term trend (four per cent), and higher than the rate of exits in 2018–19,” the December Situation and Outlook report said.

While more favourable conditions in most regions have led to one of the best seasons in recent memories, it’s only a highly efficient smaller national dairy herd that is boosting figures.

It’s a trend that is predicted to lead to a four per cent boost in national milk production set to tick past the magical nine billion litres target for the first time in three years, according to Rabobank.

Milk on tap makes history

And records will be broken in Tasmania with a predicted record season of 850 million litres in the 2020–21 season.

Globally and domestically demand for dairy products is strong and continues to grow, despite trade tensions with China, but the ongoing effects of COVID-19 lockdowns make the future unclear.

The cooking trend and dairy consumption unleashed by COVID-19 restrictions show there’s still a strong market for dairy products — but the economic model of heavily discounted dairy products continues to hit dairy producers’ bottom line.

It’s a problem that’s recognised within the industry, by the ACCC and beyond.

Maleny Dairies Ross Hopper and Harris Farm Markets co–CEO Tristan Harris.

Yet, walk through a supermarket and you’ll see permanently discounted cheese, butter and milk.

HISTORY HAS been made with milk from

A 10¢ rise to bring $1 per litre milk to $1.10 per litre is not the type of win the industry needs.

Queensland’s multi–award–winning Maleny Dairies on the Sunshine Coast hinterland on tap at Harris Farm Markets in Brisbane. The dairy business is known for its full cream Guernsey milk, with Maleny Dairies owners Ross and Sally Hopper labelling it a “very exciting” step. The Hopper

family has been farming at Maleny, about 90km north of Brisbane, since 1948. It is now the largest family owned white milk producer in the country and supplies fresh milk, yoghurt, custard and cream products throughout Queensland. Harris Farm Markets, which has been operating for more than 40 years, is set to open two new stores in Brisbane.

Advertising Max Hyde 0408 558 938 max.hyde@dairynewsaustralia.com.au Editor Alana Christensen (03) 5820 3237 editor@dairynewsaustralia.com.au Dairy News Australia is published by Shepparton Newspapers Pty Ltd. All editorial copy and photographs are subject to copyright and may not be reproduced without prior written permission of the publisher. Opinions or comments expressed within this publication are not necessarily those of the staff, management or directors of Shepparton Newspapers Pty Ltd.

Regional editor news@dairynewsaustralia.com.au

And while dairy farmers have adapted, becoming more efficient and ensuring they get the most out of every single input, there’s a limit to what can be achieved without significant solutions.

Publisher Shepparton Newspapers Pty Ltd Printed by Newsprinters Pty Ltd Head Office 7940 Goulburn Valley Highway Shepparton, VIC 3630 Phone (03) 5831 2312 Postal address P O Box 204 Shepparton, Victoria 3632 Australia

WWW.DAIRYNEWSAUSTRALIA.COM.AU

Dairy News Australia welcomes contributions from stakeholders in the dairy industry, and particularly from organisations wishing to advance the industry.

Contributions and photos can be sent to: editor@dairynewsaustralia.com.au Letters to the editor on topical issues are also welcome.

Letters should be concise and carry the name and town address of the author, as well as a contact phone number, not for publication.

DAIRY NEWS AUSTRALIA JANUARY 2021

NEWS // 7

GOOD WEATHER means dairy farming will

be easier for the rest of the season, but it’s also joined by a nine per cent drop in the average farm gate milk price.

In its December quarter dairy report, the Australian Bureau of Agricultural and Resource Economics and Sciences forecasts milk prices will fall due to global production increases and demand shocks.

According to the report by Damien Thomson, a beef farm manager turned ABARES economist, the 2020–21 season is expected to deliver a 47.9 cents per litre average to farmers as a larger milk pool eases competition among processors.

This domestic price fall will bring Australia in line with current world prices for milk powders, cheese and butter, which are all currently falling by 15 to 4 per cent.

Skim milk powder is the only dairy commodity expected to rise globally — by a small two per cent.

In the ABARES report it was noted butter and cheese faired the worse through the COVID–19 shutdowns while milk powder was less impacted.

“Milk powder markets were supported by strong demand from China and prices remained relatively steady. Supply has also remained unaffected because producers have successfully managed minor labour issues and hygiene requirements,” the report said.

Australia’s total milk production is forecasted to increase by two per cent in 2020–21 to nine billion litres, driven by the La Niña event supporting high pasture growth along the eastern seaboard.

Improved seasonal conditions coupled with low hay and feed grain prices have led to higher

An ABARES report says butter and cheese faired the worse through the COVID–19 shutdowns, while milk powder was less impacted due to strong demand from Asia.

retention and restocking of cows, despite the highest cull cow prices in five years.

The ABARES report said if this retention was fully realised it would lead to higher pregnancy rates and the rebuilding of herds already genetically stronger thanks to drought-induced culling in 2018–19.

A positive market trend for dairy processors to latch onto is Australia’s dairy exports in Asia remaining strong, and in the case of Singapore, China and Thailand, growing.

In an ironic twist — as Australia’s barley, wheat, beef seafood and wine industries battle

with the Chinese Communist Party’s trade blockages — China’s population has been buying more Australian dairy.

According to the ABARES report this is due to the new trend among the Chinese to buy from countries with strong food safety reputations and more cautious inventory management.

This is driven by a trend in China to blame food imports for local COVID–19 outbreaks.

Casualties include Norwegian salmon which was banned for a time and a new favourite theory that COVID–19 was imported into China from frozen meat products.

Research focus on pasture THERE IS no place for freeloaders on Australia’s

dairy farms and this fact couldn’t be more evident after rye-grass, lucerne, clover and their ilk were all put on notice.

The Tasmanian Institute of Agriculture and Dairy Australia have joined forces in a new $6.5 million, five-year partnership to improve pasture profitability.

The team has set an ambitious target — to halve nitrogen fertiliser use without affecting the amount of dry forage matter or milk solids per hectare produced on irrigated pasture.

The program is called Dairy HIGH 2, short for ‘high-integrity grass-fed herds’ and its results will be rolled out nationwide once completed in 2025.

Progress will be helped along by ‘farmlets’ — mini-farms run by TIA on its research facility at Elliott in north-west Tasmania.

TIA dairy leader James Hills said results from

the farmlets would be highly relevant to farmers who would be able to see real-life outcomes.

“The advantage of the farmlet approach is that it’s focused on the whole farming system,” Dr Hills said.

“This means we can do a really good comparison of different scenarios to identify the benefits and issues the dairy farms will face on their properties.”

Alongside the farmlets, Dairy HIGH 2 will also look into value-adding measures for nonreplacement calves and conduct the normal slew of workshops and discussion groups.

DA managing director David Nation said the investment with TIA was an extension of a successful research partnership first commenced in 2012.

“The research is targeting significant sustainability gains in pasture production through efficient nitrogen fertiliser use and the reduction of a key input cost for dairy farms,” Dr Nation said.

“It will directly benefit farmers in temperate pasture-based dairy regions across Australia.”

TIA interim director Michael Rose said TIA was proud to lead a nationally-relevant program from Tasmania.

“Our dairy research program continues to go from strength to strength,” Professor Rose said.

The $6.5 million partnership follows the Tasmanian Government and University of Tasmania investing $4.5 million into the TIA Dairy Research Facility.

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TIA dairy leader James Hills (left) and dairy farm manager Bradley Millhouse at the Elliott facility where mini-farms or ‘farmlets’ will be run to put pasture profit theories to the test.

A court hearing for millionaire businesswoman Jan Cameron, who is facing criminal charges brought by the corporate regulator, has been further delayed.

The former director of baby formula maker Bellamy’s is accused of failing to lawfully disclose 14 million shares she owned in the company through herself and an entity titled The Black Prince Foundation.

Ms Cameron has pleaded not guilty to making a false or misleading statement and failing to give information about substantial holdings, and faces up to five years’ jail.

Her expected three-week hearing is not likely to begin until October, Hobart Magistrates’ Court heard in early December, although a final date is yet to be set. It was suggested in August the hearing may be able to occur in April or June.

The hearing is expected to hear five witnesses, including one from the Australian Securities and Investments Commission (ASIC), while Ms Cameron herself may give evidence.

Ms Cameron was originally charged

by ASIC in February 2020.

“This needs to move much quicker from today forward,” magistrate Michael Daly said in December.

Ms Cameron’s lawyer James O’Shannessey has previously complained about delays in the case, including a lack of clarity provided from the prosecution about witness lists.

Legal parties will return to court on March 4 for an administrative hearing.

ASIC alleges Ms Cameron owned shares in Bellamy’s via Curacaodomiciled firm The Black Prince Foundation when Bellamy’s went public in August 2014.

Her alleged holding represented a 14.74 per cent stake in the company, almost triple the five per cent Corporations Act threshold that dictates when a person must lodge a substantial holder notice.

She is also accused of failing to properly disclose her true and complete relationship with the foundation, and the basis upon which she held her interest in the Bellamy’s shares.

www.RideOverGate.com

Pivot Irrigators?

Problem Solved.

VR4630267

Mixed fortunes tipped for 2021

FORMER BELLAMY’S DIRECTOR IN COURT

VR4630267

DAIRY NEWS AUSTRALIA JANUARY 2021

8 // NEWS

First step for Fair Go logo THE FAIR Go Dairy logo has taken

a big step towards approval, with Australia’s competition watchdog proposing to authorise the logo.

A week before Christmas, the Australian Competition and Consumer Commission proposed to authorise the Queensland Dairyfarmers’ Organisation Limited (QDO) licensing scheme for a five-year period.

The QDO has spent three years being workshopped by Queensland dairy farmers.

Under the scheme, QDO will grant processors a licence to use the Fair Go Dairy logo on their products.

The logo will be a clear stamp of approval on dairy goods telling consumers the product contains at least 80 per cent Queensland milk and the milk was purchased for a fair price.

ACCC deputy chair Mick Keogh said the regulatory commission’s preliminary view is the Fair Go Dairy scheme was likely to result in some limited public benefits through small improvements in choice for consumers.

“The ACCC recognises that there are some consumers who want to know more about the dairy products they buy and how much dairy farmers were paid to produce them,” Mr Keogh said.

The Fair Go Dairy Logo created by the Queensland Dairyfarmers’ Organisation. If approved by the ACCC, the logo will be rolled out in Queensland in early 2021 on products paying a fair farm gate milk price to Queensland farmers.

“If the scheme is authorised, it could be useful for those consumers, if they understand what the Fair Go logo conveys.”

So far, none of the major milk processors in Queensland have indicated they will participate in the logo scheme.

Several smaller processors have expressed an interest.

The ACCC has granted interim authorisation to QDO to allow the farmer group to immediately commence negotiations with milk processors and undertake marketing and planning for their logo scheme.

However resulting agreements cannot be signed until the ACCC’s final determination, which is expected to occur in February or March 2021.

DAIRY SEATS ON CLIMATE COUNCIL Dairying is prominently represented in a new Victorian ministerial advisory council on climate change.

The Victorian Agriculture and Climate Change Council will provide independent and strategic advice to the agriculture minister about the challenges and opportunities facing the Victorian agriculture sector from an increasingly variable climate.

The members include Lisa Dwyer, a south-west Victorian dairy farmer and current nonexecutive director of the Murray Goulburn Cooperative and Australian Livestock Export Corporation.

Her career spans roles in finance, sales, marketing and business development. She was previously a member of the Dairy Australia Board and currently serves as a member of the Australian Institute of Company Directors Great South Coast and chair of the Great South Coast Regional Partnership.

Managing partner at Montrose Dairy in Fish Creek, Gillian Hayman is also on the committee.

She has more than 20 years’ experience in natural resource management, agriculture extension, project management and engagement activities.

Ms Hayman runs her own consultancy business in Gippsland, consulting with government, industry and community groups.

In 2015, she was awarded a Victorian Landcare Award for innovation in sustainable farm practices. She also serves on the board of the Promontory District Finance Group, which oversees the operation of local Bendigo Bank branches.

Fonterra executive Jack Holden was also appointed to the committee.

Mr Holden is the general manager of sustainability for Asia Pacific at the Fonterra Group, focusing on climate impacts, water security and animal welfare.

Mr Holden was previously associate director of KPMG’s Sustainability and Climate Change practice and an adviser to the Victorian Government.

He is also the president of the Sustainable Agriculture

Initiative (Australia), chair of the Revegetation Committee at Greenfleet and sits on the steering committee for Dairy Sustainability Framework at the Australian Dairy Industry Council.

Rural Bank chief executive officer Alexandra Gartmann will steer the Victorian Agriculture and Climate Change Council as chair.

Dairy farmers are among the members of a new climate change committee.

DAIRY NEWS AUSTRALIA JANUARY 2021

NEWS // 9

Rapid growth fuels big loss EMPLOYEES AND shareholders of

Freedom Foods have a “right to be angry and frustrated” as the company seeks to recover and focus on growing dairy and nutritionals segments.

The company, which operates a major dairy processing plant in Shepparton, is seeking to raise up to $280 million to recapitalise and has sold its two most recognisable operations —snacks and cereal —for $20 million to Arnott’s Group in an effort to simplify the business and find money.

Freedom Foods delayed reporting on the 2019–20 financial year after discovering it had a warehouse with $60 million in out–of–date, unsaleable and obsolete products.

Trading in Freedom Foods was suspended while an investigation took place.

Revealed in early December, the total write–downs for FY20 and adjustments to previous annual accounts totals $590 million.

“The rebuilding of Freedom Foods Group will not be a quick or easy process,” non–executive chairman Perry Gunner said, although he won’t be around to lead the recovery.

Mr Gunner, finance committee chair Trevor Allen and part–owner and corporate farmer Ron Perich will not seek re–election at the AGM on January 29.

“We have faced genuine challenges —some external beyond our control and others internal that have required urgent and intensive intervention by the board and our new executive team,” Mr Gunner said.

It comes after law firm Slater and Gordon filed a class action against Freedom Foods Group Ltd and its auditor, Deloitte, following the announcement of write–downs and adjustments to its balance sheet totalling $590 million.

The class action alleges eligible shareholders have claims against Freedom Foods and Deloitte as a result of acquiring shares between December 7, 2014 and June 24, 2020.

The proceeding alleges Freedom Foods contravened its obligations of continuous disclosure of price sensitive information under section 674 of the Corporations Act 2001 by failing to release material information relevant to its financial performance in respect of inventory, property plant and equipment, goodwill, trade and receivables, bad and doubtful debt, and other matters.

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It also alleges Freedom Foods made statements about its financial performance that amounted to misleading or deceptive conduct and that half– year and full–year financial reports did not provide a true and fair view of Freedom Foods’ financial position.

Total revenue increased 26 per cent to $580 million, dairy and nutritionals was up 37 per cent to $362.9 million — yet the company booked an annual loss of $174 million.

Interim chief executive Michael Perich said systems and processes had not evolved with the rapid growth in assets and revenue, while Mr Gunner said the problem was that growth in some businesses was not “profitable growth”.

A review of the economics of every product line, site, sales channel and market segment is under way.

“Freedom Foods needs to become a simpler business —and that includes identifying parts of our business that may perform better under different ownership,” Mr Perich said.

Dairy and nutritionals recorded a loss of $46 million despite “pantry stocking” due to the COVID–19 pandemic increasing demand.

Three directors will be leaving Freedom Foods.

Selling prices for some products did not cover costs, and delays in commissioning a new lactoferrin plant and UHT expansion led to losses from the sale of surplus milk.

With obsolete stock written off and the Shepparton plant in northern Victoria now operating on a “much–improved basis”, the company expects the segment to return to profitability in FY21.

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DAIRY NEWS AUSTRALIA JANUARY 2021

10 // MARKETS

Global outlook is positive AS A challenging 2020 draws to a close, the

global outlook for dairy is optimistic according to a new Rabobank report, thanks to strong commodity prices, forecast economic growth in many regions and improving consumer sentiment.

The report says global milk production growth is, however, projected to moderate in 2021 after a strong 2020, with forecast growth of about 2.7 billion litres of milk equivalent compared to 4.5 billion litres in 2020.

Rabobank dairy analyst Michael Harvey said milk production growth across the global ‘big seven’ dairy exporters (New Zealand, Brazil, Argentina, Uruguay, European Union, United States and Australia) had surprised in 2020 — growth in liquid milk equivalent at its highest since 2017 — but that supply growth would now slow across all export regions.

“The EU and South America should see the largest slowdowns next year, with output in Oceania being flat,” he said.

As seasonal production slows in the Northern Hemisphere, Mr Harvey said demand projections look to remain stable — and that strengthening retail performance in the wake of COVID–19 would further support commodity prices.

“Commodity prices remain at higher levels after a rally in recent months, and we expect these prices to remain into 2020,” he said.

“In Europe and the US, previous dairy stockpiles are now reaching commercial channels, which is further positive good news for prices.”

The report says globally, several factors will positively impact consumer sentiment in key dairy markets in 2021, including the advanced states of several COVID–19 vaccines, less political uncertainty after the US election and forecast economic growth in most regions.

Australian outlook Milk production had grown in all Australian regions, except Queensland, the Global Dairy Quarterly Q4 2020: To New Beginnings report said.

Although with the season having passed its peak in October, Rabobank has now trimmed the full-year production growth forecast slightly, expecting growth to remain at two per cent and reach 8.95 billion litres.

With favourable seasonal conditions and cheaper feed bills after the recent bumper grain harvest, Mr Harvey said Australian dairy farmers

were well placed to enjoy consecutive seasons of dairy farm profitability.

Accordingly, the latest Rabobank Rural Confidence Survey, released this month, reported a strong lift in Australian dairy farmers’ confidence levels, and an improvement in investment intentions.

The limited national dairy herd remains a constraint on milk production growth, with cull cow prices still elevated.

“Culling has slowed more recently, but we’ve come off an extended period of higher culling during the drought, and rebuilding the herd — and maximum production — will take time,” Mr Harvey said.

Rabobank’s farm gate milk price forecast has been revised sightly higher at $6.30/kg MS for 2020–21, a figure Mr Harvey said was mostly profitable and supportive of milk supply growth.

And while the domestic dairy market continues to perform well, and the Australian economy is well placed in managing the impacts of the COVID–19 pandemic and reopening, milk supply growth is outpacing total domestic dairy demand — with Australia’s exportable surplus expected to expand through the rest of the 2020–21 season.

Chinese imports The report says Chinese dairy imports are set to decline in 2021, with milk production in China projected to increase at a strong pace of around six per cent year-on-year through early 2021, increasing to 6.5 per cent in the second half of the year.

“This is based largely on a short-term push from strong year-to-date Oceania heifer exports to China, however long-term production growth will depend on continuous investments in dairy on the back of improved profitability,” Mr Harvey said.

Meanwhile, Chinese dairy inventories have accumulated during the second half of 2020, and LME imports are expected to see a double digit drop in 2021. Rabobank retains a demand growth forecast of nine per cent year-on-year in the first half of the new year, slowing to around three per cent year-on-year in the second half of 2021.

“Higher milk production and moderate demand growth suggest weaker dairy imports in 2021, and higher domestic inventories in

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Rabobank senior dairy analyst Michael Harvey says timely rainfall across key dairy regions has seen the milk pool begin to recover.

China could also potentially limit trade,” Mr Harvey said.

Potential challenges in 2021 Economic recovery and the impact of less government intervention will determine global dairy demand strength through early 2021 — with governments across the world inevitably having to scale back both dairy purchases and also cash payments supporting consumers, the report says.

“A key reason for strong demand and healthy dairy trade during the pandemic has been government action in many countries during 2020, however an economic recovery supported by

a COVID vaccine would help drive demand in these vulnerable countries,” Mr Harvey said.

Impacts of the second COVID–19 wave and lockdown across Europe and the US could have a significant effect on foodservice demand in quarter one 2021, if extended.

However, retail sales should strengthen further as more meals are consumed at home.

The report also warned La Nina in the Southern Hemisphere — while bringing the potential to strengthen the Australian season — is already delivering drought to southern Brazil and Argentina, and the severity of the event could impact dairy production.

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DAIRY NEWS AUSTRALIA JANUARY 2021

MARKETS // 11

Production is forecast to hit nine billion litres AUSTRALIAN MILK production is expected to increase by four per cent next year, reaching a number the industry hasn’t met in three years — nine billion litres.

This increase will be driven by favourable farm conditions such as abundant feed stocks, summer rainfall and a lowering water price.

Tasmanian farmers will be the most productive, with Tassie farms on track to eclipse their record 2019–20 year with 850 million litres in 2020–21.

All this has been outlined in the Rural Bank’s Australian Agriculture Outlook 2021 report.

In addition to the good year Australia’s dairy farmers are expected to have, production in New Zealand, the European Union and the United States is also on the increase.

The report says the increasing milk supply will provide a higher exportable surplus, which is likely to lead to growth in export value of four to five per cent.

Demand for milk powder is expected to peak in early 2021 before tapering off as China looks to stockpile.

Japan’s demand for cheese remains sluggish as their own local milk pool increases and foodservice demand remains low.

Rural Bank’s Josie Zilm said the growing milk supply would likely create downward pressure on global dairy prices.

“However, this will be partially offset by importers prioritising food security,” Ms Zilm said.

The report says Victoria will see the biggest swing back to hospitality goods after the state’s intense lockdowns.

When it comes to milk price step-ups, a farmer’s only hope is for their processor to do exceptionally well selling products and pass the windfall down the line.

“Domestic demand is expected to shift from supermarkets back to foodservices … increasing demand for premium products such as soft cheese and butter.”

Rural Bank predicts there will be increasing demand for premium products such as soft cheese and butter in 2021.

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DAIRY NEWS AUSTRALIA JANUARY 2021

12 // NEWS

Former directors back GA move GEOFF ADAMS

GENETICS AUSTRALIA’S plan to move its

whole operation to a new base at Camperdown, in western Victoria, has been welcomed by a number of former directors who have a long history with the co‑operative.

Genetics Australia will take over the Total Livestock Genetics operation and name from January 4, and GA’s bull management, semen management and semen collection and production services will be transferred from Bacchus Marsh to the TLG site in Camperdown.

Genetics Australia said the $5.8 million purchase would create efficiencies in the semen production system that would reduce GA’s cost of production per year, allowing the co‑operative to substantially build its business turnover.

The move is the latest step in the 60-year history of the farmer run co‑operative.

On July 17, 1958, a meeting at the State Research Farm at Werribee marked the start of what was to become the Victorian Artificial Breeders Co‑operative Society and ultimately Genetics Australia.

Deloraine farmer Simon Bennett served on the board between 2004 and 2014, during a time when there was a lot of merging and consolidation in the industry.

An early photo of Parwan Park under development, the first home of Genetics Australia, at Bacchus Marsh.

“I guess it was pretty challenging when the co‑operative was trying to position itself in the market,” Mr Bennett said.

He recalls some discussion about mergers when GA was trying to transform into a major player in the face of strong national competition.

“At the end of the day we were always trying to consider what is best for GA and the industry.”

He sees the move as a natural change when urban encroachment was extending from Melbourne to Bacchus Marsh, and said the move should give GA more scale.

Mr Bennett was running a family farm before becoming aggregation manager with Australian Dairy Pastures.

Former Timmering farmer, Bruce Lloyd, was on the board of a Rochester herd improvement

North American bull, Judge, proved popular with breeders.

co‑operative when he was invited onto the board of GA in 1968.

He was recruited by chairman Sir John Reid, who served as chair for more than 15 years.

Mr Lloyd said Sir John wanted to engage more young farmers, who would appreciate the new technology being developed in artificial breeding.

He appreciated the factors influencing the decision to move to Camperdown.

NSW farmer Rob McIntosh was a director of Genetics Australia when the organisation was looking to achieve a national reach in 1994.

Mr McIntosh, from Berry on the Shoalhaven coast, said the Victorian Artificial Breeders, as it was then known, joined discussions with the NSW Government to see if they could merge with Graham Park Breeding Services where Mr McIntosh was involved. He eventually joined the VAB board as a NSW representative.

“I was a regular visitor to Bacchus Marsh and even in those days you could see it was becoming encroached by urban development,” he said.

“And there were not a lot of dairy farms down there. Heading to Camperdown makes a lot of sense.”

An aerial shot of Total Livestock Genetics’ Camperdown site, which Genetics Australia will be steadily moving into while selling its Bacchus Marsh facility over the next two years.

DAIRY NEWS AUSTRALIA JANUARY 2021

NEWS // 13

The Jersey bull, Lang Park Spotted Dan (SPOT), was one of the more popular sires of the 1970s.

He sired the legendary Yarravale Danny Boy, the most prolific Jersey sire, whose popularity remained long after he died.

In the late 1970s and through the 1980s there was a move from Jersey to Holstein taking place. The Roybrook Starlite sons, including Murribrook Starlite Loyalty (MBSL), proved popular.

An early picture of the Bacchus Marsh facility.

Despite the difficulties milk processing co‑operatives have had in recent years, he sees a future for co‑operatives in the wider dairy industry.

Former Langwarry north farmer, Colin Gardiner was a member of the GA board between 1997 to 2010 and a chair for three years.

He said the original decision to place the new genetics body at Bacchus Marsh had proven to be a wise one as the business was centrally located and the passage of time had proven the investment was a good one.

Now the company was able to capitalise on the value of the property in its move to new premises in the Western District.

“There were dairy farms in the original area and it was in an irrigation area and there was sufficient space for the bull farm.

“I think we need to give credit to the original board for their wisdom in that choice.”

Mr Gardiner, now retired, worked with prominent dairy industry leader John Harlock, whom he said made a major contribution to the co‑operative, and Gordon French from Queensland who had a great belief in the future of Australian genetics.

He also held a high regard for former chair and director, Peter Stewart, from Stratford, Gippsland, who was his mentor in artificial breeding in his early days on the board in the 1990s.

An early picture of the co‑operative, then known as Victorian Artificial Breeders.

Photo: Genetics Australia.

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DAIRY NEWS AUSTRALIA JANUARY 2021

14 // NEWS

Jerseys win with BPI change LESS COMMON dairy cow breeds will no

longer be judged on how good a Holstein they are, after DataGene changed its Balanced Performance Index system to account for different breed objectives.

The move comes as a relief to Jersey Australia, which has been asking for the BPI inputs to become less Holstein-centric.

Jersey Australia general manager Glen Barrett said the new-look system was a “critical update”.

“This small change is a critical first step towards greater recognition of different breed objectives in the national index,” Mr Barrett said.

“Jersey Australia congratulates DataGene and the industry for recognising and responding to our calls to adjust the national index.”

In DataGene’s December ABVs — the first to include the new BPI system — the top Jersey herd was no surprise.

First-place herd, White Star Jerseys — owned

by Con and Michelle Glennen at Noorat, in south-west Victoria — has always been a heavyweight in the breed.

Second place was taken by Brookbora Jerseys in Tennyson, northern Victoria, a herd which normally hovers around the fourth and third positions.

Owned by Rob and Sandra Bacon, the Brookbora herd contains 250 milking cows and multiple bulls used in AI programs going into the United States, Canada and Europe.

“We breed for long-lasting, good-type, profitable cows,” Mrs Bacon said.

Mr Bacon said Jerseys were a great cow because of their feed conversion rates, ease of care and low calving difficulties.

“A ‘sustainable cow’ is the new term being used to describe them,” he said.

The top Jersey herd was White Star Jerseys owned by Con and Michelle Glennen.

“We breed our cows to last and milk well, and if they are good enough to go to a show then they can go.”

Another northern Victorian Jersey breeder has also done well.

Rohan and Graeme Sprunt run a dairy farm and stud operation outside Shepparton, and

breed their Jerseys to be bigger and able to compete with the Holsteins.

The brothers saw their top genomic bull, Kaarmona Bazyli, go from a BPI of 281 to a BPI of 361.

Despite the massive jump in the bull’s overall genetic scorecard, Bazyli actually fell two places in overall rankings as other

bulls climbed their way up thanks to the new index.

It all works out as good news for the Jersey breed, as DataGene becomes more workable and useful for Jersey enthusiasts and farmers.

Ayrshire, Brown Swiss, Australian Red Breed, Illawarra and Guernsey breeds have also had their judgment criteria tailored.

Good Bulls Guide for Holsteins — Balanced Performance Index (BPI) — Australian Proven only Indices Bull ID

Bull Name

BPI $

BPI Rel

Production Traits

Conformation Traits

Survival

HWI

ASI

ASI Rel

No. Dtrs

No. Herds

Survival

Rel

Over Type

Mam Syst

Type Rel

Daughter Fertility

Workability Milk Spd

Temp

Like

Rel

Dtr Fert

Rel

CBCONTENDER

MR SUPER CONTENDER

436

89

420

154

98

354

63

112

75

106

102

93

101

105

108

90

109

87

250HO12746

OCD KINGBOY RAMBO

418

89

405

150

98

401

62

112

75

105

107

90

103

103

106

90

109

83

DESTINATION

KAARMONA DESTINED — ET

386

82

438

98

91

70

21

109

69

105

104

84

104

104

105

78

112

78

GILES

WILARA JOSUPER JO — ET

357

83

269

236

92

86

27

107

70

103

96

85

103

104

107

84

105

69

MAEBULL

CALISTER MAEBULL

347

93

367

109

99

1,186

138

107

92

104

99

96

101

101

104

96

109

95

29HO17747

COOCKIECUTTER HARPER

338

88

277

233

96

169

40

104

77

100

102

91

101

101

100

93

105

89

JSPOWERBALL

VIEW-HOME POWERBALL P ET

335

90

311

181

96

181

40

106

88

94

99

94

103

101

103

92

106

93

29HO17607

BRYCEHOLME SS BOASTFUL

334

93

368

131

99

563

81

104

95

96

99

95

100

100

103

96

114

98

GEEMCEE

RENGAW MANOMAN HUMMER — ET

332

93

288

220

99

1,228

141

104

89

99

98

97

98

102

103

96

106

98

29HO17706

DE SU 12128 TAILOR

329

89

334

71

96

189

33

108

80

107

111

91

105

101

104

88

104

91

Good Bulls Guide for Jerseys — Balanced Performance Index (BPI) — Australian Proven only Indices Bull Name

BPI $

7JE01344

WILSONVIEW IF MATT

335

7J1038

ALL LYNNS LOUIE VALENTINO

287

AUSSIEGOLD

BROADLIN AUSSIEGOLD P — ET

7J1219

DUTCH HOLLOW OLIVER P

011JE01150 BONTINO

BPI Rel

Production Traits HWI

ASI

ASI Rel

95

276

106

97

99

199

76

100

255

98

151

121

247

95

193

91

DEERVIEW VALSON

242

96

292

CAIRNBRAE BONTINO

238

96

110

CRVVOYANT

MERSEYBANK CLAIRVOYANT

238

92

VALIN

KINGS VIEW VALIN 4697

237

94

TAHBILK

BEULAH TAHBILK

226

CRVMARVARIE

WALLACEDALE MARVARIE ET

214

Bull ID

No. Dtrs

Conformation Traits

Survival

Daughter Fertility

Workability

No. Herds

Survival

Rel

Over Type

Mam Syst

Type Rel

219

38

110

89

108

109

92

104

105

105

92

97

94

2,838

247

114

99

113

114

99

103

107

108

99

94

99

99

1,109

173

108

97

107

104

96

102

104

104

98

97

99

98

400

57

110

84

110

113

95

100

106

107

93

97

93

-74

98

310

72

113

94

110

109

92

102

104

105

93

107

97

125

98

459

89

111

87

109

110

91

102

101

103

93

93

95

208

76

95

134

40

107

85

101

102

83

100

104

103

86

102

90

130

100

97

324

65

112

77

109

106

91

104

104

105

95

93

90

97

102

179

99

708

118

104

92

105

108

95

104

105

105

96

94

96

92

139

155

95

116

38

104

86

105

106

84

101

104

102

90

97

91

Milk Spd

Temp

Like

Rel

Dtr Fert

Rel

DAIRY NEWS AUSTRALIA JANUARY 2021

NEWS // 15

ABS thrilled with new ABVs THERE HAVE been some changes to how

bulls are scored for the Australian Breeding Values lists, but the big boys at the top of the leader boards have remained largely unfazed and unchallenged.

Wisconsin-based ABS Global took the opportunity to highlight its sires in the December ABVs, after its top sires retained their spots at the ‘pointy end’.

ABS Australian business operations manager Bruce Ronalds said consistency underpinned the company’s bull offerings, a result the company was especially proud of considering the refinements to the way dairy animals are ranked.

“The stability of ABS sires in this (ABVs) release proves the product mix and the traits we are breeding for are those that Australian dairy farmers want in their herd,” Mr Ronalds said.

One of ABS’s best Holstein bulls, Tailor, in fact saw his BPI score lift under the score changes, to +338.

Mr Ronalds said 29HO17706 De-Su 12128 TAILOR was fast becoming a farmer favourite

due to his past, and current, position as the highest breed score for udders.

While proven bulls like Commander and Nirvana continue to be talked up by ABS, the company is turning towards its upcoming generation of sires, which it says are “ready to burst onto the Australian scene”.

The standout in this new generation is 29HO19485 Bomaz EPISODE, with a BPI of 494 and an HWI of 507.

“He’s 112 for daughter fertility, 110 for mastitis resistance and 111 survival - the fact he is bred from the famous Bomaz herd is really an added bonus,” Mr Ronalds said.

The Bomaz herd was built in Wisconsin by brothers Bob and Greg Zwald and their wives Kay and Irma.

The first shipment of semen from Episode has already sold out and the second shipment is soon to meet the same fate.

In the Jersey breed, northern Victoria’s Kaarmona Balenti CSCBALENTI bred by Rohan

“It’s exciting, there’s potentially another eight to 10 bulls that will be proven in Australia by April and the early signs show they could be the strongest offering yet,” Mr Ronalds said.

29HO19485 Bomaz EPISODE is a popular new generation bull at ABS.

and Graeme Sprunt was congratulated by ABS for impressing dairy farmers.

Leading the genomic list was CSCJAMIEO, bred by western Victorian Paul Lenehan and accessible through ABS’s relationship with Central Sire Co-op.

Good Bulls Guide for Red Breeds — Balanced Performance Index (BPI) — Australian Proven only Indices Bull ID

BPI $

Bull Name

Production Traits

BPI Rel

HWI

ASI

ASI Rel

No. Dtrs

Conformation Traits

Survival

Daughter Fertility

Workability

No. Herds

Survival

Rel

Over Type

Mam Syst

Type Rel

Milk Spd

Temp

Like

Rel

Dtr Fert

Rel

VIKRTOKYO

VR MALBACK TUOMI TOKYO

352

80

244

243

92

76

16

105

75

105

104

65

100

100

106

75

101

89

VFOSKE

V FOSKE

284

93

204

193

100

3,022

194

108

99

102

107

98

102

102

105

99

100

99

ARBCYGNET

BEAULANDS SWANNIES — ET

280

83

275

157

93

85

34

106

82

98

105

75

104

103

106

86

105

87

AXBBLACKWOOD

BLACKWOOD PARK BLACKWOOD

269

81

207

204

94

109

11

105

66

99

108

73

103

103

104

76

98

85

ARBSCAREBEAR

JOHVILLE PARK SCAREBEAR

235

90

258

125

98

372

63

104

86

93

98

92

103

101

104

95

107

90

Good Bulls Guide for Brown Swiss — Balanced Performance Index (BPI) — Australian Proven only Indices Bull ID

BPI $

Bull Name

Production Traits

BPI Rel

Survival

HWI

ASI

ASI Rel

No. Dtrs

No. Herds

Survival

Rel

Daughter Fertility

Workability Milk Spd

Temp

Like

Rel

Dtr Fert

Rel

93SBJ03

HERCULES

239

42

191

193

56

16

5

100

36

99

98

102

42

103

42

SUPHADRIAN

SUPERBROWN HADRIAN

213

56

194

184

80

42

10

101

40

99

100

103

48

106

48

GGHEGALL

HEGALL

187

69

134

171

95

140

27

99

55

100

97

101

80

101

66

GGPARAY

PARAY

150

55

111

131

79

29

5

104

31

100

96

105

62

101

44

GGPAYLENG

PAYLENG

125

44

98

129

58

36

7

100

28

100

99

104

60

102

41

Good Bulls Guide for Guernsey — Balanced Performance Index (BPI) — Australian Proven only Indices Bull ID

Bull Name

BPI $

GUACTION

BROOKLEIGH BQ ACTION

140

AUSFAYSBOO

KOOKABURRA FAYS BOO

0200GU08184

BPI Rel

Production Traits

Conformation Traits

Survival

HWI

ASI

ASI Rel

No. Dtrs

No. Herds

No. Dtrs 1st Cntry

Survival

83

218

-36

92

77

14

109

106

80

108

41

95

116

35

GOLDEN GATE PRADA KAKADU

95

54

99

93

72

21

10

7GU00458

SPRINGHILL JOKES JAGUAR ET

21

46

11

13

51

NAVARRO

LANG HAVEN ALSTAR NAVARRO

4

44

9

38

47

Over Type

Mam Syst

83

98

101

82

101

102

103

69

108

87

107

84

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DAIRY NEWS AUSTRALIA JANUARY 2021

16 // NEWS

Students mooved by program SCHOOLS AND students from

across Australia have been working hard to promote the Australian dairy industry, developing 60-second commercials to showcase the industry.

Part of the Cows Create Careers program, the competition saw Drouin Secondary College in Victoria win the 60-second commercial and Galen Catholic College in Victoria win the advertising competition.

Both schools will receive a $1000 prize following voting on MaxCare’s Facebook page and website.

MaxCare business manager Tom Newton said Drouin Secondary College did an excellent job highlighting all the different careers available within the dairy industry.

The public voting process saw more than 1000 votes for both competitions combined.

“It’s fantastic to see the support for this initiative and it is a great advertisement for our industry,” Mr Newton said.

“The video certainly brought a smile to our faces and many communities throughout the nation.”

The Cows Create Careers program helps to provide practical, insightful

Drouin Secondary College students Portia and Jordyn (right) with MaxCare’s Adam Plant.

Galen Catholic College student Grace Jenkins and principal Bernard Neal.

dairy industry education and demonstrates the career opportunities and education pathways for secondary school students across Australia.

It was started by the Strzelecki Lions Club in Gippsland, Victoria, in 2004 and has now grown into a national program.

In 2020, 234 schools across Australia with 12,870 students completed the program.

MaxCare supplies the calf milk replacer the students feed to the calves over the six-week period.

Cows Create Careers program manager Deanne Kennedy said by bringing calves into schools, students had fun learning about the different skills required in the dairy industry.

“It’s important to introduce this program into schools while the

“We think the Cows Create Careers program is fantastic,” Mr Newton said.

“It shines a light on our great industry and the opportunities that exist and shows kids a clear pathway into how they can have a career in the dairy industry.”

The program involves each school hosting two dairy calves loaned by local farmers, which they must raise for up to six weeks.

students are thinking about what they would like to do,” Ms Kennedy said.

“It broadens their minds to the possibilities out there.

“The program is also a great opportunity for dairy farmers and industry advocates who have vision and dairy industry knowledge to share this with students and pass on valuable experience to the younger generation.”

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DAIRY NEWS AUSTRALIA JANUARY 2021

NEWS // 17

Milk trading hub expands THE MILK Exchange has taken

another step towards becoming the milkman’s AuctionsPlus.

On December 3 the business switched from being a pure fresh milk trading hub to including cream, milk powder, whey, butter, non-cow milk and more.

This expansion comes after a successful first year for the Milk Exchange, which is owned by Melbourne-based milk services company Milk2Market.

Milk2Market commercial development manager Richard Lange said the Milk Exchange had a good 2020 after being launched in October 2019.

“We expected to trade about 20 million litres in the first year because it was new and people were experimenting with it, but we ended up seeing 100 million litres traded,” Mr Lange said.

The 100 million litres of surplus, uncontracted milk was supplied by more than 400 dairy farmers.

Most of these early-adopting farmers came from south-west and northern Victoria, Gippsland in south-east Victoria, and the NSW south coast.

Despite the success, there still remains a milk deficit as farmers get to grips with the platform and its growing list of buyers.

“With the good season we’re seeing a few farmers trying it out to see if they can get a better price for their surplus milk rather than just selling it to their main supplier,” Mr Lange said.

“My advice is to talk to your advisers and trial the site out.

“Don’t go all in, test what the Milk Exchange can offer you and make sure you understand what the opportunity is.

“We have a team of industry experts here that you can talk to as well.”

The minimum amount a farmer can sell through the Milk Exchange is 400 litres.

There are no maximums and several farmers have formed 12-month supply contracts through the site.

It’s the buyer’s responsibility to organise how the dairy product is collected from the farm, with some of them relying on the Milk Exchange’s own delivery service.

Northern Victorian farmers have the most to gain when using the Milk Exchange as they can sell down into Victoria, up into NSW and, in certain cases, across to South Australia since the site has no milk pool limitations.

“We’re very interested to see how the northern Victoria region responds to this,” Mr Lange said.

Milk Exchange chair David Green said the online trading hub has brought the milk supply chain down to three clicks.

“It’s a three-click process: dairy buyers and sellers nominate their buy and sell requirements; accept that offer or make a counteroffer; and with the final click, the trade is accepted under standard terms and conditions,” Mr Green said.

The new cheese-including Milk Exchange is named Dairy Trades @ Milk Exchange and can be visited at www.milkexchange.com.au where registering is free and comes with no obligations to trade.

Milk Exchange chair David Green with the revamped site. Several large updates will be rolled out over 2021 including security upgrades, a dairy price index based on actual trades made and tools for dairy buyers to create their own supply chain opening avenues.

“With the good season we’re seeing a few farmers trying it out to see if they can get a better price for their surplus milk rather than just selling it to their main supplier.”

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DAIRY NEWS AUSTRALIA JANUARY 2021

18 // NEWS

Seaweed feed wins big prize A CSIRO livestock feed additive made from sea-

weed has been awarded US$1 million after claiming the richest prize in the global food arena.

The product, known as FutureFeed, was recognised by the Swedish-based Food Planet Prize for its unique potential to not only create environmental and climate benefits but also improve profits and livelihoods in seaweed farming.

This year was the first time the Food Planet Prize awarded four $1 million prizes, rather than two.

CSIRO established the FutureFeed company in August, with the intention to take the feed additive to market with investment from GrainCorp, Woolworths, Harvest Road and more.

Dairy cows which eat in a milking parlour twice a day and feedlot beef cattle are the main targets of FutureFeed.

When fed to cattle in small amounts, Asparagopsis seaweed has been observed to not only cut emissions by 80 per cent but also increases livestock productivity.

FutureFeed director Michael Battaglia said the funds from the prestigious award would be used to help meet the company’s goal of delivering the world’s first ultra low-carbon beef and dairy by mid–2021.

“We plan to use part of the prize to establish a fund to enhance the participation of Aboriginal and other First Nations people around the world in Asparagopsis supply chains,” Dr Battaglia said.

“Already in Australia we have agreements between the Indigenous Land and Sea

Asparagopsis seaweed in Tasmania. This crop is being grown by Sea Forest to resource an anticipated spike in demand for FutureFeed.

Corporation involving the Narrunga Nation Aboriginal peoples and a seaweed growing company, CH4.”

The Narrunga people occupy the Yorke Peninsula and have a strong fishing and sea culture.

FutureFeed chief scientist Rob Kinley said the remainder of the prize would be used to advance research on how best to deliver the seaweed to livestock on pasture.

FutureFeed has been developed with Meat & Livestock Australia, James Cook University and subsequent collaboration at UC Davis and Penn State in the US with both dairy and feedlot animals.

NZ EXPANDS PLANTAIN TRIAL Fonterra and Nestlé are teaming up with DairyNZ to expand a promising plantain trial to help improve waterways and reduce on-farm greenhouse gas emissions.

Incorporating certain varieties of plantain into a cow’s diet has been shown to reduce the nitrogen concentration in their urine, which can leach through soil into groundwater.

To test the benefits in local pastures, DairyNZ has been leading the Tararua Plantain Project in the lower North Island, where farmers have been growing the leafy herb for their cows. The Ministry for Primary Industries is also involved as a key contributor.

Now, Fonterra and Nestlé are helping expand the project further through additional funding and by sharing expertise.

The new collaboration is helping to accelerate uptake of Ecotain — a blend of environmentally functional plantain cultivars developed by seed company Agricom.

Currently, 50 Tararua farms have started to use plantain, through DairyNZ’s Tararua Plantain Project.

The project also focuses on improving understanding of how farmers can implement Ecotain successfully and engaging farmers through workshops, events and a

national farmer network to extend knowledge.

DairyNZ’s general manager for new systems and competitiveness, David McCall, said the dairy sector had a wide range of work under way to reduce nitrates entering waterways and reduce on-farm emissions.

Including the leafy herb, plantain, in dairy cows’ diet shows excellent promise to help improve waterways, and may also reduce greenhouse gas emissions.

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DAIRY NEWS AUSTRALIA JANUARY 2021

NEWS // 19

Looking for Focus Farmers

An open day held at the Ondit property of Focus Farmers Dale and Karen Angus.

DAIRY FARMERS looking to take their busi-

ness to the next level are invited to consider WestVic Dairy’s Focus Farm project.

Expressions of interest to participate in this two-year program are currently open, with the successful farm business to be given access to a team of experienced farmers and service providers, led by an expert farm consultant, to help achieve its goals.

The Focus Farm initiative has become a flagship project in western Victoria, with multiple farmers taking part, and many more learning from this ‘real farm, real decisions’ extension format.

The successful business hand-picks its support group, to ensure it includes people whose opinions are trusted and respected.

The group meets eight times a year to discuss opportunities available to the Focus Farm over the coming months.

This presents the farmer with several detailed and fully costed options to consider.

Dale and Karen Angus farm at Ondit, and they have been Focus Farmers for 18 months.

“Being involved in the project has been a great benefit to our business,” Mrs Angus said.

“We have enjoyed working with the support group and have embraced new ideas after discussing the options with them.

“More importantly, our business is more productive and profitable as a result of taking part.”

Focus Farms hold three open days over the two-year period to allow others in the industry to learn from the farm’s progress — as well as hear from experts on current local topics.

Previous and current Focus Farmers have used the program to help them with specific issues they face, such as growing more feed, improving herd fertility, incorporating technology and workforce planning.

WestVic Dairy regional manager Lindsay Ferguson said the Focus Farm program aimed to ensure farmers were fully informed when making business decisions.

“Whilst dairy farmers are used to making complex decisions, there is an increasing level of volatility in the industry,” Mr Ferguson said.

“Whether that volatility is due to markets, input costs or seasonal conditions, having all relevant information to hand allows farmers to be more confident in the decisions they make.

“We would like to hear from farm businesses keen to explore ways of thriving in the dairy industry — whether you are a new entrant, or your family has been farming for generations.

“It may be that you have a particular story to tell, such as changing farming systems or succession planning.

“Alternatively, if you know a farm you believe suitable, please encourage them to apply.”

Interested farmers should phone WestVic Dairy on (03) 5557 1000.

y r e v e g reachin mer in dairy farntry the cou

ISSUE: FEBRUARY & MARCH

PASTURE IMPROVEMENTS Dairy Farmers across the country will be preparing their pastures through autumn. They will be looking to produce high yielding and quality pasture to assist in improving milk production and quality whilst minimise feed costs throughout the year.

The February and March editions of Dairy News Australia will include an extensive Pasture Improvement Special Report to assist farmers in making the best decisions for their pastures.

This is your opportunity to influence dairy farmers buying decisions nationwide.

BOOKING DEADLINE: AD MATERIAL DEADLINE: PUBLISHED:

February edition January 19, 2021 January 27, 2021 February 9, 2021

CONTACT: Max Hyde Mob: 0408 558 938 E: max.hyde@dairynewsaustralia.com.au

March edition February 16, 2021 February 24, 2021 March 9, 2021

DAIRY NEWS AUSTRALIA JANUARY 2021

20 // NEWS

Feed costs drive profits MAXIMISING ON-FARM feed pro-

duction is key to running a profitable dairy farm, according to new research from farm advisory business Xcheque.

In an industry review released

by Xcheque managing director Jon Hauser and farm business consultant Neil Lane, the two men concluded feed cost was the most important and complex profit driver on a dairy farm.

Dr Hauser said the top 25 per cent of farmers were “almost universally” getting more feed per dollar invested.

“Our analysis shows the importance of maximising feed production from your available land and water assets,” he said.

Mr Lane said management of stock rates, paddock rotation and pasture residuals were essential to feed success.

“We’re more likely to see wastage through under-grazing in the spring and suppression of regrowth by over-grazing in the summer and winter — both result in a reduction in potential pasture harvest,” he said.

These findings were presented in the final chapter of a comprehensive five-part economic review into the dairy industry, compiled by Dr Hauser and Mr Lane.

They also found that better labour productivity and a more equitable milk payment system were needed to improve farm profitability.

“If the Australian dairy industry is genuinely serious about profitability, the elephant in the room is the return of a suitable wage and return on capital for farm owners,” the review’s conclusion said.

“Many Australian dairy farmers continue to operate with, and because of, unpaid owner labour and a significant amount of owner equity... this presents a daunting challenge for the industry.

“It is nonetheless a challenge that the industry needs to face up to if there is to be a reversal of production decline.”

Neil Lane and Jon Hauser, authors of a comprehensive economic report on the dairy industry.

The review’s findings were based on 14 years of published data from the Dairy Farm Monitor project and five years of data from 84 farms in the Southeast Australia Sentinel Farm Group.

Dr Hauser said he wanted the way the industry looked at feed costs to change.

“We believe the industry should be focused on feed production per dollar of investment rather than a specific industry target for tonnes per hectare,” he said.

“It is important to understand that Australia is not a ‘one size fits all’ dairy industry.

“Successful farmers adapt to the climate, the feed and water resources available to them, and the market they sell their milk into.”

All sections of the Xcheque Review of Australian Dairy Farm Economics can be found at: www.xcheque.com/ articles

SunRice enters New Zealand market NSW RIVERINA-BASED SunRice

has expanded into the New Zealand market with the $10million purchase of a dairy nutrition business on the North Island, where the dairy industry is concentrated.

The acquisition will give SunRice’s CopRice arm the Ingham Group’s North Island feed mill in Hamilton and the Top Cow and Top Calf feed brands.

It represents SunRice’s first entry into agribusiness across the Tasman.

The sale is expected to be completed by March this year.

Ingham’s company secretary David Matthews said the Hamilton feed mill was a facility dedicated to the production of dairy feed solely for external

sale and was non-core to Ingham’s operations.

“The sale reflects Ingham’s focus on optimising its core poultry business as part of its strategic objective to deliver more consistent, predictable and reliable returns to shareholders,” Mr Matthews said.

SunRice chairman Laurie Arthur said the move was evidence of their growth strategy.

“Disciplined management despite the challenges of 2020 has ensured our balance sheet has remained strong and we are are focused on continuing to leverage that strength to acquire value-accretive businesses,” Mr Arthur said.

“This acquisition will see CopRice take its deep dairy nutrition expertise to

one of the world’s largest dairy production countries, building on our existing export business into New Zealand by adding local production capacity.

“We have made a number of recent investments in the CopRice business, including the repurposing of the former Coleambally SunRice mill, the acquisition of Riverbank Stockfeeds dairy and beef businesses and investment in our Wangaratta site to reconfigure it into a manufacturer of companion animal products.”

Mr Arthur said the business being acquired had generated revenue of NZ$25million in the year ended June 2020.

The company said the purchase costs would be funded from existing cash reserves and debt facilities.

SunRice has expanded into New Zealand.

SunRice recorded an after tax profit of $22million for the last financial year.

The dairy business hardly rated a mention in Ingham’s last annual report, except to note that

New Zealand revenue increased 1.3 per cent in the year, which was attributable to growth in poultry volumes offset by decline in demand for dairy feed volumes due to favourable pasture conditions.

WOOLIES GIVING GRANTS TO DAIRY FARMERS All Australian dairy farmers who contribute milk to Woolworths, either directly or through processors, can now apply to receive $100,000 from the grocery giant.

The farm improvement grants are part of Woolworths’ new Dairy Innovation Fund — a pool of $5 million set aside to be divvied out to dairy farmers over the next three years.

From December 1 until February 16, farmers can apply for the first round of grants provided they supply raw milk to Woolworths or to a processor that stocks dairy products in Woolworths.

The grant does not need to be re-paid or require any copayments, and any successful applicants will be required to participate in “low-level media and marketing activities” should they be asked, according to the grant guidelines.

Woolworths director of buying Paul Harker said the fund would help Australian farmers invest in their future while also increasing resilience.

“Dairy farmers have faced tough conditions in recent years through droughts and bushfires,” Mr Harker said.

“This fund will assist in turning long-planned farm improvements

into a reality, so we’re inviting dairy farmers to tell us how they would use up to $100,000 to improve their operations.”

This fund has been designed in consultation with Australian Dairy Farmers, Dairy Australia, National Farmers’ Federation, Premium Milk and the NSW Farmers dairy committee.

Up to 20 dairy farms a year will have their grant applications approved.

More information on the farm improvement grants can be found at: www.woolworths.com.au/ shop/discover/sustainability/ dairy-innovation-fund

Successfully applying for the Woolworths Dairy Innovation Fund means farmers will be able to invest in farm improvements — and they might also appear in a few snazzy ads. Pictured is Farmers’ Own supplier Pauline Grimmer-Cobbledick from the Otways region.

DAIRY NEWS AUSTRALIA JANUARY 2021

22 // ANIMAL HEALTH

Prepare for a hot summer LUCY COLLINS

ASIDE FROM an obvious drop in milk produc-

tion in lactating cows, heat stress events can have many hidden costs on a dairy herd.

Poorer fertility, loss of body condition and impaired immunity can also result from exposure to extreme temperatures.

Heat-stressed dry cows can have reduced milk yield in the following lactation and produce smaller, less productive and fertile calves.

Cows need to maintain a core body temperature within a narrow range of 38.6°C to 39.3°C. This temperature fluctuates throughout the day depending on ambient conditions, and cows will use several behavioural and physiological

Dairy farmers are being urged to protect their herd from heat stress.

DRYING OFF? CHOOSE PRODAIRY.

mechanisms in an attempt to avoid becoming overheated or heat-stressed. Seeking spaces with airflow, water and shade is common.

Panting, sweating, changed hormonal levels and blood flow patterns, and reducing feed intake by up to 20 per cent to lower rumen heat production all help cows dissipate unwanted body heat or prevent an increase in core body temperature.

Once a cow’s core body temperature is elevated enough to exceed her inbuilt coping mechanisms for a prolonged period, she is considered to be ‘heat-stressed’.

Open-mouthed breathing, excessive drooling and group seeking of shade are all signs of this.

As we approach peak summer temperatures, take a moment to consider your own herd’s susceptibility to heat stress.

Jerseys and Brown Swiss are more tolerant of heat than Holstein Friesians, as are your younger and lower-production animals.

Diet, temperament and distance walked can also exacerbate heat stress.

Cows usually need around three weeks to acclimatise to their environment, so sudden spikes in temperature or humidity are more likely to be stressful than consistent warm weather.

Remember to expect reduced conception rates if mating during the hot summer months, and plan accordingly to compensate for poorer performance.

Bulls will be less enthusiastic and semen quality may be affected by heat stress, so bull numbers may need to be increased.

Cows will display less oestrus behaviour, which can make heat detection challenging, so extra effort may be required to ensure detection remains accurate enough to maintain high submission rates.

Oocyte quality may be reduced and calf viability may be affected, so you may need

The choices you make at dry-off will impact the future profit of your business. Make a different choice this season.

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Dairy News Australia columnist Lucy Collins.

to consider joining more heifers or cows to account for this.

Preparing ahead and anticipating hot weather is imperative. When planning for extreme heat events, things to consider include: ■ Monitoring breathing rates in 20 cows (60-plus breaths per minute is getting dangerous).

■ Pre-wetting yards.

■ Delaying afternoon milking.

■ Using sprinkler systems if available (avoid misting — this actually prevents cows from dissipating heat).

■ Ensuring plentiful drinking water is available to and from the dairy.

■ Providing shade and ventilation wherever possible (perhaps also including over the dairy yard).

■ Adjusting your feeding program — graze your best quality pasture overnight when temperatures are cooler.

■ Fencing tree lines to preserve tree root systems and minimise ‘cow camping’.

There are a vast number of long-term infrastructure investments and management strategies that may be implemented on your farm to help your herd cope with hot weather.

Obviously, not all strategies will be appropriate for all operations so for further information, I’d recommend getting your hands on a copy of Dairy Australia’s Cool Cows booklet by catching up with your regional extension officer or visiting: dairyaustralia.com.au/resource-repository/2020–11/24/cool-cows---strategies-formanaging-heat-stress-in-dairy-cows Lucy Collins is completing her dairy residency with the University of Melbourne. She works as an on-farm veterinarian in Kyabram with Apiam Animal Health, and alongside her partner on his family’s 650-cow dairy farm in Dixie. She is a 2021 Nuffield Scholar supported by Gardiner Dairy Foundation.

DAIRY NEWS AUSTRALIA JANUARY 2021

ANIMAL HEALTH // 23

Tips to keep cows cool

CUTTING–EDGE BOLUS TECHNOLOGY

COWS TAKE on heat from the environment

and generate metabolic heat from eating and digesting feed.

Problems occur if temperature and humidity increase and cows can’t balance their metabolic and environmental heat gains.

Dairy cows need to maintain their core body temperature between 38.6°C and 39.3°C. Core body temperature changes slightly throughout the day, reaching a peak in the early evening and a low in the early morning.

In hot environmental conditions, cows offload heat with a range of physiological and behavioural strategies.

Metabolic heat is being produced all the time.

During the day this heat is not as easily dispersed. If night–time conditions are sufficient to allow adequate dispersal of heat, the cow will not suffer ill effects.

If this diurnal cycle of heat accumulation during the day and loss during the night is disrupted by high night–time temperatures the effects become more noticeable.

The level of environmental heat a cow is exposed to over time is determined by: ■ Air temperature and relative humidity.

■ Amount of solar radiation.

■ Degree of night cooling that occurs.

■ Ventilation and air flow.

■ Length of the hot conditions.

Unseen responses to excessive heat load Apart from observable changes in behaviour, there are also unseen physiological changes that occur within the cow: ■ Feed intake decreases by 10 per cent to 20 per cent when the air temperature is more than 26°C. ■ Core body temperature rises.

■ Blood hormone concentrations are changed.

■ Blood flow distribution is altered, blood flow to gut, uterus and other internal organs is decreased, blood flow to skin is increased.

The unseen changes can have far–reaching consequences on the productivity, health and welfare of cows.

Temperature and humidity Increasing air temperature and humidity reduce the cow’s ability to cool itself.

Heat exchange between the cow and the environment occurs through radiation, conduction, convection and evaporation processes.

Supplementing micronutrients reduces the risk of deficiencies and supports overall cattle health and performance, which in turn delivers a wide range of benefits —from growth rates in young stock to fertility in cows.

While there are several different supplementation options available, managing director at the Denis Brinicombe Group, Keith Greig, says it is essential to supply a full spectrum of trace elements and vitamins to optimise cattle potential.

“Supplementation of trace elements and vitamins is vital to reduce the risk of nutritional imbalances in grazed and forage-fed cattle,” Mr Greig said.

“Deficiencies can cause a host of problems with varying degrees of severity, which can ultimately compromise herd health and performance.

“Because some trace elements, such as cobalt and iodine, can’t be stored within the animal and daily requirements of certain micronutrients can fluctuate, for example, due to physiological stress, it’s important that levels are always topped-up.”

Mr Greig said boluses offered a convenient and cost-effective method of micronutrient supplementation and can provide a sustained level of nutrients daily for a prolonged period.

He said Brinicombe’s new EnduraBol range used cutting-edge bolus technology to ensure reliability and consistency in supply.

“The original, patented technology behind the new boluses delivers a

With temperatures heating up, Dairy Australia is offering tips on preventing heat stress in dairy cows.

The direction of heat exchange depends on the temperature difference between the cow and the surrounding environment.

When the air temperature is higher than the cow’s temperature, heat is absorbed.

When the air temperature is lower than the cow’s temperature, the cow offloads heat and cools down.

The greater the temperature difference, the faster the flow of heat.

Top 10 short–term actions to consider during the hot season ■ ■

■ ■

■

■

■

■

■

■

Delay afternoon milking until 5pm.

Wet the dairy yard for an hour before cows arrive.

Set up a sprinkler system at the dairy yard.

Install a large water trough on the exit side of the dairy.

Sprinkle cows for 30 to 60 minutes while standing in the dairy yard waiting for afternoon milking.

Increase your cows’ grain and concentrate feeding rate, feed high–quality forage fibre and higher quality protein sources, and increase cows’ intakes of potassium, sodium and magnesium.

If you don’t have a shade shed, bring the milking herd back to the dairy yard around midday and use the sprinkler system to cool cows. If possible, give them access to high quality hay or silage.

Provide cows with the highest quality pasture available to graze overnight when they are cooler.

Mate more heifers to compensate for lower in–calf rates expected in milkers during the hot season to help maintain your desired calving pattern.

Implement a tree planting program starting with trees on the western side of the yard.

Top 10 long–term actions to consider: ■ ■

■

■

■

■

Review the whole farm for shade.

Develop a farm plan that incorporates significant tree plantings over time on the northern and western edges of pastures, and plant deciduous trees along laneways.

Fence–off tree lines to protect tree roots from cow treading and reduce the chance of cows lying down in mud and dung.

Install a shade cloth over the dairy yard to enhance cow cooling prior to milking.

Install water troughs in all paddocks and along laneways.

Combine shade and sprinklers at the dairy yard with a feed–out system for high quality forage or partial mixed ration close by.

sustained release of micronutrients for up to an extensive 120 or 240-day supply window, to provide precision nutrition in conjunction with the animal’s needs.

“Generally, boluses only provide three or four trace minerals. But the cold pressure treatment in the EnduraBol manufacturing process enables the delivery of six trace elements as well as three vitamins in a robust, single construction bolus.

“All this is encased within a twin resin coating which provides a single point of erosion, preventing inconsistent breakdown and regulating the release of micronutrients.

“While the addition of an inert weight ensures the bolus remains in the reticulum, before dissolving naturally at the end of the product’s lifespan, leaving no residue.”

For more information on the EnduraBol range, visit livestockaustralia.com

Nigel Lloyd administers a bolus.

Ensure cows can move freely between both areas during hot weather.

■ Build a shade shed with a solid roof set over a feed pad integrated with a PMR feeding system.

■ Install a sprinkler system set with temperature controls in the shade shed over the feed pad which is integrated with the effluent management system.

■ Install fans if air movement through the shade shed is inadequate.

■ Assess the impact of withholding insemination during hot weather on herd profitability.

For more information, visit: dairyaustralia.com.au — Dairy Australia

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DAIRY NEWS AUSTRALIA JANUARY 2021

24 // MACHINERY & PRODUCTS

Tech boost for mixer wagons THE UPGRADED Keenan MechFiber

range and the vertical auger range of mixer wagons are delivering results for dairy farms.

Now part of the Alltech Linert business in Australia, the Keenan range has been revised and improved to better suit Australia’s unique market, says Keenan Australia business manager Donal Blackwell.

“No matter the operation, it is crucial that producers choose a machine which has the appropriate machine specification for their farm business,” Mr Blackwell said.

“With the MF range of machines, we have significantly improved long forage feed processing with 50 per cent more floor knives, along with heavier duty top knives and curved bale tines.

“This has significantly improved processing of forage rations compared with Keenan machines of old.

“With no gearboxes in the MF range, the longevity of the chain drive system is important.”

As standard all MF machines over 16 cubic metres have an oilbath for the chain driveline, a central greasing

point simplifying the maintenance requirements.

Mr Blackwell said with lead time, new machines can be factory customised with features to suit your individual farm requirements including stainless steel floors, elevators up to 4.5m or rear axle steering.

“As we move into an era of automation, the InTouch weighbox technology, fitted as standard, is a feature found on no other mixer wagon in the marketplace,” he said.

“With smart phone access and full nutritional support, the Keenan InTouch service allows producers to have unrivalled control over the nutrition and performance of their herd.

“Moving away from weighing systems with no accountability, the InTouch technology ensures animal health, performance and profitability is maximised with the ability to monitor accurate feed loading and unloading, ration mix consistency as well as feed stock inventory management.

“This versatile system can also be retro-fitted to any mixer wagon machine to better enhance your dairy operation’s performance.”

The Keenan MechFiber range, including the MF365, has been recently updated.

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DAIRY NEWS AUSTRALIA JANUARY 2021

MACHINERY & PRODUCTS // 25

Massey Ferguson is top tractor MASSEY FERGUSON has taken home the

Tractor of the Year 2021 award, with the MF 8S.265 tractor impressing judges.

Due to touch down in Australia this year, the panel of judges cited the new style, new and innovative transmission, new cooling system and hydraulic system, and silent cab as some of the standouts for the tractor.

Massey Ferguson was also congratulated for the new suite of technology used in the tractor.

Part of the MF 8S Series, the 265hp tractor was launched internationally this year.

Built on a 3.05m wheelbase the range offers maximum power from 205hp to 265hp, all with an extra 20hp from Engine Power Management (EPM).

A 7.4 litre, six-cylinder turbodiesel engine powers the tractor,.

In other categories, Best Utility was awarded to Valtra for its model Valtra G 135, and Best Specialised was won by Fendt with the model Fendt 211 V VARIO. To assign the Tractor of the Year award, a jury of 26 experts studied the best technologies and solutions proposed by the most important manufacturers on the market.

The Claas Axion 960 Cemos took home the award for Most Sustainable Tractor of the Year across all categories.

The panel of judges labelled the tractor a big step towards a more sustainable farming future.

The optimisation of tyre pressure and fuel savings were singled out by the panel, who said the innovations helped to lead to a more efficiency performance on field in any working conditions.

Tractor of the Year finalists Armatrac 1254 Lux Crd 4 Case IH Quadtrac 620 Claas Axion 960 Cemos Fendt 1167 Vario Mt Kubota M 7173 Kvt Landini Series 7 V Shift Massey Ferguson 8 S.265 New Holland T 6.160 Steyr 6240 Absolut CVT

PERFORMANCE, SIMPLICITY AND RELIABILITY ENGINEERED TO PERFORM MANUFACTURED TO LAST

Supreme International manufactures single, twin and triple auger processors with sizes ranging from 235-1877 cubic feet. Unlike most other vertical mixers that use smaller single stage planetary drives, Supreme uses the heaviest two-stage planetary drive available. Each Supreme pull The Supreme processor is designed type is builtvertical to order with a large variety of options available, ensuring each to have fewer weargets points and a simplicity that customer a unit that is designed to meet their specific needs. gives hassle free maintenance Supreme’s mixing tubs have been carefully AR200 WALLS designed for easier loading, better mixing and longer life. The unobstructed opening facilitates loading of whole bales, regardless of type or size.

Supreme International manufactures single, twin and triple auger processors with sizes ranging from 235-1877 cubic feet. Unlike most SYSTEM other verticalSCALE mixers that use smaller single stage planetary drives, Supreme uses the STEEL OIL RESERVIOR(S) heaviest two-stage planetary drive available.

Combined with a heavy duty gearbox, this robustFULL system rotates the auger through the SIZE PLATFORM toughest of materials.

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02 6852 02 6852 32113211 2 Parkes Rd, Forbes NSW 2871 2 Parkes Rd, Forbes NSW 2871 www.forbesmachinery.com.au www.aeh1.com.au

DAIRY NEWS AUSTRALIA JANUARY 2021

26 // MACHINERY & PRODUCTS

Tight supply likely in 2021 THE FULL impact of COVID-19 is yet to be

felt in the machinery sector across regional Australia, with experts predicting many industries will struggle to obtain vital equipment in 2021.

While other industries ground to a halt in 2020, the equipment market boomed, according to the head of a leading online machinery marketplace.

Machines4U.com.au chief executive officer Steve Krebs said the platform saw unprecedented growth throughout 2020.

“Demand for agriculture equipment and generators more than doubled,” Mr Krebs said.

“COVID-19 has been a magnifying glass across the capital equipment industry, highlighting the strengths, and importance, of individual businesses and industries across the country.”

Mr Krebs said demand for used equipment was expected to skyrocket in 2021, with stock of new machinery expected to dwindle in the coming months.

“International factories, including those in the US and Europe, are experiencing slower production rates and a reduced shipping capacity to Australia, causing bottlenecks in shipping with delays of up to three to four months.

“Cargo ships have been held up around the country due to equipment breakdowns or industrial action and stock that has arrived on-shore is delayed due to strict biosecurity and health protocols on imports, not to mention global trade tensions.

“The supply of new equipment will be few and far between, which will drive up the demand and price of used equipment.

In some cases, sellers are moving into the hire game to maintain cash flow, a shift that is likely to become more common the longer shipping delays continue.”

Mr Krebs said sellers may need to get inventive within the capital machinery market in 2021.

“Anyone selling machinery, of any sort, is in a really unique position,” he said.

“The capital equipment game has long been a face-to-face, handshake industry.

“COVID-19 changed the way buyers searched for the machinery they need, and due to trade show cancellations and restrictions, it wasn’t always possible to head down to the local dealership.

“This has forced machinery sellers to adapt and evolve, moving away from traditional channels, and embracing digital channels, such as online marketplaces.”

DAIRY NEWS AUSTRALIA JANUARY 2021

MACHINERY & PRODUCTS // 27

Case IH wins ag–tech awards CASE IH has taken home multiple

global awards for agricultural innovations from the annual American Society of Agricultural and Biological Engineers.

Seven awards for outstanding agricultural innovations were awarded to Case IH at the annual AE50 Awards to honour the year’s most innovative designs in engineering products and systems for the food and agricultural industries.

The prestigious awards, conferred by a panel of international engineering experts, are chosen on the basis of their impact on advanced engineering for the food and agricultural industries.

The 50 best products from around the globe are named on the final list.

This year the awards will be presented at the virtual ASABE Agricultural Equipment Technology Conference, to be held in February.

The Case IH award winning innovations all hail from the brand’s successful Customer Driven Product Design process.

Among the Case IH award winners this year is the AFS Connect Steiger series, the brand’s largest and most

Case IH’s AFS Connect Steiger series has taken out a global award.

The Case IH Axial–Flow 8250 is an award winner.

powerful tractor range, featuring the latest technology in data management systems to enable operators to adjust, monitor and transfer data as they want.

The redesigned, ergonomic cab with built–in telecommunications

The LB436 HD large square baler (due for release in Australia in 2021) took out one of the awards, helping producers achieve maximum bale density and high–quality bales through a newly–designed bale chamber.

connectivity also enables remote display viewing for faster servicing and more efficient support.

The MultiControl Armrest design in the new Steiger and Magnum series tractors was also recognised with a separate AE50 award.

The Axial–Flow 250 series combines have also been recognised, the sieve pressure visualisation helping maximise cleaning system performance by equipping the operator with the feedback needed to save grain and make the correct harvesting parameter adjustments.

BUILT TOUGH

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The new range of McIntosh Bale Feeders are designed to a strength and performance standard with an all steel construction. Every detail has been carefully thought out to reduce breakdowns and provide trouble free operation for years to come. *optional extras shown

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15M x 18M x 5.1M (50’ x 60’ x 17’) High grade industrial building with easy roller door access and PA door. Full Colorbond included.

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13M x 27M x 5.1M (43’ x 90’ x 17’) Awesome protection with drive-thru convenience.

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9M x 15M x 4.5M (30’ x 50’ x 15’) Open front shed in large 5M bays for better storage.

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18M x 27M x 5.1M (60’ x 90’ x 17’) What a great shed! Industrial rated. Ideal packing or machinery shed. Add an end wall for $3,880 or an extra bay for $5,280.

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13M x 18M x 5M (43’ x 60’ x 16’8”) Two large 9M bays. Can be extended at any time. Colorbond available at extra cost.

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15M x 22.5M x 5.1M (50’ x 75’ x 17’) Great farm shed with three closed sides. Easy to extend.

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THE NOW BUILDINGS ADVANTAGE 100% Australian steel, 100% Australian made, 100% Australian family owned High tensile bolts & class 4 fasteners, gutters & downpipes included Site specific engineering, heavy duty connection & footing design High grade industrial strength materials and design

CALL 1300 559 668 OR VISIT WWW.NOWBUILDINGS.COM.AU TREVOR 0431 597 160

JAMES 0413 104 820

JOHN 0437 699 111

Images are from the Now Buildings range and are for illustration purposes only. Imperial measurements are approximate. Extras pricing in bold is applicable at the shed purchase stage only. Extensions for existing sheds POA. WA and NT slightly extra. Delivery extra. Now Buildings will not be responsible to honour these prices once the total allocation has been sold. E&OE. Prices are Region A, Terrain cat. 2. Reg B available at slightly extra. Prices are based on collection from one of our many depots, delivery is available at an extra charge in most areas. *You should consult your own tax and accounting advisors before engaging in any transactions.