Dairy News Australia August 2015

El Nino hay risk PAGE 9 MG BOARD TILT

FAST PACED

Call for payment review PAGE 17

AUGUST, 2015

Production doubled PAGE 22

ISSUE 61 // www.dairynewsaustralia.com.au

HELPING HAND New rules increase labour pool. PAGE 4

Get a Great Deal On Your New Manure Spreader Today 60TVA

75TVA

90TVA

*stock available for immediate delivery

www.landaco.com.au

150TVA

Freecall:

1800 358 600

SKIOLD DISCMILLS • More utilisation out of your grain!

• Mill pinched or small grain • Mill two or three different grains at once • Quiet operation • Easy to adjust grinding degree • Minimum maintenance • Exceptional durability on wearing parts • Low power consumption • Capacity up to 12 t/h • No V-belts or chain drives • Two grease nipples one pump every 500 hours • Tried and approved by Australia's best farmers!

• European quality and manufactured

CALL US FOR MORE INFORMATION! CONTACT: Phone: 0755 477 588 martin@vacmillsolutions.com.au

& SKIOLD & Vacuum Milling Solutions • www.vacmillsolutions.com.au

DAIRY NEWS AUSTRALIA AUGUST 2015

NEWS // 3 Since taking on the role as manager at Binnowee Dairy at Oura NSW, three years ago, Travis Thompson has more than doubled production. But his plans for the farm don’t end there. PG.22.

The latest round of Chinese investment in Australian dairy will open doors. PG.06

Robb eyes eleventh hour deal on TPP

Smithton in Tasmania is among the finalists named in the search for Australia’s dairy capital. PG.10

MADELEINE BRENNAN

New program boosts winter growth.

PG.27

NEWS .......................................................3-11 AROUND THE REGIONS ..............12-13 WORLD NEWS ........................................ 15 OPINION .............................................. 16-17 MARKETS ...........................................18-19 BREEDING MANAGEMENT ..... 20-21 MANAGEMENT ...............................22-23 ANIMAL HEALTH .......................... 24-26 HAY AND SILAGE .......................... 28-31 MACHINERY & PRODUCTS ...................................... 32-34

MINISTER FOR Trade and Investment Andrew Robb remains optimistic agreement on the world’s biggest regional trade deal is within reach, despite negotiations turning sour at the end of trade talks in Hawaii late last month.

“We all went to Hawaii with the aim of concluding and while we didn’t quite get there we are definitely on the cusp,” Mr Robb said.

“Most importantly, the resolve remains to get this done.”

The 12 countries negotiating the Trans-Pacific Partnership Agreement are Australia, Brunei Darussalam, Canada, Chile, Japan, Malaysia, Mexico, Peru, New Zealand, Singapore, the United States

and Vietnam. Together they constitute around 40 percent of global GDP. Increased market access for dairy in the US, Canadian and Japanese markets was a key sticking point of the negotiations.

“While nothing is agreed until everything is agreed, I would say we have taken provisional decisions on more than 90 per cent of issues and during my involvement in TPP negotiations this has been by far the most productive meeting at both ministerial and officials’ level.”

The Australian Dairy Industry Council said all TPP nations had to demonstrate a willingness to negotiate in good faith.

“Major dairy players must recognise the importance of trade liberalisation and honouring previ-

ously agreed positions to advancing negotiations in a positive manner,” chairman Noel Campbell said. “A commercially meaningful outcome for the TPP would provide benefits to all countries involved, their industries and consumers.”

Mr Robb told Sky News that the US, as the biggest trader of dairy exports in the group, had to take a leadership role from here if an eleventh-hour deal was to be reached.

“I think the big issues really rest as much with the United States as with any of the other 11 countries. On the issue of dairy, New Zealand really is a sort of by-product of the problem; it is the US, Canada and Mexico – because of their previous NAFTA agreement – and Japan, because of its big consumer role – those four countries have not got to a solution

With a long history of innovation and quality, Duncan are experts at creating intelligent, durable equipment that can handle the daily rigors of farming. From Jumbo and Multi-feeders through to our SLR feeders and heavy-duty tip trailers, Duncan Agmech has a feed-out solution to suit.

Get in touch today.

03 9314 9666 • admin@duncanag.com.au www.duncanag.com

TALK TO YOUR DEALER ABOUT VARIOUS FINANCE OPTIONS

multi-plgeu,ssilage & hay.

Feeds balea . silage wagon Doubles as a

between themselves.”

DairyNZ chairman John Luxton agreed, saying if there was a commitment by the US to take a more liberal approach, he thought Japan and Canada, with prompting, would see it was in their interest to do the same.

“Australia and NZ work closely together but it needs the US to come onside now and say their interests are in the original intention of the TPP. This involves a commitment to remove trade barriers rather than erect new ones because there is an element of that going on in this case,” he said.

Mr Robb said there would be trilateral talks in the next few weeks and “hopefully we meet within four to six weeks to see if we can reach a conclusion this time.”

DAIRY NEWS AUSTRALIA AUGUST 2015

4 // NEWS

Agreement expands overseas labour pool DAIRY FARMERS can access a fresh pool of skilled workers following the finalisation of an industry-wide labour agreement.

The new agreement, filed with the Department of Immigration by Dairy Australia and formalised in July, recognises the skills of senior farm hands or production managers in 457 visa application.

Dairy Australia’s policy strategy manager Claire Miller said the dairy industry would continue to rely on overseas workers to meet labour demand in the short to medium term and changes to the 457 visa

criteria were necessary to meet local needs.

“Previously you could only get in farm managers (on 457 visas) but it’s senior farm hand managers Claire Miller that are most in demand,” she said.

“These changes mean a senior farm hand, with more than five years’ experience, or a Certificate III in Agriculture (or equivalent) with three years’ experience, is eligible under the 457 system.”

She said as part of the applica-

tion process farmers must be able to demonstrate they have advertised the role and are unable to recruit locally.

“Ultimately, we want to hire Australians – it’s certainly a lot easier and something the dairy industry is focused on – but if farmers are not getting anywhere hiring from the local labour pool, they do need to be able to demonstrate that they have at least tried.”

She said the changes would

hopefully reduce the sector’s reliance on unskilled and short-term backpackers.

“Backpackers are not really a long term solution to labour shortages,” she said. “As soon as farmers get them trained up, they’ve got to move on.

“Although there is quite a bit of paperwork involved with the application, the payoff is that you get the right worker for your operation and you do get them for between 3 to 4 years, with the possibility of the visas extending beyond that.”

Visit www.dairyaustralia.com.au

Seasonal worker program extended FARM MANAGERS may soon be able to benefit from additional overseas workers during peak periods.

Changes to the rules governing the Federal Government’s seasonal worker program, supported by Australian Dairy Farmers, mean dairy farms may be able to access short-term labour during periods of peak milk production, where there is a shortfall locally. The horticulture, aquaculture, cane and cotton sectors already access the program.

The aid-based program benefits both farmers and workers, helping to fill short-term labour needs while opening up new opportunities for individuals and small villages in Timor-Leste and the eight participating Pacific nations. Other Pacific nations are also currently being invited to take part.

Seasonal workers are can return each year, so farmers fully benefit from the training they provide.

App takes hard work out of safety training A NEW app developed

by FarmsSafe Australia aims to simplify the process for inducting

employees in on-farm occupational health and safety.

Australian Centre for

Agricultural Health and Safety (ACAHS) director Tony Lower said the app was developed in

response to feedback from farmers that OHS training, although important, could be time consuming and complex.

“Regardless of how long an employee is on site, it’s a legal requirement that farmers provide an OHS induction and that they can verify the training took place,” Mr Lower said.

“An employee can download the app to their smart phone or tablet, work through it with the employer and then have a notice of completion emailed to both the employer and employee.”

The app works through a checklist of advice from areas such as using chemicals and machinery to what to do in an emergency. The advice is generic in nature so that it can be applied

KEEP YOUR FARM SAFE: 1) Identify hazards and fix them as soon as possible 2) Have clear procedures for activities that are particularly risky 3) Make sure everyone - including visitors and especially kids - understands the procedures 4) Have an emergency plan in case there is an accident.

across different types of farms.

“But there is scope to add elements and tailor it to specific needs,” he said.

There have been 24 deaths on Australian farms to June 30 this year – or around one per week.

Gordon Gregory, CEO of the National Rural Health Alliance (NRHA) said safety was always important, particularly for farms with children.

“Life on the land is a great and rewarding life, but it is not without inherent risks and dangers that people must be aware of, and take steps to avoid,” Mr Gregory said.

“Children make up 20% of all fatalities on farms, with many more suffering serious injury.

“The common sense approach to safety on farms must be embedded

Dairy-Tech Refrigeration Registered Packo Dealer Australia

The dedicated milk cooling specialist • A Packo milk tank and system to suit all herd sizes, pick up schedules, and entry temperatures • Simple one button operation to activate either cooling or wash modes •

• •

Packo’s Patented fully automatic Rotojet cleaning system, ensures every square inch of the inside vessel is clean and hygienic.

The choice is yours- Direct expansion or a glycol chilling tank Pre, instant cooling systems available

New & Secondhand systems / Wash system upgrades for any make-model tank Call Dairy-Tech Refrigeration today for a no hassle quotation

Phone 03 56623277 email pgoiris@dairytechrefrig.com.au Web www.dairytechrefrig.com.au

in people’s thinking and behaviour - not pursued reluctantly as something that just has to be done.”

Farmsafe Australia chairman Charlie Armstrong said safer farms were also more productive.

“Having safety as a major aspect of our businessess will not only reduce risks to those who work and live on our farms, it will also improve our bottom line,” Mr Armstrong said.

“Even non-fatal injuries can have major cost implications on things such damage to equipment and downtime needed to recover.”

The free Farmsafe induction app can be downloaded from the Google Play or iTunes stores.

DAIRY NEWS AUSTRALIA AUGUST 2015

NEWS // 5

Western Victoria farmer Oonagh Kilpatrick, pictured with employees Shane Dickson (left) and Julian Bellamy.

Long search pays off MADELEINE BRENNAN

LIKE MANY dairy farmers, Oonagh and Harper Kilpatrick have had ongoing challenges in hiring and retaining skilled staff.

The couple, who run 750 cows on 485ha in Koroit, Western Victoria, have had to be resourceful in order to meet their labour demands – including Oonagh, who has stepped up to the plate since moving on to the farm in 2011.

“The initial understanding was that I wouldn’t be doing anything on farm,” Oonagh says.

“I had left farming when I was 16, as far as I was concerned that was it,” she

iDAIRY®

laughs. “I probably reared 20 calves a year and now all of a sudden I find myself rearing 700 calves.”

While Oonagh has clearly found a passion for dairying, she says the challenge for dairy farm managers and owners is finding staff who share the passion and knowledge required to deliver profitability.

“As an employer you want continuity and you want to have a stable workforce of employees who wish to learn and participate in the business,” Oonagh said.

“This allows you to impart your priorities and ultimately grow your business.

“From an animal welfare point of view, it’s also critical that employees have good animal husbandry skills. The person who stands at the start of a plat-

day visas has worked well for the farm and the town.

“They’ll spend their money in the town on dinner and going out, so it does benefit the community,” she said. “And they’ve come from a background of working on family farms from an early age, so they’ve got good experience and animal husbandry skills.”

At present, the couple have three Australians as part their permanent workforce, each with a range experience and qualifications, including a retired dairy farmer and a former builder.

“They are all excellent, but we had to interview a lot of people before we got the right ones.”

She said the changes to the 457 visa criteria mean other roles could be filled TH1848M 29-05-15

“we make farming ezy”

ONLINE SPECIAL

www.technipharm.com.au

PACIFIER

™

Storage of effluent is taking a whole new turn with an ECOBAG™ Cost effective with limited engineering needed.

Almost no smell and no crusting ever PLUS the added benefit of less evaporation of valuable N!

Castrating with knives? This can be dangerous, staff safety compromised & animal performance set back, resulting in a potential loss of revenue.

Use a TechniPharm™ castrator at the critical time.

More beef on the hook and staff kept safe.

TOP TECH™ HIGH LIFT GATE

SPEED SENSITIVE TEATSPRAYER™

Cows hard to get into the dairy parlour for milking?

The Top Tech™ high lift gate is sensitive and does not bulldoze the cows.

A reliable management system resulting in less stress for cows and staff.

MILK CHECKER™

with skilled workers from overseas if required.

“The first priority for any dairy farmer employing staff is to look at who is available within his or her community because it’s all about keeping income within the community and moving up together,” Oonagh says.

“The labour agreement has apparently been extremely successful in helping the pork industry grow and develop in Western Australia; it’s basically another string to the dairy industry’s bow.

“If we can’t access labour with the skills we require to grow more profitable businesses either locally or from Australia, then it allows us to access these labour skills from elsewhere.”

CASTRATORS

ECOBAG™ conditions may apply, all offers plus GST and freight, all IP rights reserved

form putting cups on cows is critical to your bottom line, as he or she plays a key role in identifying if you’ve got a health problem in your herd.

“And if you don’t have healthy animals you aren’t going to have a profitable farm.”

To fill the gap with staff who have experience and interest, Oonagh and Harper, who emigrated from Ireland, approached agricultural colleges locally first and then in their home country.

Oonagh said they always try to hire locally by advertising in local papers and the internet, as there are obvious benefits for the employer and the local community.

However, the model of using Irish agricultural students on working holi-

Special $1195 N0RMALLY

$1495

High SCC? Possible penalties and treatment cost?

Test for infections with instant results.

Instant indication of infection level, instant results on treated and retested milk before it goes back into the vat. Ezy Quik and instant results

Cow teat condition abismal? Cost of treatment and labour for manual spraying high?

Invest in an automatic teatspray system.

All your cows teatsprayed correctly every milking and a reduction in labour and cost.

GROOMER™ NZ’s most popular Hooftrimmer.

NEW

Walk throug h headlock

Lame cows and treatment a real hassle?

ANIMAL CONTROL UNIT

Fresh cows on the platform?

A neuro immobiliser relaxes the cow and a relaxed cow will get used to milking more easily.

Reduced labour, less staff frustration and better overall animal wellbeing. *Conditions apply.

All prices exclude GST, Insurance & freight.

NEW...NEW...

Scan the Code using your smartphone - then grab a TechniPharm Ezy Deal

$N1 595 ormal ly $1795

Cow care and staff safety compromised?

Get a professionally designed hoofcare handler.

Cows lame feet treated early and staff kept safe.

For more solutions to make farming ezy... FREE Ph: 1800 124 034 Go online: www.technipharm.com.au

Dairy News AUSTRALIA august 2015

6 // news

Chinese investment in MG a vote of confidence in Oz rick bayne

A $20 million

investment in the new Murray Goulburn Unit Trust by Chinese e-commerce giant JD.Com has been welcomed as a vote of confidence in the Australian dairy industry.

The international interest came as MG raised its target $500 million to fund capital investments.

Rabobank International dairy and farm inputs senior analyst, Michael Harvey, said the investment was a win for both companies.

“We’re seeing strategic partnering becoming more common across

dairy and other food and agricultural industries,” Mr Harvey said.

“It’s a good thing.”

He said the China market offered a great opportunity for Australian exporters and having a local partnership would help MG to avoid fall out from regulatory changes.

“It’s a huge import market and it’s growing but it’s very complex,” he said.

“Regulatory change and distribution are problematic from time to time so partnering with someone in the market is a win-win.”

Mr Harvey said the JD.Com connection would help Murray Goulburn to reach consumers in the market

What is Australian Mall? ❱❱ Australian Mall (pictured right) is new a new web-based platform for Chinese consumers to buy authentic Australian products, hosted by Chinese online direct sales company JD.com ❱❱ It offers Australian brands access to a market 70 times the size of the Australian market ❱❱ Devondale, Bellamy and Black and Gold are among those brands already selling products through the site ❱❱ There are other country ‘malls’ on the site including the US and Japan. ❱❱ Visit www.jd.hk or http://sale.jd.hk/act/ PLl7YbrRIgsUhJC.html to view

and to navigate China’s complexity.

“It’s a wise move,” he said. “Having a partner from China is seen favorably by the Chinese government and you’re more likely to have access no matter what.”

Dairy Australia analyst John Droppert said the 4.6% stake claimed

by JD.Com was not surprising.

“JD.Com does have an interest in promoting

and selling Australian dairy products into their market, and having an interest in Murray Goulburn aligns well with that,” Mr Droppert said.

“They are familiar with the products so well placed to make that investment.”

Mr Droppert said the buy up was another sign of international interest in Australian dairy products.

“It’s not the first sign,” he said.

“We’ve seen all sorts of international investment and this is another sign of that.

“The Unit Trust has been another avenue for participation by international investors, and it shows there is confidence out there.”

A spokesman for Murray Goulburn said the cooperative was “pleased that a range of high-quality investors have chosen to invest

in MG and endorse our strategy Large institutions from Australia, Asia and China have shown strong support.”

The MG Unit Trust will contribute about $438m though the issue of units, with more than $62m raised through the issue of shares to suppliers.

The new units and shares have started trading on a conditional and deferred settlement

basis.

Managing director Gary Helou said: “It is fantastic that so many investors share our enthusiasm for creating value by furthering MG’s strategic shift towards premium value-add dairy foods and reducing our exposure to the volatility of the dairy commodity price cycle.”

MG’s annual results will be announced on August 21.

Reputation and growth prospects drive JD decision

WITH A 4.6% stake, JD.com has become the sixth-biggest holder in the Murray Goulburn Unit Trust behind fellow Chinese investment company China Resources Ng Fung, which has 4.9%.

A spokesman for JD.com, which is owned by billionaire businessman Richard Liu, said the investment followed positive meetings with Murray Goulburn officials.

“The demand in China for imported agricultural products, particularly from Australia which enjoys an outstanding reputation here, is growing rapidly,” the spokesman said.

“We were impressed with the management during our meetings and made the decision to make a strategic investment in the company.

“We sell a number of sub-brands of Murray Goulburn on several of our platforms, including our cross-border JD Worldwide platform and our direct sales channel.

“Devondale long-life milk has seen particularly encouraging growth as Chinese consumers look to buy more imported milk.”

The spokesman would not comment on speculation about further investments in Aus-

tralian dairy.

“We have not made any similar investments in Australian dairy companies to date.

“We are always evaluating a wide range of potential investments throughout the world, and evaluate each based on its strategic value and potential return. As a corporate policy we do not comment on specific market rumours.”

The spokesman said JD.com’s Australian Mall was part of a cross-border plat-

form which “represents a huge opportunity for companies that do not have a China presence to reach out to more than 100 million customers”.

“The low fixed costs associated with the platform, and the complete support JD can provide brands in terms of logistics, brand building, marketing and customs support make it a particularly attractive option for boutique brands looking to sell to Chinese consumers.”

JANTEC ELECTRONIC HERD IDENTIFICATION

PREMIUM QUALITY MILK CellSense is the answer.

Automatically identify cows with high cell count.

(03) 5222 8891

www.jantecsystems.com.au

DAIRY NEWS AUSTRALIA AUGUST 2015

NEWS // 7

Fonterra Australia committed to its value-add strategy MADELEINE BRENNAN

FONTERRA AUSTRALIA is stay-

New from Bale Up Hayfeeders Our modular feed pad model, the next level in feed pads, comes in 4 metre units. Buy 2 ‘bookend’ units and add as many open ended centre units as you need. No more feed on the ground and extremely low waste, and like all our feeders comes with our rolled corrugated floor.

Calf feeder $1980 inc gst

Bale-Up Hayfeeders

Phone: 0458 590 766 • Fax 03 5859 1137

rsgarth@hotmail.com www.baleupfeeders.com

Mineral

Air Seeder Guano now in Store

Fertiliser

“PRODUCT OF CHOICE”

R I C H

The Phosphorus alternative to MAP/DAP/SSP

Phosphorus 12% Citrate Soluble 15%-20% Carbon 10% High Level Trace Elements

Call: 1300 076 456

A NAG IL M SO

EMENT SYS TE

“Honey from the

Rock”

60

M a INE Elend TrRALS me ace nts

-AVAIL

Guano the better alternative next season

B ELY IO R

incl GST per unit

OV E

$2600

er Standard cow feed $2200 inc gst

U NIQ U

Mr Weis said unlike other companies which buy their milk from third party farms, Camperdown prides itself on following an integrated model, tracking every step of the process by developing their own farms and processing and distribution centres.

“This integrated model is one of the first in the world, where we are able to track any tin of infant formula right back to the individual cows it came from.

“This is probably the largest infant formula deal that’s been done here to date,” chief executive Damien Weis told ABC Rural.

Camperdown Dairy International was formed in 2014 after agricultural investment management company EAT Group combined with resource development company MCG Group, owned by BRW young rich listed Bill McDonald, to buy an infant formula blending and filling business, the Camperdown Cheese and Butter Factory and local farms.

In June, the company finalised the takeover of a 3035ha property in Frances, on the SA-Victoria border, where it has received approval to build a $40m dairy operation.

Australian dairy.

“That’s why we’re continuing to invest locally – we’ve got a $31 million fresh milk plant being installed in Cobden which will create over 45 jobs, we’re looking to rebuild and expand our primary cheese plant in Stanhope to complement our Wynyard facility which we are filling, and we’re progressing our partnership with Beingmate to make Darnum our global hub for nutritionals.”

According to the company’s 2015 interim report, Australia’s operating costs have reduced 21% in the last two years.

LE •

GREAT WALL Capital Trading Ltd has signed a multimillion dollar, 15 year agreement with Camperdown Dairy International to become the exclusive exporter to China of Camperdown’s premium brand of infant formula.

The $600 million per annum agreement, which was struck on the back of Australia’s new free trade agreement with China, will see the distribution of 10 million tins per annum across China.

“Australia currently sells and exports less than five million tins of infant baby formula per annum in a market of almost 125 million tins,” Great Wall chief executive Damien Weis said.

“The agreement with Great Wall will enable the brand to capitalise on the market of around 125 million imported tins as the major supplier of Australian infant formula to China.”

Mr Weis said the infant formula market has grown almost 24% per annum between 2008 and 2013.

“There are 70 million children in China aged between 0-3 and the 2008 melamine scare has meant parents are trying to avoid purchasing the local supply of formula,” he said.

Judith Swales

AB

Camperdown lands big infant formula export deal

ing the course on its plan for Australia to become its global hub for cheese, whey and nutritionals despite announcing 523 job losses and murmurings of disquiet from across the ditch.

New Zealand shareholders in the co-op have questioned the value of the Australian business and level of investment in the company’s 10 Australian manufacturing sites.

Market variances also mean Australian suppliers are being paid more than $1 extra for every kg/MS than their Kiwi counterparts.

NZ Federated Farmers Federation chairman Andrew Hoggard said NZ farmers had a right to know the returns in kg/MS being generated by the Australian operations.

“We know Fonterra is not a price setter and has to match competitors otherwise they don’t secure supply,” Mr Hoggard said.

“At the same time, who is paying for that extra money going to Fonterra’s Australian suppliers? We are.”

Fonterra Australia managing director Judith Swales said Fonterra had the right strategy in place to ensure the long-term future of dairy was sound.

“The world is changing and global dairy markets are increasingly volatile,” Ms Swales said.

“To keep ahead of the game, we need to be more agile, reduce costs and generate value.”

She said while the majority of the job cuts were from the NZ business in back-office roles, both the Australian and NZ operations would be implementing efficiency measures aimed at streamlining the business and reducing costs in the coming month.

“One of the measures identified so far include a logistics solution that increases the utilisation of export containers leaving NZ distribution centres, saving up to $5 million a year,” she said.

She said despite the need for improved efficiency, the company was committed to its long-term strategy for

SOIL

MANAGEMENT SYSTEMS

MS

“Supplying the nutrients your plants NEED – not just nutrients” SO

IL M ANA

GEMENT SYS

S TEM

EX MELBOURNE STORE

SAVE money and deliver “Balanced Nutrition”

for all your soil and plant nutrition needs

VISIT US AT SITE 54 AT SOUTH GIPPSLAND DAIRY EXPO

e: sms@soilms.com.au

www.soilms.com.au

DAIRY NEWS AUSTRALIA AUGUST 2015

8 // NEWS

Pugging and bog no match for grid system THE NAME `Boggabilla’

should be enough to reveal that Will Rundle’s dairy farm at Ecklin in southwest Victoria isn’t a hot and dusty place. The farm’s name was adopted back in the 1960s to reflect the somewhat waterlogged nature of the land.

With annual rainfall around 95cm, preventing pugging has been a constant challenge.

“It’s a real wet farm,” Mr Rundle (pictured right) admitted. “When dad bought it back in the 60s he called it Boggabilla because you could bog a billycart anywhere.”

The name has stuck but the Rundles have done a lot to overcome the problem.

Extensive draining has helped and about four years ago a feedpad was introduced to give cows a dry place to feed during the frequent wet periods.

“We needed somewhere dry to stop pugging in the paddocks,” Mr Rundle said.

However, the soggy land still caused problems.

The feedpad had become littered with holes and had become “a soupy mess” before action was taken to stabilise and drain the land.

This year the farm has installed about 70 squares of Diamond Grid to protect the feedpad base.

The interlocking grid has a multi-layered drainage system that drains water from the surface, reducing erosion and eliminating compaction of the substructure.

“It’s like the cheaper version of concrete. We’ll save a lot of money by using it.”

They are manufactured in Sydney from 100 per cent recycled polypropylene and are UV

stabilised.

Mr Rundle said installing the grid meant the feedpad worked more efficiently.

“Now we’ve got somewhere dry for the cows to go. It’s simple to

put in and you don’t have to touch it once it’s down.”

The farm has 160-180 mainly Jersey cows on a milking platform of about 75ha. Production is going well this year, Mr Rundle said.

Gippsland rain boosts confidence GIPPSLAND-BASED CONSULTANT,

Matt Harms, from Onfarm Consulting, said local farmers were cautious about feed requirements this season but while they should be prepared, there was no need for panic.

“Farmers are bracing for dearer feed prices, less fodder availability and a longer feeding period, and then there’s a lower milk price on top of that,” Mr Harms said.

But he added that farmers could become over-cautious and miss opportunities.

“People could say it’s going to be bad and cull heavily, but that could lead to missed opportunities,” he said.

“You should be cautious and reassess every step along the way in reviewing fodder levels and cow numbers, but it depends on how the season is panning out.”

Mr Harms said good recent rains in Gippsland had given fresh hope of an okay season.

“At this stage the strategy for Gippsland will be to drive pasture surplus early and as much silage as we can while there’s available moisture, and then look at fodder cropping because there won’t be cheaper back stock of quality fodder in the hay market.”

Mr Harms suggested farmers do a silage budget and aim to cover December to May as a worst-case scenario.

“We’re dealing with grain prices that are about $20-30 more than this time last year but it has levelled out after the sharp rise about a month ago.

“If there are some good rains over the next few months in grain areas, I think you’d see a bit of heat come out of the market.”

Meanwhile, recent colder conditions have impacted on pasture growth and feed supply is getting tighter in some regions of Tasmania.

“We need a warmer early spring to get the 2016 season off to a good start,” DairyTas executive officer Mark Smith said.

“On the other hand, continued cold temperatures will hold back production and could dampen our production expectations for the coming year.

“The lower milk price will affect farm operations and some dairy farmers will take a more conservative approach into the season, especially as global commodity prices remain depressed and have been slow to turnaround.”

He said the current situation highlights the continuing volatility that underpins global dairy markets, as supply changes impact the position.

Missing opportunities to improve farm business performance?

The right information about your business will help identify the opportunities.

DairyBase is the new online business management tool that can get you started.

Identify opportunities to improve business performance Create annual reports and forecast budgets

Make more informed business decisions

Get started at dairybase.com.au/signup

Generate tailored benchmarks for comparative analysis

Click ‘Log in’ to register as a new user, then refer to the resources on the website including the User Guide, FAQs and input checklist.

DAIRY NEWS AUSTRALIA AUGUST 2015

NEWS // 9

El Nino threat hampers hay planning RICK BAYNE

AUSTRALIAN FODDER Industry

Association executive officer Darren Keating says that hay stocks are tighter than normally expected for this time of year.

“When you look at a number of factors, including the season we’ve had to date, irrigation allocations for the coming season and grain price, you could imagine there will be a fairly strong demand for hay in the coming season,” Mr Keating said.

“The question is how much is going to be produced and what price will it come in at.”

Mr Keating added that it was too early to predict harvests but farmers expecting they will need

extra fodder should talk to their suppliers.

“The forecasts are being debated a lot,” he said.

“There is a lot of talk in the market about the potential impact of an El Nino and we’re seeing a

“If you know you’re going to have a need for fodder for the coming year you should be talking to your regular supplier to tee it up and make sure you’re covered,” he said.

He added that growers

“There could well be a squeeze on hay, not so much in spring but through to autumn next year.” – Tim Ford, Feed Central few areas where people are saying it’s a bit cooler than normal and others are having quite a late season.

“Generally that could result in harvests being back on what is expected.”

Mr Keating said AFIA had heard reports of farmers talking to their hay suppliers much earlier than usual about securing supplies for next year.

in some regions, such as Victoria’s WimmeraMallee, were not confident about their crops.

“There’s a bit of caution from producers.

There are some areas in western NSW and southern Queensland that are having very good seasons but other areas not too far away are having drought conditions. There

is a lot of variability.

“Given the time of year it is, the rains could still come in and they could have some fantastic crops.”

Tim Ford, managing director of national hay marketer Feed Central, said the inventory of hay was low right across the country, which could result in prices higher than average.

“It is a bit early, but Bureau of Meteorology graphs show the rainfall deciles are really low throughout Victoria, which is the main dairy region of Australia.

“This could result in below-average yields so there could well be a squeeze on hay, not so much in spring but through to autumn next year.

“Many lucerne areas

are affected by higher than normal water prices or little to no allocations, meaning unless there’s some good summer rain protein hays will be in tight supply.”

Mr Ford said increases in water prices meant lucerne growers would want more money for their product.

Dairy Australia analyst John Droppert said the best advice for farmers was to be prepared and have feed options.

Mr Droppert added that sourcing feed before it is needed can be a good tactic for farmers.

“Buying ahead can be a good risk management tool,” he said.

“You don’t want to be desperately looking for feed at the wrong time.”

However, he said there was no “one size fits all piece of advice”.

“With grain markets there is a bit of price premium already and people can see the

risks around El Nino, but it could turn out differently,” he said.

“If the rain comes at the right time you could see some of those price premiums come off because harvests were bigger than expected.

“It may well be that prices comes down but it pays to be prepared in knowing what level of supply you will need and what you will do if the market goes one way or the other.”

T R O P E PECIAL R

S

NEXT ISSUE: SEPTEMBER ABVs

Dairy farmers who want to breed for improved fertility and workability will be keen to investigate the April release of the Australian Breeding Values (ABVs).

The new fertility ABV is a better indicator of the fertility of a bull’s daughters because it draws upon the data for for several traits, including lactation length, mating and pregnancy data. This is something farmers have been asking for and Dairy News Australia will investigate how it can impact on-farm breeding programs. We’ll also examine the bulls with the highest Australian Profit Rankings and how they could influence your breeding program.

Elizabeth Town in Tasmania shows no sign of an impending El Nino weather pattern, with recent conditions impacting pasture growth.

BOOKING DEADLINE: August 26 AD MATERIAL DEADLINE: September 1 | PUBLISHED: September 8 CONTACT: CHRIS DINGLE | T: 0417 735 001 E: chris@dairynewsaustralia.com.au

PICTURE: MARK SMITH.

AMMONIUM SULPHATE

“Your nitrogen product of choice for all crops”

“Honey from the Rock”

Call 1300 076 456 e: sms@soilms.com.au www.soilms.com.au VISIT US AT SITE 54 AT SOUTH GIPPSLAND DAIRY EXPO

DAIRY NEWS AUSTRALIA AUGUST 2015

10 // NEWS

A2 looks to expand suppliers following solid growth THE A2 Milk Company will increase

the volume of milk bought from its existing farms and look to expand its suppliers across the country in response to growth and an expanded product range.

The company launches a new ice cream range this month, manufactured by Peters in Melbourne, to accompany its range of milk, cream and yoghurt products.

It currently sources product from 28 certified farms across Australia.

The news comes as the company announced a 39% increase in revenue on 2014/15 to A$140 million.

The company said substantial growth in its infant formula volume across Australia, New Zealand and China, as well as continued liquid milk growth in Australia, attributed to the positive results.

The company is expecting continued growth after launching its milk in

the Californian market in June. It has also repositioned its milk in the UK to the specialty milk segment.

Infant formula is also emerging as a significant growth driver, the company said.

The a2 Milk Company will expand into ice cream this month.

Meanwhile, a2’s board has rejected a takeover offer from Australian company Freedom Foods and Dean Foods (US).

A2 did not rule out reviewing a more “compelling” proposal from the interested parties, and said it had

received additional offers which it would consider.

The company was founded in 2000 by Dr Corran McLachlan after studying that proteins in milk affect people differently.

While many consumers have clearly warmed to the company’s marketing proposition that its milk it easier to digest, the company has come under some criticism, recently defending its scientific claims after a grilling on the ABC’s consumer affair program, ‘The Checkout’.

In a letter to the show’s researcher, Australian chief executive Peter Nathan said while there was already “extensive, independent, peer-reviewed work” about the effects of A1 proteins, the company would continue to welcome further research.

Stanhope Primary School students share their excitement at being named a finalist in the search for Australia’s Legendairy capital. IMAGE: DAIRY AUSTRALIA.

Finalists announced DAIRY AUSTRALIA has announced the eight finalists in its inaugural search for Australia’s dairy capital.

The successful towns, named as part of the industry body’s ongoing ’Legendairy’ campaign, come from each dairy region and include Meeniyan (Gippsland), Peterborough (Western Victoria), Stanhope (Murray Dairy), Comboyne (New South Wales), Monto (Subtropical), Port Elliot (South Australia), Smithton (Tasmania) and Northcliffe (Western Australia).

Dairy Australia program manager Suzi O’Dell said selecting the finalists was no mean feat for the panel.

“We knew Australia was home to plenty of proud, innovative dairy communities but we’ve been astounded by

the quality of nominations and the stories of personal contributions dairy farmers have made to the social fabric of their towns,” she said.

Ms O’Dell said Legendairy representatives would be visiting each of the finalist towns and recording a short documentary to showcase the community spirit.

The search for a dairy capital is just one part of the Legendairy campaign which was launched by Dairy Australia in 2013. The Legendairy brand is used in advertising, PR and community sponsorship, as well as online and in social media, with over 24,000 followers on Facebook.

The winner will be named next month.

50 Bail Rotary Dairy Complex INCLUSIONS •50 Bail RotorExp1 Platform •LARSEN Original Design •Pneumatic Retention Bars •21m x 26m Shed •Technical Drawings and Comps •6m x 4m Skillion - for Vac Pumps •Shed and Yard Concrete •500 Cow Holding Yard & Rails •16m Solid Backing Gate •Feed System with 2 x Feed Heads •Yard Blaster with 3 x Hydrants •3 Way Drafting Gate •Internal Office (Freezer Panel Room) •Milking Machine •Pneumatic Cup Remover •ID, Feeding and Drafting •Internal Electrical •Internal Plumbing

EXCLUSIONS •Earthworks •Electricity Supply to Site •Water Supply to Site •Water Storage •Effluent System •Tanker Tracks •Cow Laneways •Milk Storage Tank •Freight (At Cost)

$ 892,000 Installed

AVAILABLE IN AN SIZE AT WITH REVISED BAIL PRICE. Price is Ex Gst (Conditions Apply)

Ph.

CONTACT

(03) 9768 2424 - Fax (03) 9768 2323 - Greg Kinross 0437 357 912 sales@milka-ware.com.au

DAIRY NEWS AUSTRALIA AUGUST 2015

NEWS // 11

Farming and business nous critical to sustained profit TECHNICAL, FINANCIAL and risk

management skills are key drivers to improving on-farm profitability, according to the Australian Dairy Industry Council’s latest report.

The Sustainable Farm Profitability Report provides a framework for farmers and their advisers to help identify areas for improvement.

It brings together information and references from real farm data and advisers, to draw conclusions about the range of things that make a difference to farm profitability.

Australian dairy farmers’ profits have been under pressure for 10 years.

Except for Tasmania, the industry has not consistently grown. Yet better performing dairy farms in all regions have profited, making as much or more money than other farming sectors and many other industries.

While there is no silver bullet to profitable dairy farming in Australia, and one size doesn’t fit all, the report pinpoints key

drivers of successful dairy businesses and highlights long-term strategies within farmers’ control to help focus business management plans.

“Profitability is not all about expansion and size, especially not if expanding means increasing costs to increase output,” ADIC chair Noel Campbell said.

“It is our hope that this report provides farmers with the tactical, strategic management guidance that, when used in conjunction with other resources, will enable them to improve their long term profitability.”

The report recognises that dairy farms are infinitely more successful when farmers are good at managing their business across the board, with a combination of technical and financial skills that achieves balance to allow business to flourish and better mitigate risks.

It suggests that while all Australian dairy farmers aspire to sustained profitability, the industry lacks consistency in the use of terminology and metrics

used to describe farm business performance and the messages around how farms should be structured and managed to maintain and/or improve farm business performance can be contradictory.

It also found profitability of smaller farms (<120,000/kgMS) is challenged by high overhead costs, mostly imputed labour and depreciation.

“While larger farms appear to have higher

levels of profitability, for farms above 120,000 kgMS the advantage is not significant,” the report concludes.

• See www.australian dairyfarmers.com.au/PDF/ Farm-profitability-Report2015-Final.pdf

Look forward to this calving season!

HOW TO MAXIMISE PROFIT ON YOUR FARM ■

Operate at a high level of technical efficiency across most, if not all, aspects of the business, without necessarily being an exceptional/elite performer in any one particular area.

■

Maintain a focus on optimal (rather than maximum) milk output, e.g. using supplements to maximise margins and overall returns rather than milk production per se.

■

Complement the high level of technical efficiency with a strong understanding of business cost structures and cash flow.

■

Maintain a strong focus on cost control across all aspects of the farm business, including both feed-related and non-feeding costs.

■

Have an active approach to risk management to help minimise the impact of volatility.

■

Maintain borrowings relative to cash profits at a level that allows for further investment and capital improvements.

■

Apply sound investment strategies that avoid major expansion at the top of the price cycle.

GET SOCIAL WITH DAIRYNEWS

REMOVE THE STRESS WITH A LELY CALM AUTOMATIC CALF FEEDER! The Lely Calm automatic calf feeder supplies the correct portion and concentration of feed at the right temperature, at the right time, 24/7.

• Continual optimisation of growth & development.

• Economic benefits including labour saving & lower milk costs.

• Warm milk - just like drinking from Mum! • Feeds up to 240 calves.

• Automatic cleaning cycle.

Grow tomorrows high performing cow's today!

Call us on 1300 946 306 or email lelyaus@lely.com TODAY and let us do the hard work for you!

EVOLVE.

www.lely.com.au DairyNewsAustralia

DairyNewsOz

innovators in agriculture

DAIRY NEWS AUSTRALIA AUGUST 2015

12 // AROUND THE REGIONS

Gippsland Final list MG Board supplier director candidates named MURRAY GOULBURN has named the candidates nominated for the upcoming director election.

Nominees include Bill Bodman, Raelene Hanratty, Kelvin Jackson, Max Jelbart, Bernhard Lubitz, Chris Nixon and Philip Tracy.

Following a new voluntary Candidate Assessment Panel process, the board has since agreed to only endorse five candidates, including Mr Bodman, Mr Jackson, Mr Jelbart, Mr Nixon and Mr

Tracy. However, company secretary Fiona Smith acknowledged that the election of directors was ultimately a matter for supplier/shareholders.

A postal ballot will be held to decide the three candidates who will be put forward for election to the board at the AGM later this year.

The ballot closes at 5pm on Thursday, August 27, and will be communicated to Gippsland supplier/shareholders by September 1.

L A I C E P S T R O P E R

Murray Dairy Stanhope celebrations are Legendairy THE CHILDREN at Stanhope Pri-

mary were so excited their town has been nominated as a finalist in the search for Australia’s Legendairy capital, they celebrated by releasing helium balloons into the sky.

A message of friendship and cel-

ebration was attached to each balloon, along with the name of a child from the school and the school’s contact details. It is hoped the students might eventually find out where some of the balloons ended up (the ones that didn’t pop that is).

Evidence of the town’s excitement is apparent throughout, with dairy farmer Noel Gray taking advantage of his unwashed ute (pictured with dog Archie) to promote the cause.

See more on the Legendairy finalists, p10.

Western Victoria

NEXT ISSUE: SEPTEMBER SPRING PASTURES The huge productivity gains available through pasture renewal have been proven by research and by farmer experience over recent years. Renovating pastures with new high yielding grass varieties means more milk in the vat and more money in the bank.

The September issue of Dairy News will feature a special report on the latest technology, equipment and techniques to use to get the most out of Pasture Improvement.

BOOKING DEADLINE: August 26 MATERIAL DEADLINE: September 1 | PUBLISHED: September 8 CONTACT: CHRIS DINGLE T: 0417 735 001 E: chris@dairynewsaustralia.com.au

Be inspired CAMPERDOWN WILL be hum-

ming next month (September 2) when it celebrates positivity and capacity-building in the western Victorian dairy industry.

The Dairy Inspire big day out includes a morning program of

guest speakers including Saputo’s Lino Saputo Jr, Rabobank’s Michael Harvey and Paul Higgins from Emergent Futures, among others. In the afternoon, the Milk-it-for-More and Profitable Feeding Systems workshops will bring together a number

of industry experts to provide grassroots information and capacity building advice. There’s also a trade expo and an industry dinner with live music and guest speakers.

Visit www.westvicdairy.com.au/NewsandEvents/UpcomingEvents

Turn your existing feed system into an ID-capable system with Advantage ID ➠ The latest product in the Feedomatic range ➠ Replaces your old feed motors with quality worm drive DC motors on each hopper ➠ Quickly and easily transform your old system into an ID system ➠ No disruption to your production as Advantage ID can be installed between milkings

Australia’s Smartest Automated Feeding Systems Contact GRANT HUMBERT

0428 106 132

grant@feedomatic.com.au www.feedomatic.com.au

DAIRY NEWS AUSTRALIA AUGUST 2015

AROUND THE REGIONS // 13

Western Australia

South Australia

WAFarmers Dairy Council re-elected unopposed

Considering stepping up or stepping back?

DELEGATES AT the WAFarmers Annual Dairy Conference have elected executive members at the annual general meeting on July 28 at the Abbey Beach

SA DAIRY farmers con-

Resort in Busselton.

Dardanup dairy farmer and current President Phil Depiazzi was re-elected and thanked delegates for their ongoing support.

Senior vice-president Michael Partridge and junior vice-president Paul Ieraci were also re-elected to their respective positions.

templating a change in direction can learn more about share farming and leasing options at two events hosted by DairySa later this month.

Whether you are a younger dairy farmer considering increasing your involvement in the industry or a mature age dairy farmer who wants to do less, share farming

and leasing options could be a solution that works for you. Learn about the new Share Dairy Farming Model Code of Practice and other practical information based on real

life examples. The events will be held on August 25 (Murray Bridge) and August 26 (Mt Gambier).

Visit www.dairysa.com.au or contact Kylie Boston at kylie@dairysa.com.au

Subtropical Industry bodies unite to host annual conference THE QUEENSLAND Dairyfarmers Organisation has

joined forces with the Dairy Industry Association of Australia, Qld to host a joint Dairy Industry Conference at Surf Air, Marcoola, Sunshine Coast, Queensland on Friday, August 28.

The program includes a session with processors Lion, Norco and Parmalat who will each outline ‘Your role in growing a profitable Northern Dairy Industry’, followed by a Q & A session. The DIAA Product Awards for 2015 will be presented and the evening session and dinner will be MC’d by none other than TV and radio personality, Jamie Dunn – the voice behind Agro.

Visit www.dairypage.com.au/qdo_conference

We have all the solutions for effluent and waste management for your dairy

Tasmania Dairy on the improve TASMANIAN DAIRY is going strong, with milk production reaching a record 886 million litres in 2014/15 - a 10.1% increase over the previous year and a rise of 286mL in 10 years.

Farm numbers have remained reasonably static over recent years with new conversion farms starting up and some farms going out of dairy, in contrast to a national decline. The Apple Isle outperforms the national average in terms of real farm income. And speaking of outperforming, Smithton has been named Tasmania’s Legendairy capital. Circular Head has 150 dairy farms, around 68,000 dairy cows and last year produced around 370mL of milk - 41% of the state’s total.

Got news big or small from your region that you’d like to share?

Centrifugal liquid manure spreaders

PTO Agitators – pump and propeller type, for mixing effluent lagoons and loading liquid manure spreaders

Pontoon flush pumps, transfer pumps and agitators for all applications

High efficiency and economical separators

High pressure pumps for irrigation and long distance pumping

Pumps and agitators for tanks and sumps

Phone (03) 9478 9779 or email editor@dairynewsaustralia.com.au

Houle

Contact us to find out how Houle waste management technology can solve your manure handling issues.

FOR MORE INFORMATION CALL 1800 789 100 FOR THE NAME OF YOUR NEAREST DEALER. Email info.auft@gea.com www.gea.com

GE11728_Dairy_280x187_DN.indd 1

GE11728

We’d love to hear from you.

4/08/2015 8:33 am

DAIRY NEWS AUSTRALIA AUGUST 2015

14 // NEWS NEWS IN BRIEF

New ag counsellors to boost in-country access

Purchase a shed lot of clusters from just $260 per cluster and we’ll include your next liner change!* *Terms and conditions apply. Price excludes GST. Promotion runs from 1st August to 30th September 2015. Price is for a complete cluster which includes; 1 x claw piece, 4 x teat cups with claw tubes & 8 x liners. Installation and freight costs are not included in the promotional price.

Classic 300 Cluster For rapid milking results and a high throughput, you need a balanced cluster.

The Classic 300 has been designed to fit the udder like a good shoe fits the foot.

Key features: • Adaptable to the individual needs of your herd • ACR hook incorporated • Straight and direct milk flow • Robust food quality materials • Impact and acid resistant plastic and high quality stainless steel • Rubber or silicone liners available

iC330 Cluster The iC330 has been designed especially to meet needs of high-yielding, fast milking animals. Although large in capacity, the size, overall weight and width of the claw has been kept to a minimum.

Key Features: • Hook for ACR supplied as standard • 360º visibility • Automatic shut-off • 2 x 2 or 4 x 0 pulsation • 13mm milk entries • 19mm milk outlets • Large volume capacity (330mL) • Round or square liners available

Speak to your local GEA Farm Technologies dealership or call GEA Farm Technologies on 1800 789 100 to find out more.

AUSTRALIAN DAIRY Industry Council chair Noel Campbell has welcomed the addition of five new agricultural counsellors announced as part of the Federal Government’s Agricultural Competitiveness White Paper last month. The counsellors will reside in different embassies across the world, most likely in Asia.

Mr Campbell said the Australian dairy industry stood to benefit from the additional roles.

“It will be hard to quantify, but ag counsellors are really important to addressing technical barriers to

around getting product trade,” Mr Campbell into countries.” said.

He said they were Non-tariff barrisuccessful because they ers can include bureauwere independent. cratic measures put in “If a particular complace to protect local pany goes there and industries, or detailed they’ve got an issue, they regulations relating to are not seen as being meeting quality stanindependent, but these dards, product testing Noel Campbell government counselor distribution.

“It’s very important these people lors go into a market and deal with some of these issues, they are seen can be on the ground in markets as more legitimate because they are to be able to help the industry as a not pushing their own position.” whole deal with some of the issues

Moxey Farms deal approved

Distribution secured

MOXEY FARMS, one of Australia’s largest singlesite dairy operations located in the Lachlan Valley, New South Wales, has been formally acquired by Australian Fresh Milk Holdings consortium.

The acquisition was flagged in April subject to the necessary approvals, including meeting the requirements of the Foreign Investment Review Board.

Under the terms of the sale, the Moxey family will continue to operate Moxey Farms in a joint venture with the Perich family, ensuring continuity of existing operations for key customers and staff. The Moxey family will also acquire a strategic stake in AFMH, which has assets and operations across every aspect of the dairy value chain.

AFMH consortium comprises the Perich-family owned Leppington Pastoral Company Pty Limited, Chinese-owned New Hope Dairy Holdings Co Ltd and ASX listed Freedom Foods Group Limited, of which the Perich family also holds a controlling stake.

BESTON GLOBAL

WA consumers show support

Nominations due to close for board

WAFARMERSFIRST MILK is celebrating a

APPLICANTS HAVE until August 28 to apply for

significant milestone with the sale of over 500,000 litres of milk since the product launched late last year.

WAFarmers Dairy Council president Phil Depiazzi, who farms in Cowaramup, said

it’s encouraging to see consumers using their buying power to support local industry.

“Reaching this significant milestone shows that consumers can and do support the WA dairy industry by choosing branded milk,” Mr Depiazzi said.

Food Company – which is set to float on the Australian Stock Exchange this month – has secured distribution for its premium Australian dairy, meat, seafood and health food products in 150 cities across China.

The company has signed the distribution deal with Chinese retail giant Dashang Group, which also has agreed to subscribe to 14.9% of Beston’s stock as part of the $130 million Initial Public Offering.

Institutional investors

committed $100 million to BFC within four days of the offer being released earlier this month.

Dashang reported sales revenues of over A$40 billion in 2014 through shopping centres in 150 Chinese cities, including its own supermarkets and high-end gourmet specialty stores. b.-d. Farm Paris Creek dairy products will be among those distributed by Dashang.

In July, Beston Foods purchased the two former United Dairy processing plants in Murray Bridge and Jervois.

director position on the Dairy Australia board.

One new director must have a milk producer background and the other to have expertise in agribusiness and strategy. There are two paths to election as director: nomination by the board selection committee (which has now closed) or nomination by at least 100 Group A members. Nomination in writing supported by signatures from at least 100 Group A members of Dairy Australia must be received by 5pm on Friday August 28.

CHECK OUT THE LATEST NEWS AND INFORMATION AT www.dairynewsaustralia.com.au

DAIRY NEWS AUSTRALIA AUGUST 2015

WORLD NEWS // 15

Debt-laden producers exposed to thin trade very exposed to a thinly THE LATEST drop in traded market. the Global Dairy Trade “One outcome of the price index will impact low GDT is likely to be a many farmers carrying a rapid lowering of our cost lot of debt, says DairyNZ systems and probably chairman John Luxton. some reduction in milk Now banks must give production out of NZ,” young farmers leeway he said. as they work their way “When you look at the through the crisis. world market there isn’t a “Hopefully in 12 big overhang of surpluses months there will be a despite what people are much stronger industry saying. The supply and going forward,” he said. demand is The reasonably price index “There are well fell 9.3% in other things balanced so the latest GDT – more important [the GDT] may shoot the 10th than the down a consecutive bank debt – bit further fall, especially but my bringing expectation it to levels the wellness of the next not seen and future of 12 months is since 2002. your family.” that we will Whole John Luxton, see it reverse milk because the powder, DairyNZ pressure a crucial chairman is coming product onto other for New countries that are Zealand, fell by 10.3% producing surpluses.” on average to US$1590/ Mr Luxton said skim tonne. milk powder from the Skim milk powder US is getting very low prices slumped by 14.4% prices now and the same to US$1419/t on average. is happening in Europe Anhydrous milk fat prices fell by 11.7%, butter where many dairy farmers are starting to hurt from by 6.1% and butter milk the payouts. NZ has the powder by 5.1%. ability to lower its cost Mr Luxton said NZ is

structure which will work to its advantage.

The message from DairyNZ is utilise pasture well. Mr Luxton expects that another dry summer will prompt farmers to quit cull cows early, which may lead to a drop in NZ milk production.

And farmers should take good care of themselves and their fellow farmers.

“There are other things more important than the bank debt – especially the wellness and future of your family,” Mr Luxton said.

PRODUCTION TO SLOW DAIRYNZ PREDICTS a 2-3% fall in milk production this season as a result of the low payout.

Senior economist Matthew Newman said NZ farmers will this season likely follow last season’s trend of culling more cows, leading inevitably to less milk.

“We’re picking up the signals that our 14,000 levy-paying dairy farmers are intensely focused on how to achieve cost-efficient production this season. They are removing unnecessary costs to reduce the need to increase their debt and help minimise their losses.

“The number of cows going to meat processors is up 21%, more than the 185,000 cows last year to the end of May. That’s a very high level for the industry. Given this increase and its impact on cow numbers, we don’t expect to see herd sizes increase this season.”

Hanging over the season is the prospect of an El Nino weather pattern and what it could bring farmers during late spring, summer and autumn.

A cold July hasn’t helped grass growth and dry conditions this summer could cause production to drop further, Mr Newman said.

“The seasonal conditions we’re going to face are unknown but it’s likely production will be down this year.”

PASTURE

THE CHEAPEST FORM OF FEED.

REDUCE YOUR FERTILISER BILL AND GROW MORE GRASS WITH TOW AND FERT.

Multi1200

Multi 1000

Multi 4000

The Tow and Fert allows you to dissolve your own urea to t reduce edu your enabling you to apply multiple fertilisers or animal health products or herbicides in one application.

Talk to us about the cost reduction you can achieve right now.

TF TOW AND FARM by metalform

1300 630 279 Call us for your FREE demo now: WWW.TOWANDFARM.COM.AU

DAIRY NEWS AUSTRALIA AUGUST 2015

16 // OPINION RUMINATING

EDITORIAL

State governments should ensure right to farm

MILKING IT...

Thrills, skills and Happy birthday no frills you old bovines

Something to tweet about

When a Budget is described as “vanilla” by the Treasurer and No Frills by the Queensland Farmers Federation, we have to assume it’s not a must read. But the QFF were quick to praise the $754.6 million investment in vocational education and training in the Palaszczuk Government’s first Budget, which it hopes may assist with the sector’s widespread challenge to attract and retain an adequately skilled and trained workforce.

We can only hope the various campaigns to recruit workers to the dairy industry are a little more exciting…

A beef producer friend of Dairy News Australia takes her love of independent Australianmade goods seriously, posting on social media: “So excited to finally be able to procure these bad boys in downtown Emerald. Independent milk produced by 2014 Australian Dairy Farmer of the Year, Greg Dennis aka Farmer Gregie, located near Beaudesert, Queensland. Thanks IGA Emerald!” The team at Scenic Rim 4Real Milk seem to know how to inspire a truly loyal following…

Two retired cows in Waikato, New Zealand have reached extraordinary birthdays. Blackstar Trace and Bear Blanche have reached 21 - an extraordinary age for a cow, says Charbelle Farm owner Dyanne Osborne.

It’s double the normal lifespan, “Almost unheard of,” says Osborne. “We had a party for them when they were 20 because we didn’t think they would get to 21 but they have.” Bear Blanche bore 19 calves and Trace 15. Dairy News Australia hopes now the word is out, us Aussies might be able to top the record (in the spirit of friendly competition of course). Anyone?

Advertising Chris Dingle chris@dairynewsaustralia.com.au

A quiet revolt You’ve got to hand it to the Europeans. They really know how to cause a stir. In the past month we’ve seen Cornish dairy farmers clear the shelves of milk at several outlets, Irish farmers drive 50 tractors into a supermarket carpark, and French farmers block highways and dump manure to make their point. Meanwhile, back here in the colonies, Australian farmers mostly let our industry bodies to do the talking, with civilised meetings and strongly worded media statements that condemn abuses of market power and welcome yet another review that might reveal farmers are in fact, being taking advantage of in a dysfunctional market.

Time may tell which is the more effective strategy, but it’s not hard to work out which is more fun. Viva la revolution!

0417.735.001

Editor Madeleine Brennan

Dairy News Australia is published by RNG

may not be reproduced without prior written

comments expressed within this publication are not necessarily those of the staff, management or directors of RNG Publishing Limited.

Publisher Brian Hight Production D ave Ferguson Becky Williams Sub Editor Pamela Tipa

photographs are subject to copyright and permission of the publisher. Opinions or

03.9478.9779 or 0402.715.577

editor@dairynewsaustralia.com.au

Publishing Limited. All editorial copy and

THERE ARE always two sides to every story.

The right to farm controversy surrounding famous Wagyu producer David Blackmore is a case in point.

Mr Blackmore was forced to apply for an intensive animal husbandry permit after the local Murrindindi Shire Council was told he was running as many as 1300 cattle on about 150ha.

The council, backed by objections from his neighbours, including other beef producers, then refused his application.

He will have to pursue legal action successfully if he doesn’t want to relocate his herd.

Mr Blackmore’s supporters say his neighbours are encroaching on his right to farm; his opponents say they don’t oppose farming, but they do oppose intensive livestock production.

It’s a case that could have implications for dairy farmers as growing cities and rising property prices see more people move to regional and rural communities for a “tree change”.

Dairy farmers already receive more objections for minor issues like manure on the road, or trucks delivering fodder.

It is concerning that the opinions of new neighbours could potentially form the basis of a council infraction.

Farmers need supplies of fodder delivered and feedpads to protect paddocks in the winter – what would the uninitiated make of this?

State governments must protect farmers’ rights to farm in a changing environment.

In Victoria, for example, the previous coalition government removed the Section 32 notice warning people that if they move into a farming area they may be exposed to noise, smell and dust normally produced by agricultural activities.

This ensured potential purchasers made themselves aware of what living in a farming area could involve. It was a buyer beware – and it was removed.

Governments should also give strong direction to councils that farming takes precedence over other land use in a farming zone, strengthening the right to farm.

On top of legislation, councils could help both parties – the farmers and the tree changers – by developing awareness of agricultural systems and their value to the local community.

If this was done effectively, it could prevent minor issues become major issues in court, which would be of benefit to everybody.

Published by RNG Publishing Ltd Printed by Newsprinters Pty Ltd

WWW.DAIRYNEWSAUSTRALIA.COM.AU

Head Office Top Floor, 29 Northcroft Street, Auckland 0622, New Zealand Phone +64.9.307 0399 Fax +64.9.307 0122 Postal address PO Box 331100, Takapuna, Auckland 0740, New Zealand

DAIRY NEWS AUSTRALIA AUGUST 2015

OPINION // 17

Opening milk price ‘smoke and mirrors’ BERNHARD LUBITZ

FARM BUSINESS

margins have never been tighter with farm costs rising faster than the milk price.

We must now, more than ever, know exactly what our farm milk price is.

We need to be able to accurately compare Murray Goulburn’s performance against the other processors and to be able to manage our own farm business budgets and our margins.

For too long the opening milk price has been all about smoke and mirrors.

It always seems to be a game played between processors with little regard for farmers who have been left confused when it comes to their own real milk price.

This must change now that MG is serving two masters. We should implement what the UDV has been advocating for – a change in milk pricing policy that is clear and accountable.

Very few farmers actually receive, in real terms, the generic announced opening milk price and what I am suggesting is that when MG announces its opening average milk price, it also does the following: It provides every farm with its own individual average weighted opening milk price matched to the individual farm’s milk supply curve.

At the end of the season, when MG states its generic closing price, each farm should again receive its own individual average weighted closing milk price.

This would also, for the first time, force all processors to implement the same clear and transparent milk payment system so that farmers can accurately compare processor against processor.

I am also advocating that we adopt a milk payment structure in Gippsland similar to that of Burra Foods as it better matches Gippsland farmers’ supply curves.

Up to $1/kgMS difference between farms

and regions is neither healthy nor sustainable for the industry long term.

We need a more transparent and equitable milk payment system, one that encourages young farmers and doesn’t discriminate against them.

Monocultures don’t work in nature and they certainly don’t work when in comes to milk price policy structure.

The current pricing structure has evolved over time to suit milk processors’ needs at various stages of their development to either poach or keep various farms that suited their business model.

These payments systems were mainly established by the two major co-ops at the time when they were fighting for market dominance and for the available supply of milk.

These payment structures now distort the market and the farmers’ cost of production. These distortions come in the form of productivity incentives, off-peak and shoulder milk, growth incentives, environmental payments, etc.

This forces farmers to chase milk price in the vain hope of gaining greater business margins in order to increase their profit; rather they should chase profit and calve to it.

Our cost of production does not vary throughout the season. There is no such thing as cheap spring milk.

The true cost of production is too tight but the milk processors still peddle the myth that spring milk is cheaper to produce than shoulder milk.

It may give them an advantage on the processing side, but it destroys farmer profitability and creates a huge risk profile for the farmer with little gain.

A milk payment system that penalises the small and the young farmer by up to $1/kgMS is, in reality, harming the long term viability of the dairy industry in general.

Processors’ current pricing structures undermine farm profitability, creating both

long and short term risk, in effect destabilising the dairy industry’s future.

This is one of the reasons why the Australian milk pool fails to grow. Profitable farmers are the industry’s foundation. This distorted pricing structure and distortion of profitable milk flows at farm level

is basically eroding the industry’s foundation.

The challenge to dairy farmers is to get processors to admit the milk pricing structure is damaging to all players in the dairy industry.

We talk about a level playing field with regards to world trade but we completely overlook the

need for a level playing field in our own backyard.

• Bernhard Lubitz is a South Gippsland dairy farmer standing for a director position for Gippsland in the upcoming Murray Goulburn board election. For full list of candidates see page 12.

Right: Bernhard Lubitz

Kick Off 2016 with Australia’s Dairy & Farm Machinery Field Days

a u s t r a l i a

19 to 21 January, Tatura, Victoria Your chance to see and hear the latest on: • calf rearing equipment

A good place to do business and a good place to socialise.

Follow us on

and

#IDWaustralia

• feeding, milking & dairy machinery, matting & flooring and free stall barn equipment • animal health products • tractors, airseeders and planters • hay, silage, mowers, slashers and fodder equipment • pastures, seeds & additives • hay and feed supplies • irrigation equipment, pumps & water storage and treatment systems • tanks, cartage and storage • artificial breeding systems • solar technology and solutions, air-conditioning & heating • farm supplies & merchandise

Gates: Open from 9.00 am.

Proudly Supported By

Entry: $10.00 adults, children free. Free Seminars & Workshops to attend Venue: Tatura Park Exhibition Centre, Hastie Street, Tatura, Victoria. www.internationaldairyweek.com.au Commercial exhibition space is available for the field day event, proudly supported by Dairy News Australia.

See www.internationaldairyweek.com.au for booking forms; call Robyn on 0418 656 082 or email info@internationaldairyweek.com.au.

DAIRY NEWS AUSTRALIA AUGUST 2015

18 // MARKETS

Dairy NewS aUSTraLia june, 2012

agribusiness // 17

Slow road todemand decreasing Export remainssupply strong conditions and a bearish production is ultimately cents/litre in March (AUD 41c/L) to 28 With season 2011/12 only a few incremental change in milk production (year-on-year) market more broadly, It all looks pretty other transactions. priced.

Euro cents/litre (AUD 36c/L) in April. weeks from ending, attention is now begin to show up in Profit and margins are under pressure in the dire, especially when you Sellers areonreportedly As dramatic focused 2012/13 milk prices as farmin NZ Fonterra has announcedpricing. Data ers consider strategies farmgate consider that the current receiving off-GDT bids for the coming destructiveUS, as and these international dairy the final payout for the 2011/12 season year. In some domestically-focused from statistics agency six-year low comes only based regions, on anticipated swings andhas roundabouts markets knows that it’s a been cut from NZ$6.75-$6.85/kg MS renegotiated contracts incorgLobaL impacT to NZ$6.45-$6.55/kg MSEurostat (AUD$4.96porating lower shows milk a year and a half after starting prices forprices the and reduced ‘tier can be, for the most part bad time to try to move JohN DropperT $5.04). one’ access are undermining farmer production expanded 2.4% record high prices in early they come back next auction (which are to basic product.

Effectively, global dairy markets are confidence and supply stability. For GLOBAL IMPACT in April, and around 3% in 2014. But such is the price economics:rebalancing. typically 15%farmers below in theexport-oriented Shifts in private label contracts and proit’s all about Buyers are sitting on Lower prices will both many JOHN DROPPERT slow production regions, aaverage). lower price outlook relative to cessor rationalisation have seen milk Maystimulate – the first two months cycle for the markets most recent the supply and demand.growth and relatively comfortable demand, and as this occurs we will ultithe current season not only adds to the companies adjust their intake requirefollowing the abolition of into which the majority Milk is being dumped And at the moment, stocks, looking to dictate mately see a price recovery. Key factors challenges of doing business, but seems ments and pricing to meet the changmilk quotas. of dairy exports are sold, loss-making season as re-emerging in Europe, in the to United States, supply has overshot terms, as weakness in to watch on the global scene willproduction be the of a highly pressured retail contradict the positive medium term ing demands overseas farmgate marketplace. contract prices and forecasts are cut outlook Asia-driven dairy demand and against which an payout and New ZealandLower farmers protests and of warnings demand. rate at which milk productionAverage GlobalDairyTrade (GDT) slows in response to lower prices, the a lack of alternative supply opportunigrowth. even larger proportion of further. are bracing for another of a ‘dairy crisis’ are The economic signal to prices are around 20% results flows readily to Dairy Australia’s indicative outlook ties present challenges in a market with flows. 2012 milk production in the US those in south-east Asia and the Middle impact of the current financial worries lower than on consumerwas confidence, the path of the same time higher eco-production for southern farm gate milk prices – limited manufacturing capacity. Despite is up around 4% on 2011 for the year to East maintain consistentlyincrease economic and the value support published in the recent Dairy 2012: Sit- these challenges, the underlying domes- April (leap year adjusted), whilst early nomic growth rates that year, and likely to heard loud China’s and clear in growth,last uation and Outlook report, is for an tic market is stable, with steady per-cap- data suggests EU-27 milk production increased dairy consumption. How- of the Australian dollar. fall further as contracted 2013/14, and milk output Demand for exported dairy prodopening price range of $4.05-$4.40/kg ita dairy consumption and a growing finished the March 2012 quota year up ever, the surge in supply has outpaced follows spot prices has been increasing ucts remains a positive pricing and will conMS and a full year average price range population providing a degree of cer- 2.3% on the previous year. New Zealand demand growth in the market. to grow with the middle class in This situation has seeninthe scales between $4.50 and $4.90/kg MS. The tainty beyond the current adjustments. production is widely expected to finish down. most keytinue exporting In the seasons following the 2008 this season up 10% on last year - a huge tip in favour of buyers in dairy mar- large emerging markets such as China, report considers the wider market picDespite the protests, regions since. It’s only ture and summarises the many factors financial crisis and subsequent com- market influence given 95% of NZ milk kets, with commodity prices retreat- with changes in diet and with increasing quotas in recent that- and also inwithout urbanisation conjunction Butter months at play; the key theme of the current sit- modity price recovery, farmers in is exported. Argentina is also enjoy- ing steadily over recent months. with global population growth.

Locally, from their uation being that of re-balancing in the export-oriented regions have seen solid ing solid production growth, but a sig- prices are down some 30%lower constraining the fastest farmgate prices global supply growth (see chart) - with nificant supply gap in Brazil prevents 2011 peaks, whilst powder prices have the domestic market is supported by a dairy supply chain. growing regions, and in have begun to deliver the In regions of Australia focused on higher-cost competitors in the North- much of this additional milk from leav- lost more than 20%. Farm gate prices growing population and stable perthe the absence capita while consumption. Whilst dairy of severe have subsequently been opposite reduced in signal, producing drinking milk, many farmers ern Hemisphere amongst those expand- ing South America. currently a challenging place average Despite wider economic uncer- most exporting regions. The face a re-balancing market in the form ing output as their margins increased. weather impediments, it’s lower pricesmarket haveishelped of renegotiation of supply contracts This season, favourable weather con- tainty, demand has remained resilient basic farm gate price for milk in France to be a seller, all signs indicate that ballikely to take some months stimulate demand in more and reduced access to ‘tier one’ supply. ditions have further enhanced milk as importing countries like China and for example, dropped 12% from 32 Euro ance will ultimately return. price-sensitive markets. So for production to slow substantially. how long will rebalancing A strong domestic take?

With its overwhelming market has largely kept the US dairy industry export exposure, New Integrated in its own bubble in Zealand is, as usual, at the ASEAN-Australia-New austraLian DairY, State-of-the-art rice heat dairy farm recent months, with pointy end of the market. and wine exporters to Zealand FTA (AANZFTA).

“Protectionist sentiMalaysia are the biggest Integrated and health detection management cheese and butter prices Farmgate prices fell from ment over agricultural winners in a free trade automatic system software coasting along well above NZ$8.40/kgMS in 2013/14 goods is rife and growagreement (FTA) signed cooling ing across the globe, so pack international benchmarks. between the two counaustraLian FooD to NZ$4.40/kg MS into provide portion in this context it is pleas(200-330ml) configuratries last month. company Freedom Foods(and solutions The limitation has been 2014/15, but that a ing Australia has managed tion for beverage prodThe deal, signed after Group Ltd is to build a haulage and processing South Island drought) High capacity milking to forge an agreement seven years of negotianew milk processing plant ucts. with Malaysia that has The NSW capacity, location willcausing skimmed tions, allows a liberalised to cash in onprevent growing the kiwis didn’t Optimised stations dealt with some sensiprovide access to theto most licensing arrangement demand in Asia. milk be dumped in from producing a record energy use tive agricultural issues for Australian liquid milk The plant, to be built in sustainable and economic some areas. volume of milk not effectively covered by source of milk.

Pactum has The low exporters and allows southeast Australia, willlast be season AANZFTA,” says Fraser. strong links to the Austraaccess for higher value the–first Australian green- litres value of SMP globally is almost 22 billion Sealing the deal: Malaysian trade minister Mustapha Mohamed “While under the retail products. fields expansion in UHT in lian dairy industry and will having an impact, with (up 2.8%). with Australian counterpart Craig Emerson after signing the deal.

AANZFTA agreement expand its arrangements It guarantees Aus10 years. the fat After wholly initial hopeswith dairy farmers most of Australian agrifor portion of the tralian wine exporters Freedom’s but also through technical Despite the compleers through streamlining culture’s key interests supply of milk.

The new the best tariff treatment owned Pactum milk substantially more of asubsidiary recovery, the price or so called ‘behind the tion of this agreement, of rules-of-origin dechad tariffs bound at zero, plant will increase scope Malaysia gives any counAustralia will run the valuable. outlook for this season is much remains to be done border’ restrictions.” dairy and rice are two sec- laration processes and try. It also allows open plant. Some of its products for Australian milk supply However, milk output worse, with the The FTA was signed on for Australia’s farmers to improved marketing – value-added, sustainable access arrangements from tors where incremental willmarginally be sold in Australia.

May 22 in Kuala Lumpur tap into the full potential arrangements for certain market access improveand export focused.

2023 for Australian rice The company says forecasts is up 1.6% for 2015 to date: bulk of recent

by Australia’s Trade and of the Asian region and commodities. ments have been negotiInitially the plant will with all tariffs eliminated given Asian consumalbeit at a slowing rate of close either side of $4/ Competiveness MinisThe Malaysian market beyond. ated under the Malaysian produce 250ml and 1L by 2026. ers’ rising incomes and growth. kgMS.diets, These are losster Craig Emerson and his He says the NFF will is worthMilk about A$1 bilFTA. feed UHT packs from a process The National Farmers’ improving demand Automated quality control Malaysian counterpart now throw its attention lion in Australia agricul“This trade deal was mil- other major Federation says the trade there will grow for qual- forline capable of 100 Unlike making numbers dispensing Advanced cow trafficdeal will improve inter- also particularly impor- tural exports and– including divert system towards ensuring agricul- Mustapa Mohamed. lion L. The processing and ity dairy products from many, but as local analysts dairy regions, margins solution designed fornational market access Emerson says Australia ture remains front andFull service being its fourth-largest tant for sectors such low-cost production bases packaging plant will emit areless still comfortably AgriHQ putwhose it: “NZ dairy centre in completed FTAs will be as well-positioned sugar export market and as dairy that have been less carbon, use water, for Australian agricultural such as Australia, and support pasture based systems in the Malaysian market fifth-largest wheat export with South Korea, Japan, facing a competitive disand be more energy-effigoods. milk is well regarded. profitable for most US farmers are renowned program as Malaysia’s closest tradChina and Indonesia as market. advantage in Malaysia cient than equivalent “After seven years of The new plant will though they are for milking their wayUHT facilitiesfarmers, ing partners in ASEAN, With an annual economic immediate priorities. compared with New Zeain Austranegotiation, the NFF is allow Pactum to meet tightening. out of trouble”.

If the “These are all markets and in some cases better. growth at about 5%, land which already has lia and SE Asia.

Pactum under no illusion of how growing demand for The FTA will guarantee Malaysia forms an impor- with enormous growth expects site preparation to from a supply challenging it has been to a completed FTA with UHT dairy milk, add Overall, weather isand favourable tariff-free entry for 97.6% opportunities and where tant part of the ‘Asian Malaysia in place.” begin in October 2012 and complete this FTA with to capacity for valueperspective, there is through spring (whilst of current goods exports significant barriers to Century’ story and the The FTA also sigstart-up by mid-2013.

Malaysia,” NFF vice presiadded beverages at lightUHT at the end of the costs are low),Pactum makes from Australia once it opportunity this presents trade in agriculture still nals some administrative dent Duncan Fraser says. its variable Sydney factory.

Pactum enters into force. This will for Australian agricultural exist, not only through benefits for Austraproducts for private label The FTA will fill a is expanding capabilitunnel.

Market signals farmersitswill be looking rise to 99% by 2017. tariffs that restrict trade producers, says Fraser. and proprietary customers. number of gaps within the lian agricultural exportties at the Sydney plant are being passed back to produce as much milk to the farmgate, and as possible to cover the higher proportion of fixed production will ultimately 016-017.indd 17 6/06/12 1:41 PM slow, bringing supply and costs built into many demand back into balance.

NZ operations. It will The problem however, be later in the season, is that this adjustment is when pasture becomes proceeding particularly limiting and ‘feed versus slowly. In the absence of cull’ decisions are to be made, that any substantial a dramatic supply shock (a drought, for example) slowdown is likely. or a significant upturn in In parts of Europe, For more information contact your local demand, the international farmers have taken DeLaval Dealer or a District Sales Manager dairy market will remain to the streets as the in your area on: 1800 817 199 a difficult place to do effects of quota removal, business for some months Russia’s import embargo, www.delaval.com.au/VMSplus+ to come. favourable seasonal ANYBODY WATCHING

DeLaval VMS™ Much more than a milking robot +

Malaysia FTA +benefits dairy Freedom +

Foods plant targets Asia

+

+

+

VMS+

+

+

+

CHECK OUT THE LATEST NEWS AND INFORMATION AT

www.dairynewsaustralia.com.au

Dairy NewS AUSTRALIA august 2015

markets // 19

No-one plays God on milk supply WHAT THE world

needs now is a lot less milk.

The short-term outlook for the next year looks grim. The world is awash with milk. Supply chains are clogged with milk powders, both in sheds of major producers in New Zealand, Europe and the US, and in buyer warehouses across major markets.

We could blame these woes on a retreat

by Chinese buyers and the closure of Russian markets to cheese and butter supplies from the West. Sadly, both developments took hold at roughly the same time when farmgate prices were strong and production was gearing up. The strong growth in milk output is the now biggest issue ahead of us.

Such are the workings of the dairy supply chain that it takes time for major changes in markets to translate into product prices achieved by dairy manufacturers, and, in turn, in milk returns to farmers. And then there is typically a further delay before you’ll see milk supply start to slow – generally if something else happens affecting cash flow on farm such as drought and/or higher bought-in feed costs.

As we know well, once milk producers have wound their production systems up, cows are in place, and feed is abundant and cheap, the buyers of milk brace themselves to deal with the gush of milk that comes. The juggernaut can’t be quickly turned off once set and running, regardless of what milk

fresh agenda steve spencer prices are doing.

When the market is clearly going pearshaped, you will rarely – if ever – see a concerted effort or a “God call” for farmers to slow production. It’s every man and woman for themselves in the farm sector, to optimise their farm enterprise as they see fit. The supply chain deals with the consequences and sends the messages slowly back in the mail.

We’re in a classic, deep market cycle. The theory goes that the best cure for low prices in such a cycle will be low prices – that farmgate prices will eventually fall enough to dry up milk supply and rebalance the market, driving product prices back up. If there is to be a change in market dynamics, it has to come from a slowdown in Europe, the US and/or New Zealand. With 7% of global trade, Australia is small fry.

So, given that international prices for commodities have been sliding for the past 16 months, how’s that milk supply response going?

Not very well so far, in fact, hardly any response at all. By our reckoning, the big export producers will collectively add nearly 4 billion litres of

milk in 2015, of which the good production almost two-thirds will conditions that are come in the second half available. There has of this year. been no unilateral call Can this milk output for a curbing of postbe slowed? quota enthusiasm. While In reality, farmgate we’ve seen the tractors milk prices adjust assemble in France, to market realities Belgium and the UK in a wide range of and more protests are timeframes given the planned, Europe’s milk different exposures to flow is actually speeding world markets, and the up despite this apparent production, political and “crisis”. Politicians corporate environments will react with band-aid that exist. New Zealand cash but the underlying sells about 95% of its behaviour and market milk into exports, and denial won’t change. we’ve seen the bluntness West) having far greater The US has been of the message passed exposure to commodity somewhat immune from to farmers. Despite this markets. US farmgate this global cycle, even savage cut to prices, if prices have slumped in though weaker export there is any NZ supply 2015, but the fall is being demand has cut milk response in mitigated by 2015/16, it a stronger “You’ll search hard to will be driven find any co-op that says domestic by weather market, producers should slow or cut boosted by and patterns their output.” of cashflow a recovering rather than economy. the season’s milk price.

Despite falling milk values. The US sells a But for others, with similar portion of its milk prices, the abundance of large, stable domestic low-cost feed is keeping (to the EU) into export or home markets in margins for producers in markets, with some place, the effects of a pretty good shape, and regions (e.g. the Southweak world market are shandied.

Europe sells about 13% of total milk output into export markets, but that varies widely across that region.

Internal wholesale prices Affordable and effective dairy herd funding in Europe are affected • Fund up to 100% of cow value when world prices • Fixed lease payments based on cow value change, as trade affects • Achieve herd ownership in five years product availability in • Cost efficient and tax effective milk powders, fats and commodity cheese.

Suitable for EU milk prices have • Farm Owners, sharefarmers or lessees certainly been cut – • Herd expansion or fully stocking your farm currently most are in a • Transferring herd ownership range of 27-30 euro cents • Capitalizing a farm purchase per litre, a third lower than last year. Local Farm to your capacity, talk to CowBank analysts reckon it will www.cowbank.com.au take a further 10-15% 1800 300 269 cut before you’ll see a Specialising in dairy herds since 1999 slowing of output given

CowBank Herd Leasing

keeping the milk flowing.

The other factor that buffers the farm sector is the prevalence of co-ops, which have the mantra to protect their owners from the ravages of the marketplace and take any and all milk produced.

Co-ops collect most of the milk in the big producers of Europe and in the US, and have mastered the art of the cross-subsidy within their pricing policies, allowing stable domestic

markets to cushion producers, and putting a base under all prices.

You’ll search hard to find any co-op newsletter that says producers should take opportunities to slow or cut their output.

Given these settings, for faster change in this cycle, we should be looking for the next drought, because that’s what it will take. As long as it happens to someone else, right?

Dairy Farm Lease to Own

Do you want to build farm ownership while leasing?

FarmPath offers dairy farmers:

• • • •

Involvement in the selection/purchase of the farm which they lease.

An ownership stake in the farm alongside FarmPath’s investors.

An option to increase their ownership stake at the original purchase price.

The opportunity to buy‐out the FarmPath investors after 8 years.

FarmPath is seeking farmers who have the capability to lease and co-own dairy farms milking 300+ cows.

For more information: 1800 300 269 www.farmpath.com.au

1300 767 596

info@onfarmsolutions.com www.onfarmsolutions.com

Reduce teat spray usage!

EFFICIENT & AFFORDABLE

AND FOR THE HERRINGBONE...

Better than a manual teat sprayer and no labour unit. Two nozzles deliver highly accurate bursts of teat spray.

• Reliable and durable

• Labour saving device • Highly accurate • Low teat spray usage The original Teatwand 400 remains in the product range.

• Optimal droplet size • The better alternative Distributor for:

Dairy Equipment Co Ltd

Dairy News AUSTRALIA august 2015

20 // breeding management

Aussie Red herd book heads to Holstein Australia THE AUSTRALIAN

Red Dairy Breed (Aussie Reds) has engaged Holstein Australia to

manage its herd book and membership services.

Aussie Reds will retain responsibility for the

direction of the breed including setting the ideals and measurements for the true-type animals

Dam: Stantons Freddie Cameo, VG 85

PO Box 7538 • Shepparton • 3632 Victoria Phone (03) 5831 5559 • Fax (03) 5822 0005 info@wwsaustralia.com • www.wwsires.com

the association wants to breed.

Holstein Australia’s service to Aussie Red members will include Graeme Gillan web based registrations, pedigree and genetic information as well as direct access to its professional team of classifiers.

These services will be have been impressed with backed up by a team of membership and technical how accommodating and officers in the Camberwell professional the Holstein team has been,” Mr office.

Hamilton said.

Aussie Red president, “The move makes Graeme Hamilton, said sense and gives Aussie Red the Aussie Reds executive members the convenience was excited about the prospects of working with of a one-stop shop that we believe will improve Holstein Australia.

“Throughout the entire member service delivery.

“There is still a fair bit negotiation process we

Healthier cows pregnant sooner...

Embryonic Loss

Resting

to do and we ask Aussie Red members be patient as we work through this transition.

“We expect new registrations to be accepted into the system in early to mid-August and in the meantime each Aussie Red member will be contacted directly with more details,” Mr

Non Cycling

Pregnant

Hamilton said.

Holstein Australia CEO Graeme Gillan said HA’s third party software provider, ABRI, had been engaged to manage the migration of the Aussie Reds’ data to its platform and create the same on-line service that Holstein members currently enjoy.

Cystic

Heat

Rumination

Feeding

The latest in Health and Fertility Monitoring

Optimise the production and fertility performance of your herd

NEW

Award Winning System

An employee you can rely on to monitor individual cow behaviour 24/7

• Heat detection • Rumination • Feeding

• Resting • Behaviour • Health Alerts

Scan MooMonitor+ & assign to cow using your smartphone

• And much more Know what’s happening in your herd!

DAIRYKING

MooMonitor+ Specialist James Britt Call: 0408 741 034 Dairyking Specialist Julian Bentley Call: 0408 105 823

www.genaust.com.au | Free call 1800 039 047

Call us for a FREE info pack

Dairy NewS AUSTRALIA august 2015

breeding management // 21

Feed Saved ABV set to steal the spotlight at genetics conference THE LATEST Australian Breeding Values (ABVs) will be under the spotlight when Australia hosts an international genetics conference in Lorne, Victoria, next month.

Australian scientist Jennie Pryce, who was a leader in developing the Feed Saved ABV through the Dairy Futures CRC, said it had already attracted international acclaim. Dr Pryce will speak at the Association for the Advancement of Animal Breeding and Genetics (AAABG) conference in Lorne from September 27-30.

AAABG is an association for scientists, animal breeders and those working in the livestock genetics business.

Australia’s team of internationally recognised geneticists will host colleagues from Ireland, Denmark, USA, Germany, Kenya and New Zealand.

Researchers will tackle some of the most significant opportunities available through genetic improvement, such as improved fertility, animal health, feed conversion efficiency, methane production and the use of new tools from genomics.

The Feed Saved Australian Breeding Value (ABV) was published for the first time in April the culmination of eight years of research and development by Dairy Futures CRC and local and overseas partners.

Using the ABV, dairy farmers can identify bulls that can save at least 100kg of dry feed matter per cow each year while maintaining milk production.

It is the first feed efficiency breeding value in the world to incorporate real feed intake data, as well as a prediction of feed required for maintenance purposes, making the trait more relevant for farmers.

Dr Pryce said farmer engagement during the development of the ABV was critical to its success and its uptake.

“It’s all very well having a perfect economic index but if it’s not

addressing farmers’ wants and needs it loses relevance,” she said.

Dr Pryce said many of the hassles farmers have on farm are not very easy to calculate an economic value for.

To ensure the relevance of the Feed Saved index, the research team spent a lot of time identifying all the components that make up a genetic index.

“We looked squarely at economic drivers for Australian production and tried to context these in a genetic improvement perspective.

“We needed very robust indicators of economic values for traits, for example, what have the trends been for the cost of feed over the last 10 years, we looked at the price of milk, looked at what has happened in changes for the cost of diseases.”

Dr Pryce said Australia had become the envy of the world for the development of its Feed Saved ABV. “People are looking at us enviously as we are one of the only countries using real feed intake data to calculate new breeding values.

“Ours is called Feed Saved because that’s exactly what it is. Other countries may develop breeding values which are more like feed efficiency.

“We deliberately chose feed saved because that’s the goal farmers want.”

Dr Pryce said the work has been presented twice in the USA, where they received favourable comments.

“A lot of people are looking to Australia in terms of guiding where they may go with their research.

“Canada is leading on health traits they have breeding values for, but we were competitive or even ahead of the US because of this Feed Saved breeding value.

“Our Workability traits are also looked at with envy by a lot of countries around the world.”

Speakers at the conference will include:

Donagh Berry from Ireland will describe how they have merged databases from across the cattle production chain to better evaluate bulls.

Kati Schoepke from

Germany will talk about collection of animal health data and its use to select animals resistant to disease.

Mogens Lund from Denmark will describe

the use of genomics in the Danish dairy industry.

Australian scientists to speak include: Dr Pryce on selecting for feed conversion efficiency.

John Morton who will address ‘does the benefit of high ABV bulls depend on your feeding system?’.

Thuy Nguyen on selecting for heat tolerance.

Iona MacLeod on genetic markers for fertility.

More information and registration can be obtained at http://www.aaabg2015.org/.

DAIRY NEWS AUSTRALIA AUGUST 2015

22 // MANAGEMENT

Feedlotting for ambitious e CAMERON WILSON

TRAVIS THOMPSON

has a clear vision for the sheep and cropping country surrounding the dairy farm he manages in the New South Wales Riverina.

He sees an opportunity to develop a sizable dairy industry based on the type of large-scale feedlot system more common to parts of the northern hemisphere.

“That model sort of says ‘you don’t have to be the ridgy didge dairy property to milk cows’, it could be any property that houses a cow,” Mr Thompson said.

“I think there’s opportunity for that and I think it will happen too because of overseas investment and Australia has so much appeal.

“The beauty of around here is that we are a pretty big grain belt so grain is pretty available all year and the transport is fairly easy.”

That ample local supply of grain combined

with a strong interest in feedlotting has guided the rapid expansion at Binnowee Dairy overseen

by Mr Thompson since he relocated from Victoria three years ago.

During that time the 1400ha property at Oura just east of Wagga Wagga has increased stocking from 300 to 650 cows and more than doubled milk production.

The herd is now 70% Friesian with remainder Brown Swiss, Jersey and crossbreeds.

The cows are split into three separate herds that produce five million litres of milk a year averaging 4.2 grams a litre fat and 3.4 grams a litre protein.

Each cow is removed from the milking herd once it hits 218 days pregnant and is put on pasture on the property’s undulating paddocks for five weeks.

The dry herd remains steady at about 150 head with calving occurring at an average of about 60 a month for the entire year.

The remaining 500 head are separated into

About one third of the farm’s 1400ha is dairy area consisting of both dry land and irrigation.

WHO:

Travis Thompson WHERE:

Oura via Wagga Wagga WHAT:

Rapid expansion

two groups milked twice a day.

Pregnant cows that have been in milk for more than 200 days are kept in a herd that averages 18 litres per cow, while a higher performance herd of cows that have done less than 200 days in milk averages 34 litres per cow.

“Pretty much what we try to do is feed our best quality feed to our most productive cows,” Mr Thompson said.

In the winter months the high production herd is fed on pasture once a day and then put on a feed pad directly before

and after milking. In the summer, cows are almost exclusively fed on the feed pad.

“We’ve changed our thinking a couple of times on feedlotting cows but we do incorporate the feed pad quite a bit,” Mr Thompson said.

“We may 100% go feedlot and just grow as much feed as we can and then feed it to them

there.”

The feed pad mix is citrus pulp, corn silage, oat, hay, canola meal and wheat.

Lucerne, annual ryegrass and corn are grown on the property with the help of 900 megalitres of irrigation water and 530 mm of average annual rainfall.

Mr Thompson calculates feed costs

fluctuate between 20 to 26 cents per litre of milk produced.

“The cost of milk production up here is obviously more than what it is in Victoria,” he said.

“If you’re a pasture based dairy farm then it is going to be cheaper to make milk versus us and we can’t grow pastures at certain times of the year,

so you’ve got to grow crops and feed them on a feed pad.”

The farm’s rapid expansion has been partly motivated by a desire to offset the risk of dairy farming in a region with just one processor.

Currently Fonterra’s Wagga Wagga fresh milk factory is the only local processor.

“We’d like to have a bit Milking is twice a day in a 36 stand rotary dairy.

Dam: De-Su 267-ET, VG 85

PO Box 7538 • Shepparton • 3632 Victoria Phone (03) 5831 5559 • Fax (03) 5822 0005 info@wwsaustralia.com • www.wwsires.com

EFFLUENT SPREADING SOLUTIONS

Galvanised solid spreaders (8-24 cubic metres)

Large volume solid spreaders (up to 40 cubic metres)

Slurry tankers (up to 30000L)

Slurry stirrers (5m, 7m, 10m)

Muck Runner – Superior In Quality And Design

Available for sale and hire from the leaders in muck machinery!

Tom 0419 851543 | www.pichonindustries.com | www.remorquerolland.com | muckrunnerptyltd@hotmail.com

Dairy NewS AUSTRALIA august 2015

management // 23

s expansion Cows in the highproduction herd produce up to 50 litres of milk each day.

to realise his vision for large-scale intensive dairying in the Riverina.

“I’d love to build a three store barn where I could house my cows and really be profitable and you can really manage and get some milk out of your cows.”

Make the right decisions faster with a DeLaval Herd Management System of scope to have a little bit of pull if a milk processor wants your milk – and you can produce five, or double that, up to 10 million litres of milk – you would think you would be wanted,” Mr Thompson said.

“And obviously if there’s a number of people in the business, we have to make enough milk and money to be profitable.”

In addition to Mr Thompson as manager, the business employs four full time staff and is jointly owned by two families with varying degrees of involvement in the running of the property.

The farm also includes a small beef component to complement the core

dairy business.

Bull calves are kept and grown to between 400 and 500kg then sold directly to an abattoir.

Mr Thompson says the annual sale of up to 200 grown Friesian steers allows the business to capitalise when the beef price is strong.

But it’s the dairy side of the business that Mr Thompson plans to continue expanding, although he acknowledges that will mean acquiring more land.

“I’m thinking that around 650 cows is probably maxed out so to grow we would probably look at purchasing some more property and setting up another dairy up.”

For Mr Thompson that could be the opportunity

Clarity, it’s the Plus+ you’ve been looking for.

Travis Thompson thinks feedlotting is the future for dairy around Wagga Wagga.

TRACTA54624-DNA

Optimising production and profits is at the heart of any dairy business.

A DeLaval Herd Management System incorporates a range of smart decision tools and automation technologies that allow you to manage sorting, feeding, milking and breeding as one integrated business operation, significantly boosting your farming efficiency.

Talk to your local DeLaval dealer about putting the Plus+ in your farm. Call 1800 817 199 or visit delaval.com.au

Travis Thompson moved from Victoria’s Goulburn Valley to manage Binnowee Dairy.

Dairy News AUSTRALIA august 2015

24 // animal health

Measuring quality of colostrum can no longer be left to chance LAST MONTH we

discussed the importance of colostrum, the consequences of insufficient colostrum feeding and how to assess colostrum management on farm. This month, we introduce the concept of colostrum quality, the factors associated with it and how it can be easily measured.

What does colostrum quality mean?

“New-born calves should be actively fed good quality colostrum as soon as possible after birth to reduce the risk of failure of passive transfer (FPT).” In this context, colostrum quality is referring to the concentration of antibodies (also referred

gemma chuck to as “IgG”) per litre of colostrum. The higher the concentration of antibodies in a litre, the better the quality of colostrum. Good quality colostrum is defined as containing at least 50 grams of IgG per litre of colostrum. Poor quality colostrum is defined as being less than 50 grams IgG per litre of colostrum.

What affects the quality of colostrum produced?

The quality of colostrum produced is one of the hardest factors to influence in a colostrum management program. Colostrum quality can be affected by many different factors including breed, parity, dry period length, volume of colostrum produced and time to first milking.

Jersey breed cows tend to have the highest concentration of IgG per litre of colostrum, whilst Holstein-Friesians tend to have the lowest concentrations of IgG per litre. This is associated with the high volumes of colostrum that these breeds often produce, resulting in dilution of

Disbudding service

Reduce stress for you and your calves

IgG present in the udder.

Previously, parity has been shown to affect the IgG concentration in colostrum, with older cows having higher quality colostrum compared to younger cows. However, further research suggests there is no difference in IgG concentration with age. Some heifers produce excellent quality colostrum and the practice of discarding colostrum produced by heifers is now discouraged.

The production of colostrum in the udder starts about four to six weeks prior to calving.

Therefore, the length of the dry period can significantly affect the quality of colostrum.

Dry cow nutrition, transition management, accurate dry off dates

from pregnancy testing, teat sealant and strategic vaccination where appropriate, are all integral components of a colostrum management program.

The time between calving to first milking has a negative effect on colostrum quality.

Colostrum quality in the udder rapidly declines at the point of calving and research shows that colostral IgG concentration decreases by 3.7% for each hour after calving. Cows and heifers should be collected from the calving area at least twice daily and milked as soon as possible. If cows are only collected once daily from the calving area, collection of the best possible colostrum has not been achieved.

Pooling colostrum is

the mixing of colostrum produced by different cows and heifers, after collection. The logic behind this was that it was supposed to minimise the impact of low-quality colostrum samples. Unfortunately, this actually results in reducing the overall quality of the pooled sample, as good quality colostrum is now diluted with poor quality, and overall IgG concentration is less.

In reality, colostrum quality is highly variable from farm to farm and from cow to cow.

How do I measure colostrum quality?

Direct measurement of colostral IgG can be carried out at a laboratory. This is considered the ‘gold standard’ to which other indirect tests are

compared.

However, the direct measurement of colostral IgG on farm is almost impossible in terms of practicality, cost and processing time.

Indirect measurements of colostrum quality have been described, such as visual inspection, the use of a colostrometer and more recently the Brix refractometer.

Colostrometers are reasonably quick to use on farm but do have some limitations.

They are significantly affected by temperature and for a known quality of colostrum, the colostrometer can differ by 0.8mg/ml for every degree Celsius change in temperature. They are also very fragile, which can make them unsuitable in a farm environment. to page 25

GET SOCIAL WITH DAIRYNEWS

Disbudding (dehorning) performed by veterinarians on calves 2 – 10 weeks of age using; sedation, local anaesthetic, pain relief topical antibiotic. Improved calf welfare, recovery and average daily gain.

Keep up with the latest stories from by following us at

DairyNewsAustralia

Phone: 1300 838 700 www.thevetgroup.com.au

Cookiecutter Petrone Hugme-ET, VG 85

PO Box 7538 • Shepparton • 3632 Victoria Phone (03) 5831 5559 • Fax (03) 5822 0005 info@wwsaustralia.com • www.wwsires.com

DairyNewsOz

DAIRY NEWS AUSTRALIA AUGUST 2015

ANIMAL HEALTH // 25

Prevention better than cure ROD DYSON

FOR COWS, the calving

period (two weeks before calving until two weeks after) is the highest risk period for new mastitis infections, and wet conditions significantly increase that risk.

Most new mastitis infections in this calving period are likely to be environmental (commonly Strep uberis), and for this infection to occur, the teat must come into contact with contaminated material (generally mud and/or faeces).

The cow’s natural defence mechanisms are already compromised in freshly calved cows and heifers by swollen, hard teats, and are then further compromised in wet conditions by mud and faeces on these teats.

While working with our clients to develop strategies to reduce this

risk, two key risk elements have cropped up regularly that we think are worth thinking about on any farm.

1. Hygiene at the first milking While pre-milking teat preparation is not routinely used in most Australian herds, there is good evidence that targeted use can be of significant benefit.

One such case is in freshly calved cows and heifers, especially in wet, muddy conditions.

Washing and drying all fresh cows’ and heifers’ teats at the first milking achieves several goals: 1. Removal of contamination from the teat surface before milking.

2. The washing action contributes to much better “let down” in both cows and heifers.

3. Post milking teat spray will be better able to contact and kill bacteria on the teat surface immediately

after milking.

The emollient in your teat disinfectant will be able to get direct contact with teat skin to aid skin condition in these fresh cows and heifers with sensitive, swollen skin.

Drying teats after washing is very important, because cups going onto wet teats will likely lead to cup crawl and teat congestion - just what we don’t want!

This short routine will take less than a minute for most cows, yet will result

in these fresh cows milking quicker and cleaner, and will also substantially reduce the risk of infection.

2. Milking routine If you milk fresh cows “on the bucket”, then unless your dairy is already a low line, you will have “converted” it to a low line for these cows.

This means you will be milking them at a higher vacuum than normal often significantly higher.

We recently measured the difference in one dairy, where cows “on the

bucket” had a mean claw vacuum more than 8 kPa higher than cows being milked normally. We see a difference of up to 6 kPa quite commonly.

Which cows would you least like to milk at a much higher vacuum than normal?

The fresh cows and heifers, of course.

Two options to consider are: ■ Milk these cows last in the normal fashion (i.e. without “the bucket”) when the vat has been

disconnected.

Flush and disinfect the cluster after the main milking and prior to cupping up a fresh cow.

As a compromise, if you do use “the bucket”, make very sure that you do not over-milk these cows.

Don’t wander off to do other jobs whilst they are milking – stay close enough to remove cups as soon as they have finished.

While these practices are relatively simple to implement, there are likely to be a number of other ■

factors that could also be significantly increasing the risk of mastitis at and after calving on your farm.

Speak to your vet/ mastitis adviser about a detailed management strategy for mastitis control at calving. It is likely to cost less than one typical clinical case of mastitis – and preventing at least one case shouldn’t be hard to achieve.

• Rod Dyson is principal veterinary consultant and team leader of Dairy Focus, based in Tongala.

Now DEFENDS ShEEp, Dairy & BEEF CaTTLE agaiNST ENCh rESiSTa ST NCE* STa DrENCh rESiSTaNCE

Measuring quality of colostrum can’t be left to chance FROM PAGE 24

The Brix refractometer is available in both optical and digital forms. A cut-off of 22% Brix is deemed to equate to a cut-off of 50g/L of IgG, thus samples ≥22% Brix are considered to be of adequate quality. The benefits of the Brix refractometer are that measurements are not affected by ambient temperature and they are robust, easy and economical to use on-farm.

How do I use this on my farm?

The quality of colostrum can no longer be left to chance and guess-work. Routinely measuring colostrum quality with a Brix refractometer has been an invaluable tool as part of an integrated colostrum management program. A simple system in using the Brix refractometer is to ‘grade’ colostrum according to the quality.

Pooling colostrum on farm is considered detrimental in terms of disease spread from cow to calf. However, sometimes pooling is unavoidable and a compromise needs to be reached. As a rule of thumb, “only mix like-with-like.”

This means only mix colostrum that is ≥22% Brix, with colostrum that is also ≥22% Brix. This is the Grade 1 colostrum (good quality). And only mix poor quality colostrum that is <22% Brix with other poor quality colostrum which is <22% Brix.

This is the Grade 2 colostrum (poor quality).

Colostrum collection containers, such as bottles or Perfect Udder bags, are marked either Grade 1 or Grade 2, along with the date of collection. This system allows all staff to know exactly what the quality is, how much needs to be fed and the use-by date.

• Next month we discuss the timing and method of feeding colostrum and the impact this has on the transfer of immunity.

NOW APPROVED FOR USE IN

DAIRY CATTLE 28 DAY MILK WHP*

Rotate to tRifecta

▹ ▹

®

Treats and controls internal parasites resistant to mectin drenches in sheep, dairy and beef cattle * Strategic rotational drench: oral drenching can often be more effective against resistant worms than pour-ons or injectables ^

Toll Free 1800 885 576 www.coopersanimalhealth.com.au ® Trifecta and Coopers are registered trademarks of Intervet Australia Pty Ltd (known as MSD Animal Health).

ABN: 79008467034. * See label for full details. As per APVMA approval no. 67327/61112. ^ Leathwick, D.M., Besier, R.B., (2014) The management of anthelmintic resistance in grazing ruminants in Australasia – strategies and experiences Vet. Parasitol 204 (1-2), 44-54.

AU/TRIF/0415/0001

DAIRY NEWS AUSTRALIA AUGUST 2015

26 // ANIMAL HEALTH

New oral drench to combat parasites COOPERS ANIMAL

Health says Trifecta, the only triple active oral drench available in Australia for sheep and cattle, now has a registered treatment to calving interval of 28 days, enabling use in dairy cattle.

The Australian Pesticides and Veterinary Management Authority

(APVMA) has published the updated label, which now includes a Dairy Cattle WHP. The company said Trifecta now offers Australian dairy farmers a best practice strategic rotational drenching option that treats and controls internal parasites resistant to mectin drenches.

Warrnambool Veterinary Clinic director and veterinarian, Dr Jon Kelly, said an oral drench with multiple actives was definitely needed for dairy producers.

“Resistance to drenches is an issue all cattle farmers need to get on top of, and this is a more powerful tool

for dairy farmers to use to fight worms. An oral drench with multiple actives is something that we definitely need for young dairy cattle; there is increasing resistance to single active drenches.”

Coopers said resistance to drenches is detected via faecal egg count reduction tests and occurs where

parasites are able to survive treatment doses that would normally kill parasites of the same species and lifecycle stage.

Dairy cattle veterinarian at the Maffra Veterinary Centre, Dr Stephanie Bullen, said drench resistance was an increasing issue the dairy industry should be

There’s an instant prize in every pallet.

PLUS

Instant winners can enter the draw to win a Honda quad bike worth

It doesn’t do our image any good at all.

About time he replaced that old bike

$11,500

concerned about due to productivity and welfare issues.

“Recent local research here in Gippsland suggests drench resistance is much more widespread on dairy farms than we ever thought previously.

“I have three dairy farms which have resistance to all three available classes as single-actives.

“Previously, it was not practical for them to treat with three individual products to achieve the same effect as the use of a ready-to-use combination, such as Trifecta.”

Dr Bullen said Trifecta encompasses all she recommends in a drench product.

“Trifecta is an oral drench, so gets directly to the site of parasites without any reliance upon absorption through the skin or blood stream.

“It is short-acting, so kills the parasites quickly without prolonged expo-

sure to chemical and potential sub-lethal concentrations at the end of the efficacy period.

“It is a combination drench - so it is useful on farms where resistance is already present and is more effective at slowing resistance than regular rotation of single-active drenches.”

Coopers said Trifecta is ideal to use when introducing any new stock to the property, as a weaning drench, when routine worm egg counts indicate drenching is required, and as an “exit” or “tail-cutter” drench where a long-acting drench has been used close to the end of the product’s period of persistent efficacy (or sooner if worm egg counts indicate drenching is required).

The full details of the updated Trifecta label are available on the APVMA website: www.apvma.gov. au. Refer to the full label details before use.

Good nursing practice essential for downer cow recovery GOOD NURSING care is the key to successfully

WIN hats, vests, shirts and helmets from R.M.Williams and Honda instantly.

Get on your bike.

INSTANT PRIZES

Plus if you’re an instant winner you can enter the draw to win a Honda quad bike worth

bcm:max0056

$11,500

Get on your bike.

INSTANT PRIZES

Plus if you’re an instant winner you can enter the draw to win a Honda quad bike worth

$11,500

Get on your bike.

INSTANT PRIZES

Plus if you’re an instant winner you can enter the draw to win a Honda quad bike worth

$11,500

You could WIN hats, vests, shirts and helmets from R.M.Williams and Honda instantly.

Plus, if you’re an instant winner you can go into the draw to win a Honda quad bike.

You could WIN hats, vests, shirts and helmets from R.M.Williams and Honda instantly.

Plus, if you’re an instant winner you can go into the draw to win a Honda quad bike.

You could WIN hats, vests, shirts and helmets from R.M.Williams and Honda instantly.

Plus, if you’re an instant winner you can go into the draw to win a Honda quad bike.

Conditions apply, see www.maxumanimal.com.au/promotion/. Open to Aust residents 18+. Starts: 1/7/15. Ends close of business on 30/9/15. Retain receipt/s. Instant Win Prizes: 30x vests ($100ea); 30x shirts ($85ea); 30x quad bike helmets ($70ea); & 210x caps ($30ea). Draw prize: 1x Honda TRX 420 quad bike valued at $11,500. Draw: S3, Erina Plaza, 210 Central Coast Hwy, Erina NSW 2250 at 10am AEDST on 14/10/15. Draw winner published in The Australian Dairyfarmer on 9/11/15. Promoter is Maxum Foods Pty Ltd (ABN 80 103 379 657) of Ground Floor, 80 Petrie Terrace Brisbane QLD 4000.

NSW Permit No. LTPS/15/03312 VIC Permit No. 15/944 ACT Permit No. TP15/05724 SA Permit No. T15/727

Conditions apply, see www.maxumanimal.com.au/promotion/. Open to Aust residents 18+. Starts: 1/7/15. Ends close of business on 30/9/15. Retain receipt/s. Instant Win Prizes: 30x vests ($100ea); 30x shirts ($85ea); 30x quad bike helmets ($70ea); & 210x caps ($30ea). Draw prize: 1x Honda TRX 420 quad bike valued at $11,500. Draw: S3, Erina Plaza, 210 Central Coast Hwy, Erina NSW 2250 at 10am AEDST on 14/10/15. Draw winner published in The Australian Dairyfarmer on 9/11/15. Promoter is Maxum Foods Pty Ltd (ABN 80 103 379 657) of Ground Floor, 80 Petrie Terrace Brisbane QLD 4000.

NSW Permit No. LTPS/15/03312 VIC Permit No. 15/944 ACT Permit No. TP15/05724 SA Permit No. T15/727

Conditions apply, see www.maxumanimal.com.au/promotion/. Open to Aust residents 18+. Starts: 1/7/15. Ends close of business on 30/9/15. Retain receipt/s. Instant Win Prizes: 30x vests ($100ea); 30x shirts ($85ea); 30x quad bike helmets ($70ea); & 210x caps ($30ea). Draw prize: 1x Honda TRX 420 quad bike valued at $11,500. Draw: S3, Erina Plaza, 210 Central Coast Hwy, Erina NSW 2250 at 10am AEDST on 14/10/15. Draw winner published in The Australian Dairyfarmer on 9/11/15. Promoter is Maxum Foods Pty Ltd (ABN 80 103 379 657) of Ground Floor, 80 Petrie Terrace Brisbane QLD 4000.

NSW Permit No. LTPS/15/03312 VIC Permit No. 15/944 ACT Permit No. TP15/05724 SA Permit No. T15/727

The MaxCare range of milk replacers delivers maximum growth, nutrition and health support for calves. Now, it could also deliver you instant prizes. And if you win an instant prize you can enter the draw to win a Honda quad bike. Look for a winners’ card in MaxCare bags – there’s one prize-winning bag on every pallet. To learn more visit our website or call 1800 MAXCARE. maxumanimal.com.au

Conditions apply, see www.maxumanimal.com.au/promotion/. Open to Aust residents 18+. Starts: 1/7/15. Ends close of business on 30/9/15. Retain receipt/s. Instant Win Prizes: 30x vests ($100ea); 30x shirts ($85ea); 30x quad bike helmets ($70ea); & 210x caps ($30ea). Draw prize: 1x Honda TRX 420 quad bike valued at $11,500. Draw: S3, Erina Plaza, 210 Central Coast Hwy, Erina NSW 2250 at 10am AEDST on 14/10/15. Draw winner published in The Australian Dairyfarmer on 9/11/15. Promoter is Maxum Foods Pty Ltd (ABN 80 103 379 657) of Ground Floor, 80 Petrie Terrace Brisbane QLD 4000. NSW Permit No. LTPS/15/03312 VIC Permit No. 15/944 ACT Permit No. TP15/05724 SA Permit No. T15/727.

treating a downer cow and having her return to your milking herd.

Downer cow expert and practicing veterinarian, Dr Phil Poulton, advised farmers at a series of animal health sessions run by DairyTas in Tasmania last month, how to get the best results from nursing a downer cow.

Dr Poulton has spent many years researching which practices provide the best outcomes for downer cows.

“Nursing a downer cow is quite labour intensive and time consuming, however good nursing practices dramatically increase the chance of your downer cow returning to the milking herd,” he said.

Dr Poulton who has just completed his PhD on downer cow management, said best management practice for a downer cow involves a multi-pronged approach with good sheltered housing for the cow, the use of 4 in 1 and anti-inflammatory drugs, as appropriate and a lot of TLC (tender loving care).

Dr Poulton has learnt over the years that once cows are down for any reason they are very susceptible to secondary damage, which is often the reason that they don’t recover.

Excellent nursing care is vital to increase the chance of recovering from the primary cause and reduce the chance of secondary damage occurring.

Downer cows are an important animal welfare issue from the individual cow perspective but also for the industry as a whole so it is vital that all stakeholders manage them utilising ‘best practice’.

This involves appropriate treatment and excellent nursing standards and the prompt euthanasia of those with poor chances of recovering or those unable to be nursed at a suitable standard, he said.

DAIRY NEWS AUSTRALIA AUGUST 2015

HAY AND SILAGE // 27

New program boosts Preserve protein winter growth

content for profitable production

NORTHERN VICTORIAN dairy

farmer, John Archard, started using a tailored yield enhancement program on his irrigated dairy farm at Murrabit five years ago.

The program supplements traditional inputs – lime, sulphate of ammonia, boron – with solid and liquid nutrients developed by BioAg, a Riverina-based producer of fertilisers and yield enhancers.

Mr Archard has increased his winter pasture yield and attributes this to the BioAg program.

“Anyone can grow grass in autumn and spring just by throwing nitrogen down,” Mr Archard said.

“Where this system stands out is its ability to grow quality pasture from March to December.

“High protein and high ME feed is what keeps your milk volume and components up.”

Mr Archard said his cows now graze in the same area for up to four days, whereas in the past, they would have been knocking down the electric fence within a few hours to get back to the feed pad.

“In fact, I have to be careful not to overgraze the paddocks,” he said.

An advantage of Mr Archard’s approach has been greater pasture utilisation, due to the greater palatability of the pasture. The pasture condition has also improved.

“The root system now extends down to 40cm,” he said. “Previously, the roots wouldn’t push beyond five to 10cm.”

AT A time when feed represents 40%

BioAg’s Dan Hill with John Archard.

The program involves application of a foliar mix in May/June, and Mr Archard normally follows the cows around with the boom spray. Depending on the season, grazing pressure and other conditions, the paddocks may receive an additional application during the winter months.

With the success of the program, Mr Archard has moved away from summer pasture, concentrating instead on maximising fodder conservation through silage in the spring, which he feeds out in the summer months.

This minimises heat stress within the herd and helps prevent the drop in milk production you would normally

Season

John’s Pasture Program

Autumn Applied just prior to the first irrigation in early March

Winter

see during heatwaves.

After each silage cut, the paddock is irrigated and then sprayed with the foliar mix to maximise both yield and forage quality.

With this approach, Mr Archard has been able to achieve two cuts of silage and one hay cut from each paddock in the spring, at the same time maintaining pasture production for the herd to graze.

As for the cost, he maintains the cost per hectare is no more than his old approach.

“If anything, it’s less. While I’ve had to purchase a spray cart for the foliars, the advantages far outweigh the costs.”

Inputs (per ha) 500kg lime 200kg BioAgPhos 100kg sulphate of ammonia (SOA) 2kg soluble boron (past 2 years) 2 L Balance & Grow 30 L Sulsa (equivalent to 8 units of N and 1.8 units of S)

to 60% of milk production costs, every gram of nutrient counts, says technical nutritionist, Natalie Schwerin, from Lallemand Animal Nutrition.

Mrs Schwerin describes forage nutrient content analysis as “the first key step towards developing a sound and practical nutritional program for a dairy business”.

“Forage protein content varies greatly according to the crop species, maturity and the soil including the use of fertiliser,” Mrs Schwerin said.

“It is, however, important to keep in mind crude protein (CP) is measured indirectly, based on the total amount of nitrogen in the forage.

“The CP level represents protein content but also other sources of nitrogen with no feeding value, such as soluble nitrogen and ammonia, both degradation products of proteins, hence, the actual true protein level can vary for a given CP value.”

Mrs Schwerin said ensiling was a common method of forage preservation, and it was typically known the ensiling process did not alter the CP content of forage.

“However, if we look in detail at the true protein content and not overall nitrogen content, this is different,” said Mrs Schwerin.

“Indeed, silage fermentation is often a source of protein degradation, known as proteolysis, and, even though it isn’t visible in the stack CP level, the nature of the nitrogenous compounds present after ensiling can be dramatically altered with important amounts of ammonia (NH3) and soluble nitrogen.”

When produced in excess, Mrs Schwerin said these products were detrimental to the animal and lead to a decreasing in performance.

Certain good silage practices could help ensure an optimal fermentation pattern and thus lower protein losses, said Mrs Schwerin.

Before harvest, ensure a lag time between the spreading of manure/slurry and harvesting as manure/slurry was high in nitrogen and thus increased the buffering capacity of the forage. At harvest, high dry matter (DM) inhibits proteloytic enzymatic activity, so ensiling at higher DM may minimise proteolysis.

Mrs Schwerin said proteolytic microorganisms were mainly located in the soil, so a cutting height above 6-7cm should limit contamination from the soil.

“Ensuring a rapid and strong acidification at the front end of ensiling, quickly inhibits the activity of proteases and proteolytic bacteria,” Mrs Schwerin said.

“The use of adapted acidifying inoculants, designed for grass forages, accelerates the acidification process, thus limiting proteolysis.”

Producers need to ensure optimal packing and sealing silage to favour anaerobiosis as the absence of oxygen within the stack inhibits proteases and contributes to a better acidification.

“Certain forages, in particular when high in DM, are prone to heating and this can be prevented by the use at harvest of adapted silage inoculants containing L. buchneri NCIMB 40788, which are proven to prevent mould development after ensiling and silage heating,” she said.

DAIRY NEWS AUSTRALIA AUGUST 2015

28 // HAY AND SILAGE

Farmers seek feed options to overcome cold snap RICK BAYNE

A COLD snap that hit pastures across

the country last month forced dairy farmers to assess supplementary feed options to ensure their cows maintained energy.

“The sudden change in temperature really knocked native pastures about and in many cases the land was too wet for stock,” Feed Central supply manager Ian Wickham said.

“We received a lot of calls from farm-

ers looking for high energy feed options to get their animals through what was a tough period.

“The colder the temperature and the greater the exposure to wet and windy conditions, the greater the increase in maintenance energy requirements.”

Mr Wickham said it was important to feed higher quality forage or provide supplemental grain to ensure an active rumen.

“When cows are in poor to marginal condition, there are serious negative effects such as viability of her calf and

subsequent breeding performance,” he said.

There are several good options available for farmers needing feed, including lucerne hay and wheaten hay.

Nutritionist Dr Steve Little from Capacity Ag Consulting said farmers need to know the nutritional value of what they are buying, focusing on energy and protein.

“It’s straightforward maths – animals need to be provided with enough food to meet their daily energy and protein requirements for maintenance and

production,” he said.

Dr Little said animals had marginally higher energy requirements when it was cold.

“Farmers need to do a feed budget to calculate how many megajoules of metabolisable energy per day each animal will need to keep on track and then work out how best to meet that requirement,” he said.

Dr Little said the feed budget needed to be based on an accurate head count, realistic requirements for different classes of stock, and realistic allowances

for feed wastage based on the method used to deliver each feed to animals.

He said the wastage rate for hay could be up to 30% or more if fed out on the ground in wet conditions.

“It all comes down to knowing what you’re buying and focusing on the cost per unit of energy and protein, rather than the price per tonne.

“The cheapest priced hay may not necessarily be the best value or the best way to maintain your animals, so doing a feed analysis is a good investment.”

Feedpads utilise hay, save paddocks EXTRA CARE taken to produce quality hay is essentially a waste of time if the finished product is not utilised effectively.

The problem is exacerbated in winter, when hay is fed out on wet ground, and Terry Allan of WasteNot Stockfeeders says there are other considerations, including: ■ Leaf loss – leaf is usually the most valuable part but once it shatters and blows away, the remainder is the poorer.

■ Pugging of paddocks.

■ Damage to laneways and gateways, not just from cow traffic but tractors, wagons and carts.

“A sacrifice paddock is one less paddock in the grazing rotation, and a

guaranteed candidate for an expensive re-sowing treatment later on,” Mr Allan said.

Mr Allan said constructing a feedpad with a hay feeder ensures every member of the herd gets their fill.

“Watch what happens when you put a line of hay out on the ground,” he said.

“The herd lines up and eats the first half of the hay; but watch what happens to the second half of the hay and see ‘who gets what’.

“A group of cows progressively leave the line with hay still in the line, but it’s no longer an effective feeding space for the tail enders.

“The bossy cows dominate the remaining hay, and it is not until

they are full and they leave the line, that the shy cows and heifers get a chance to come back to where the hay was, but it’s gone by now – either eaten by the bosses or tramped into the mud.”

As a result, Mr Allan said some cows get a feast, but the tail-enders get even less when mud is a problem, and are still hungry.

“Half the herd thrives but half the herd really struggles. We have seen a number of herds this season where there is a major difference between the bosses and the strugglers.”

Mr Allen said with a feed pad, cows can be fed after each milking to boost their intake and/ or to balance their total ration, thus increasing the

efficiency of conversion.

“When they reach the paddock we see a much gentler scene.

“Cows are much

quieter, grazing or laying down much earlier, rather than charging around the pasture chasing the tractor or today’s hay.

“Pasture is eaten out later in the day – even into the afternoon.

“If the feedpad has been used to help manage

the pasture better, hopefully we have grown a little more feed and will utilise a little more of it.”

Talk to us about high quality hay and silage equipment We give you all the choices from proven manufacturers

Bonino self-loading grazer wagon

Elho rakes

P. 03 5231 6999 F. 03 5231 6888 admin@colacag.com.au www.colacag.com.au ELHO E. V-TWIN 750 ELHO V-Twin swather does not drag the fodder on the ground, it throws it 400 Princes Highway Colac West, VIC 3249 diagonally up and in with continuous throwing movements. The fodder is not contaminated impurities on 67 the ground; the fodder ACN 098 302with 919 ABN 098 302 919 mass stays clean and its quality remains high. V-Twin 750 swather has Hydro Balance suspension and central pivoted fitting of the basket frames. Together they ensure that the contours of the ground are followed closely and lightly.

CA11731_100x265_Daily News.indd 1

COLAC AG

FARM MACHINERY IMPORTERS

4/08/2015 10:14 am

QUALITY FORAGE LEADS TO GOOD PRODUCTION Poor forage quality can negatively affect rumen function, performance and even lead to Sub Acute Ruminal Acidosis (SARA) When unstable or moldy feeds are ingested by cattle, the consequences on rumen function and resulting performance can be difficult to manage and expensive to remedy.

Keep forages stable during feedout and help maintain rumen function and performance.

Fed unstable forages, a cow with borderline rumen function can easily develop Sub Acute Ruminal Acidosis (SARA). When SARA occurs, rumen function isn’t optimized to make the best use of any ration. SARA is simply an occupational hazard for the modern dairy cow, and costs are estimated at more than $1.00 per cow daily.1,2 Keep Silage Stable During Feedout Aerobic instability during feedout can often cause spoilage yeasts, bacteria and mold to grow. Spoilage yeasts are found naturally on all growing crops. Once feedout surfaces are exposed to oxygen, the yeasts will start to multiply. Researchproven forage inoculants can help combat aerobic instability.

Unstable forages pose a real threat to rumen function and performance — especially during summer months when the risk of SARA can be greater.

®

In fact, a study showed that the presence of spoilage yeast from 105 to 109 colony-forming units (CFU) per gram equivalents in corn silage routinely and significantly reduced rumen pH by 0.4 units.3

Comparison of Studies Feeding Aerobically Unstable Forages Inclusion Rate in the Ration Dry Matter

Milk Yield Reduction

Dry Matter Intake Reduction

Aerobically unstable high-moisture shell corn (HMSC) 4

33%4

3.2 kgs. per cow daily4

No Change4

Aerobically unstable HMSC5

29%5

1kg per cow daily5

No Change5

Aerobically spoiled corn silage6

5.4%6

—

-7.4% reduction6

Forage

Experience the benefits of optimized rumen function with Levucell® SC and, to keep forages stable at feedout, choose Lalsil HC! Enemark, J.M.D. 2008. The monitoring, prevention and treatment of sub-acute ruminal acidosis: A review. The Veterinary Journal 176: 32-43.

Kleen J. L. and C. Cannizzo. 2012. Incidence prevalence and impact of SARA in dairy herds. Anim. Feed Sci. Technol. 172: 4-8.

Santos M.C. et al. 2011. Spoilage yeast in silage have the potential to directly impact rumen fermentation. J. Dairy Sci. 94 (E-Suppl.1): 207 (Abstr.).

4 Hoffman P.C. & S. M. Ocker 1997. Quantification of milk yield losses associated with feeding aerobically unstable high moisture corn. J. Dairy Sci. 80, (Suppl.1):234 (Abstr.).

5 Kendall C., and D.K. Combs, and P.C. Hoffman 2002. Performance of dairy cattle fed high moisture shell corn inoculated with Lactobacillus buchneri. J. Dairy Sci. 85 (Suppl.1): 385 (Abstr.).

6 Whitlock, L. A. et al. 2000. Effect of level of surface spoiled silage on the value of corn silage based rations. Cattlemen’s Day. 3 Mar. 2000: 22-24.

1 2 3

Levucell is a registered trademark of Lallemand Specialties, Inc. © 2014 Lallemand Specialties, Inc.

LALLEMAND ANIMAL NUTRITION Tel: 1300 247 448 Email: QSS-LAN@lallemand.com

www.lallemandanimalnutrition.com.au

DAIRY NEWS AUSTRALIA AUGUST 2015

30 // HAY AND SILAGE

Cropping drives production at Rosevale dairy QUEENSLAND BROTHERS Darren and

Craig Sellars, Rosevale, have increased milk production significantly without major infrastructure upgrades by moving from a pasture-based system to cropping corn and barley.

Sellars Farms retired pastures in 2001 and moved to a mixer wagon and feed pad system, before switching to their current system of total mixed rations in 2005.

Milk production increased from 1.5 million

litres from 200 Friesian cows in 2001, to 3 million litres of milk from 350 Friesians in 2015 - a rise from 20 litres per cow per day to 28l.

Darren, who handles the crop business, said upgrading their feed system had facilitated much of the business’ growth.

“We have steadily increased our dry matter tonnage and herd size, which has allowed us to get more milk from each cow without a large capital

outlay,” he said.

Growing crops also meant they avoided expensive brought-in feed and weather related risk.

“Growing corn instead of relying on pastures means the window for failure isn’t so narrow.

“If you are hit hard by rain, you have the chance to sell the corn for grain if silage is no longer an option.”

The pair, who run the dairy, cropping and beef operation with parents Lindsey and Heather, have

also grown the operation by introducing GPS

and precision planting, improving the irrigation

Schuitemaker

LOADERWAGONS

Weighing systems ISOBUS Hydraulic intake roller for fresh grass Beaters Side discharge conveyor Steering axles Sizes 28-­‐ 65 m3

Trailing pick-­‐up: Best ground following and loading ability.

Op;mal loading, superior silage with the star shaped rotor. 2 metres wide, with the rotor ;nes 20mm wide plus hard facing.

For more informa;on info@agmachineryaustralia.com.au www.agmachineryaustralia.com.au 0411529531

system and improving herd genetics through a breeding program.

The big cropping payoff for the Norco suppliers came this year when their PAC 607IT corn crop broke the farm’s grain yield barrier during February’s harvest.

“We averaged 14.3 tonnes per hectare across the crop, and the best was 14.8t/ha.

“That’s the biggest corn crop we’ve had. You feel a bit proud when you see that,” Mr Sellars said.

Alongside a bumper yield, the Sellars were able to tackle weeds such as Johnson grass, which proliferated after flooding in 2013, due to the variety’s herbicidetolerant trait.

“We’re situated low in a valley so we’re always getting water through here.

“About 8 feet of water came down from the valley and washed weeds and Johnson grass into the paddock, so an IT corn was needed for that Lightning herbicide.”

Lightning is the herbicide component of the Clearfield production system for post-emergent control of key weeds in Clearfield corn hybrids.

Mr Sellars planted 200ha of corn in September, double-cropped 10ha of corn in February and planted 160ha of barley in April.

The corn was seeded with a John Deere MaxEmerge precision vacuum planter on 76cm rows at 65,000 seeds per hectare and had seven irrigations using a Trailco T400 travelling irrigator.

“It had a good start until it was hit by the November heat. Then it had good rain in December, with about five inches falling.”

The grower finished his first corn harvest with a Case header and four row snapper front in February and his second lot in June.

“I’ll be growing all PAC 607IT for the 201516 season so I can control weeds.”

ALL THE SMALL THINGS ADD UP WITH THE FAIR GO DAIRY FEED PAD Our customers have found:

WN074_90x260_SF.indd 1

Better utilisation of lush pasture Better butterfat test – use of fibre

•

Much less mud and pasture damage

•

•

•

Increased production

•

Improved conception/retention rates

•

Much less feed wasted Saves time and labour - Fill every 3 days Use whole rolls, big squares, silage or fibre

•

Gives “battlers” a Fair Go

•

No tractors or wagons tied up

•

Lifts the tail out of the mob

•

Much Smaller, Shorter and Less Expensive Better feeding, production.

Than higher You Think!

•

Call 1800 808 685 for a free information pack, DVD or consultation.

www.wastenot.com.au 7/06/11 9:01 PM

DAIRY NEWS AUSTRALIA AUGUST 2015

HAY AND SILAGE // 31

Farmers must legally provide a safe workplace for contractors

MAKE TODAY YOUR HAYDAY

WHEN A farmer employs an accredited fodder

contractor they have a legal requirement to provide a safe workplace, says Australian Agricultural Contractors Association president, Bill Saunders.

Mr Saunders said farmers should ensure any contractor working on their property has: ■ Public liability insurance ■ Appropriate licences (eg; spraying or truck licence) ■ A Job Safety Analysis ■ Machinery insurance ■ Evidence staff have been inducted into his business ■ An employer code of conduct, which sets limits on what hours staff can work in a 24 hour period.

All AACA-accredited contractors agree to install an employer code of conduct.

In order to provide a safe workplace, Mr Saunders said the farmer should also induct all contractors onto their properties, and supply a list of hazards on their farms.

“A good farm map is also essential,” he said.

“The days of saying ‘the third paddock past the gum tree’ are gone. Detailed farm maps and GPS make the job much easier.”

The AACA has not printed suggested contractor prices in its brochure this year for only the second time in its history.

Mr Saunders said this was done to remove the confusion that every job can be done for a set price; and also to ensure contractors and farmers communicate beforehand.

Contractors that become a member of the association (for $80 a year) have access to a cost calculator which will provide an accurate assessment of what each individual job will cost.

The contractor can then share this with the farmer.

Mr Saunders said proper communication between an accredited fodder contractor and a dairy farmer is normally all it takes to ensure both parties are happy at the end of the day.

“A successful outcome comes down to communication,” he said.

“When some farmers say they can’t get contractors when they want them, nine times out of 10 they have called at the last minute. Some of my clients call me two months out and keep me updated.

“There are 100 ways to make silage, so have a cup of tea, discuss exactly what you want, and both parties are then on the same page.”

Quality hay from start to finish. No matter the crop conditions, John Deere hay tools have the durability and features you need to make the most out of your time and investment. Get ready to make hay with this limited time offer of 1.99%* p.a. finance on John Deere’s full range of hay solutions.

See your John Deere dealer about this great offer – and make today your hayday.

* Conditions apply. Finance available through John Deere Financial Limited to approved commercial applicants only. Valid on new John Deere Round Balers, Small Square Balers, Mower Conditioners, Large Square Balers, selected Windrowers (W150, W110 only) and Fronts (sold with Windrowers or as a single unit). Limited stock available. Offer is based on 25% deposit, GST returned after settlement and 36 month term. Fees and charges apply. If not amended or withdrawn earlier, the promotion expires on 31 October 2015. Available at participating dealers only. Images used are for illustrative purposes only and may show features or attachments not available from all dealers.

JohnDeere.com.au/hayday

ER A N G M O O

B MK 6 BALE FEEDER

NEW

• SELF-LOADING • TWO BALE CAPACITY • FEED OUT FROM BOTH SIDES • ADJUSTABLE

BALE CHAMBER • FLOTATION TYRES • BIG SQUARE OR ROUND BALES • HAY OR SILAGE • BUILT TO LAST

DAMMS AUTO & DIESEL REPAIRS, CORRYONG PH: 02) 6076 1267

EASTERN SPREADERS KERANG PH: 03) 5450 3077

GENDORE ENTERPRISES TOORADIN PH: 03) 5998 3216

GODINGS WHITTLESEA PH: 03) 9716 2468

GROGANS MACHINERY EPSOM PH: 03) 5448 3535

JOHN SANDERSON MACHINERY, NAGAMBIE PH: 03) 5794 2272

SWAYN & MCCABE COLAC PH: 03) 5231 5022

DONALDA MOTOR SERVICE MAFFRA PH: 03) 5147 1774

ELDERS BAIRNSDALE BAIRNSDALE PH: 03) 5153 1999

GLENGOLD PTY LTD GLENGARRY PH: 0447 933 737

GODINGS MANSFIELD PH: 03) 5779 1555

H.S WEST MOTORS PTY LTD, COBRAM PH: 03) 5871 1555

KONIGS SHEPPARTON PH: 03) 5821 4411

VIN ROWE WARRAGUL PH: 03) 5623 1362

DAIRY NEWS AUSTRALIA AUGUST 2015

32 // MACHINERY & PRODUCTS

John Deere keeps delivering at Yalca A FOCUS on the

reliability of the machinery purchased from their local dealer has been a strong mainstay at the dairy farm run by Joe and Judy Nave at Yalca, just north of Nathalia in northern Victoria.

They have been on this 130 ha property for nine years, coming from nearby Waaia, where Joe had been dairy farming with his parents, Giuno and Rita, almost since he had left

WORKING CLOTHES CHRIS DINGLE school.

Currently they are milking 92 Holsteins on a 14-aside herringbone shed and they build up to

160 at peak times. “At the moment milking takes under an hour,” Mr Nave told us when we visited in mid-July.

Mr Nave is just getting to grips with his new John Deere 6125R tractor, fitted with a John Deere H340 loader, which he purchased two months ago from local dealer, Haeusler’s at Shepparton.

He had done about 100 hours and said this tractor will mainly be used on

feeding out hay and silage and it will “swing into gear when the hay starts”.

The John Deere 6310SE that he traded in had run for 14 years.

Sowing the paddocks

is mainly done by their 150 horsepower John Deere 6930 and they put in shaftal and ryegrass earlier in the year. “Twenty acres of lucerne is about to go in when the frost finishes,” added Mr Nave.

The purchase of the new tractor was arranged through salesman Andrew Barber who recently joined the dealership. “We have always dealt with Haeusler’s,” Mr Nave said.

Mr Barber said Mr Nave knew what he wanted with the new tractor – “The 6125R is the top of the range, he had a 100hp machine before and this one has a better loader.”

The John Deere 6125R is powered by John Deere’s own turbocharged intercooled 4.5 litre four cylinder diesel rated at 125hp (92 kW) and the hydraulic system delivers 114 litres/minute which Mr Nave said makes the loader fast and easy to use.

MAHINDRA, BUILT TOUGH! MAHINDRA • Fully Mechanical, No Electronics 8000/9500 • 3 Year/2000 hour Engine & Powertrain Warranty 4WD Series • Best dollar per horsepower & tractor weight on the market

$5000

Factory Rebate JAPAN QUALITY MEDAL WINNER

FOR MORE INFORMATION

‡

‡

Competitive Finance Packages Available

8000/9500 4WD Series

PHONE TOLL FREE: 1800 45 95 75

www.mahindra.com.au

#Mahindra & Mahindra Ltd is the No.1 Tractor company in the world by volume. Photographs may show overseas models or illustrate non-standard equipment. Please read your Mahindra operators manual carefully prior to operation. ‡ Tractor & Loader must be a confirmed order with an authorised Mahindra Dealer by 31 August 2015 to take advantage of this offer. ^3 year/2000 hour engine & powertrain warranty whichever occurs first. See your dealer for details. *Pricing valid until 31 August 2015 or while stocks last. All prices are GST inclusive. DMM3562.

WHO:

Joe and Judy Nave WHERE:

Yalca via Nathalia WHAT:

John Deere 612R tractor

John Deere says the hydraulics are pressure and flow compensated with a load sensing function.

The published maximum lift capacity at the three-point-hitch through its full lift range is 3,850kg.

“This tractor is miles ahead in operator comfort, the electronics and the hydraulic flow,” said Mr Nave. “All the functions are adjustable on the touch screen – I’m still

working that out.

“The family’s been dealing with Haeusler’s for 20-odd years; they give pretty good service and they are local. You have to remember that buying equipment is a business decision – we are after the best price.”

So the Naves are firm customers of Haeusler’s and are now on to their third John Deere mower/ conditioner – a JD830.

“The first one lasted us for 11 years and the second for seven years, we’ve never had any problems – that’s why we keep buying them.”

They make their own silage and in partnership with his younger brother Tony, who has his own dairy nearby, they made about 2000 round bales last year.

They use a three year old KUHN baler, a KUHN wrapper and the tedder is also KUHN – all purchased TO PAGE 33

DAIRY NEWS AUSTRALIA AUGUST 2015

MACHINERY & PRODUCTS // 33

Duncan AgMech machinery built to be versatile WITH OVER 60 different models,

Duncan AgMech’s New Zealand made forage feeders, farm feed trailers, heavy duty tip trailers, manure spreaders and effluent tankers cover all the bases.

General Manager, Craig McIsaac, said Duncan Ag is well aware of the increasing need for farmers to get as much value out of their machinery as possible.

“Our machines aren’t too complex.

They also suit virtually every scenario, with more than 30 options in the Duncan AgMech forage feeder range alone, covering round bale, square bale, pit silage and combination feeders.

“We like to think of ourselves as designers and makers of smart farming multitools – implements that deliver heaps of versatility as well as proven build quality.

“We know farmers need to be able to manage and handle feed quickly, efficiently and reliably.”

The new Agmech Multi Plus is a great

example of this principle in action, he said.

“It’s the perfect multi-tool wagon that can feed anything from pit silage, round bales and square bales to fodder beet and maize.

“It’s not your normal multi wagon, in that it has 400 mm extended sides to increase the capacity which means it can then double as a silage wagon, so this makes quite a difference.”

Other choices in the Duncan AgMech feeder range include trailing feeders, with the convenience of bi-directional feeding, and linkage feeders to reduce the impact of machinery on pasture in wet conditions.

A wide range of sizes means there’s a Duncan AgMech feeder for the largest or smallest feed out job.

“Loadmaster and Sitemaster tip trailers keep both farmers and contractors capable of handling all farm operations while retaining the ability to be as diverse as possible,” Mr McIsaac said.

John Deere keeps delivering FROM PAGE 32

through Haeusler’s. A Duncan seeder is also shared with Tony.

Mr Nave obviously enjoys his farming and has been doing it for all but the first three years after school. They have

no employees; “I’m better with cows than people,” he admits.

They irrigate from the Goulburn-Murray Water system, from the channel and a deep lead bore, and Mr Nave plans to continue lasering so

they can irrigate the entire property.

“Over the next five years we’ll do more lasering, but I don’t think we’ll have many more cows – we are trying to get the place to where we want it.”

BRAND NEW Apollo 25.6 Telehander • • • • • •

Maximum Power: 50.7kW (69 HP) Maximum Speed: 26km/h Transmission: Hydrostatic Maximum Capacity: 2500kg Maximum Lifting Height: 5.78m Length x Width x Height: 4100mm x 1800mm x 1950mm • Total Weight: 4800kg

BRAND NEW

$83,600

Including GST

$70,000

Including GST

Feed mixer Wagon • Mech-fiber 350 • Payload 5500 kg • Horsepower: 90 HP For more information please contact our sales team 240 Coleraine Rd, Hamilton, VIC (03) 55721822 Martin Bailey: 0438 719 599 | Paul Lewis: 0428 528 414

DAIRY NEWS AUSTRALIA AUGUST 2015

34 // MACHINERY & PRODUCTS

Windfall for two lucky disk mill purchasers TWO LUCKY dairy farmers have been able to win back the cost of the disc mills they purchased in the first half of this year in a competition conducted by Skiold and Vacuum Milling Solutions.

The competition was created to celebrate Vacuum Milling Solutions’ 10th year of selling Skiold disc mills in Australia, and promoted through Dairy News Australia.

VMS, based in Jimboomba, Queensland, is the exclusive distributor of Skiold’s complete range of equipment including disc mills for Australia, New Zealand, the Pacific Islands and parts of Asia.

VMS principal Martin Liese devised the competition to provide a full refund on the purchase price for the lucky winner who bought a mill between January and June of this year.

When Skiold chief executive, Samuel Waldorph, in Denmark, heard about it, he offered to provide a refund on a second mill, so two winners were drawn from tickets placed in the hopper of a disc mill on Friday, July 3.

Local businessman, and justice of the peace, Greg Serow, was recruited as an official scrutineer and to draw the names out of the mill hopper.

Mr Liese phoned the winners within minutes of

the draw being held. The first name drawn out was Justin Staley of Yarram, in East Gippsland, who had purchased an SK5000. The second winner was Brett and Anne Jessop from Cobargo, near Bega in New South Wales, who has an SK2500.

The disc mills have a simple design - no V-belts, no chain drive, and very simple to adjust the grinding degree.

One of the advantages of the Skiold disc mill is that it is possible to vary the grinding degree during operation, and thereby optimise the structure of the feed.

Other advantages are its very low noise level in operation, exceptionally long durability of wearing parts, and high capacity with low power consumption. With its compact construction, the disc mill can easily be incorporated into new as well as existing plants.

Three models are available: the SK2500 has a capacity of up to 2500 kilograms per hour; the SK5000 can deliver up to 6000 kg/hour; and the SK10, for large farm operations and commercial businesses, operates at up to 12,000 kg/hour. Martin Liese said that with its discs made of tungsten carbide steel, the grinding process, instead of crushing the grain, gives a better meal quality.

Tel. Vacuum Milling Solutions on (07) 5547 7588

Martin Liese of Vacuum Milling Solutions with a Skiold disc mill.

The ultimate disc seeder for pasture renovation NARROW SPACING | SIMPLE | ACCURATE | VERSATILE | ROBUST Super long life needle roller bearings in head stock - removes any movement like competitor units causing inaccurate row spacing.

Large 20” x 6mm disc. It will last longer and penetrate better.

Reduced hair pinning.

Fast and easy to adjust seed depth in 1/2” increments.

NO TOOLS REQUIRED.

Hard Vee or semi pneumatic press wheel.

Improved bearing for longer life.

Guarantees perfect seed to soil contact.

BUCO depth gauge wheel.

Superior wear, made stronger.

Mounted on a spoked rim for self cleaning in muddy conditions.

Cast closing wheel with new sealed bearing on arm.

Gives longer lifetime and less downtime.

Finishes the job to give a perfect finish.

Tedder upgrades make for fewer snags MARK DANIEL

Optional individual placement of small seeds from pasture box

Optional Gason 1230-3200Lt variable rate 2 bin mounted air box

SIZES RANGING FROM 5M-7M AND A TRANPORT WIDTH OF 3M ROW SPACING FROM 165MM (6 1/2”)

1300 737 586

www.serafinmachinery.com.au

POTTINGER HAS introduced upgrades from the large trailed HIT tedder series to smaller 8-rotor models with working widths of up to 8.86m.

The headstock is a sturdy three-point pivoting unit with absorber struts as standard and the best tracking performance prevents the tedder from jolting during operation, working well on slopes. The horizontal headstock guidance provides high clearance at headland turns and prevents under-running on slopes.

A newly-designed DynaTech rotor unit and tine arm has been introduced, using smaller rotor diameters and either five or six curved tine arms. And a new tine design ensures optimum tedding quality and ground tracking for a superior spread pattern, giving faster and more uniform wilting of forage.

This rotor geometry ensures forage

cannot snag or wrap around the tine arms, and a gentle uptake by the trailing, sweeping arms ensures the crop is subjected to less damage between the tine arms, reducing crop losses.

Spreading angles can be adjusted on each rotor in three steps without tools.

All rotors have 16 x 6.5-8 tyres, better protected from contamination by a newly-designed axle. An optional front jockey wheel system is available which ensures optimum ground tracking for protection of the sward and forage.

The new HIT 8.91 T trailed version has transport wheels that fold up hydraulically over the rotors during operation, achieving an optimal centre of gravity and preventing oscillation during work. These make it ideal for use with smaller tractors.

Operation is straightforward, activated using a double-acting connection with sequential control. Fence line tedding systems are available for all models to clear the crop from fence lines.

iod

ine ran g ,c hlo e inc rhe lud xid es: ine ,d d

BS a

hard-working, proven teat protection

Protect your hard-working cows with the proven protection of Ready to Use Theraspray Gold, Theraspray Gold, theraspray 5 ready to Use, theraspray 20, Theraspray Red, Blu-Gard Concentrate and gSe Udder emollient teat care solutions.

we work harder so you can work smarter. www.ecolaB.com *APVMA Approval No: 58509, 47545/0802, 68319/58101, 68079/57440, 47746/0902, 45899/0802 and 67863/56998.