Dairy Management
GEORGE F.W. HAENLEIN
Extension Dairy Specialist
University of Delaware
Better Dairy Income
Promotes Farmland
Preservation
Fanners, especially dairy farm
ers, stay on the land and farm it as
long as their income exceeds their
expenses. This is a simple formula
for achieving farm preservation, a
situation desired by so many now,
particularly non-farm people.
Yet this “simple” formula for
farmland preservation is not inde
pendent of the total market eco
nomy of the state, the country and
the international market. Non
farm people outnumber farm peo
ple in the United States, and their
interest in cheaper food prices
influences policymakers more
strongly than the demands of farm
people for a better income. Cur
rent policy debates in Washington
actually include reducing the price
the farmer gets paid for milk. This,
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Banton
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717-920-6200
Brogua
Ralph Daugherty
717-927-6084
Chambaraburg
Charles Myers
717-263-3328
Danvllia
Mausdale
Farm Supply
717-270-4800
Danvllia
John Hostettler
Hughaavllla
Farnsworth
Farm Supply
717-084-2106
ironically, militates against the
efforts of farm preservation
through better farm income.
Actually, better income really
means better net income, which
comes from more than one direc
tion. Since dairy farmers have
little if any, influence over the
price of milk they receive per 100
lb., they can only choose to
receive it as wholesale, or better,
as retail. Most dairy farmers have
shied away from this, because
they’d rather work with the cows
and fields than with people at the
retail level.
If the milk juice per 100 lb. is
fixed, what are other income
options? One option is to add
more cows. Many fanners have
chosen this course. However,
while more dairy cows produce
more milk income, they also cre
ate greater expenses in feeding,
breeding and keeping them
healthy. So, what else can farmers
do: Make the existing number of
cows produce more milk per cow.
If there’s not a Golden Acres dealer in your
area and you would like additional information
call Bob Bergenstock at (717) 275*4850 or
write to: Mausdale Farm Supply -
10 Old Valley School Rd., Danville, PA 17821
Jaraay Bhora
Charles Edwards
717-323-0921
Jaraay SHora
Frank Hartley
717-398-1703
Kutztown
Ivan Letd
210-682-7926
Laoayvllla
Parys Farm
Equipment
717-869-1464
Lawiatown
John McCalips
717-248-7601
Lock Havan
Chatham Run Mill
717-769-6192
Column
Many fanners have succeeded in
this direction in the last 30 years.
Much of my work at the Delaware
Agricultural Experiment Station
and in DHIA has included this
objective. But again, though more
milk per cow means more milk
income, it also means greater feed
expenses, veterinary care costs
and replacement costs. Neither
option is a “simple” formula for
more net income, nor do they
achieve much progress towards
dairy farm preservation.
By definition, net income is the
difference between gross income
and expenses. Okay, then, if
increasing the gross income is not
a strong solution, then how about
decreasing expenses. Which ones,
you ask? Feed? Yes, it makes up
half of all milk production costs.
Do you have a personal computer,
or access to one through an advis
er, which can track “least-cost”
feed ration changes monthly or
biweeky? A lot of cash expenses
can be saved by feeding the same
CALL NOW! MANY OTHER SEED
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Tost Speicher
Msrearsburg
Agronomy Inc.
717-328-3145
Mlffllnburg
Barry Rothermel
717-966-9846
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Melservllle Milling
717-539-8855
New Ringgold
Andrew Seroka
717-386-5765
Naw Tripoli
C.J. Wonsldler
218-767-7611
Nicholson
Frank Squire
717-942-6444
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Pan Argyl
Ralph Shook
215-863-5186
Quakartown
C.J. Wonsldler
218-536-1935
Salfordvllla
A.B. Weller Ac Son
215-287-7049
Shlppansburg
Richard Bard
717-532-3577
Sunbury
Sunlight Feed Store
717-286-2911
NEW JERSEY
Phllllpaburg, N.J.
Earl Reed
201-859-3798
daily pounds of energy, protein,
fiber, calcium, phosphorus, by
pass protein, fat, etc., from a diffe
rent group of feeds and from a dif
ferent combination with farm
grown forages and grains.
In addition to “least-cost ration”
feed cost savings, a personal com
puter can also take over individual
feeding of cows through the trans
ponder identity control of indivi
dual cows. The investments are
small compared to the enormous
improvements in income above
feed costs realized in only two
years, as we have found at the
University of Delaware Agricul
tural Experiment Station. Group
feeding of cows, though better
than none at all in loose-housing
systems, is wasting money com
pared to computerized individual
cow feeding in loose-housing
systems.
Farm-grown forage use is
another underappreciated option.
In recent years an increased
amount of forage rye, oats, wheat,
barley and vetch grown in the
'/i
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mid-Atlantic region has been used
for dairy cows. They are also used
as fall and spring supplementary
pasture or haylage in wrapped
large bales or in air-controlled
silos, or as silage and as hay. This
has effectively become a “less” or
“least”-cost dairy ration without
lowering production. Amazingly,
in this region, forage rape, brassi
ca or canola has not become popu
lar, while in continental Europe
these are valuable supplemental
dairy forages.
Another option, the wrapper of
big bales with or without ammo
nia, is an inexpensive and power
ful alternative to expensive silos
for haylage, and for haymaking.
Labor costs are low compared to
traditional small hay baling. Thus,
“least-cost” and individual cow
feeding computer programs, for
ages and new wrapping machinery
can really lower expenses and
increase net income.
What other costs can be low
ered? Housing? Not really, unless
you change from stanchions to
loose housing in this region, or
move to Florida! Veterinary? Not
too much can be saved in medi
cines or pesticides unless you shift
to organic farming. However, one
big option remains for too many
farmers: loan and mortgage pay
ments. The solution for too many
farmers is to sell ail cows and start
over again from heifers. Will the
farmer actually start over again?
Probably only if the farmer can
see prospects for a clear positive
net income, otherwise another
dairy farm is sold and lost to hous
ing developers.
The future for farm preserva
tion, at least the dairy way, must
focus on how to make a belter net
income on the farm now and
strengthen policy supporting this
idea. The next generation of farm
youngsters will not mind taking
over the farm if they see a future
for themselves. Farmland is then
preserved and probably more
green space, too, because more
pastures and more hay crops also
mean fewer dairy expenses.
One final thought on policies
for farmland preservation: why do
Americans who are company or
government employees get pen
sions, as do dairy farmers in
serveral European countries,
while American farmers have
none? A farmer with a reasonable
retirement pension does not have
to sell his farm to cover his old
age financial needs. This is an
ideal solution to farmland pre
servation questions.
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