Dairy News Australia April 2016

Sustainability: Mixed scorecard for 2015 PAGE 7 GENOTYPING Is it worth it? PAGE 24

QLD FORAGE TRIAL Reducing feed costs PAGE 16

APRIL, 2016 ISSUE 68 // www.dairynewsaustralia.com.au

BREAKING FREE Cohuna farmers Jason Smith, right, and Kyle Whitting sold up in northern Victoria to be free of debt in the south-west. PAGE 4

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DAIRY NEWS AUSTRALIA APRIL 2016

NEWS  // 3

Dry hits Victorian production but WA surges MADELEINE BRENNAN

WESTERN AUSTRALIAN milk

Ken Lyons honoured in SA. PG.12

Push for three-phase power. PG.14

production is flourishing on the back of its higher farm milk price of more than $7kg/MS. The latest Dairy Australia milk production figures for the month of February show a 13% increase compared with the same time last year and a 6.5% growth since the start of the 2015/16 financial year. “There’s solid growth there and by and large that’s the result of farm gate prices,” says Dairy Australia analyst John Droppert. “Not necessarily so much now but in the last few years there have been a lot of contracts at higher prices with

strong competition for milk supply and those in turn have stimulated production.” Western Dairy agribusiness leader Kirk Reynolds agreed it was good farmgate milk price and solid growth incentives that was driving production. Climatic conditions had also played a part. “Last year’s winter was quite favourable,” he said. “Spring was shortened and there’s always variation but there has been plenty of quality fodder around in place.” He said a focus on feed base improvement was possible when there was money in farmer’s pockets. “People can afford to invest in their seed varieties, fertislier etc,” he said.

Mr Droppert highlighted that, like the farm gate milk price nationally, there was variation within the state which they estimate to be between 43-55c per litre. “If you are up to around 50c a litre (about $7kg/MS) and over, that’s a good price compared to Victoria and it’s also pretty good historically for WA.” He said the farm gate milk price had been fairly reasonable in WA this season and the one before. “Sustained pricing drives growth,” Mr Droppert said. He said the WA market has recovered well from the days when milk was trucked across the Nullarbor at a high cost. “The aim of the game a few years ago was to secure the milk supply and

so the three companies operating there were competing for a scarce supply,” he said. “That’s when some pretty good prices and long-term, three year contracts were being offered.” The situation is in contrast to the south eastern states, with Victoria experiencing a 3.3% drop in production compared to the same time last year. “It was a bigger drop than I expected,” he said. “I think the milder weather might have been expected to moderate things a bit but a lot of the decisions that have already been made can’t be undone and a lot of farmers are short of feed and budgeting on a lower milk price than they might have hoped for.

With the dry conditions lasting through the next month, he didn’t expect the March figures for Victoria to change dramatically. “The fall in Victoria is largely climatic but also highlights the southern states’ increased exposure to international markets.,” he said. “We hope some closer to average rain fall helps to put a bit of feed in front of them going in to winter.” Despite a dry month, Tasmania production was 2.2% higher than the previous year. Nationally, production was down 1.5% compared with the same time last year. Year to date, the nation’s dairies have produced 6,984,624 million litres (down -0.7%).

Talking tactics for coming months

Induction phase out: New target. PG.26

NEWS ������������������������������������������������������3-15 AROUND THE REGIONS ������������� 16-17 OPINION ����������������������������������������������18-19 MANAGEMENT ������������������������������� 20-21 MARKETS ������������������������������������������22-23 BREEDING MANAGEMENT ���� 24-25 ANIMAL HEALTH �������������������������� 26-28 EQUIPMENT &   TECHNOLOGY ��������������������������������� 29-31 MACHINERY &   PRODUCTS �������������������������������������� 32-34

GIPPSLAND DAIRY farmers were keen to share tactics for managing the dry as part of a series of shed days held in March. More than 20 farmers turned out to discuss strategies for getting through the next few months at a Dry Times Shed Day held in Toora on Tuesday, March 22. The Shed Days are short, sharp and informal sessions. Host farmer Wendy Whelan who sharefarms with Bruce and Jan Best on their South Gippsland Highway property, said the extended dry spell needs a prolonged wet period to fill dams and create suitable growing conditions. “It’s been very dry for the last two winters - no run off at all,” she said.

“We need moisture to build up the water-table and sub-soil moisture.” Tactics for Dry Times facilitator Matt Hall said the Toora farm was typical of many in the district, having struggled to grow sufficient

feed to reach the autumn break. “It’s been a very difficult season right back to October where we had 60% of normal growth rate,” he said. “This particular farm started

feeding cows in early November or late October, which is about six weeks earlier than usual. “They’ve done it with purchased fodder because their silage yields were about 50% of normal. They normally feed four rolls of silage per cow per year, but this year they only produced two.” For Wendy getting farmers together to share their experiences is a positive move when times are tough. “Just to get on other people’s farms and see that they are going through the same thing - it really helps and makes you feel not so bad,” she said. A shed day was also well attended at Ripplebrook in West Gippsland.

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DAIRY NEWS AUSTRALIA APRIL 2016

4 // NEWS

Less debt less stress more rain RICK BAYNE

THREE YEARS ago Jason Smith bought a dairy farm near Cohuna in northern Victoria that he thought would be his home forever. Today the farm is sold, a victim of dry weather and escalating water and feed prices, and Jason is instead leasing a property near Simpson in southwest Victoria. It’s not the end of the world; Jason is happy to be free of his debt burden and is doing well on the new venture with partner Kyle Whitting, but he would have preferred to stay in northern Victoria closer to family and friends. Still, the prospect of more rain and cheaper production were too hard to resist, and Jason didn’t want to wait for a decision to be forced upon him. “I’ve gone from feeding six to eight bales of hay a day to one; that alone is easily covering my lease payments,” Jason said. “I was feeding $15,000 worth of hay per month, now I’m down to $4000.” Jason is a fifth generation dairy farmer from northern Victoria. He grew up at Gunbower, not far from Cohuna, and started with 30 cows and a small leased farm. “When I started I was purchasing water at $13 and cows were $1000. I went from milking 30 cows to 160 cows in a tiny eight-a-side mudbrick dairy and bought an out block and then a farm and

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went to a 22-a-side stall gates with cup removers.” But the water price kept on rising Kyle Whitting (left) and the rain stayed away. and Jason Smith are “I didn’t own permanent water and not rushing back into farm ownership. water is $300 a megalitre and looks like staying around that area,” he said. “It’s who have water allocations that are subjust not economical.” Last season he tried watering only ject to restrictions. One of Jason’s friends is selling his once in autumn and once in spring but that led to more weeds and buying more herd while retaining land; another has feed while trying to maintain numbers. stopped milking but is still raising heif“I would have preferred to stay but ers and another is looking for a second job. it just got too hard,” he said. “Everyone is trying something difHe had planned to lease the farm next door for five years with a view to ferent to survive. If you don’t have the purchasing it. However, the owner died equity of a family farm to fall back on and Jason was unable to obtain funds to then it’s very tough across the board,” he said. purchase it. “There’s not “The new owner enough talk about offered to lease it to “It gets to a time how bad it really is.” me but when I looked when you borrow Jason had some at the water charges I connection to would be leasing a more money but Western Victoria farm that I wouldn’t the milk cheque’s be able to irrigate, not enough to cover after working for a corporate farm which doesn’t make the grain bill.” about eight years sense.” ago. The home farm “I didn’t want to leave where I grew was just over 50ha and Jason needed to milk 200 cows to cover repayments. up. All my family and support networks “When water is $300 a megalitre, grain are up here, but it got to a point that I $400 a tonne, shire rates one of the had to decide what’s most importanthighest in the state and I’m paying the farm or the cows. “The land didn’t hold any emotion water infrastructure charges when I’m for me – it’s not an old family farm,” he not irrigating, it just wasn’t possible.” Others in northern Victoria are said. “My connection is with my stud doing it equally tough, including those Jerseys and Illawarra cows which is my

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The new leased farm at Simpson is bigger which has helped to address another problem experienced in northern Victoria. “One of the major costs crippling us was that we didn’t feed our young stock on the farm. They were on weight gain agistment which was a huge bill but we’ll be able to run all our young stock on the new farm.” Jason would consider owning again, but that’s far from definite. He visited New Zealand after winning a UDV scholarship and was impressed with multi-generational leasing and equity partnerships. “I’m not rushing back into farm ownership,” he said. “People might say `you’re only a lessee now’ but maybe I’m smarter than some who are trying to hold on too long. “It gets to a time when you borrow more money but the milk cheques not enough to cover the grain bill.” Jason and Kyle plan to build herd numbers and continue in dairy. “It’s in my blood,” Jason said. “I studied at university but I was struggling to get up for an 8 o’clock class but I could bounce out of bed for a 4 o’clock milking.”

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passion. They needed to stay with me.” He will miss the support of family and friends from his home region. “At times that can be the only thing to keep you going,” he said. “I wouldn’t have been able to do what I’ve done and hold on to the herd without them.” When things were getting tough Jason consulted advisors who pointed out he owns the cows, plant and equipment but if he went through another year or two like the past couple, the decision about the land might be taken out of his hands. He sold the farm for “a reasonable price”, moved 360 animals, including young stock and 200 milkers, and has been milking at Simpson since the end of February. The Cohuna property was bought by a feedlot farmer. Jason sold at a higher price than his purchase cost but says the extra money was “gobbled up by debts” and reflected the 300 trees he planted and upgrades to fences, irrigation infrastructure and land. “I walk out clear. That’s a relief but I never wanted to sell it,” he said. He’s retained an outblock which is leased for cropping.

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DAIRY NEWS AUSTRALIA APRIL 2016

NEWS // 5

Backpacker underpayment a ‘one-off’ INDUSTRY AUTHORITIES have dismissed the

recent under-payment of two Taiwanese backpackers at a Gippsland dairy factory as “an isolated incident”. Late last month a Fair Work Ombudsman investigation found two Taiwanese backpackers were short-changed almost $7400 over three months. Despite the surge in visa workers on dairy farms, complaints about pay rates and conditions on dairy farmers have been rare. A Fair Work Ombudsman spokeswoman said she could not provide statistics specifically for the dairy industry but in 2014-15 the Ombudsman received almost 900 requests for assistance from employees working in agriculture, forestry and fishing sectors. Of the $22.3 million recovered in underpaid wages and entitlements for 11,600 employees last financial year, less than $550,000 was for 951 workers employed in agriculture, forestry and fishing sectors. Overall requests from visa-holders accounted for almost 12% of all requests lodged with the agency last financial year. In the case highlighted by the Fair Work Ombudsman, the casual workers, in Australia on 417 working holiday visas, were underpaid $3696 each while packing infant formula. They were paid a flat rate of $15 an hour at the Toora, South Gippsland factory of Viplus Dairy Pty Ltd. They should have been paid $21.09 for normal hours worked, but the company told the Fair Work Ombudsman that in addition to the $15, it provided the workers with free accommodation and utilities. The upsurge in visa workers is prompting Dairy Australia to include a question on the subject on its upcoming biennial farmer survey. Dairy Australia’s Shane Hellwege, group manager for industry, people and capability, said using visa workers was becoming much more common but this case appeared to be an

isolated incident. Undertaking to encourage local staff. They are also a south-west Victoria expe“It’s not something behavioural change and great contributor to local rience low unemploywe’ve had much feedback ment rates, meaning there communities and regional ensure future compliance on,” he said. with its workplace obligaeconomies,” she said. is often not enough suit“Generally farmers tions. “The dairy industry ably experienced and understand they need to Fair Work Ombudsdoes not condone employskilled employees to meet be remunerating all workman Natalie James said the ees being underpaid, demand. ers according to the award employer co-operated with whether they are Austra“Anecdotally, work❱❱ Visit www.fairwork.gov.au regulations. They need to lian or from overseas,” she the investigation, repaid ers on holiday visas fill ❱❱ Fair Work Infoline on 13 13 94 support backpackers or the employees and had said. an important role during ❱❱ www.thepeopleindairy.org.au visa workers the same as revised its workplace pracViplus Dairy has now peak times and when farmany other workers and they ers are unable to recruit tices. signed an Enforceable seem to follow that pretty well.” Mr Hellwege said he believed Dairy Australia would receive enquiThe Roullier Group is a family group founded in 1959. Since it was founded, the Group has ries if people thought they were being underpaid “but grown into a real human and industrial adventure that unites 7,900 employees, a specialist in it hasn’t been something plant, animal, and human nutrition. raised with us”. Ms Hellwege said Dairy For over 35 years, Timab Industrial Products, subsidiary Australia was active in supof the Roullier Group, has offered raw material and ingreporting farmers to improve dients for feed nutrition. Timab Industrial Products is a their knowledge about proEuropean leading distributor of sodium chloride, sodium tecting the rights of visa bicarbonate, as well as of specific solutions such as buffer workers, through semiproducts. nars, the People in Dairy website - which has a section on employing over® sees workers including case studies - and the ESKI employment starter kit • A buffering agent which details all obligations. High dairy cow performance A labour agreement has requires a diet with a high been established within energy level (maize, silage, pH over time ® ® the past 12 months with 6,30 CALSEAPOWDER CALSEAPOWDER wheat, barley) and a low fibre the Department ImmiBufferingof effect: ORIGINAL Buffering effect: ADVANCE 6,20 content. But this can cause gration, including a temCALSEAPOWDER 6,10 acidosis, which is frequent in ADVANCE plate for people wishing to without buffer substance dairy cows ingesting rapidly fermentable organic matter to meet 6,00 recruit senior farm hands their dietary needs: pH decreases, as does performance. 5,90 using a 457 visa. 0 1 2 3 4 5 6 7 Time (h) ® “There has been a fair Our buffering agent CALSEAPOWDER ADVANCE works to bit done to make sure stabilize the pH of the ruminal fluid and prevents acidosis. farmers are aware of their The CALSEAPOWDER® ADVANCE supplementation maintains responsibilities and hoperuminal pH in the target animal. fully comply,” Mr Hellwege said. • A Natural Solution source of bioavailable macro and micro nutrients He advised farmers not to include accommodaBecause of the high bioavailability of CALSEAPOWDER® ADVANCE, 100% of the macro and micro nutrients tion as part of a payment participating to the buffering effect are available to the animal. CALSEAPOWDER® ADVANCE is naturally rich in trace package. elements such as: zinc, iron, manganese, iodine and copper... “Our advice to farmers CALSEAPOWDER® ADVANCE comes from a 100% natural source of calcareous marine algae: lithothamnium is to make sure the wage calcareum. Because of its structure, CALSEAPOWDER® ADVANCE has an important micro porosity that enhances is clear and do any accomrumen activity and exchanges between CALSEAPOWDER® ADVANCE and the ruminal juice. modation agreement separately to that. It seems in this case the company was caught in a circumstance where it didn’t know how to set it up properly.” Australian Dairy Farmers president Simone Jolliffe said she was unaware x 1000 of any other recent examples of underpayment of Recommendations for use: Distributed by: wages in the dairy industry. ® “Australian dairy farmRecommended incorporation rates for CALSEAPOWDER ADVANCE ers believe in fair pay for a ruminants: is used in: fair days work and expect • Dairy cows: 0.4-0.5 % of the diet • Mineral mixtures, buckets, blocks • Dry cows: 0.2-0.3 % of the diet all farmers to uphold the and feed supplements • Lactating cows: 0.4-0.5 % of the diet law, including paying work• Compound and premix feeds • Sheeps, Goats: 0.4-0.5 % of the diet ers at least award wages or • Farm direct nutrition the market rate,” Mrs Jolliffe said. She said Australian workers were always first choice, but large milk-producing regions such as

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DAIRY NEWS AUSTRALIA APRIL 2016

6 //  NEWS

Dairy farmers are playing their part to protect water quality in Tasmania’s river system.

Tasmania takes on water quality RECOGNISING ITS

commitment to maintaining the state’s clean, green image, the Tasmanian dairy industry is the first in the country to have a registered code of practice for effluent management, which is mandatory and can be enforced. The industry has taken a proactive approach to its commitment to water quality improvement. In part this was driven by a perception amongst outsiders that dairying was a major contributor

to the pollution of rivers. Industry leaders were also conscious of the potential for further dairy expansion, especially on cropping farms with existing irrigation infrastructure and capital for development. It became clear the industry needed to understand future impacts with many more dairy cows. DairyTas launched the Clean Rivers program in early 2015 to help farmers implement best management practices. Simul-

taneously, the Tamar Estuary and Esk Rivers Water Quality Improvement Plan (TEER WQIP), covering 15% of Tasmania’s land area draining to Tamar Estuary, was undertaken. It involved all the authorities responsible for water in the northern catchments. The Water Quality Improvement Plan, the culmination of 18 months work by independent consultant Dr Rebecca Kelly, was launched in December 2015.

Collaborative study “It was a collaborative, independent evaluation of water quality,” said DairyTas clean rivers coordinator, Rachel Brown. “There was community consultation and a science based planning process to identify ways to improve water quality. “It was designed to help everyone work together and take responsibility for water quality in the TEER Region.” As part of its modelling for WQIP identified the best management practices which will make the most difference in improving water quality on dairy farms. As well as effluent storage and irrigation, these practices include preventing stock from accessing waterways. As part of the WQIP, water quality impacts were modelled based on more than doubling the current number of cows in the region at different stocking intensities. The modelling showed no significant impacts on water quality from dairy expansion provided that new and existing farms adopted Best Management Practices (BMPs). The WQIP model has been adopted on an industry wide basis cov-

ering every user in the catchment. It gives both clear directions and incentives to implement Best Management Practices on farm. “The WQIP has given us the science-based evidence about which farm management practices will have the best outcomes for water quality,” said DairyTas executive officer, Mark Smith. The dairy industry is using the information from the study to develop water quality improvement messages for dairy farmers. DairyTas also bases its water quality funding around the key findings of the study. Cash grants on offer With support from NRM North the Clean Rivers program is offering dairy farmers $5000 grants for water quality improvement projects. “There’s a lot of potential for dairy expansion provided we ensure best management practice on the conversions,” Rachel said. The industry is working with NRM North to implement best management practices across the region with the Fert$mart and Clean Rivers programs. Key partnerships

DairyTas Clean Rivers coordinator Rachel Brown.

between DairyTas, Fonterra and NRM North are helping ensure practical change on farm. Blanket fertiliser spreading is now being replaced by individual paddock analysis and spreading, which means more strategic spending that achieves greater profitability and better environmental outcomes. “The fertiliser message is summed up in the 4R’s for fertiliser application,” said Rachel. “Getting the right product, at the right rate, at the right time and in the right place.” Effluent as a fertiliser In addition, dairy farmers are encouraged to use effluent as a fertiliser and include it in their nutrient budgeting. The WQIP modelling approach is now being adapted for a similar

study in the most intensively farmed dairying region of the state – the far north-west covering the Duck, Welcome and Montagu river catchments. “We will now look at modelling best management practices in those catchments and the best ways to manage the impact of increased dairying activity,” Rachel said. An unusually dry spring and autumn has thrown Tasmania’s water challenge into stark relief. Historically, the northwest coast has been one of the most reliable rainfall regions in Australia. This year storages have dropped to as low as 14% in some places. For a state reliant on hydro electricity, it is both the water and power supplies that are under threat. While the WQIP has focused the industry on sustainability through all conditions and making optimal use of both water and fertiliser, the dry spell has added a note of urgency. With more climate extremes and variability expected in future years, water will continue to be a critical issue for the Tasmanian dairy industry. • Effluent upgrade a no brainer, see page 8.

DAIRY NEWS AUSTRALIA APRIL 2016

NEWS // 7

Mixed scorecard for dairy’s use of land, people and animals MADELEINE BRENNAN

THE AUSTRALIAN

dairy industry has measured itself against the sustainability targets it set for itself in 2012 with mixed results across the entire value chain. The Australian Dairy Industry Sustainability Framework sets out 11 targets and 41 performance indictors to measure progress. The targets were developed by the Australian Dairy Industry Council (ADIC) with support from Dairy Australia and input from a large group of stakeholders known as the Consultative Forum. “It’s a way of framing a unifying story when we are asked as an industry – what are you doing to make sure you are looking after the land, and your people and your animals?” Dairy Australia sustainability manager Helen Dornom said. She said some of the targets were aspirational but many are very achievable. “It’s easy to say you want to be sustainable – enhance livelihoods, improve wellbeing and reduce environmental impact – but unless you actually set your sights on what it is you want to achieve, and then look at how you are going to measure it, it’s difficult to demonstrate that you are working towards that target if you can’t measure it.” Solid results were shown in relation to the number of dairy farmers with nutrient management plans, up to 58% compared to 30% in 2012. Eighty-eight per cent of dairy farmers do not use routine calving induction as a farm management tool, up from 80% in 2012.

“But more work needs to be done in providing a safe work environment and mental health also needs to be focus,” she added. Ms Dornom said the industry had hoped it would have settled all of the targets by now, but in some cases it was very challenging. She gave the example of building prosperous and resilient communities. “How do you measure the prosperity and resilience of your local community? We know the dairy industry is a vital part of local and regional communities, but it’s very difficult to find a measure that will tell you to what extent is dairy contributing to the resilience of those communities.” She said Dairy Australia was looking at the economic value dairy brings to the regions. “We’ve also used the modelling to look at where dairy sits in relation to other industries.” She said it was important dairy could measure the social benefits it brought to a community. “Many dairy businesses are family owned. The kids go to the local school, they buy from the local store, they use veterinary services. They support quite a large area and in turn are supported by a number of services. To give an example, extensive beef production, where you might agist your animals for 12 months and you might come and see them once or twice a week, you don’t have the same intensity of service needs or people, so you are not necessarily contributing as much to the social fabric of the community.” She said measuring the benefits of industries beyond a dollar value was a challenge for many

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policy makers. “We’ll be working with others to try and determine a way to measure these impacts so that they are shared, robust and can stand up to scrutiny.” She said all targets would be reviewed this year to ensure they met the changing needs of the sector, adding that an increased focus on labour issues and

the UN Sustainable Development goals would be new considerations for the revised framework. “It’s got to be a flexible living document, that reflects the needs and the context in which we operate.” • To view the progress report visit www.sustainabledairyoz. com.au.

At a g la n c e.. .

LAND

✓ ✓

Use of nutrient managem ent plans up from 30% (20 12) to 58% (2015) Use of recycled water - up from 50% (2012) to 75% (2015)

PEOPLE

✖ 39% of farmers had a positive farm business profi t (2014/15) compared with 52% (2013 /14) ✖ Long term injury frequency rate up 23% (from 2010/1 1) ✖ Three workplace deaths (all veh icle related) (2014)

ANIMALS

✓ ✓

Use of routine calving induct ion – only 12% of farms do wn from 20% (2014) Use of tail docking - only 12% of farms down from around 20% (2012)

From impost to benefit ATTITUDES HAVE changed since Helen

Dornom first flagged the idea of a sustainability framework with key stakeholders. “When I first went out to talk to about the framework, a few consultation meetings were quiet fiery,” Dairy Australia’s sustainability manager said. “(The framework) was considered an unnecessary impost. Farmers couldn’t see the benefit and they could only see the cost. It was dubbed a ‘tick and flick’. “But now when we go to talk to people they say, ‘well, let’s just get on with this. We have to do this.’” She said the Sustainability Framework is not just focused on environmental outcomes or being a good corporate citizen. Rather it’s a way of ensuring the dairy

sector remains profitable, resilient and here for the long term. “For all of us, before we really want to do stuff, there’s got to be something for me in it,” Ms Dornom said. “We need to be able be able to explain, ‘what’s the something in doing this for you and also, how does it add to the industry’s reputation and credibility?’”. She said sustainability was just another way of describing responsible farming. “I need to make a profit to do that but then I need to make sure I’m looking after my animals, and the land and the people who work for me – and the community in which I live.” She acknowledged though that not all sustainability practices were going to save money in the short term. “Sometimes you have to spend a dollar to make a dollar in the future.

You may not see concrete evidence of a return, but you will get benefits well beyond what it’s costing you to do today.” She said farmers and manufacturers are realising that the community, and corporate partners, expect the dairy industry to be continuously improving in relation to its treatment of the land, its people and its animals. “People are seeing with sustainability that what they may have thought was pie in the sky isn’t pie in the sky and it’s not going away,” she said. “At any one time, not every single dairy farmer or every single company will be doing everything we’ve agreed to, but in the mix of things, we’re all doing some of it, and we’re all heading in the same direction. And that’s the important bit.”

DAIRY NEWS AUSTRALIA APRIL 2016

8 // NEWS

Effluent expansion a ‘no brainer’ RICHARD MEREDITH

EXPANDING THEIR

effluent irrigation system was a “no brainer” for Mark and Nikki Atkins. When the opportunity came up to apply for a $5000 grant from the DairyTas Clean Rivers program to improve their irrigation system, the couple from Dairy Plains in northern Tasmania leapt at it. “To stay in business we have to have sustainable practices,” said Nikki. “We’d already installed an effluent irrigation system across quite a lot of the farm. The grant was a good way to expand it further.” Mark and Nikki (pictured) are now in their fifth season on the dairy farm, which has been in the Atkins family for several generations. The dairy shed sits on a rise looking south across fertile river flats to the Western Tiers, a spectacular mountain range that rises abruptly from the broad northwest coastal plain, marking the beginning of the central Tasmanian plateau, an inland network of ancient lakes and mountains, much of

which is world heritage listed. The elevated position of the dairy allowed the Atkins to build a gravity-fed, three pond effluent system that works its way downhill to a large irrigation dam with a capacity of 110 megalitres. They have recently cemented all the exit lanes leading from the dairy and extended the holding yards in order to capture more runoff. Mapping nutrients paddock by paddock One of the keys to developing an environmentally effective and economically beneficial nutrient management system is to get a clear understanding of the nutrient status of each paddock. In the past, fertiliser was blanket spread across most farms at much the same rate each year. Nutrient mapping shows where fertiliser is needed and where the soil is over-fertilised. The map guides the application of fertiliser to where it is most needed. Precision spreading results in huge cost savings and reduces the risk of metabolic disorders like grass tetany

WHO:

Mark and Nikki Atkins WHERE:

Dairy Plains WHAT:

Effluent irrigation

and milk fever, caused by excess potassium. Effluent, which is free fertiliser, is included in the nutrient budget. For the past three years, the Atkins have soil sampled all their paddocks and developed a nutrient map. Their aim is to get the same optimal colour across the whole farm. “The nutrient map has to cater for the movement of cattle and the nutrients they transfer,” Nikki said. “Our farm topography is made up of flats and hills. We grow supplements on the flats and we feed them out on the hills. The hills have become very high in nutrients and the flats are low.” The new effluent irrigation hydrants have

been installed on low lying paddocks that were low in nutrients. “The benefits of spreading the effluent are very clear in the increased pasture growth we get,” Mark said. “We didn’t do a special cost-benefit analysis for the effluent irrigation. It was a no brainer.” Crops help slow rotation Working their way through the driest spring and summer in living memory has tested every dairy farmer in the north of the state. To slow the feed budget, the Atkins sowed 6ha of brassicas under irrigation and 6-7ha to dry land turnips, which they have fed out far earlier than anticipated. “By using the crops to slow the rotation we plan to bring the pasture

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back in late summer and autumn,” said Mark. “We’ll try to get a double crop of turnips this year. “The effluent irrigation dams have made us pretty much self-sufficient. We’ll get through to autumn with enough water for the kale crop.” A 48 hour deluge that dumped 198mm on the farm in the last week of January added much needed water to low dams and even saw some green shots emerging.

“We probably gained about two weeks worth of water from that downpour,” Mark said. “Having a better knowledge of the fertiliser status of farm has helped us in knowing where to put nitrogen behind that water to get the best outcome. “We’ll get through even if there’s no more rain till autumn.” The dry conditions forced some strategic culling, calving down 400 cows and taking 40 out of

the herd. “We culled early with one eye on the weather,” Nikki said. “As soon as we’d finished calving and before we A.I’d. We didn’t hang on. “The cull allowed us to milk and maximise production with sufficient feed up our sleeve,” said Mark. “We have 89 replacements coming through, which will ensure we bounce back. “We won’t miss a beat.”

Dairy NewS AUSTRALIA april 2016

news  // 9

Insects bug Gipps dairy farmers GIPPSLAND farmers already enduring

a tough season are now facing the threat of insect attack on autumn pastures. Crickets, red headed cockchafers and the Argentine stem weevil have been identified in various parts of the region in recent weeks. South Gippsland farms on the flat lands around Leongatha South are reporting cricket infestations, while red headed cockchafers have reappeared in West Gippsland and the Argentine stem weevil is affecting pastures in East Gippsland and around Yarram. Department of Economic Development, Jobs, Transport and Resources dairy extension officer Greg O’Brien said the cricket problem in the south of the region was connected to the dry conditions. “They live in the cracking soils where they have a good habitat to breed,” he said. “At this time of year they come out and eat seed that is sown into paddocks. You get poor establishment if they are there in significant numbers.” Greg recommended talking to an agronomist or chemical rep to look at options for controlling cricket numbers before autumn sowing. The Argentine stem weevil has been reported around Orbost, in the Irrigation District and around Yarram. The insect larvae, which eat rye grass stems from the inside, can be hard to detect to the untrained eye. Murray Goulburn agronomist Gavan Lamb said a recent case in the MID had highlighted the problems that can be caused by the weevil. A farmer had contacted him about a rye grass paddock that had been sown out two years ago but had failed and only grown clover. A visiting New Zealand agronomist was with him at the time and quickly identified it as the South American pest. “Apparently it’s not new, it just hasn’t been recognised,” Gavan said. “It’s starting to suggest

that certain varieties are prone to Argentine stem weevil, so making good decisions about autumn sowing and which varieties you will put in becomes even more important. “Selecting the right endophytes – which is the insect resistance built into some varieties - is the crucial thing.” Gavan said speaking to an agronomist was the best option if farmers suspected the weevil has infested their rye grass plantings. In West Gippsland, Longwarry dairy farmer Wayne Weller has once again been infested with red headed cockchafers. The pasture pest, which has been estimated to cost an average of $115,500 per annum for affected farmers, kills rye grass plants by eating their roots. Identifying areas of infestation can be difficult, with the red headed cockchafer larvae remaining underground while they feast on the plants. “You can see small patches and you know they are there. But you may have more than you realise,” Wayne said. “If you have paddocks that don’t green up in the autumn break, then it might be an idea to have a good look. “Pull some of the dead, dry grass out and see what is underneath. If they are there, it will pull out a bit like carpet because they’ve eaten the roots out underneath.” Another good pointer to red headed cockchafer infestation is the prevalence of birds in paddocks at this time of year. “If you see a flock of crows in the paddock scratching around, then nine out of 10 times there will be cockchafers,” Wayne said. Having battled the pest for around 14 years, Wayne said there is little that can be done other than cultivating the affected land. GippsDairy projects and events co-ordinator Karen Romano said insect pests are a major issue for Gippsland farmers, with further research needing to be done into improved control methods. “GippsDairy has lead a major project in recent years in tackling the red

headed cockchafer problem, with promising results coming out of the research,” she said. “Insect infestation is a major issue that costs the industry millions of dollars each year, so we would urge farmers to be vigilant about potential pests in their pastures and talk

to experts for help in controlling them.” GippsDairy has produced a cockchafer identification guide which shows the red headed and black headed cockchafers in adult and larval stages, while also identifying the similarly destructive African black beetle.

For a copy of the booklet email GippsDairy at executiveassistant@gippsdairy.com.au or call 5624 3900. • (Source: GippsDairy)

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DAIRY NEWS AUSTRALIA APRIL 2016

10 // NEWS

Tassie’s best rise to the top TASMANIAN DAIRY farmers Brian

and Michele Lawrence have continued the winning streak, taking out the 2016 Dairy Business of the Year at this year’s DairyTas Awards. The couple also won the dairy category in the ABC Rural and Kondinin Group annual Farmer of the Year awards last year. In just nine years the couple has transformed a rundown sheep farm into a highly productive and sustainable dairy farm. When they purchased ‘Janefield’ at Meander on the north-west coast of Tasmania they decided on a triple bottom line course of action - to improve productivity and efficiency and contribute to their farm’s sustainability. Through the Tasmanian Institute of Agriculture’s benchmarking program they have achieved best practice for soil, fertiliser and herd management of their

930 crossbred cows. In their first season on the property they milked 460 cows and produced 150,088kg of milk solids. They have now increased milk production to 400,163kgMS milk from 930 cows. The other finalists in the awards, held following the DairyTas conference in Burnie on March 16, were Peter and Jo Jones from Kayena and Gary and Helen Strickland from King Island. The 2016 Share Dairy Farmer of the Year went to Leigh and Kellie Schuuring, of Mella near Smithton, who milk 1000 cows for Grant and Kim Archer. Other finalists were Stuart and Karen Burr and Wayne and Caroline Saward. DairyTas has introduced three additional awards to recognise excellence across all areas of the industry, including in workplace safety and natural resource management and to encourage the next generation of dairy farmers.

The Dairy Safety Award made to Lion Dairy and Drinks - King Island Operations highlighted best practice management and procedures in farm safety including training, record keeping and managing and assessing incidents. The Dairy Environmental Award went to Mark and Nikki Atkins from Dairy Plains for sustained improvement to natural resource management that contributes to the farm business. “One of our major criteria for dairy farm decisions is we want to look after our farm and its environment so it will be there if ever our boys decide to come back and farm,” Nikki said. The Young Farmer Encouragement Award was made to Mark Griffin from Moltema and Zoe Brown from Meadowbank – two young farmers showing great potential and leadership within the Tasmanian dairy industry.

Dairy business of the year winners, Brian and Michele Lawrence with ANZ Agribusiness manager James McKeefry.

Environmental award winners Mark and Nikki Atkins with Alta genetics operations manager, Jayde Lee.

Check us out Online BREAKING NEWS MANAGEMENT STORIES MACHINERY REVIEWS AND MUCH MORE...

www.dairynewsaustralia.com.au

DAIRY NEWS AUSTRALIA APRIL 2016

NEWS // 11

A conversation we need to have RICHARD MEREDITH

SOMEONE COMMITS

suicide in Australia every three hours. Most of us feel uncomfortable reading that statement, let alone talking about it. Move on. Talk about something else. Yet, according to mental health ambassador Amy Coombe, suicide and mental illness is a conversation we need to have. And the most difficult people to have it with are mature, professional people with well-established life habits and with their guard well and truly up. If this sounds like you or someone you know, then it probably is. Tasmanian outreach worker, John Clark, sees it every day. The dry spring, not enough feed and water, poor herd health – these things flow into personal issues. “It’s more difficult for males. They are expected to be strong and resilient. That’s how they see themselves. When they are no longer able to provide, their sense of themselves as a person is undermined,” he said. His job calls for delicate navigation, gearing the conversation around those unspoken dark thoughts and steering them towards services that can help. “There’s a stigma around mental illness. We use ‘mad’ words that we don’t use about cancer or broken bones. It’s built into our psyche. “We try to frame the conversation in a health context – to take the emotion and craziness out of it. “We talk about serotonin, anxiety and stress. We emphasise that it’s treatable. In fact, 97% of people with depression and anxiety make a full recovery.” Speaking at the Tasmanian dairy conference last month, Amy Coombe said there is a tug of war going on between our dark side and our light side.

“There’s a long list of causes of mental illness from drugs and alcohol to money worries, family breakdown and fear of judgment or comparison with others,” she said. “Everyone agrees but it’s hard to deal with. We sweep it under the carpet. We get on with life and pretend it doesn’t exist. “This has psychological and physical consequences.” Her suggestion is that we change on the inside so we can cope with the outside. This means examining what’s going on in our private self and choosing to do something about it. Self-assessment ranges from practising simple long, deep breathing exercises – the emphasis is on ‘practise’, not just doing it once or twice – to examining our (three) top priorities in life and ensuring they will give us a long term work-life balance of which we can feel proud. “Take time to connect,” Amy said. “You don’t need a long time but quality time.” The key is being ‘present’ when you spend time with friends and family – not being preoccupied with a million and one other issues. John Clark tries to associate getting help with being clever. “(Getting help) is often associated in people’s minds with being weak. We try to associate it with being clever. If you don’t get help you’re not going to be any good to anyone,” he said. The prevalence of suicide is higher in men but mental illness is lower in men than women. “Men tend to use more lethal means,” he said. The most at risk groups are those in their late 40s and early 50s and over 80s, many of whom have gone through changes like losing a spouse and feel lonely and that they are no longer useful. “Don’t get stuck in a hole,” said Amy. “Have the conversation. Ask the questions.

Speak up yourself. Listen to others. It takes courage. “It’s the conversation we need to have.” To contact ‘Talk to a Mate’ at Rural Alive and

Mental health ambassador, Amy Coombe with DairyTas chairman, Symon Jones, left, and ANZ’s James McKeefry at the Tasmanian dairy conference.

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DAIRY NEWS AUSTRALIA APRIL 2016

12 // NEWS

Lyons stepping back but SA dairy in good shape RICK BAYNE

SOUTH AUSTRALIAN

Dairyfarmers’ Association (SADA) chief executive Ken Lyons has retired with a much brighter outlook for the state’s dairy industry and representative body than when he started. SADA was formed in 1936 but by 2000, when Mr Lyons was recruited, it was losing money every year and looking likely to follow the same path as the now defunct South Australian Farmers organisation. There have been rocky times along the way, but Mr Lyons is confident things are turning around for the state’s dairy farmers. “Today SADA is doing well, in surplus and is a strong independent organisation,” he said. The Midfield Group has invested $16 million in a new processing plant at Penola and the Beston Group is reopening plants at Murray Bridge and Jervois. “We’re working closely with companies investing in the state and when they come into production we will need twice the milk we currently produce,” Mr Lyons said. “That will mean milk prices will have to rise. “People are not going to invest in new dairy

farms without security of a decent price, so we hope our new investment in processing will lead to a higher farm gate milk price that will drive investment in farms.” But Mr Lyons said many farmers are still doing it tough. “Things don’t happen overnight,” he said. “We’ve got to go one step at a time and the first step is to get dairy processing up and running.” Mr Lyons sees opportunity “for an investment wave” in South Australia and more broadly across the country. “The dairy industry has been well served by Australian Dairy Farmers and Dairy Australia. We now must look at the marketing side of it. That’s the area with most opportunity,” he said. “It’s important for each state and each region to take responsibility for its own future. No-one cares more about the South Australian dairy industry than the farmers themselves.” Although dairy farmer numbers across the state have fallen, SADA still attracts strong support with more than 60% of farmers signed up as members. SADA is also part of a new organisation, Primary Producers of South Australia that serves the state’s commodity groups. The turnaround in

optimism follows a tough time experienced in 2012 when major processors left the state, prices were depressed and conditions harsh. Mr Lyons had planned to retire at the time but couldn’t leave while things were tough. One of the initiatives to overcome the state’s outlook - creating SADA Fresh milk - has had long-term positive impacts for the industry. “At that stage we were particularly vulnerable because National Foods decided to close their two plants in South Australia and Murray Goulburn invested in Tasmania,” he said. “(SADA) president David Basham and I spoke to all the processors and we clearly got the message that there was no major dairy processor looking to invest in South Australia. “A lot of milk in the south-east goes into Victoria for processing and we were faced with processors pulling out, farmers exiting the industry. The only thing going well for South Australia was the boutique side and that continues to do well.” A meeting with Coles led to a locally-manufactured and designed product, SADA Fresh, to appeal to state loyalties. “It wasn’t a new idea; they were doing the same in Victoria, but it would

Dairy farmers Nick Brokenshire, left, and Rick Gladigau, right, pictured with Ken Lyons at the SADA Fresh launch in 2013.

add value locally and the royalties would go into a special fund to do projects to hopefully turn our industry around,” Mr Lyons said. The first round of projects – mainly in research and development and improving value-adding opportunities – started last year and the fund commitment has doubled this year. Mr Lyons is retiring from SADA but continuing as the executive officer of the dairy fund to ensure the royalties are well spent. Some of his other achievements with SADA included getting South Australian dairy to be part of a second Federal Government dairy package; addressing problems with drought and access to the

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River Murray; and devising a new way of managing Bovine Johne’s Disease (BJD) which was later adopted by other states and got international recognition. Mr Lyons sees marketing Australia on a global

scale as a big challenge but he believes South Australians will back the reviving dairy industry. “The community of South Australia knows if they want to see a local dairy industry flourish they will support us by

buying our milk.” A dinner was held following this year’s DairySA conference to honour the contribution of Mr Lyons to the South Australian dairy industry. • Chinese group backs SA dairy, p.15

VOX POP: Dairy News asked farmers at the SA dairy conference what was the most challenging aspect on farm right now? Michael Hawker Mill Town, South-west SA “Just one! Budgeting and milk price expectation, managing the cost of production. The feed base is pretty simple - we use as much home grown feed as possible without blowing the costs out. Controlling the costs of production in the season ahead is going to be our biggest challenge. I’m not worried about the milk price but I’m certainly aware of where it’s going to be trending and what implications that will have for our business. It’s not looking good so we just need to be very careful about what is being spent and tighten up on things that don’t need the money. Spend where we need to. Every dollar we spend we want to be making as much back as we can, and limit unnecessary spend. We’ve been doing a lot of capital works over the last couple of years and anything that’s not essential for the upcoming season will just be delayed.” Warren Jacobs Hicks Jacobs Dairies,. Mt Compass “I think it’s the milk price looking like slipping and how we handle that. Trying to produce milk at low price and still make a profit. (If it goes down) we’d trim everything as tight as we can and focus on those things that will lower the cost per litre, like pasture so we don’t buy in as much feed, milk less cows.”

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“Setting up for the autumn. Getting pastures right, getting the sowing program sorted, making sure we’ve got the forage at hand. There’s always many challenges. We’re about to start the autumn mating program and corn harvest. Climatically I’m feeling quietly confident about the season ahead. Price wise I’m keenly interested. I don’t think we are going to see New Zealand prices. I don’t think the next season’s price will be outstanding but I don’t think they are going to be an absolute disaster either.”

DAIRY NEWS AUSTRALIA APRIL 2016

NEWS  // 13

Celebrating from paddock to cone VISITORS TO Timboon in south-west Victoria will soon leave with their stomachs full of ice cream and their heads full of information about the dairy industry. The Victorian Government has announced $150,000 funding for the development of a new boutique Timboon Fine Ice Creamery which will initially include a shop in the town’s CBD and later add an on-site production facility. A key component of the production facility will be an education program with master classes on the dairy industry and how to

make ice cream. Timboon Fine Ice Cream has been making ice cream for 17 years, growing from using about 6000 litres of milk per year to about 45,000 litres based on a model of taking products on the road to events and selling through delis and food stores. “It’s time to celebrate our location at Timboon,” proprietor Tim Marwood said. Visitors will be able to buy ice cream products directly from the newly built facility. The company currently produces its ice creams from nearby Brucknell,

New butter factory opens at Casino GORDON COLLIE

THE ONLY butter factory operating north of Victo-

ria has begun production at Casino in northern NSW. Richmond Dairies commissioned the multi-million dollar export-focused facility last October. The company has been a quiet achiever in dairy ingredients manufacturing in Australia for 20 years. The Casino site purchased from Norco has been making dairy products for more than a century with the local Casino Cooperative in its heyday in the 1950s. Richmond Dairies has preserved the building façade as a link to its historic past, but what now lies within is state-of-the-art manufacturing technology. Australian Richmond Dairies MD Chris managing direc- Sharpe. tor Chris Sharpe (pictured) said the company reflected the family values of its owners, in building a successful business enterprise with a network of direct farm suppliers from southern Queensland as far south as Dorrigo. “We occasionally take on new suppliers and balance our supply needs by purchasing surplus milk from other processors,” Mr Sharpe said. “Our focus is on high quality products and we encourage our suppliers to produce Jersey milk for which we pay price premiums.” The business was built around cream freezing technology and operates the only spray drier in northern Australia. A range of new skim milk products have been developed including various frozen concentrates, and cheese and yoghurt powders. A $5 million investment in upgrading refrigeration capacity has just been completed.

just 900m from its dairy farm supplier, but Mr Marwood said more room was needed. “We really needed a place that gave us the ability to deliver a better experience to people,” he said. “We’re taking that a step further by adding an education component to explain how ice cream

is made and to educate people about the dairy industry in general.” Mr Marwood, who is a third generation dairy farmer’s son, said he believed dairy education “feels under-done in this area” but would fit handin-glove with his business. “We’ll have information about how

cows are milked and grass is harvested and then how ice cream is made,” he said. The company might hit a record 50,000 litre production this year and still sources milk from its original supplier, Doolan Pastoral, a multi-generational dairy farm. “I think we will need

more progressively,” Mr Marwood said. “Our plan is to grow our output and we’re always looking at new markets.” They source cream from Camperdown Dairy and powders from Saputo Warrnambool Cheese and Butter. “Our mantra is to keep everything as local as pos-

sible,” Mr Marwood said. Victorian Minister for Regional Development Jaala Pulford announced $150,000 for the Ice Creamery along with $400,000 to revitalise the town’s streetscape. • Got a story about a local dairy business to share? Email editor@dairynewsaustralia.com.au

DAIRY NEWS AUSTRALIA APRIL 2016

14 //  NEWS

Thriving despite power supply RICK BAYNE

SINCE BRUCE Knowles arrived in Australia 20 years ago he’s more than doubled his herd size, invested heavily in technology and seen his milk production boom. And from the day he arrived from New Zealand he’s agitated for a better power supply system for farmers. Bruce reckons his success could have been even more pronounced – and certainly easier to achieve – if his farm in Tyrendarra in south-west Victoria was connected to threephase power instead of a single SWER line. Over time he’s met with power companies, MPs, Regional Development Victoria, municipal councils and United Dairyfarmers Victoria (UDV) and he has the local community on side. Sixty people, including many dairy farmers, attended an on-farm rally last year and he has pages of names and businesses who want a better power supply. “I’ve been concerned since I got here 20 years ago,” he said. “I came from New Zealand and it’s all three-phase. If anyone wants to start a new dairy it’s there. Three-phase is the most efficient transmission for running motors.” Bruce is adamant a cost-benefit analysis would support his case but his campaigning has made little headway. This year he’s trying to get the UDV to take up the cause but fears governments – regardless of their political colours – won’t have the foresight to make the investment.

WHO:

Bruce Knowles WHERE:

Tyrendarra WHAT:

Power push

“It’s going around in circles,” he lamented. A single SWER line supplies the farm and splits in two phases when it comes to the dairy. “The power coming down the line is not sufficient to run the dairy and it never has been,” Bruce said. “I’m limited to 100kw per phase. The power authority cannot supply me anymore power on that single line. It’s to its maximum and it hasn’t altered for 20 years.” He says the three-phase power in Victoria is ad-hoc and often neglects regional areas. He describes the overall power infrastructure as “archaic” compared to other states. Bruce spent $36,000 upgrading the

transformers about eight years ago but that didn’t help. “There was never going to be any more power coming up that line to feed my dairy. Three-phase would double the supply.” Whether he likes it or not, he’s been forced to invest in his own power infrastructure. A few months ago, Bruce put in two 200kva three-phase generators to run the dairy. “I just had to do it,” he said. “It probably cost $100,000 but it runs a lot easier. I’ve set it up so whenever three-phase comes in I just have to flick a switch, but there’s still the principle of having it for the whole community.” Ricky Holmes runs a nearby engineering business and encounters similar problems. “There’s a 20-30km patch that can’t connect into three-phase. We want a three-phase main line along the Princes Highway all the way to Portland.” Bruce said he could expand his business if he had better power supply. “I’m the first off the line so it’s not too bad but we can only run one machine at a time, two at the most,” he said. “By the time you get to the dairy farm up the road he’s flat out boiling the jug when I’m working.” Both Bruce and Ricky said they would pay for the supply to go from the main line to their businesses. “We could put in smaller motors and run it more efficiently,” Bruce added. “We could produce more, save costs and increase the herd and do everything more efficiently.”

IN BRIEF Petition for better roads VICTORIAN Liberal MP for South West Coast Roma Britnell has started a petition urging the state government to invest at least $45 million per year over and above the current VicRoads allocation for the region, starting from next financial year (2016/17). Mrs Britnell says

the roads and mineral are the most sands across distressed the Great South in the state Coast, but the of Victoria current standard according to is limiting VicRoads data. productivity and She says there growth. is a significant According to Roma Britnell the Australian amount of heavy vehicle Rural Roads movements on the Group, a non-political roads, delivering dairy, organisation of over 100 agriculture, forestry rural local governments

and affected rural businesses and communities, only 41% of Australia’s local roads are sealed in bitumen and local roads across Australia are underfunded by around $3 billion dollars each year. To sign Mrs Britnell’s petition visit http:// romabritnell.com.au/ road-funding-petition

Financial support for seeking insurance ELIGIBLE farmers can now access a one-off rebate to assist with the cost of seeking independent advice on their insurance. The insurance may cover threats to productivity, such as drought, frost, hail, fire and other production and market risks.

Delivered as part of the Federal Government’s Agricultural White Paper, the $20 million program provides up to $2500 in dollarfor-dollar matched funding against the costs incurred in securing, or attempting to secure, agricultural insurance. The types of service providers

that could assist with insurance advice and assessments may include, but are not limited to, farm advisors, insurance providers, insurance brokers and accountants. For more information, visit agriculture.gov.au/mfrp or call 1800 900 090.

Bruce (left) pictured with local engineer Ricky Holmes.

LUCERNE KICK STARTS SUCCESS APART from the lack of threephase power, the first major difference Bruce noticed between New Zealand and Australia was the rainfall. “We struggled in those first few years,” he conceded. However, finding remnants of old lucerne crops was his salvation. “Coming from a 120 inch (508 mm) rainfall area, lucerne was not on the radar,” he said. “We struggled here with ryegrasses which couldn’t persist in the dry weather. Farmers in years gone by had tried lucerne here and some of those plants were still persisting through the drought. “Lucerne was a no-brainer. I had to do something to kick the farm along and it’s never looked back. “It’s a very potent plant; it’s nutritious but it can cause bloat and we had to manage our way through to overcome that. “We’ve been able to use mineral buffers and additional fibre with hay to balance the diet.” Today the 700ha farm has 10 employees and milks 1250

cows, mainly Friesian and Friesian-Jersey crosses for their milk solids. The farm is producing about 700,000kg/MS and also has recently attained a liquid milk contract through Fonterra which gives a premium payment. The farm is totally selfsufficient, rears its own replacements with no agistment off farm, has milk flow meters in the 60 bail dairy, about 200ha of fullyautomated irrigation, a new glycol cooling unit and by this coming winter will have a new 60m x 42m eco shelter to provide for springing cows and a calf rearing facility. The farm rears about 550600 heifer calves each year with a split calving regime in July and January. “The dairy has not stopped operating since I’ve been here,” Bruce said. “It’s always been split calving and we’re able to grow feed year-round thanks to rainfall and irrigation which is good for the off-season incentives.”

DAIRY NEWS AUSTRALIA APRIL 2016

NEWS // 15

South-west power push regional locations. “If one or more users of a powerline request an upgrade of their power VICTORIAN DAIRY supply capacity to threefarmers are agitating for phase, the electricity better power supplies distributor will usually with a new push for require the customers United Dairyfarmers making the request to Victoria (UDV) contribute financially,” to campaign for a Ms D’Ambroiso said. comprehensive upgrade However, she of the state’s electricity added that Regional network. Development Victoria has Tyrendarra farmer a $250 million Regional Bruce Knowles is leading Infrastructure Fund and the drive and wants a $200 million Regional three resolutions to be Jobs Fund, which can discussed at the UDV provide funding to eligible state conference on April applicants located 15 in Melbourne. in rural and regional The resolutions Victoria for enabling call on the UDV to infrastructure “We’re already actively promote the need for an punching well above projects such as power upgrades. independent our weight but we “Customers Victorian state want to optimise considering infrastructure upgrades our capacity.” planning body, promote the – Liberal MP should talk to their electricity importance Roma Britnell distributor first of the State and if they are Government taking required to make responsibility for a contribution, they essential infrastructure.” funding a comprehensive should contact Regional He said Victoria’s upgrade of the electricity power asset was run down Development Victoria to network and pursue with see if they may be eligible when it was sold and the government the need for for funding support,” Ms government should set three-phase electricity three-phase transmission D’Ambroiso said. transmission for all dairy Liberal Member for as the base power grid farms. South West Coast Roma However, the Victorian structure for the future. Britnell is supporting Mr A body called Government says Knowles’ campaign and Infrastructure Victoria consumers considering said government should has been established but upgrades should talk facilitate large projects Mr Knowles questioned to their electricity “how much meat it has on to support industry and distributor. create jobs. its bones”. Mr Knowles said “Three-phase is the “Victoria is stuck Victoria’s dairy farmers reliable, required power in a time warp and were at a disadvantage for not only farmers but because of the poor power it’s on a go-slow as far also the factories which as infrastructure is supply, mostly fed by are at full capacity but concerned,” he said. Single Wire Earth Return could increase production “NSW has planned (SWER) powerlines. if they had more power,” for the next 40 years. All “Three-phase is she said. Victoria gets are band aid the most efficient Mrs Britnell, who was fixes.” transmission,” he said. a dairy farmer before President Adam “The technology has been joining Parliament, said Jenkins said the UDV there for 70 years. It’s all the south-west Victorian was very supportive of over the place in Victoria dairy industry had the Mr Knowles’ resolutions but there’s no proper capacity to produce extra “but like all democratic planning and areas like economic output for the processes we will have to ours miss out.” wait to see what comes of state. Mr Knowles said the “We’re already conference”. Victorian Government punching well above our “The UDV is working needed to fund or heavily very hard to sort the issue weight but we want to subsidise the upgrade. optimise our capacity,” of power and energy in “Every main trunk she said. line along Victorian roads the south-west and also “The government identifying other areas in should have three-phase. Victoria that inhibit dairy needs to play a role From that they can feed growth,” Mr Jenkins said. to facilitate the it to whoever wants it,” infrastructure so we can A spokesperson he said. realise that potential. for the Minister for “Powercor will only From a state and export Energy and Resources target lucrative areas; perspective there would Lily D’Ambroiso said everything else will be Victoria has thousands of be a return on investment ad-hoc and so we need over time and we would kilometres of SWER and the government to take single phase powerlines in be better off.” the lead on essential RICK BAYNE

infrastructure projects. “The cost benefit would be easy to prove for the whole of Victoria.” Mr Knowles said politics should be removed from the debate and an independent body be established with the power and money to make decisions. “The way infrastructure is managed in Victoria is a bloody disgrace. Victoria is working on a three-year election cycle which means we don’t get long-term planning for

IN BRIEF Jobs boost for SA A NEW processing facility in Tantanoola, South Australia could bring 60 jobs to the south-east region. Chinese-owned Blue Lake Dairy has lodged an application with Wattle Range City Council to convert an old potato chip factory into a formula processing plant for both the domestic and

international market. The $65 million project comprises two stages. The first stage worth $15 million means the company could be exporting milk powder into China by June-July this year. The second stage of the process, worth $50 million will create the technology for the company to make its

own base milk powder. The company currently employs just four workers, but said stage one of their project will create a further 60 jobs. The company will initially source the base milk powder required for the products from Melbourne and then package the product

for export. Company spokesperson Sarah Barnett said if the second stage of the project was successful, the company would be seeking milk from local dairy suppliers by late 2017. “We are still interested to talk with anyone who is interested to supply milk in the future.”

Tas irrigation scheme offers new opportunities FARMERS in the north east of Tasmania will benefit from more modern and efficient water infrastructure, with the official opening of the $28 million Upper Ringarooma Irrigation Scheme last month. The scheme was the ninth project completed under the infrastructure program

and included construction of a 6500 megalitre zoned earth-fill embankment dam at Dunns Creek, installation of a 771 kilowatt pump station at Cottons bridge, a 14 kW pump station at Dunns Creek, and installation of 38.5km underground pipeline. “This project will unlock a

wealth of opportunities for farmers in the state’s northeast, with the delivery of highly reliable irrigation water to the region helping farmers improve farm productivity and better manage climatic risk,” Deputy Prime Minister and Minister for Agriculture and Water Resources Barnaby Joyce said.

+GST

+GST

DAIRY NEWS AUSTRALIA APRIL 2016

16 // AROUND THE REGIONS

SUB-TROPICAL Promising forage trials reduce feed costs GORDON COLLIE

INNOVATIVE USE

of home grown forage is showing that autumn feed costs in the subtropics can be reduced while still maintaining milk production. Evaluating the first of three phases in a feeding trial at the University of Queensland Gatton Campus drew a large crowd on March 30, reflecting the high level of farmer interest in the project. Research scientist leading the trial Amy Anstis from the Department of Agriculture and Fisheries said the study aimed to push the boundaries of home fodder consumption and reduce the intake of expensive protein concentrates. As the northern industry has intensified over the past decade more grain and protein meal is being fed to achieve milk targets, with current practice of using up to 40% concentrates in the diet. By demonstrating improved management of forage and producing high quality silage the trial has shown that total feed costs could be reduced. A range of different silages have been included in the research to complement grazing of kikuyu in a partial mixed ration system compared to a herd fed a

total mixed ration. In the grazing system, the kikuyu was contributing about 5kg of dry matter (DM) per day into the cow diet and researchers believed that with improved management and more time, grazing this could be lifted 6-7kg. White sorghum has been gown and ensiled in several ways: Headlage (using just the grain heads), footlage (which is the crop leaf section) and whole (a whole crop silage). High cut corn silage has also been trialled with about 45cm of stubble remaning in the paddock, compared to about 20cm for a traditional cut. A soyabean silage has also been included in the mixed ration as a valuable source of protein. “The aim has been to increase the level of starch and protein in the silage to help keep milk levels and profitability up with less reliance on concentrates,” Ms Anstis said. “Some of the early lessons we have learned is the need to create the high quality silage and conduct weekly feed tests to accurately monitor the

PICTURES: GORDON COLLIE

cows’ diet.” She said in the first phase of the trial, they have not been able to achieve their target of 25 litres a day milk production,

but the margin over feed costs is still producing worthwhile results. Ms Anstis said farmers could successfully adopt part of the alternative

feeding strategies into their own systems and still achieve positive results. “It’s all about getting as close as possible to the sweet spot of

SOUTH AUSTRALIA WESTERN Fact sheet provides AUSTRALIA advice for tough times Book now for Dairy Innovation Day

DAIRY SA has created a new fact sheet to assist farmers experiencing stress, anxiety and depression. Titled ‘Building emotional resilience’ the four page guide includes strategies for dealing with challenging times, identifying warning signs, and useful contacts. To view or download the fact sheet visit www.dairysa.com.au/f. ashx/ProjectPublications/Building-emotional-resilience-factsheet.pdf For immediate assistance contact Lifeline on 13 11 14.

DON’T MISS the 16th annual Western Dairy Innovation Day

which takes place at Darren and Sharon Merritt’s farm at Boyanup on Thursday, April 28. The 2016 program features an excellent array of speakers and a large trade display. This year a new and exciting addition to the program is the WAFarmers Industry Dinner, which is being held at the Lighthouse Beach Resort from 6.30pm. The dinner will include the announcement of the Brownes Dairy Young Dairy Farmer of the Year Award. The day is free to attend (RSVPs are essential) and the dinner is by purchased ticket (via the website). Visit www.westerndairy.com.au. for full details and to register.

producing milk at the most economical cost on your own enterprise,” she said. “Certainly the first stage of our feeding trial

is showing that positive results can be achieved with improved profitability during the traditional autumn feed gap in the subtropical region.”

TASMANIA Course helps farmers get the best from their team FARM MANAGERS looking to improve their people management skills and boost productivity are invited to attend an intensive twoday course, subsidised by DairyTas and Into Dairy. The program is about getting the right management behaviours to get the best outputs from your people. Participants finish the programme with an action plan to implement when they return to their workplace. Cost is $447.50 + GST. April 12-13 at Elizabethtown and May 18-19, Smithton. RSVP to 0477 334 080 or visit www.dairytas.com.au.

DAIRY NEWS AUSTRALIA APRIL 2016

Dairy News aUsTraLia february 2016

AROUND THE REGIONS  // 17

18 // markets

Price slump not unique to dairy NSW

tHe world economy has veered into some difficult and dangerous waters, suggesting 2016 will be a long hard year of slow recovery in prices in global food commodity markets – including dairy. The perfect storm has struck. Major food and oilseed commodity prices are at low points in the cycle with inventories high. It’s not just food of course, oil and other major metal commodities are at prices not seen for about a decade. On the demand side, China, the fresh ageNDa largest growth economy in the world, sTeve speNcer has the brakes on. This year started with little change in OPEC’s production stance, the supposed break-even costs of and little hope for collaboration given production of crude oil for most major new tensions between Saudi Arabia and exporters. Historically, there has long been Iran. The outlook suggests a sustained a close correlation between crude This points to a bigger worry, that Low oil prices have combined petroleum glut, unless there is a strong oil prices and the prices for major Hemisphere producers. Jennyin Caines, Nicholas Robinson, Low oil prices can be a friend to dairy with sanctions to weaken the Russian the world economy will be adversely surge demand – which I’ll come back food commodities, including dairy Emily Willard, Spot (cow) , Georgia economy, and have made a bad financial affected by the slowing of China – more producers. ingredients and feed grains. toUpston, later. Chocolate (cow) Zali Dunn, Cassandra than the economists at the IMF and Cheap fuel can lower the costs of situation far worse in Venezuela. On the demand side it makes sense This is Herdman. playing out like a “game PICTURE: DAIRY AUSTRALIA The effect in these dairy markets will World Bank are currently suggesting. theory” case study. The OPEC cartel – weak economic activity reduces milk production, reducing equipment Metal commodity prices are low started a price war to dominate the demand for fuel and can weaken some and energy costs as well as the cost of be uneven and hard to predict, as the dependence on oil, production costs, largely because construction activity fertiliser. global energy market in the third food markets. Low crude oil prices also make government food buying activities and and industrial output in China have While the trends lines move quarter of 2014, signalling their intent to increase production and drive uncannily together, it doesn’t mean oil biofuel production less attractive, the financial states of oil economies stalled. boost numbers.” He said which was a big increase based vary competition competition competition at the STUDENTS FROM Low metal commodity markets can significantly. ensuringcould morelead feedto supplies is behind the changes in dairy and grain potentially out competing alternate regional low-costcompetition. schools involved want on theincluding past few years,” had reinvigorated the expansion across New even Camden Show on Friday and one Mount Annan(such Christian harm severalalldeveloped and developing But the developing world whichitshelps support margins, prices. technologies as shale oil)Five andschools return next year and said.dairy “There’s Camden Show’s Southprices Wales. andslumped Saturday,low March home-schooled student College have gone to the economies,to weakening investment MENA hasdairy a number Luke of large fall. This has certainly Dairy prices have due 11 when dairy renewable production using corn and schools havetoshown no doubtwhose the school exhibit. “There justoil importers Organiser Luke Hemisphere 12.abundant grass been the case took part into the inaugural top of the heifer-raising activity andother trickling down affect buyers thatwere are also for Northern excessive supplyand from soybeans. interest. and discretionary competition helped to undereconomies 100 head ofshould cattle benefit Micallef said the schoolTheprices success the suppliers. heifer-raising class a new ThisLegendairy household sentiment from lower low feed grain andofthe Soafter muchwinning for the planet! is about growth, spending. However, low oil prices have mixed fuel and energy costs. short-term painful price competition loss of a couple of big buyers from the Post-mining-boom Australia is a Weak oil prices meanwhile also effects on dairy markets. to knock out rivals, and ensure a finite global market. In the developed EU and US ensure low prices for palm oil, used good example of this. Grains and oilseeds markets are energy resource remains the dominant The US is another, with analysis well-supplied due to good weather in economies, cheap fuel improves widely as a competitor and substitute choice for industry and consumers. suggesting that low oil prices are likely Prices have been driven to levels most major regions – our enemy El household budgets, freeing up a bit for dairy ingredients. So on balance – what does the to hurt rather than help that economy not seen since 2004, well below Nino tends to be kind to many Northern more cash for dining out. We’ve already seen US food service future hold for oil prices and the global if they stay lower longer, despite lower costs of running SUVs and road grow strongly in 2015 soaking up more economy? One important but odd indicator of transport fleets. cheese and milk. The question is So dairy commodities are not alone whether it can keep that growth rate economic conditions is the Baltic Dry the relevant information,” GIPPSDAIRY HAS as bottom-dwellers – most hard and soft Index of shipping costs. surging in 2016. WESTVIC DAIRY is seeking expressions of interest a new The dairyindex workforce pricessays. are at historic lows, has long been a forward commodityLeigh Lower fuel costs can for improve WITH THE lack of rain continuing to bite, Murray Dairy “You are usually new Focus Farms to start the program in July 2016 coordinator. – including someonly that indicator of the fortunes of the world for many reasons economic prospects for and countries will host a series of workshops this month. employing one or two continue for about two years. Maslen (pictured) economy, and is now the lowest since are interrelated. dependent on fuel imports, loweringLeah The workshops will be facilitated by RMCG’s Daryl people, ofbut is so Becoming a Focus Farm allowscosts farmers grow, under- and who spent almost 20 The unwinding thisthere situation is its inception in years 1985. overall of to manufacturing Poole and will cover: stand and expand their business Fully utilize and as a Westbury farmer them asinformation it is for dairy. you This dairy largely reflects the slowing the same formuch transport,enterprise; including shipping Water availability across the Southern Connected Dairy Base as an analytical need towillfind to ensure tool; Improve the operational and says she sometimes Dairy demand be stimulated of trade in and out of China as it improving the affordability of dairy you’re meeting the home grown feed; Develop busi- struggled to tonavigate foodall and transitions a consumer-led economy with morethataffordable Murray Darling Basin; How policy changes have impacted decisions and maximiseimports. requirements. It’s about via field her from way athrough theone. consumer goods. trade-driven On information the other hand, theredays are risks access to water; Future water availability – what climate ness skills and capacity; Share letting farmers that business data;asMeet farm employment maze. the build-up of Low milk prices will know eventually It also reflects forfarm dairy demand, lowreguoil prices change might mean for our access to water; Water risk and regular publication of they have asupply single will point of larly with a local supportcan group comprised of farmers, serIn hindsight, having a discourage production, slow capacity with the promise that China harm the economies in some management strategies; Current and next season outcontact they give vice providers and an experienced consultant. regions which specialist workforce willwhere reduce to can normal (anddairy its hunger for two-way trade) and stockpiles major oil-producing looks; Carryover – how it works and should we or shouldn’t us a call, have a chat and we The Expression of Interest is available onimporters, the WestVic would levels. keep have growing. are also large dairy suchcoordinator as would just we for next season? Water calendar – important decision Dairy website and should be submitted by Friday, April 29 made her The can steer them in theisright farmindex employment The sobering reality for dairy that suggests the demand side those in the Middle East, North Africa point triggers. The workshops will be held in Cohuna; by either emailing regional direction.” forsluggish time in for your these business extension coordinator, Laurie processes time effects may take all of 2016 to of thefar oil less market will be (together known as MENA), Russia and Kyabram (April 11); Finley and Numurkah (April 18). Leah can be contacted at and it’s hard to put asideand then Hickey (laurie@westvicdairy.com.au) stressful. develop some. some and time. Venezuela. or posting to PO Box consuming 174, Camperdown VIC 3260. “You are often strapped that space to look for all GippsDairy on 5624 3900. Visit www.murraydairy.com.au.

Perfecting heifer-raising skills at Camden

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Dairy News AUSTRALIA april 2016

18 //  OPINION Ruminating

EDITORIAL

Actions speak louder than buzz words

milking it... Would you like fat with that?

Sign of things to come?

A crappy tourist Don’t listen to destination rumours

THE case for drink full fat dairy appears to be building with a new study, published in the Circulation journal concluding: “There is no prospective human evidence that people who eat low-fat dairy do better than people who eat whole-fat dairy.” The study, reported in Time Magazine, analysed the block of 3333 adults over 15 years and found that people who had higher levels of three different by-products of full-fat dairy had on average a 46% lower risk of getting diabetes during the study than those with lower levels. A separate study, published in the American Journal of Clinical Nutrition, found of 18,438 women those who consumed the most high fat dairy lowered their risk of being obese by 8%. Pass the cream!

US retail giant Wal-Mart says it will build a dairy processing plant in Indiana to supply in-house milk to about 600 stores. It’s the retailer’s first foray into food processing in the US. This is bad news for US processor Dean Foods, which supplies Wal-Mart’s in-house milk. Wal-Mart confirmed that Dean Foods would continue to supply some of its inhouse white and chocolate milk to other Wal-Mart supermarkets and Sam’s Club membership based wholesale stores. The retail giant is the largest grocer in the US with at least 5000 locations.

THERE’s zoo and shoe museums across the globe but right now, we’re pretty sure there’s only one poo museum. According to the BBC, the museum dedicated to excrement, now open at the Isle of Wight Zoo, has a large range of examples from the animal and human world. The National Poo Museum has been created by members of the artist collective Eccleston George. Twenty illuminated resin spheres show off the different types of faeces, with facts hidden behind toilet lids on the museum walls. Nigel George, one of the exhibition’s curators, said the subject “provokes strong reactions”. “Small children naturally delight in it but later we learn to avoid this yucky, disease-carrying stuff, and that even talking about poo is bad,” he said. “But for most of us, under the layers of disgust and taboo, we’re still fascinated by it.” Try telling that to a dairy farmer.

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THE dairy farmer Tweeters were chirping in whispers last week about a possible opening milk price of $4.85 -$4.95/kg/MS. The rumour, tweeted by @ ralston_steve, prompted a number of replies from concerned dairy farmers: “Borrow more $ or get out #icantmakeitforthat” said @Wayne067 and “Must be $US…Otherwise the stampede will be deadly” @cupslinga Like other rumours that float around, we can only hope that this one is carried off with the wind.

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FUTURE Proofing. Building resilience. Sustainability. We live in an age of industry buzz words, public scrutiny, a changing climate and increased market volatility and it’s enough to make anyone want to kick the boots off and have a good lie down. In our article on page 7, Dairy Australia’s Helen Dornom describes it best when she says: “People are seeing with sustainability that what they may have thought was pie in the sky isn’t pie in the sky and it’s not going away.” Operating a farm business today is getting harder for those amongst us that just want to keep doing things the way they’ve always been done. Many have left the industry already. But for those that are willing to look past the jargon and see these terms for what they are – describing actions that build a well-managed, profitable and socially responsive enterprise – it’s business as usual. On with the process of continuous improvement. Which highlights the importance individual behaviours and attitude play in achieving success. Speaking at the DairySA conference last month, human resources adviser Jill Rigney put the audience through their paces, testing their attitudes, personalities and management styles and asking a critical question: “Would you work for you?” She says regardless of the sector, businesses with a well thought out business strategy will flounder if the workplace doesn’t have a supportive work culture. “Culture will eat strategy for breakfast every day of the week,” she said. Which is why the best dairy farms have a strong focus on looking after their relationships – both within the family and with paid staff. As Andrea Vallance, who farms in Nirranda in Victoria, told the DairySA conference audience: “You’ve got to work out what makes your staff tick and get in their heads,” Andrea said. “We have a really strong profit focus but we can’t do that without our staff and we need to look after them and we want to invest them in it.” This issue of Dairy News, like others before it, is littered with examples of dairy farmers focused on building their enterprises by continuously improving their management of land, people and animals. They probably don’t call it sustainability in action. Or building resilience. Or future proofing. The just call it farming in the 21st century.

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DAIRY NEWS AUSTRALIA APRIL 2016

OPINION // 19

LETTER TO THE EDITOR

Time for an independent review of Dairy Australia’s value to farmers ON BEHALF of Farmer Power, which represents dairy farmer members in the south-west of Victoria, we applaud the stand taken by Senator David Leyonhjelm in opposing the changes to the five year poll of the dairy levy.* We are concerned that this is just the latest illustration of how Dairy Australia fails to represent the interests of dairy farmers and is an attempt to eliminate farmer’s democratic rights to have a say. The panel that developed the proposals for changing the levy process was dominated by people who are not independent of Dairy Australia and who therefore have a

financial interest in the outcome. The last levy poll, which reportedly cost Dairy Australia around $750,000, resulted in only an estimated 600 dairy farmers attending workshops nationwide. Australian Dairy Farmers, who contacted all licensed dairy farmers calling for farmers to support these change, did so with a limited budget of around $3,000-$5,000, which elicited a response from only a small minority of farmers. We believe they do not reflect the views of the majority, and the results are tainted by a failed process. Farmer Power, which has no funding base, has been able to attract over 600

farmers to a single meeting! Since its formation, Dairy Australia has received around $500 million from

in which milk production has fallen from 11 billion litres to just over 8 billion litres (while New Zealand’s production

levels while the profit margins of the manufacturers increase. This has led to significant

“What farmers witness are their funds being spent on lavish events and offices, annual forecasts consistently predicting improved milk production with no strategies for achieving this, and a failure to advise the government about the true state of the industry.” compulsory levies on farmers in addition to around $300m in government funding (with no direct financial contribution from dairy manufacturers despite their presence on the board). Far from advancing the interests of dairy farmers, Dairy Australia has overseen an industry

GOT SOMETHING ON YOUR MIND? GOT SOMETHING on your mind about the latest issues affecting our dairy industry? Put your pen to paper or your fingers to your keyboard, and let our readers know what you think. Don’t forget to put your name and address. Note: Letters may be edited. (Names can be witheld from publication on request.)

LETTER TO THE EDITOR EDITOR@DAIRYNEWSAUSTRALIA.COM.AU

has doubled over the same period) and the number of dairy farmers has shrunk from 23,000 to 6,500. The board of Dairy Australia appears to be heavily influenced by dairy manufacturing interests, and has watched the farmgate price for milk being kept at well below sustainable

disillusionment amongst the remaining dairy farmers about how their industry is run, as is well illustrated by the fast declining membership of the Australian Dairy Farmers as well as state bodies. We repeat our previous calls made to the Minister for Agriculture and

the Productivity Commission for a truly objective review of Dairy Australia and the value it delivers to farmers as well as the government. What farmers witness are their funds (typically $5,000-$7,000 per farm) being spent on lavish events and offices, annual forecasts consistently predicting improved milk production with no strategies for achieving this, and a failure to advise the government about the true state of the industry. Australia’s dairy exports used to account for about 50% of milk produced but this has fallen to around 25%, and Australia could well be a net importer of milk in 10 years’ time.

The current trend for farmers to exit the industry (by selling their farms to other producers or converting to more profitable beef production) should ring alarm bells for the government, but instead Dairy Australia spreads the message that all is well. As the number of farmers declines further, Dairy Australia will presumably need to continually ramp up the levy even more in order to secure its own survival. Chris Gleeson, Crossley VIC On behalf of Farmer Power *Ed note: The changes have since been passed into law.

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Dairy News AUSTRALIA april 2016

20 //  management

Soil focus yields sky - h Rick Bayne

THE view from John De Palma’s corn field in northern Victoria is looking mighty good. With strong growth rising well above his head and nice big cobs, John is confident his cows will have a good feed source over the next couple of months. In fact, John thinks his crop would be hard to top in the Cobram district. “In our travels I don’t think I’ve seen any as good this year,” he says. “I reckon ours is better than any I’ve seen and we’ve done it with less nitrogen input.” John and his wife Julie purchased their farm near Cobram in 2011 and two years ago invested in a second property, which is managed by son Giorgio and his wife Jodie.

Who:

John and Julie de Palma Where:

Cobram What:

Healthy soil

The first farm needed a kick-start. “When we bought it, the soil had been pretty much neglected,” John said. “All it had been getting was a bit of urea and that was about it.” The soil was compacted and the roots reached only about 50-75mm before going horizontally, resulting in poor water retention.

“It would be wet one day and dry two days later because the water couldn’t get down into the soil,” John said. Flooding in 2012 made things even worse. In the wake of the floods John started looking at other options and was impressed by a corn crop using a Petrik soil inoculant organic system that he inspected with his chicken manure supplier Dave Williams, from Seymour Organic Fertiliser. The farm they inspected had done a trial using the Petrik system on one corn crop and none on the other. “The visible difference was unbelievable,” John said. “The crop using Petrik was still green and it was about 600mm taller and the cobs were bigger. I thought, ‘This looks all right.’”

Results starting to show The De Palmas have re-laid a fair portion of the land on both farms, added recycling systems and on the new farm they are installing a centre pivot that will cover about 40ha. The results are starting to show. “Farming is a long-term thing,” John said. “On the original farm we can see a difference from using the Petrik and from the money we’ve spent. It’s a completely different farm to what it was. “We’ve only had the new farm for two years but we’re hoping to see the benefits over the next couple of years. “We’re not breaking production records – we’re still in the growth stage - but we’re heading in the right direction.” The farms use only small amounts of urea. “Others throw it on at 100kg per hectare but we probably ap-

ply three times a year in winter and spring at a rate of anywhere between 40 and 60(kg/ha). We put a bit out to give it a kick along but we don’t rely on urea to grow our grass. “We might not grow the bulk some others do but I think we do it in a sustainable way.” But there are hurdles along the way. “It’s been hot as buggery. We’re still getting 40 degrees now and if it doesn’t rain we’re going to be in big trouble next year,” he said. John described the region’s water situation as frightening. Temporary water prices are $220-$230 at the moment but were up to $300 early in the season. “You can’t make money when you’ve got to pay those sorts of prices and all they’re paying us is $5.60 (kg/MS),” John said.

The De Palmas had started using lime, gypsum and chicken manure and are starting to see the benefits of the improved soil structure. “I’d say it would be a combination of all things but I definitely think the Petrik helps a lot because it allows the plant to access the nutrients in the soil.” In 2012, the first application was spread with chook manure on permanent pastures in autumn and spring and on annuals and Italians in late Marchearly April. “We spray it on to the chicken manure as its coming off the truck,” John said. “It’s got to make contact with soil; it can’t be just sprayed on to the leaves. It can be applied to the leaf as long as it’s

DAIRY NEWS AUSTRALIA APRIL 2016

MANAGEMENT // 21

- high corn

Attending to sprinklers gives good payoff FARMERS ARE being urged to give more thought to

followed up by rain soon after.” For the past two years they have grown corn on both farms. “The recommended rate for sowing is 400kg of urea before sowing and at sowing 400kg of DAP,” John said. “We only put 250 of each because the plants can access things a lot better. “If you go to the corn now and dig in the soil you’ll find a heap of worms whereas most places haven’t got that. It certainly seems to work for us.” Over the two farms they have planted 30ha

of corn this year. Overall the two properties cover 526ha, milking 700 cows. The corn is usually planted in mid-November and provides good feed in April-May. “Before the annuals kick in and when your autumn cows are calving, it gives them good feed and puts on condition. It’s just a good food source,” John said. Quite a few farmers, mainly those with mixer wagons, are growing corn in northern Victoria. “We don’t have mixers and feed it in troughs. We’re mainly grass-based but we like the corn in the autumn,” John said.

“The cows love eating it and they do well on it.” Any maize not used is stockpiled for next year. The farms have clover and rye perennial pastures along with annuals and Italians and have a Paspalum grass base for summer “Most probably think of it more as a weed in the Goulburn Valley,” John said. “I reckon on these hot summers it might not be the best feed but when you’ve got Paspalum you seem to have everything else as well. It shades and protects your clover and ryegrass if it’s a stinking hot day.”

the maintenance of irrigation systems, which can have huge benefits in efficiency use of water. Quinn Elstone, who has many years of experience in the industry working with Valley pivot systems, says “some users haven’t changed sprinkler packs in twenty years or more, and technology has moved on a lot since then”. That technology has seen the rise in popularity of low pressure/wide footprint packs whereas the norm was once low pressure/small footprints or overhead sprinkler units running at a typical 30psi. Nowadays 10-15psi is more common which helps reduce ground impact by the water, improves droplet size and offers greater wind resistance. Modern sprinkler packs are highly accurate and wider, achieving better absorption and helping avert run-off and leaching; most importantly they use less water to achieve optimum yields. Quinn says farmers should be checking equipment monthly and annually, and while some might see this as an increased cost, over the long term they will save money on water and power costs.

Sprinkler packs should be changed as they approach 10,000 hours use, depending on type, to achieve the best results. He says the Aussie ‘she’ll be right’ attitude is typical, and he sees mismatched sprinkler packs used to fix day-to-day problems, with little thought given to system compatibility or operating pressures, resulting in underor over-watering, the latter causing ponding or run-off for little or no benefit.

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DAIRY NEWS AUSTRALIA APRIL 2016

22 // MARKETS

EU quota a year on: No cause to celebrate yet AT THE end of March,

a significant anniversary rolled by in Europe which hardly rated a comment in the international dairy media, such has been the enormous change in the global dairy landscape in that time. It was one year since the removal of EU milk production quotas, but there certainly weren’t too many European dairy farmers lighting candles on birthday cakes in celebration. Quota removal has quickly unleashed pent-up production capacity, and now farmers (those same ones) are complaining bitterly to governments in Europe that they have themselves expanded too fast … and that governments should fix the problem. Sounds like Euro agripolitics, right? While removing quotas has kicked off a gradual reshaping of Europe’s dairy supply chains, it will take much longer for the culture of farmer leadership to embrace market realities and walk away from the shroud of government protection. Back to history The quota was a regulated, strictly enforced cap on milk production that applied to each and every farmer in

all member states of the EU. Milk quotas were put in place (as in a number of agrifood sectors) in April 1984 as a “big brother” act to protect the EU dairy sector, and to help avoid large product purchases by the Commission when the industry over-produced. The current large protests from angry farmer groups in many countries would lead any casual watcher to think this was a change pulled on at short notice. Removal of quota was actually agreed back in 2003 as part of a gradual deregulation process to slowly wean the EU industry off regulation – particularly the type that affected the market - and to reduce the size of the EU’s support budget. There was a serious industry built around quotas themselves. Quota rights were bought and sold between farmers in many regions of Europe; there were specialists that advised on the quota market, while many farmers built up significant capital investments in the market access that quotas ensured. A long notice period was necessary so that their removal wouldn’t create major compensation lawsuits. Time will tell. Planning for expected

FRESH AGENDA STEVE SPENCER increases in milk supply was underway many years before the final days of quota in March 2015. Major dairy companies made significant investments in additional manufacturing capacity in commodity milk powders and cheese, as well as adding capacity to improve the economics of making infant formula, specialised milk powders, and other functional ingredients – all with an export focus. All has not gone to plan The expected growth in Europe’s milk output since March 2015 has been far greater than expected with the perfect storm of strong grass growth, low feed grain prices and milk prices that have held up better than logic might suggest. The strongest milk output has come from a limited number of regions where herd expansion and grass growth has been easiest. Just three of 28 EU member states –

Netherlands, (pictured) Ireland and Germany – were responsible for twothirds of the growth in milk supply in the second half of 2015. The effect of layering the surge in Europe’s milk on an already oversupplied world market – given the retreat of China and the shut-down of the Russian market – is pushing out the timing of a substantive recovery until sometime in 2017, although steady improvements will begin in the second half of 2016. Of course, quotas weren’t the last vestige of protectionism. While export subsidy payments are no longer in play, intervention buying remains and is in full cry. The European Commission is standing in the market at present to buy skimmed milk powder (SMP) and butter to take surplus product off the market. The governmentowned SMP stockpile will probably reach more than 270,000 tonnes by the middle of this year. Import tariffs are also still in place, limiting access to the EU’s market. Environmental outcomes remain a major focus of the agricultural policy regime, including regulation of farm impacts and emissions, which will

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cap output. Regulations such as those applied in the Netherlands limit phosphate fertiliser discharges on farms (tied to cow numbers on individual properties) and in that country will force a contraction in herds over the next year. It’s still early days The landscape and culture will gradually evolve. Longer-term challenges for farmers as the EU market becomes more volatile will be more complex. Smaller, traditional higher-cost dairy operations may find it more difficult to cope in that environment. It is expected output from such farms will gradually contract,

allowing room for expansion in lower-cost regions where flexibility in scale and productivity are afforded. Regulation of supply will be managed by commercial tools. We’ve seen piecemeal efforts from processors to restrict growth in milk in the current environment, using bonus or penalty payments as incentives. Contracts, or co-op supply terms that look like contracts, will gain greater acceptance to help dairy processors manage the flow of milk to their plants. The hard part for the European Commission is how it massages its various policy instruments towards a market environment where farmers take more

responsibility for their own destiny. Quotas were part of an elaborate social policy to carefully manage prices to farmers and consumers by capping output, while preserving the rural farming fabric of small, pretty farms. Other policies have helped in this grand design. The rebuttal of technologies that improve farm efficiency and output – such as GM and other available productivity tools – have also played their part. The European Commission now has to pull off a long transition with a diminishing budget, and rising angst from member states about a broken EU model. Stay tuned.

More milk poured into higher value at Fonterra SUDESH KISSUN

FONTERRA HAS shifted one billion

litres of milk into its high returning consumer and foods business over the past 18 months, chief executive Theo Spierings says. Reacting to criticism that the dairy co-op has not built up its value-add business and relies too heavily on the commodity markets, Mr Spierings said Fonterra’s consumer business has grown to A$5.9 billion, generating higher returns and driving dividend payments to farmers and unit holders. For the first half of 2015-16, Fonterra poured an extra 235 million litres of milk into consumer foods. Mr Spierings said the business returns 25- 30% on the value of milk. “It’s a very high returning business and drives our dividend payment.” The co-op reported a half-year nor-

malised EBIT of A$600 million, up 77% on the previous year; net profit after tax (NPAT) was A$368 million, up 123%. For the consumer and foodservice business, normalised EBIT jumped 108% to A$217m and for the ingredients business, up 27% to A$617m. However, the co-op suffered a A$26m loss in its Chinese farms business; its Australian business also suffered a loss of A$25m. Sales volume for six months to January 31, 2016 rose 10% to 2.5 billion liquid milk equivalent (LME), producing 887,000 tonnes of products. Asia and Oceania led the growth; in China and Taiwan Fonterra’s food service business took on two more cities, taking the total to 42. The co-op’s chef-led foodservice model and strategy in Asia, UHT milk exports out of New Zealand to China and fresh milk and butter sales in New Zealand also lifted sales. (Source: Dairy News NZ).

DAIRY NEWS AUSTRALIA APRIL 2016

Dairy Ne

MARKETS // 23

agribusi

Infant formula the standout star Export demand remains str

local food safety have created a strong preference and nutritional prodfor more trusted internaucts are the flavour of the cents/litr With season 2011/12 only a few incremental change in milk production (year-on-year) month for Australian dairy tional brands. Euro cen weeks from ending, attention Lack of data makes itis now processors, outperformProfit mar focused on 2012/13 milk prices as farmimpossible to say to what ing all other dairy categoUS, and in ers consider strategies the coming extent parallel for exports ries in the last 12 months have driven demand for and generating headlines the final p year. In some domestically-focused infant formula. with news of shortages has been c regions, renegotiated contracts incorGLOBALimpacT IMPACT However, given no sigand strategic manoeuvring gLobaL to NZ$6. porating lower prices and reduced ‘tier LAURIE WALKER JohN DropperT nificant changes in Ausby major producers. $5.04). one’ access are undermining farmer Strong demand growth tralian fertility rates, total Effecti confidencebirth andnumbers supplyorstability. For the sector over the last six demand fundamentals will apparhas left suppliers playrebalanci Shifts in private label contracts and promany farmers in export-oriented months, as processors and remain strong for the foreent consumer trends, it ing catch-up, with reports slow prod cessor rationalisation have future. seen milk a lower price relative to manufacturers seek straappears thatoutlook domestic of local shortagesregions, and seeable tegic companies partnerships adjust with their intake is unable toto the sales restrictions reported At a time of flat domesdemand, a requirethe currentconsumption season not only adds companies account the increase throughout Australia in growth depressed mately se mentsexperienced and pricing totic meet theand changchallenges of doingfor business, but in seems in nutritional and suppledemand. 2015. global prices for bulk comto watch o to contradict the positive medium term ing demands of a highly pressured retail mentary health products. Recent trade liberaliA series of strategic modities, exports of infant rate at wh outlook of Asia-driven dairy demand marketplace. Lower contract prices and Recent examples sation efforts may soon partnerships and investformula look likely to feaslows in r a lack of alternative supply opportunigrowth. include the five-year partreduce the importance of ments suggest companies ture heavily in companies’ tiesofpresent challengesgrowth in a market with flows. 2012 milk production in the US those in south-east Asia and the Middle impact of Dairy indicative outlook nerships Blackmores/ parallel imports, as agreehave taken notice, and are Australia’s plans, transformis up around 4% on 2011 for the year to East maintain consistently higher eco- on consu limited manufacturing capacity. Despite for southern farm gate milk prices – Bega Cheese and Bellaments such as the China betting heavily on contining what was once a relaApril (leap year adjusted), whilst early nomic growth rates that support China’s ec these challenges, domesmy’s/Fonterra Australia, the underlying theTrade recent Dairy 2012: SitFree Agreement ued growth in thispublished market in tively small-value product announced in Septemthe Transsegment. into a key segment. tic market is stable, with steady per-cap- data suggests EU-27 milk production increased dairy consumption. How- of the Aus uation and(ChAFTA) Outlookand report, is for an ber and 2015 Pacific Partnership (TPP) Supermarket figDeman itaNovember dairy consumption and a growing finished the March 2012 quota year up ever, the surge in supply has outpaced opening price range of $4.05-$4.40/kg respectively. come into effect and Ausures indicate that sales of ucts rema MS 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. Murray Goulburn tralian producers gain infant formula grew 37.1% This situation has seen the scales tinue to g between $4.50 and $4.90/kg MS. The tainty beyond the current adjustments. production is widely expected to finish announced two sepagreater access to key marby volume and 45.3% by In agreements the seasons reporttoconsiders theregion. wider market picrate supply in following the 2008 this season up 10% on last year - a huge tip in favour of buyers in dairy mar- large eme kets in the value for the 12 months financial crisis and subsequent com- market influence given 95% of NZ milk kets, with commodity prices retreat- with chan ture and summarises the many factors March this year, partnerSeveral processors January 2016, illustrating modity price recovery, farmers in is exported. Argentina is also enjoy- ing steadily over recent months. Butter urbanisat at play; the key theme of the current siting with Mead Johnson including Tatura and the increased diversificaNutrition and Indone- regions have seen solid ing solid production growth, but a sig- prices are down some 30% from their with glob Murray Goulburn have in the tion within the market, export-oriented uationasbeing that of re-balancing sia’s Kalbe to already niche, higher-value prodglobalNutritionals supply growth (see chart) - with nificant supply gap in Brazil prevents 2011 peaks, whilst powder prices have the dome dairy supply chain.received visits increase its exposure to and certification from the uct ranges have gained 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 CNCA, China’s food stan- East and Southeast Asian market share. have subsequently been reduced in capita co producing drinking milk, many farmers ern Hemisphere amongst those expand- ing South America. markets. dards body, a necessary By way of comparimost exporting regions. The average market is Despite wider economic uncering output as their margins increased. face a re-balancing market in the form On the back of these precondition for direct son chilled fresh milk This season, favourable weather con- tainty, demand has remained resilient basic farm gate price for milk in France to be a sel renegotiation supply contracts off-take agreements, supply toofChina’s retail and chilled cheeseofsales ditions have further enhanced milk as importing countries like China and for example, dropped 12% from 32 Euro ance will and reduced access to ‘tier one’ supply. plans increased by 1.5% and 1.0% market, and more look set Murray Goulburn to increase supply with a to follow. in value respectively over new processing facility in Fonterra has also the same period. Koroit, with an annual prorecently announced its Sales restrictions limduction capacity of 45,000 acquisition of an 18.8% iting the number of tins tonnes. stake in Chinese infant purchasable in a single For comparison, Ausformula manufacturer transaction remain in tralian supermarket sales Beingmate, following force, prompted by comof infant formula in the 12 the announcement of a munity concerns over austraLian DairY, months to January 2016 joint venture betweenASEAN-Australia-New the shortages in supermarkets. approximately twoexporters companiesto centring The issue remains Zealandtotalled FTA (AANZFTA). riceconand wine 16,000 tonnes. onthe Fonterra’s troversial, with many sentiMalaysia are biggestexisting “Protectionist Continued income Darnum milk processing attributing domestic retail ment over agricultural winners in a free trade growth in the wider region, shortages to growth in pri- plant. goods is rife and growagreement (FTA) signed and ongoing high fertilThe surge in demand vate parallel exports to between counaustraLian FooD ity the ratesglobe, in key so developfortwo infant formula hasing across East and Southeast Asia, the in this context it is pleastries last month. company Freedom Foods ing markets suggests that where concerns regarding seen a flurry of activity in INFANT FORMULA

L A I C SPE dairyT Freedom Malaysia FTA benefits R Foods p O P E R targets A

ing Australia has managed The deal, signed after Tonnes Sales – Baby Formula – agreement to forge an seven years of negotiaDomestic supermarkets (Coles and Woolworths) with Malaysia that has tions, allows a liberalised dealt with some sensilicensing arrangement tive agricultural issues for Australian liquid milk not effectively covered by exporters and allows AANZFTA,” says Fraser. access for higher value “While under the retail products. AANZFTA agreement It guarantees Ausmost of Australian agritralian wine exporters culture’s key interests the best tariff treatment had tariffs bound at zero, Malaysia gives any coundairy and rice are two sectry. It also allows open access arrangements from tors where incremental market access improve2023 for Australian rice ments have been negotiwith all tariffs eliminated ated under the Malaysian by 2026. The National Farmers’ FTA. “This trade deal was Federation says the trade also particularly impordeal will improve intertant for sectors such national market access for Australian agricultural as dairy that have been facing a competitive disgoods.

NEXT ISSUE: JUNE CALF REARING

Sealing the deal: Malaysian trade minister Mustapha Mohamed with Australian counterpart Craig Emerson after signing the deal.

ers through streamlining of rules-of-origin declaration processes and improved marketing arrangements for certain commodities. The Malaysian market is worth about A$1 billion in Australia agricultural exports – including being its fourth-largest sugar export market and fifth-largest wheat export

The most successful dairy farmers know that future production and therefore profit is made or lostthe at calf rearing. Young are the farm’s but stock also through technical Despite complefuture earners. In this special report we focus on or so called ‘behind the tion of this agreement, the best practice in calf rearing, featuring the border’ restrictions.” muchlatest remains to be done in techniques, technology, nutrition and The FTA was signed on for Australia’s farmers to animal health. BOOKING 1 22 in Kuala Lumpur May tap into the fullDEADLINE: potential June DEADLINE: by7Australia’s Trade and of theMATERIAL Asian region and June PUBLISHED: June 14 Competiveness Minisbeyond. CONTACT: CHRIS DINGLE | T: 0417 735 001 ter Craig Emerson and his HeE:says the NFF will chris@dairynewsaustralia.com.au

now throw its attention towards ensuring agriculture remains front and centre in completed FTAs with South Korea, Japan,

Malaysian counterpart Mustapa Mohamed. Emerson says Australia will be as well-positioned in the Malaysian market

Group Ltd is to build a new milk processing plant to cash in on growing demand in Asia. The plant, to be built in southeast Australia, will be the first Australian greenfields expansion in UHT in 10 years. Freedom’s wholly owned subsidiary Pactum Australia will run the plant. Some of its products will be sold in Australia. The company says given Asian consumers’ rising incomes and improving diets, demand there will grow for quality dairy products from low-cost production bases such as Australia, whose milk is well regarded.

DAIRY NEWS AUSTRALIA APRIL 2016

24 //  BREEDING MANAGEMENT

Genotyping saves on rearing costs, boosts genetic gain ADVANCES IN genetic testing have created new breeding tools, allowing dairy farmers such as Rob Cooper to speed up the rate of genetic gain in their herds. Rob dairies at Manilla, north west of Tamworth, NSW, milking a herd of more than 1300 cows and rearing about 600 heifer calves each year.

Rob routinely has heifer calves genotyped, to provide information to guide breeding decisions. He says the combination of having surplus replacements, using sexed semen and genotyping, allows him to place more selection pressure on the herd and to use better genetics over the top group of heifers.

“Because it’s so new, our approach is still a work in progress, but the possibilities are very exciting,” he said. “The top 50% of heifers will be synchronised and inseminated with sexed semen, to maximise the number of heifer calves we get from our very best heifers.” The next 25% of heif-

Total commercially genotyped females Total commercially genotyped males

Manilla farmer Rob Cooper says genetic testing is boosting breeding programs.

Breeding Values from genotyping are available from a very young age and are as reliable as having eight lactations of herd recording data. “Obviously it is a lot more useful to have that information at an early

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Figure 1: Cumulative total males and females genotyped commercially in Australia 2012/132014/15.

ers will enter the dairy herd but each year will be joined to a beef bull and their progeny will be sold. “This will allow us to maintain our herd size but we will only be breeding replacements from the top half of the herd.” The bottom 25% of heifers will be sold, possibly as young at 4 months of age. Scientists from the Victorian Department of Economic Development, Jobs, Tourism and Resources estimate the rearing costs saved through identifying and culling the bottom 8% of heifers represents about one and a half times the cost of genomic testing of the entire group. “Selling these animals at a young age represents considerable savings in their rearing costs,” Rob said. Michelle Axford from Australian Dairy Herd Improvement Scheme (ADHIS) said that without genotyping, dairy farmers had to wait until heifers entered the milking herd to see how they perform. She said Australian

MGD: Steinhauers H Mark Applepie EX-92

age than waiting 10 years,” she said. She said genotyping worked best alongside herd recording. “Genotyping helps us decide which heifers to keep and which ones to sell as well as enabling more accurate breeding decisions, while herd recording tells us the performance of cows in the herd - who needs to be treated, dried off, joined, culled. “Herd performance is the result of genetics and the environment. Herd recording is important to capture the combination of the two.” Michelle said farmers have found a variety of ways to use the results to improve genetic gain in their herds. “Some, like Rob, are using genomic results to increase selection pressure on their herd,” she said. “Others, especially breeders of elite genetics, are using genomic results for embryo transfer; to identify elite heifers for flushing and inferior animals to use as recipients. It is becoming more common to have whole cohorts of heifers tested to inform mating and culling decisions.” Michelle said Australia is seeing exponential

growth in the use of genotyping which identifies the calf at birth (see table). “Farmers want to select those heifer calves that are most appropriate from those that need to find a career elsewhere,” she said. It’s becoming increasingly common to genotype every batch of calves as they come through. “For example, calves can be weaned, drenched and genotyped in a group. “At my place, we recently started using the new Allflex matched tag/ sampling unit so we tag and sample at birth.” She said any heifer, cow or bull can be genomically tested, provided its sire has an ABV. The process involves ordering a free sample kit, collecting hair samples, completing the genomic testing application with details for each animal and then sending the samples to the relevant agency. The cost of genotyping is about $50 plus gst when doing more than 50 calves and is currently available through Zoetis, Holstein Australia or Jersey Australia. To download instructions and forms visit: www. holstein.com.au or https:// genetics.zoetis.com/australia/testing_and_results.aspx

DAIRY NEWS AUSTRALIA APRIL 2016

BREEDING MANAGEMENT // 25

Blue chip Holsteins on offer ON THE tail of a dominating

run at two of the most respected Holstein shows in the country, Bluechip Genetics has announced a complete dispersal sale later this year. Owned and operated by Dean and Dianna Malcolm at Zeerust, in northern Victoria, Bluechip Genetics has changed the registered game within Australasia in the last decade. It achieved three record prices at auction – peaking at $101,000 in 2012. It has set the tone for partnerships within Australia – also welcoming several international partners in high-profile cattle. Its dominance showing heifers has been hard for the industry to match. And at International Dairy Week (IDW) in January, 20 of the 24 Holsteins Bluechip showed finished in the top-five of their class – including Junior Champion Holstein, Reserve Junior Champion Holstein and the popular Senior Champion Holstein, Windy Vale Contender Rose-ET EX93. It won four of the eight Best Udder of Class awards up for grabs and it surprised no-one when

Dean and Dianna Malcolm (centre and right) with the Premier Breeder and Premier Exhibitor banners from this year’s International Dairy Week. NAB’s agribusiness manager Debbie Palmer (left) joins them.

Bluechip captured Premier Exhibitor and Premier Breeder for the sixth time in seven years in the Holstein show. All the individuals in this year’s show team will sell on October 13 at their Zeerust property. “The Complete Dispersal sale at Bluechip will certainly go down in history as the ‘Spoilt For Choice’ day in the breed,” Dairy Livestock Services’ (DLS) high profile auctioneer Brian Leslie said. “It’s hard to comprehend just how many ‘star lots’ will be catalogued. To think the entire show string from this year’s IDW will all

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sell is simply incredible. “Dean and Dianna have – along with their partners – developed many of the breed’s greatest maternal lines, with all saleable cattle selling. It will give the industry just so many opportunities. “I look forward to seeing this sale take place. It will be an event not to miss.” Bluechip’s IDW results in January were endorsed at the 2015 Victorian Winter Fair last July where Bluechip Genetics (and its partners) won seven of the nine broadribbons on offer in the Black and White Holstein Show and two in

the Red & White Show. In the Junior Show, it had 10 of the 12 animals pulled out for Junior Champion —winning Junior (back-to-back), Reserve (backto-back) and Honourable Mention (with a maternal sister to the Junior Champion). Established in 2006, Dean and Dianna say the dispersal was always planned for this moment. The offering will include animals classified to EX94. “We never been afraid to challenge ourselves, or to test the market,” Dean Malcolm said. “We’ve had a lot of success and we’re really grateful for that. “But we feel like it’s time for us to step back and have a change of direction. Bluechip is not our only business. We have our magazine, CrazyCow In Print, and cattle photography and we have Dianna’s family to consider who live off-shore. “We feel the time is right. We’ve got a lot of great animals under us now and we’re ready to give people the opportunity to buy them. “It’s important to note that we’re not selling the farm – it’s simply a deliberately planned change of direction.”

Mike Weise to head Jersey Australia JERSEY AUSTRALIA has appointed former West-

Vic Dairy executive officer Mike Weise as its new general manager. Jersey Australia president Peter Ness said Mike comes to role with 28 years of experience in the dairy industry in Australia, the UK and Ireland. “He started his career milking Jerseys, Shorthorns and Holstein Friesians and for the past three years he has been consulting to not-for-profit and agricultural organisations and serves as a director on three boards.” Mr Ness said Jersey Australia was fortunate to find an experienced dairy operator with sound financial knowledge, a successful track record of growing a member business and providing value to members. “Mike has exceptional communication skills, strong leadership and organisational skills and a wellestablished network within Australia’s dairy industry.” Mr Weise says he is pleased to be back in the dairy family and looks forward to meeting with Jersey Australia’s existing members as well as looking for opportunities to grow the business. He started as general manager of Jersey Australia last month and met Jersey Australia members at the Sydney Easter Show and will also be meeting members at the Central Gippsland Autumn Fair (April 12) and the Jersey Australia AGM (May 18-20). Mr Weise managed an agricultural college herd in the UK which led into a teaching role at the college.

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DAIRY NEWS AUSTRALIA APRIL 2016

26 //  ANIMAL HEALTH

Avoid and treat abomosal bloat in calves

What is abomasal bloat? The pre-weaned calf relies primarily on digestion of milk in the abomasum (the fourth stomach) and small intestines. In the very young calf,

THE VET GROUP GEMMA CHUCK the first three stomachs (reticulum, rumen and omasum) are not sufficiently developed and the calf is considered to be a “simple stomached” or “monogastric” animal at this early age. The abomasum has an acidic environment which helps in the formation of the milk clot before its

passage to the small intestines for absorption of nutrients. Acute bloat syndrome is characterised by sudden distension of the abomasum to give the calf a bloated abdomen appearance on one or both sides. It typically affects calves less than 3 weeks of age who have previously appeared healthy. In mild cases, calves may show only slight abdominal distension with a fluid or gas splashing sound, have inconsistent mild diarrhoea and mild depression. In severe cases, calves are usually off their milk, are dehydrated, show signs of discomfort such

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BLOAT IS a condition that is commonly associated with mature cattle and in this instance it is the rumen which becomes distended for various reasons. However, in calves less than a month of age, it is the abomasum that is generally associated with distension. This article discusses the potential causes, signs and treatment of abomasal bloat in dairy calves.

Healthy calves will happily drink milk and show no signs of discomfort.

as kicking their abdomen or lying flat-out and have a severely distended abdomen. They may or may not have diarrhoea. Death can occur within six to 48 hours if the bloat progresses and is not relieved. This condition tends to occur sporadically in dairy calves with some herds having multiple cases at once. What causes abomasal bloat? The cause of abomasal bloat has not been fully defined but is almost certainly related to milk-feeding nutrition. Several ‘risk factors’ have been identified and these include feeding large volumes of milk in a single daily feeding, fortified milk-feeding programs, bacterial infections, lack of water, irregular feeding times and inadequate colostrum intake. It is thought that the excessive gas-production is due to the fermenta-

tion of high-energy liquid feeds such as those used in accelerated growth programs or electrolyte feeds with inadequate water. The fermentation process occurs as a result of bacterial over-growth and production of enzymes in the abomasum. Anything that slows down the rate of abomasal emptying can result an accumulation of excess gas. In North America, high-osmolality electrolyte products and milk replacers have been identified as the primary risk factor of abomasal bloat on some farms. Osmolality is a measure of the concentration of particles in a solution and a high-osmolality milk feed can occur in fortified milk feeding programs and/or when incorrect mixing rates of milk powder are used. Consequently it is very important to ensure the correct mixing rates are used for the specific brand

of milk powder, whether used alone or in an accelerated growth program. Abomasal bloat can also be seen in conjunction with abomasal ulceration causing a mechanical obstruction of the abomasum and facilitating the accumulation of gas. How is abomasal bloat treated? Prompt veterinary attention is required in an attempt to relieve the abomasal distension by either trochar or passage of a stomach tube. Placing the calf in a ‘dog-sitting’ position with the front legs elevated, whilst passing a stomach tube can aid in the relief of gas. Antibiotics are sometimes indicated especially where bacterial infections are suspected. The specific treatment is determined on a caseby-case basis and at the discretion of your veterinarian. The syndrome is likely

to be caused by multiple factors and although the definitive cause is unknown, dietary management is integral in the control of ‘outbreak’ situations. Prevention of abomasal bloat should be aimed at consistent milk-feeding nutrition and consultation with your veterinarian prior to feeding high volume or fortified milk feeding programs. Fortified milk feeding programs are not simply a case of ‘adding a bit of milk powder to whole milk’- the exact mix rate will depend on the individual farms feeding system, frequency of feeding, brand of milk replacer used and the nature of the whole milk that is being used to mix the powder with. Fortified milk can be very beneficial in disease outbreak situations and to improve growth rates but the details of each program needs to be clearly defined at the outset.

Routine calving induction now limited to 15% cows per head FOLLOWING AN industry agree-

ment last year to phase-out routine calving induction nationally, the Australian Dairy Industry Council (ADIC) has introduced a target for 2016 to limit routine calving induction to 15% of cows per herd. ADIC chair Simone Jolliffe said the target would apply to all farms unless an exemption is granted. “Exemptions may be granted either by implementing a herd fertility management plan or by obtaining dispensation for exceptional circumstances beyond the control of the herd manager,” she said. A Dispensation Panel will consider requests for exemptions and grant approvals as appropriate. She said progress against the target will be monitored and reviewed until the phase-out is

achieved and no routine calving induction, without exemption for exceptional circumstances are performed. “We want to be proactive on measures to support excellent animal welfare outcomes and to meet the expectations of the community, our customers and consumers,” Mrs Jolliffe said. “Failure to meet these obligations risks the introduction of onerous and unrealistic regulations and/ or damage to our reputation and markets.” She said the ADIC recognised that the target would involve a significant management change for some farmers. “We will work with farmers, vets and their advisers to ensure annual targets are achieved.”

The approach is similar to the successful New Zealand strategy where routine calving induction was phased out over a period of time using progressively reduced annual limits. She said there was a particular concern about the use of late calving induction. “Late inductions (performed within 4-6 weeks of the due calving date) provide no overall reproductive benefit for the herd and should not be performed except for the welfare of the cow or her calf,” she said. “Early pregnancy testing is required by these practices to make sure late inductions are not occurring.” Further information can be found on the Dairy Australia or Australian Dairy Farmers websites.

DAIRY NEWS AUSTRALIA APRIL 2016

ANIMAL HEALTH // 27

Make the most of your investment ROD DYSON DAIRY FOCUS

“WE DRAFT them off as

we milk, then when we’ve finished milking the rest, we just bring them back on the platform and dry cow them.” Wait a moment – did I hear that correctly? If so, you better stop right now and think about that. Dry cow therapy is a significant investment of time and money. “The way I’ve always done it” may no longer be best practice or give you the best return on that investment. The goals at drying-off are firstly to shut down milk production and seal the teat canal as quickly as possible, and secondly, to use a treatment program that both treats existing infections and reduces the risk of new infections in both the dry period and at calving. Here are some of the key steps to review and consider in your dry-off protocol. ■ Production level at the point of dry-off This is one of the most common problems that we see. Cows to be driedoff should be producing between 5 and 12 litres per day. This refers to each individual cow, not the average of the group, and is achievable even in high producing herds. Drying-off at production levels below five litres per day decreases the effectiveness of treatments, and increases the risk of residues at calving. Never use “skip-a-day” milking to assist drying-off. This adversely affects the cow’s ability to produce an effective teat plug for the dry period. ■ Application of treatments Don’t try and do too many cows in one session, and ensure you have sufficient staff present to make the job easier and quicker – when people no longer want to be there, it is likely the quality of the job will rapidly decline. If teats are dirty, they

should be washed and dried prior to milking, not just prior to treatment. By doing this, the dirty wash water will be gone by the time you treat the teat. Cows should be treated as soon as possible after cups come off. On average, the teat canal takes 20-30 minutes after milking to close and seal, meaning that if that has already occurred and you break that seal open again to treat cows, it will not reform properly, thus leaving the teat at a much higher risk of infection. Carefully sterilise each teat end prior to infusing a treatment: This step is critical. Keep rubbing the teat end with an alcohol soaked teat wipe or cotton bud until no more dirt appears on the teat wipe afterwards. If there is dirt left on the teat end at the time of infusion, there is a high risk of introducing that material into the teat. After infusion, massage antibiotic dry cow therapy up into the udder. If you are following with a teat sealant, re-sterilise the teat end prior to infusion. Infuse the teat sealant, but do NOT massage up into the udder. You want the teat sealant to remain in the teat which is where it does its job. After treatment, thoroughly cover all teats with teat spray. This is very important as the treatment process will likely delay the closure and sealing of the teat canal. Ensure the treated cows are clearly marked – an unmarked dry cow reentering the milking herd is a recipe for disaster. ■ After dry-off Allow the cows to move quietly to a nearby, clean paddock. Have feed already available in the paddock so that cows do not immediately lie down – remember that teats are likely to take a little longer to close and seal and will remain at a higher risk until they do so. Do not run the cows, walk them too far or truck them away for at least a few days after treatment. The teat sealant is likely to need a little time to settle and

form into position in the teat, and you do not want to create an antibiotic and/ or teat sealant “milkshake” or cause teats to drip milk after dry-off.

Monitor the cows for a few days after dry-off - any swollen quarters should be carefully assessed as to whether they are just swollen with milk, or are

actually a clinical case of mastitis. Drying-off is your investment in the next lactation – make the most of it.

DAIRY NEWS AUSTRALIA APRIL 2016

28 // ANIMAL HEALTH

Scoring system aims to reduce incidence of lameness in herds LAMENESS IS estimated to cost

farmers at least $250 for each cow that develops the problem and can significantly reduce cow comfort and longevity. To help farmers prevent and detect lameness in their herds Dairy Australia has launched a new website with a range of practical and easy-to-use resources. The website includes the Healthy Hooves lameness scoring system which enables dairy farmers to monitor the number of lame cows in the herd. Dairy Australia program development manager, Erika Oakes, said that by regularly scoring their herd, farmers will be able to assess their current lameness level, and set a target for the herd, while assessing what changes need to be made on farm to reach the target. “Lame cows are harder to get in

calf, have reduced milk production and lower body condition scores. Putting effort into preventing lameness is far better than waiting until cows need treatment,” Ms Oakes said. “We have developed a simple lameness scoring system for our Australian conditions to help farmers prevent lameness and detect issues early.” The Healthy Hooves 4 step lameness scoring system (pictured) uses different aspects of the cow’s movement to detect levels of lameness including stride length, walking speed or evenness, back position and head position. The website features a series of short videos that show how to lameness score, including some examples to test how well you score different cows. Further videos cover others

aspects of prevention, treatment and management of lameness such as tracks, cow flow, examining lame cows, and treatment of common foot problems.

HOW AND WHEN TO APPLY LAMENESS SCORING ■

Scoring should occur at least once a month.

■

It should be done at a time when the whole herd can be assessed. Ideally this can be done as the cows are walking out of the dairy after milking.

■

Score cows on an even, hard, non-slip surface.

■

Look at the foot placement, arching of the back and bobbing of the head to determine the level of lameness.

■

Record how many cows are score 0 and 1.

■

Any cow that is a score 2 or 3 should be recorded and cut out for treatment as soon as possible.

Benefits of regular scoring ■

Monitors the effectiveness of your lameness prevention plan.

■

Allows prompt detection and treatment of lame cows.

■

Improves cow comfort, herd health and milk production.

DAIRY NEWS ON THE GO CHECK OUT THE LATEST NEWS AND INFORMATION AT

www.dairynewsaustralia.com.au Available every month

just look for the arrow!

The full colour lameness scoring poster is also available to assist with training staff to use lameness scoring and can be downloaded online or

ordered via the website. Source: Dairy Australia Visit healthyhooves.dairyaustralia. com.au for more information.

Dairy NewS AUSTRALIA april 2016

equipment & technology  // 29

Business case building for robotic milking mady brennan

WITH only 39 systems

currently operating across the country, Australian dairy still has a while to go before automatic milking systems are mainstream. But according to Sydney University’s FutureDairy program, the numbers in favour of using robotics are starting to stack up – and they are working on building the business case. Data comparing one Australian AMS farm in comparison to the average farm in the Victorian region (see table)

I going to milk these cows over the next 10 – 15 years, what’s the best answer?’ and are really crunching the numbers.” Assoc. Prof. Kerrisk said there are other benefits to AMS that are less tangible but highly valued. “AMS may help to attract and retain staff, increase flexibility, and reduce stress for both farmers and cows.” She said there continued to be misconceptions in the community about robotics. “If you don’t know anything about it, you think about farmers that just

how automatic milking might work on your farm,” Assoc.Prof Kerrisk said. “The slide shows don‘t go into a lot of detail, but each one is supported by a more detailed information

sheet which can be downloaded or printed out” The guidelines are suited to operations with single box units, mutli-box units or the robotic rotary. “It’s s a great place to

indicated that despite higher shed costs (due to running costs as well as repairs and maintenance) the AMS farm had lower production costs due to lower herd costs, overhead costs and paid costs resulting in a favourable bottom line. “Obviously care should be taken with these results as they only pertain to one AMS farm and one financial year,” FutureDairy Associate Prof. Kendra Kerrisk said. “Eight farmers using AMS have agreed to share their information this financial year so we hope to have more results soon”. Assoc. Prof. Kerrisk said she believed the use of robotics is not widespread in Australia because most farmers were not currently investing in new harvesting technology – not because the technology was expensive. “If you’re not investing in a new dairy at the moment, then it becomes a big capital outlay just to change to robots. “But I think more and more farmers who are looking at ways of expanding their operation or bringing in another block of land are asking ‘how am

want to make so much money they decide a robot can milk the cow instead of people, or a farmer that’s not going to notice a cow that’s stuck in a ditch because he hasn’t been to the farm for three days. “But I would argue that robotic milking is the furthest from any of these scenarios and in fact, if you go on to a well operated robotic milking farm, the cows are very calm, they are very relaxed, very laid back. “It really is a very nice way to milk cows when it’s done well.” She said robotics allows cows to move at their own pace and have some control over their day. Research also showed robotic milking systems can also reduce the incidence of lameness and help pick up mastitis earlier. “Animal health costs can reduce dramatically with robotic milking,” she said. “The majority of farmers using AMS are seeing a reduction.” FutureDairy has developed a series of short, highly visual slide shows to introduce the key concepts of automatic milking for large herds. “They are a fun, easy way to start thinking about

B&DEL0023E

“It really is a very nice way to milk cows when it’s done well.”

delaval.com.au

start doing the necessary homework even before you decide which brand of AMS you prefer.” • To view the guidelines, visit www.futuredairy.com.au

AMS Farm (kg/MS)

Average Farm (kg/MS)

Milk income

$5.05

$5.20

Other farm income

$0.12

$0.20

Total farm income

$5.17

$5.40

Herd costs

$0.10

$0.29

Shed costs

$0.43

$0.21

Feed costs

$2.66

$2.79

Overhead costs

$0.25

$0.54

Paid labour costs

$0.02

$0.56

$3.46

$4.39

$1.71

$1.01

Total production costs MOPC

DAIRY NEWS AUSTRALIA APRIL 2016

30 // EQUIPMENT & TECHNOLOGY

Plan well to save time, money THE DAIRY IS a significant invest-

ment and can have a major impact on milking efficiency and the comfort of cows and milkers. Building a new dairy can be a daunting task. In many situations it’s left up to the farmer to be the project manager, co-ordinating the dairy builder, plant installer, electrician, plumber etc. It is difficult to make significant changes once concrete is poured so spending time up front ensuring you have the layout, design and timelines for each step right will likely save time and money later on Dairy infrastructure can have a major impact on milking efficiency and the comfort of cows and milkers. Upgrading an existing dairy or installing a new dairy are big projects that often require a large outlay. Ask yourself - is it time to upgrade the old shed? A decision to change the dairy should be based on a genuine need for improved infrastructure. It should be financially viable and support the achievement of the farm’s goals. Generally a change in the milk harvesting system cannot be assessed in isolation from the rest of the farm business. A major upgrade or a new dairy is not ‘just a shed’ but has implications for the whole farm system. The motivation for undertaking a major change may come from a number of sources such as: ■ Current system may be working well but may be too small to cope with future goals i.e. milking more cows, employing more or less labour. ■ Current system may not be working well i.e. the milker is idle or flat out, dairy is too cramped, or it takes too long to milk. In this case it is possible that the extra capacity released by the increased efficiency of a new set up could be used to help generate funds to pay for the investment. Sometimes the motivation for change may be a combination of both for example, milking may be taking too

long and extra income may be needed to cover increasing expenses. Other reasons for seeking changes include the desire to improve the working environment to get benefits like: ■ Reduced OH&S risks. ■ Improved attitudes to the milking job and farming in general. ■ More time to spend on management tasks or being able to attract (and keep) high calibre staff to take over the day-to-day operational tasks. Upgrading goals It is important to be very clear about what is motivating the desire for a change and to have a focused picture of the farm goals. If the primary goal is to increase disposable income there may be other ways to achieve this without undertaking a major building project. Not all of a farmer’s goals will be financially motivated but every decision made on the farm has a financial implication. The implications of building a new dairy need to be analysed from many different angles so the risks of financial failure are kept to a minimum and financial targets are reached. General considerations Will the change be an upgrade or a whole new dairy? Will more cows be required to make an investment in a new dairy feasible? If extra cows are required, what will the impact be on the herd, feed, management, labour, infrastructure and debt? Make sure that all additional costs associated with a new dairy are taken into consideration when doing budgets and plans. These costs can have a major impact on the financial viability of a project e.g. will the existing infrastructure meet requirements of an expanded herd (effluent, fencing, laneways and water)? Infrastructure checklist Checking that all necessary elements have been included before seeking quotes will mean quotes need be sought once only. Sending a single set of requirements

Is it time to upgrade your milk shed?

to all suppliers also ensures they are all quoting on the same job, allowing meaningful comparisons to be made between quotes. The National Dairy Food Safety Regulatory Framework and your milk company have strict requirements around dairy infrastructure relating to milk quality and milk collection. Before beginning any construction or changes, consult your milk company.

All dairy farmers should base their decisions on clearly defined personal and business goals. If you haven’t already defined goals for your farm business, make it a priority. Building a new dairy is a big undertaking. Most farmers are not project engineers and there’s plenty of other work to do on the farm. A project manager can be a very valuable asset on many dairy constructions

projects, however it is important to ensure yours is reputable and experienced in all aspects of dairy builds. It’s their responsibility to make sure that things happen on time and the desired result is achieved. What you lose in their fee you gain in your sanity! Visit other farmers’ dairies, preferably during milking, for ideas and feedback on the performance of different products.

Farmers free to use drones FARMERS WILL be given the green light to use drones for work on their own properties without facing costly regulatory approvals. New rules will mean farmers can use drones for a wide range of tasks such as weed spraying, crop surveys, fence checking and dam and bore inspections. Farmers will not need approvals from the Civil Aviation Safety Authority as long as the drones – officially known as remotely piloted aircraft - are used on their own land,

there is no renumeration and the aircraft weighs less than 25kg.

The rule changes avoid the need for farmers using remotely piloted aircraft

on their own land to obtain an operating certificate and licence from CASA. This means farmers can save thousands of dollars in regulatory fees and will not face time consuming regulatory paperwork. The mandatory conditions include flying only in day visual line of sight, below 120m, keeping more than 30m away from other people, flying more than 5.5km from controlled aerodromes and not operating near emergency situations. The regulations take effect from September 29, 2016.

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DAIRY NEWS AUSTRALIA APRIL 2016

EQUIPMENT & TECHNOLOGY // 31

Pasture alternatives tested as climate heats up RICHARD MEREDITH

AN ARRAY of outdoor heaters radiates heat on to ryegrass and clover pastures. The heaters are set in circles on metal stands dotted across the paddock, each with several sensors linked to an ethernet cable that sends data back to the lab. This weirdly alien setup – the radiator array has an uncanny resemblance to a skeletal robotic figure one might expect to encounter in a Star Wars movie - is the scene of one of the key trials being undertaken at the Tasmanian Institute of Agriculture’s Elliott research station in northern Tasmania. Above the tour group assembled at the research site as part of this year’s DairyTas conference, a drone runs sorties back and forth, taking aerial photos that pick up minute changes to paddock and pasture – and also capturing detailed information on the visitors, who are advised not to look up

– “it might spoil the photo”. We’re assured we are not suspected of any wrongdoing. Drones are doing more in science and engineering around the world than in war zones. Fixed-wing unmanned autonomous vehicles (UAVs) with multi-spectral cameras are becoming popular tools for researchers who need to gather environmental and ecological data across a vast expanse of terrain. Setting the heaters at varying heights and heat intensities, researchers are investigating whether the traditional dairy pastures can beat the heat in southern Australian dairy pastures as the climate gets hotter. The dairy mainstay, ryegrass, is most productive at temperatures below 28°C. As temperatures are projected to rise in the future, scientists predict production of ryegrass is likely to increase across the state until about 2050. Beyond 2050, ryegrass production is projected to decrease due to higher

Adam Langworthy from Tasmanian Institute of Agriculture describes pasture trials under intense heat regimes to visiting dairy conference delegates.

temperatures limiting pasture growth during the summer months. PhD student at the University of Tasmania, Adam Langworthy, is conducting the heat trials. Any conclusions to date are tentative

but they are pointing towards reducing summer grazing intensity to allow pasture height to act as a tool to maximise the growth and survival of not only hot and dry tolerant species but also perennial ryegrass.

The heatwave conditions imposed by the bank of radiators suggest that irrigation frequency may also be a practical tool farmers can use to beat the effects of heat stress on perennial ryegrass performance. Just what the optimum frequency is has yet to be determined. Over the electric fence, Adam is trialling a number of different species including chicory, to identify heat tolerance and deterioration under various irrigation, heat and shading regimes. While higher summer temperatures may limit the production of cool season pastures such as perennial ryegrasses during the summer months, for summer-active pastures (eg sub-tropical pastures) the climatic conditions may become more favourable over time. Alternatives that perform as well as the traditional pasture species are being sought to provide dairy farmers with more pasture management options as the climate becomes warmer.

Lightness and strength of rotary of global hit SUDESH KISSUN

DESPITE THE low payout slowing dairy conversions and upgrades on New Zealand farms, the country’s Waikato Milking Systems’ (WMS) international business is booming. Leading the charge is the Centrus rotary platform, 80% lighter and stronger than concrete platforms; formed in a multi-layer process that includes Kevlar, more commonly associated

with the manufacture of aircraft and police bulletproof vests. Marketed as heavy duty equipment, the company says Centrus platforms are in demand by large herd farmers and farms milking more often than twice a day; this appeals to overseas farmers for whom 24 hour milking is not uncommon. WMS chief executive Dean Bell said three Centrus were sold even before it was developed and one is milking 3600 cows three times a day in

Michigan, US. Another is being installed in South Africa and one is en route to China. He said the number of new projects signed in NZ is one third down on last year. Dean told Dairy News NZ that a lot of energy has gone into growing the company’s international business. “Fortunately it is a natural hedge that has offset the slowdown in the local market,” he says. He said the international business has grown five times over the

four years; from around 20% of its total business to more than half this year. He says the Centrus is the cornerstone product in its overseas drive. “It’s getting a huge amount of interest overseas. We won the National Fieldays international innovation award and that has helped a lot.” The Centrus is designed for large farms and isn’t viable for NZ farmers; Waikato Milking is looking at marketing it under a new name overseas.

Dean said in its first four months of use, the new 84-bail Centrus in Michigan achieved two years of New Zealand use. Demand for WMS rotaries is also soaring in China; it has led the way in new orders this year. One large Chinese corporate farmer visited WMS and ordered the first Centrus for the country. He has 7000 cows and needed two 84-bail rotaries. Due to milking shed design problems, only one Centrus could be installed; WMS installed

WMS heavy duty rotaries are designed for large 24-hour farms.

a 84-bail concrete rotary with all the features of a Centrus next to it. WMS has an 84-bail

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and a 64-bail Centrus on the market. It plans to add a 50-bail and a 40-bail this year.

DAIRY NEWS AUSTRALIA APRIL 2016

32 // MACHINERY & PRODUCTS

System takes guesswork out of silage making MARK DANIEL

SILAGE ADDITIVES

have long been promoted as a means of producing higher quality winter feed, and while the composition and efficacy of the various products have been argued, one key point applies to all: to ensure the correct amount of product is used for the prevailing conditions. Quite often the calculation about the amount required is based on guessing the output of the forage harvester, guessing the weight of the crop in the trailer, and sometimes guessing the output of the additive pump. Of course this guesswork is further compromised during the harvesting day by changes in dry matter, grass species and changing trailers weights.

The SilaScale system invented and developed by Andy Strzelecki and UK specialist Kelvin Cave Ltd aims to remove all the guesswork with a system that continuously updates application rates throughout the day by monitoring the fresh weight of forage being delivered to a trailer. Key to the system is a robust set of load cells fitted to one trailer, the ‘master’ in a fleet of silage trailers. The master trailer continuously monitors the fresh weight of forage being harvested and communicates the results to the flow meter that is part of the harvester mounted applicator via a Bluetooth

connection. Crop weights are measured 60 times per second and data is transmitted every second. The data received allows the flow meter to recalibrate second-by-second. When the master trailer moves away from the harvester to empty, the flow meter ‘fixes’

The SilaScale monitors the fresh weight of forage being delivered to a trailer.

the average flow rate for that load and continues to apply this rate as

subsequent trailers are filled. When the master

returns the wireless connection is re-established and the flow meter re-calibrated as the trailer is filled. The key benefit is accuracy of application and the avoidance of under- or over-delivery;

the former compromises forage quality and the latter provides little or no benefit except for increased costs. Once installed the desired application rate is selected, the system is fully automated and it

then needs no operator input. The product does not currently have a local distributor but is available through the Kelvin Cave website (www.kevincave.com) directly.

The General is heading our way MARK DANIEL

OFF-ROAD SPECIALIST Polaris is about to add to its side-by-side offering. Its new Polaris General combines the rugged practicality of the Ranger model with that of the championship winning RZR, and is said to be aimed at the growing recreational, hunting and outdoor market. The Ranger DNA sees the carry-over of the 272kg rated dump box and the 680kg rated towing capacity, along with standard fitment of electric power steering, engine braking and all-wheel drive, which combine to allow seamless operation across any terrain. The RZR pedigree takes the standard Ranger suspension with travel of 254mm

and raises this to 311mm on the front and 335mm on the rear; independent double wishbones at each corner give ground clearance of 305mm, and front and rear sway bars allow high speed travel over rough terrain. Safety is boosted by a full length underbody skid plate and half doors. Two versions will hit the Australian market in late April, in premium and deluxe designations; both have 4500 pound winches, low profile front bumpers and 14 inch alloys fitted with 8-ply Dirt Commander tyres. The higher spec deluxe machine also includes uprated Fox performance shocks, a sports roof, convex mirror and a premium sound-bar with Bluetooth connectivity. www.polaris.com/en-au/

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Dairy NewS AUSTRALIA april 2016

machinery & products  // 33

Modified mixer saves time and headaches THE most prominent

feature on Dave and Katrina Christie’s dairy farm just out of Rochester in northern Victoria is a substantial feed shed (pictured inset), measuring 160m by 37m. “It’s mainly a measure against the weather,” explained Dave. “Another management tool when it’s too hot or too wet. It is 5-19°C cooler under the roof than outside.” The cows are inside the feed shed for one feed every day. They have three different types of feed pads; the shed, square and round concrete troughs. The outside feed pad is the night pad in summer and day pad in winter. Dave grew up on this farm but worked as a mechanic for 10 years before coming back about 20 years ago to take over the dairy from his parents, Norm and Elva, who still are part of the farm but now live in town. The property encompasses 200ha with 57ha run-off block. They have 550 cows, Holsteins and crossbreds, and Dave said he is moving more into crossbreds as they are more economical. They calve five times each year with fixed AI so they have 450 milkers at any one time, milking on a 50 stand rotary. Their property is only about 7km from the Rochester headquarters of Lely Australia, so it’s not surprising that when Lely wanted to trial a new feed mixer here, 18 months ago, they came knocking on the Christie’s door. The trial machine was a 20 cubic metre Tulip Biga vertical mixer and as it was operating Dave worked with the Lely engineers to modify it a lot to suit the Australian conditions and farming practices. The international specialist for Tulip products, Sjors van Deursen came out from the Netherlands to oversee the trials. “Lely were great and

032-033.indd 33

were out here all the time modifying the mixer,” said Dave. “The Lely R&D was second to none. If I had a drama they’d be here in five minutes.” The modifications that were identified and made were to the screw augers, an extension to the top of the mixer to facilitate more efficient bale loading and a wider extension of the external elevator. They do five mixes each day, usually lucerne hay and silage, maize silage, canola meal, grain and straw. Dave works out the ingredients and proportions himself, with help from nutritionists when needed. “We’ve been doing it for long enough now. The Lely mixed it up well, very consistent with either round or square bales. We allow 45 minutes per load to mix and feed out. It is quicker than previous machines, the time factor helps.” The Christies were so impressed with the performance of the Tulip Biga mixer that, as soon as the trial was concluded, they ordered the 24 cubic metre version, with all the changes incorporated into it. It was delivered the week before we visited in the last week of March and since then they had done five loads a day, equating to 24 tonnes as fed each day. It is also feeding 230 young stock and 80-odd dry cows. Dave said he has had feed mixers in the past and has now gone from horizontal mixing to vertical mixing, it’s easier for staff to load. He is a big advocate for composting. “We use manure mixed with whatever is laying about; straw, poor forage, etc. It is spread on the paddocks or goes back into the shed for bedding.” The feed mixer is operated by a 150hp John Deere 6150 and they have another 130hp John Deere as well as a small Fiat tractor and a silage cart converted into a litter spreader.

Sixty four percent of the feed on the farm is bought in. “We have annual ryegrass with a new variety of ryegrass with high protein. Thirty hectares of forage wheat is going in this autumn, then maize, if we get the

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chris dingle

water allocation. As for the future: “It’s tough at the moment, because of the milk price, water and the season. Costs have gone through the roof and the milk price is dropping. We can’t afford to water permanent pasture.”

delaval.com.au

7/04/16 9:28 am

DAIRY NEWS AUSTRALIA APRIL 2016

34 // MACHINERY & PRODUCTS

Good silage is all in the timing AS AN agricultural contractor and beef farmer in North East Tasmania, Gerald Davis knows that every hour spent harvesting makes the difference to the quality of the silage and the profitability of his business. That’s why he chose Inlon’s Strautmann forage

wagon when he wanted to take his business to the next level. “I’d heard a lot of good things about Strautmann over the years,” Gerald said. “I wanted a reliable and robust loader that would take the grass in well and cut it with precision. “Fast and efficient

gathering is vital because there’s only a small window before it dries out.” Gerald has 400 beef cows on 800ha but mainly purchased the Strautmann SV CFS 3501 DO forage wagon for his agricultural contracting business. He bought it from Inlon Pty Ltd and his local dealer,

Shiptons of Quobia, delivered and set it up. “It’s certainly lived up to my expectations,” Gerald said. “The double sided blades are quick and easy to change, which is important as I vary chop lengths depending on the job. “If it’s green chop to be fed straight to the cows, I need a longer cut than if it’s being stored.” Gerald says the Strautmann is quiet and easily copes with a heavy crop.

“The hydraulic floor makes the job quicker and one press of a button locks the wheels.” Before he purchased the Strautmann, Gerald wrapped the bales, which is more time consuming and less productive. “I looked at other models of forage wagon but the Strautmann has a lot more features for the price – much better value for my dollar. It’s really given us a lot more scope with our contracting work and extended our market.” – Source: Inlon

New calculator helps farmers better use effluent

T R O P E R L CIA

SPE

NEXT ISSUE: MAY 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. BOOKING DEADLINE: April 27 AD MATERIAL DEADLINE: May 3 | PUBLISHED: May 10 CONTACT: CHRIS DINGLE | T: 0417 735 001 E: chris@dairynewsaustralia.com.au

FARMERS CAN now make better use of the nutrients contained in dairy effluent and sludge and save money in the process, thanks to a newly released calculator tool. The Nutrients from Effluent and Sludge Calculator, released by Dairy Australia, assists dairy farmers to determine a suitable application rate for effluent as well as the value of the nitrogen, phosphorus and potassium that is applied during reuse. Users can also calculate a value for their effluent or sludge based on equivalent fertiliser prices. Dairy Australia land water and carbon consultant, Scott Birchall, said farmers are often told to sample their effluent and to then get a lab to analyse the amount of N, P and K it contains. “The calculator was developed to answer the usual question that followed about working out how much to put on,” he said. “The question is critical if it is pond sludge that is being spread as the contractor’s cost is partly dependant on the application rate, and more importantly, the distance to the paddock that you’ve chosen for reuse. “The temptation to apply heavy rates of sludge in paddocks close to the pond is understandable but if you can match the amount of nutrient available to what the soil or crop needs and then substitute for purchased fertiliser, desludging becomes a cost effective part of the fertility program rather than just another cost.” Kerang-based agronomist Matt Page has been using the calculator while preparing Fert$mart nutrient management plans for his clients. “Knowing how much nutrient is in the effluent or sludge is an important part of fertiliser planning,” he said. “The calculator helps me to target the areas of the farm that need the nutrients and also understand when too much effluent on a paddock may be detrimental.” Early autumn is typically a time of maintenance around effluent ponds in southern dairy regions. Drawing down the effluent storage pond to its minimum level going into the autumn break and also removing sludge that has accumulated in the primary pond are key maintenance requirements to support a functional effluent pond system. The Nutrients from Effluent and Sludge Calculator calculator is available for free download from Dairy Australia’s Dairying for Tomorrow website www.dairyingfortomorrow.com.au

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