Lou
You are so right,the catch phrase "you must become more efficient" is just
Rich Man's Counsel to the Poor Man.
David
----- Original Message -----
From: "Lou Cook" <cooklou@pacific.net.au>
To: <vicdairy-l@unimelb.edu.au>
Sent: Tuesday, January 31, 2006 6:22 PM
Subject: Re: Re:Dairying
> Dear Everyone,
> Please, can I join in?
> I have been involved in the dairy industry for over fifty years and the
> message has always been the same, especially since about 1967.
> "Farmers must become more efficient .... rationalise ... specialise ......
> get bigger OR GET OUT!"
> Where does it all end?
> How many cows must a farmer milk next year to stay in front? In ten years?
> The farmers today are some of the best that ever were on the land when it
> comes to efficiency.
> The knowledge bank, built on with successive generations, has never been
> greater but still you MUST become more efficient ... why?
> It is not just dairying but every facet of primary industry is under
> pressure perhaps I should add secondary industry, too.
> Why?
> What is the basic cause of our problems?
> Is there a workable solution to this drive for more efficiency which at
> present is destroying the sanity of good and honest folk?
> The BIG question: Is primary industry working through a plan of
> destruction
> or our leaders and their advisors incapable of dealing with the real
> problems faced by farmers?
> You can't have it both ways!
> This is where the real discussion should be but I doubt it will be allowed
> to continue.
> Best regards, Lou
>
>
> ----- Original Message -----
> From: "Frank Tyndall" <ftyndall@ozemail.com.au>
> To: <vicdairy-l@unimelb.edu.au>
> Sent: Monday, January 30, 2006 1:43 PM
> Subject: Re: Dairying
>
>
>> Dear all,
>>
>> I too get frustrated when I know some farmers are struggling, and the
>> industry could do with more milk. Mostly, not always, I believe there is
>> one major reason.
>>
>> There is a lot more milk to be produced, and a lot of money to be made in
>> dairying if the fundamental, the feeding, is efficient and profitable. I
>> know farmers (both sharefarmers and owners) who are lifting milk
>> production greatly and making very good money.
>>
>> To get the feeding profitable, two efficiencies (BOTH, at the same time)
>> must be achieved. Hectare efficiency and cow efficiency. The land and
>> the herd are major resources, cost a lot to buy, and cost a lot to run.
>> They both must be physically efficient. This means that the hectare must
>> produce a lot of grass and the cow must produce a lot of milk. The
>> hectare inputs (fert, water, grazing) have to be right and the cow must
>> be
>> fed well, all the time. Get both efficiencies wrong and you will think
>> dairying is a mug's game. Get only one right, you will be probably be ok
>> in the good years only. Get both right and you're laughing.
>>
>> The weather, the rain, capital investment, labour, all I agree have a big
>> effect, but converting feed (grown or purchased) into milk is the basis.
>>
>>
>> Just because I manage this list doesn't mean I shouldn't have a say
>> occasionally. If you have a slight feeling about something, have a
>> blast,
>> send an email, no-one will mind, it's fun!
>>
>> Regards
>> Frank
>>
>> Frank Tyndall
>> Dairy Consultant
>> VicDairy-L manager
>> Box 1011
>> Sale Vic 3850
>> ftyndall@ozemail.com.au
>> 0409 940 782
>
> ----- Original Message -----
> From: "Trevor Mills" <trevm@tpg.com.au>
> To: "VicDairy-L (GippsDairy-L)" <vicdairy-l@unimelb.edu.au>
> Sent: Sunday, January 29, 2006 9:19 PM
> Subject: Re:Dairying
>
>
>> Hi everyone,
>>
>> Couldn't let this opportunity pass without having my say about the future
>> of the dairy industry.
>>
>> While the issue of the weather and a lack of rain is a factor in our
>> profitability it is by no means the only factor and lets face it we have
>> no control over the weather so therefore must deal with it in the best
>> way we can.
>>
>> But back to the dairy industry. Both David & Vikki have both been some
>> what pessimistic about the future of the industry. I have to say that I
>> agree with them. In the past 3 years, in my area alone I have seen at
>> least a dozen young people exit the dairy industry. When I say young, I
>> mean in their late 30's early 40's. Many of these farmers I have had
>> relief milked for in the past so I had some inside knowledge as to the
>> type of farms they were on and more importantly how good at farming they
>> where. In most cases they were excellent farmers, having completed farm
>> apprenticeships and done various farm management courses. They were the
>> type of people the dairy industry desperately needs and in the age
>> bracket where they should have been at the peak of there farming careers.
>>
>> Most didn't want to leave the industry and several times I saw the wives
>> in tears as their dairy cattle were sold at the local dairy sale. When
>> asked why they left the industry the response is always the same. "WE"VE
>> HAD ENOUGH. We were working our butts off 7 days a week and were getting
>> no where financially".
>>
>> All these young farmers had one thing in common, they were either share
>> farming, leasing or trying to purchase there own dairy farm. The only
>> young dairy farmers I know (if you can call 40+ young) that are surviving
>> are those who took over the family farm with very favourable terms and
>> conditions.
>>
>> To get an understanding of the state of the dairy industry, one only
>> needs to take a drive around a dairy farming region. Last year my wife
>> and I took a drive through the "prime" irrigation areas around
>> Shepparton. We were both disappointed with what we saw. Most of the farm
>> houses were old and run down and the milking sheds were no better and
>> there was old junk and machinery everywhere. All sure signs of an
>> industry in desperate need of a major injection of capital.
>>
>> In the past the dairy industry has continued to increase milk production
>> even though the price we receive for our milk has not kept pace with
>> other costs. This has been achieved through better per cow production,
>> better understanding of pasture and improvements in technology. Will this
>> continue? I don't think so. Not because we have reached the limits of
>> what is possible on our farms. I believe most farmers could almost double
>> their current production, but to do so they would need two things. A BIG
>> injection of capital, in the way of vastly improved milk prices and also
>> a massive increase in skilled labour.
>>
>> Right now most farmers are trying to milk as many cows as possible and
>> doing so as a family unit, because they can't afford to employ people to
>> help, and they're tired, very tired. Those who do take the next step and
>> milk even more cows and then employ someone to help, usually struggle to
>> justify the cost of employing that labour. It amazes me how often you
>> hear the stories of these large dairy herds making a financial loss year
>> after year. That's not to say that all large dairy herds make a loss, but
>> my accountant shakes his head in disbelief each year when many of his
>> clients who milk 400+ cows continually loose money each year.
>>
>> We've had a reprieve in the exodus for this season with slightly better
>> milk prices, but it's only a reprieve. If the milk factories announce a
>> drop in price for the coming season and/or we have a bad weather
>> conditions then watch the exodus continue. The milk companies must be
>> wondering where their milk is going to come from in future, if not, then
>> they should be.
>>
>> Dairy Australia is telling us not to talk down the industry and to
>> encourage the young to enter the industry, but how can we possibly do
>> that on past history. One of the well known dairy companies has recently
>> been promoting how dairy farmers can become millionaires in assets, but
>> not cash. I guess that could be accurate if you are prepared to work 7
>> days a week for 40 years and have all your spare cash go into paying off
>> they farm. Not much of an incentive to become a dairy farmer if you ask
>> me.
>>
>> Anyway enough of a whinge from me. Vikki said "WHY STAY", I say WHY
>> START.
>>
>> Excellent rain here at Drouin South. 30mm so far and more falling right
>> now.
>>
>> Trevor Mills
>>
>
>
This archive was generated by hypermail 2b29 : Tue Mar 07 2006 - 02:38:03 EST