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Barns in New Zealand Dairying Barns in New Zealand Dairying

Barns in New Zealand Dairying - PowerPoint Presentation

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Barns in New Zealand Dairying - PPT Presentation

Geoff Taylor Project manager People amp Business Farmers Forum April 2015 Why farmers tell us they are building barns Greater level of control over system Manage issues f or example ID: 171285

barn case system study case barn study system choice achieve cost dairynz what

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Slide1

Barns in New Zealand Dairying

Geoff Taylor

Project manager: People & Business

Farmer’s Forum

April 2015Slide2

Why farmers tell us they are building barns!

Greater level of control over system

Manage issues,

for example:wet soilswinter pasture damageAchieve genetic potential of cowsAddress performance issues, e.g. in-calf ratesManage environmental regulationTo grow their business without purchasing landSlide3

What’s DairyNZ doing?

Our aim is to help the farmer:

Make an informed decision

Build it right Manage it wellSlide4

What’s

DairyNZ

doing?

1. Pastoral 21

Investigating use of barns to help achieve productivity growth without increasing footprint.

2.

System Choice

Helping farmers to determine if building a barn is right for

them.

3

. Animal Health & Welfare

Generating

a set of

guidelines and resources

to help ensure facilities are built and managed with an animal and human

focus

4.

Feed Right & System Optimisation

Looking at how feeding strategies can be developed and implemented leading to continued profitability and sustainability.Slide5

System Choice

Take homes:Slide6

System Choice

Take

homes

Be sure a barn is the best way to achieve your goalsSlide7

Reducing Footprint?

Pre-barn N Loss (

kgN

/ha)

Post-barn N Loss (

kgN

/ha)

Diff

Case Study 1

14

23

-64%

Case Study 2

10

11

-10%

Case Study 3

43

56

-30%

Case Study 4

28

27

4%

Case Study 5

8

7

13%

Case Study 6

40

31

23%Slide8

Reproductive performanceSlide9

System Choice

Take

homes

Be sure a barn is the best way to achieve your goalsTotal investment = cost of barn + 30-50% Slide10

Costs can be hidden

Cost of Barn

Total Capital

Cost

Diff

Case Study 1

$2,102

$3,160

50%

Case Study 2

$2,573

$4,181

62%

Case Study 3

$2,994

$3,733

25%

Case Study 4

$3,302

$4,731

43%

Case Study 5

$4,000

$6,744

69%

Case Study 6

$1,440

$2,161

50%Slide11

System Choice

Take

homes

Be sure it’s the best way to achieve your goalsTotal investment = cost of barn + 30-50% Operating profit is not sufficient measureSlide12

Use the right tools

Option 1

Option 2

Change in Operating Profit / Ha

$225

$498

Change in Operating

Return on Assets

0.20%

0.20%

Net Present Value / Ha

$828

-$891Slide13

System Choice

Take

homes

Be sure it’s the best way to achieve your goalsTotal investment = cost of barn + 30-50% Operating profit not sufficient measureSkill requirements are different!Slide14

How does variability arise?

In practice:

Making 2 decisions:

0.95 x 0.95 = 0.90But making 4 decisions:

0.95 x 0.95 x 0.95 x 0.95 =

0.81Slide15

Looking at a barn?

Make sure

you

get what you think you are paying forDo your figures carefullyAnalysis is very farm specificBuilding & system design must be animal focussedMake sure your team has the required skill

Not all about the money

EYES WIDE OPENSlide16

What’s DairyNZ doing?

Pastoral 21:

Investigating use of barns within the farm system design to help achieve productivity growth without increasing footprint to meet environmental targets.

Take homesN-loss has been reduced by up to 50% in some cases Intensification reduces this benefit

The amount of effluent generated is enormous

!Slide17

What’s DairyNZ doing?

System Optimisation & Feed Right

These projects are looking at how integrated feeding strategies can

be developed and better decisions can lead to continued profitability and sustainability.

Take homes

If nutritional messages are confusing you, you are not alone!

A 1,500 -1,600

kgDM

/ha residual will increase pasture grownSlide18

What’s DairyNZ doing?

Animal Health & Welfare

Generating a set of resources to help ensure facilities are built and managed with an animal and human focus

Take homesCode of practice for design due out soon

The capex/

opex

trade-off can be deceiving

The drop test will tell you about cow comfort

Hygiene or hand towels – you choose Slide19

What’s DairyNZ doing?

System Choice

Helping farmers to determine if building a barn is right for them, both in terms of achieving their goals and generating a positive return on capital invested.

Take homesThe cost of building = Cost of barn + 30-50% Be sure it is the best way to achieve your goals

Barns are depreciating assets

Regulation not clear – being a first mover is risky