Slide 1 DAIRY GRAZING Does it make Dollars & Sense In your operation? Slide 2 Dairy Grazing 2 Gerow Business Graphics PROFIT = INCOME - EXPENSES Slide 3 Dairy Grazing 3 Gerow Business Graphics REASONS TO GRAZE 1 Natural feed habit 2 Reduce stress on cows & people 3 Improve crop yields 4 Reduce labor 5 Improve health cows & people 6 Increase the life span of cows & machinery Slide 4 Dairy Grazing 4 Gerow Business Graphics REASONS NOT TO GRAZE 1 Tractor arming is more fun 2 Weve never done it before 3 Its the last thing guys do before selling out 4 Good farmers dont do it 5 Not modern not progressive 6 Lower per unit machinery cost with no pasture Slide 5 Dairy Grazing 5 Gerow Business Graphics Which List Makes Better Dollars & Sense?? Slide 6 Dairy Grazing 6 Gerow Business Graphics Grazing will NOT - 1 Solve all of your production & management problems 2 Make you a doctors wages from the farm 3 Give you endless free time Slide 7 Dairy Grazing 7 Gerow Business Graphics Grazing can - 1 Save labor costs 2 Reduce chore times 3 Save operating expenses 4 Improve grass yields 5 Improve animal health 6 Improve milk production Slide 8 Dairy Grazing 8 Gerow Business Graphics Continuous vs. Managed Grazing 1 Large pastures vs. small paddocks 2 Long periods of occupation vs. short periods 3 Managed combines rotating pastures and regrowth Both systems can work Managed grazing will be more profitable Slide 9 Dairy Grazing 9 Gerow Business Graphics Forage Profitability Pennsylvania Dairy Farms 1992 Slide 10 Dairy Grazing 10 Gerow Business Graphics Crop Dairy vs. Pastured Dairy Selected Expense Categories Pennsylvania 1992 Per Cow Crop Pasture Purchased Feed $571.00 $330.00 Breeding/Testing $50.00 $38.00 Vet & Medicines $57.00 $25.00 Livestock Supplies $79.00 $70.00 Crop Seed/Supplies $100.00 $20.00 Fertilizer & Lime $67.00 $40.00 Machinery Repair $119.00 $72.00 Fuels $57.00 $25.00 Total Expenses $1274.00 $794.00 Difference $480.00 per cow savings Slide 11 Dairy Grazing 11 Gerow Business Graphics Effects of Nine Years of Grazing Northern New York Dairy Farm Year198319871991 Days on Pasture153188186 Milk Sold/Day171219702562 No. Cows55.44842 Milk/Cow/Day314261 Lbs Grain/Cow10.211.112.2 Grain to Milk Ratio1 to 31 to 41 to 5 Grass production, milk production & efficiency all increased over time. Slide 12 Dairy Grazing 12 Gerow Business Graphics Who can benefit from grazing ? 1 High Debt Load Farms decrease expenses 2 High Equity Farms increase net income without increased debt or risk 3 Middle Aged Dairymen - increase net income approaching retirement 4 Starting Farmers lower capital requirements less risk 5 Cow Men - less crop work more time for cows ALMOST ANY DAIRY FARMER CAN BENEFIT BY DEVELOPING A PASTURE SYSTEM!! Slide 13 Dairy Grazing 13 Gerow Business Graphics Thank you for watching this presentation!