WESTVIC DAIRYNEWS WestVic Dairy Newsletter October 2016

New Board Members

Milk it 4 More

New welfare standards

Focus Farm update

“In this issue”

WestVic Dairy has welcomed four new Farmer Directors to the Board

at this years Annual General Meeting.

Tania Luckin from Heywood, Shaun Beard from Jancourt East, Mark

Billing from Larpent and Michael Hawker from Heywood were all

formally appointed as Farmer Directors for terms ranging from two to

three years.

Bringing a variety of experience from across the region, the new

Directors will play an active role in developing and implementing the

WestVic Dairy Strategic Plan.

WestVic Dairy Chairperson, Simone Renyard, was enthusiastic about

the fresh perspective the new members will bring.

“I’m really excited that we have four new Farmer Directors who each

bring different qualities and skills sets. We have two younger Board

members and two others who have been around the industry longer

and bring a different perspective. We’ve also been mindful of our

Directors’ geographic locations so we have a mix of representatives

from across the region,” she said.

Tania Luckin, who milks a herd of 500, mostly Holstein, cows in

Heywood with husband Stephen, said she wanted to use her new

position to advance the development of the local dairy industry.

“Dairy is a dynamic industry to be a part of and it is important that we

as an industry recognise how resilient we are and celebrate that. I’m

very passionate about developing the potential of south west Victorian

dairy farmers and building on the good work of previous WestVic Dairy

Boards”.

Heywood farmer and WestVic Young Dairy Network member,

Michael Hawker, also expressed his ambition to further develop

the industry. “I want to assist with the future of the industry and bring a

fresh and innovative approach during my time on the Board,” he said.

New Board members for WestVic Dairy

WestVic Dairy Board Members

Simone Renyard– Chairperson

Kirsti Keightley- Deputy Chair

Tom Newton– Treasurer

Gemma Chuck– Independent

Tania Luckin– Farmer Rep

Shaun Beard– Farmer Rep

Michael Hawker– Farmer Rep

Mark Billing– Farmer Rep

Daniel Meade– Associate Member

Milk it 4 More made a successful return to the south west dairy extension calendar last month, with the showcase event

taking place in Camperdown on Wednesday September 21st.

Coordinated by members of the WestVic Dairy Young Dairy Network, Milk it 4 More provided an opportunity for farmers and

stakeholders to engage with the latest developments in the dairy industry.

The program kicked off with the launch of the Dairy Farm Monitor Report, presented by Claire Waterman from Agriculture

Victoria, before Noel Cogan reviewed the findings of the Dairy Futures CRC- DairyBio project.

Apostle Whey Cheese’s Julian Benson provided an entertaining account of the founding and operations of his successful

business, while Laurie Hickey delivered a wrap of the WestVic Dairy Business Focus Farm program.

Afternoon sessions focused on programs and support available from Dairy Australia, WestVic Dairy and the Rural Financial

Counsellors. Topics ranged from Feedbase Management to Farm Business, Animal Health, People in Dairy, Land, Water

and Carbon and what to expect from a rural financial counselling session.

WestVic Dairy Young Dairy Network Coordinator, Maddie Francis, said the success of the event was testament to the

dedication and drive of young farmers across the south west.

“The day reflected the keen interest and commitment the committee of young farmers have to the industry. Their visons

came together to deliver a great event,” she said.

Dairy Australia Managing Director Ian Halliday was also on-hand to chat to farmers and service providers throughout the

day before taking part in a panel Q and A session during the evening meal.

WestVic Dairy would like to thank all supporters of Milk it 4 More, particularly Young Dairy Network sponsors Rural Bank,

Rural Finance and Fonterra.

Special thanks goes to the members of the WestVic Young Dairy Network committee who were responsible for organising

the event, Michael Hawker, Maddie Campbell, Lauren Petersen and Billy Cornelissen.

Milk it 4 More

From the Regional Manager

This year has been different from others in many respects. Things beyond our control have created stresses and strains on our physical, financial and emotional reserves. It is perhaps an over-used word but to survive, you need to be resilient. This does not mean to simply ‘tough it out’ or ‘soldier on regardless’.

Rather, it is about rebounding or recuperating after being stretched out of shape.

Seasonal and business cycles will always occur in agriculture. Have you thought about doing things differently to avoid being stretched so far when these circumstances arise again? The

season has quickly changed from dry to wet and we need to be thinking and doing things differently with farm production.

It is also likely that you need to do things differently with the farm business side of things as well – better budgeting? Better cost control? Earlier planning? On the people side of things – can tasks be better prioritised? Can you and your staff be better trained? Are you keeping healthy? Have you found the time yet to take some time off and socialise?

While each farm business and its people are different, no-one needs to reinvent the wheel, as they say. There is much good information and advice available that has been developed by those who have experienced these things before.

Make the most of it.

Speaking of change, we have four new farmer directors at WestVic Dairy.

We welcome their input in guiding the direction of the organisation (see page 1). Please make yourself known to them so that your views can be heard and our activities directed squarely towards the needs of levy-payers in this region.

Lindsay Ferguson, Regional Manager, WestVic Dairy

Nuffield scholarship for WestVic Board

member

WestVic Dairy Associate Board member, Daniel Meade, was awarded a Nuffield

scholarship at the 2016 Nuffield Australia National Conference in Adelaide last month.

Mr Meade was one of three Victorian scholarship recipients and will use the $30,000

bursary to undertake an international research program next year.

He will travel to the United Kingdom, United States, India, China, Canada and New

Zealand as part of the 16-week program, with the intention of closely examining

successful agricultural practices and the ways in which they can be implemented in

Victoria. “It’s a great opportunity,” said Mr Meade. “I’m feeling very honoured.”

Difficult conditions impact dairy farm profits Claire Waterman, Specialist Farm Business Economics, Agriculture Victoria

The results of the most comprehensive annual survey of the state’s dairy farms, funded by Agriculture Victoria and Dairy

Australia, will come as no surprise to farmers themselves.

The tenth year of the annual Victorian Dairy Farm Monitor report has shown that the challenges faced by dairy farmers

during the 2015-16 financial year have impacted on their profitability with an average fall of 70 per cent in real earnings.

The perfect storm of lower milk prices, low rainfall, high water costs, reduced pasture growth, higher feed costs, is reflected

in the report’s findings which show 40 per cent of farmers surveyed didn’t record a positive return on assets.

Key critical business decisions that helped minimise losses included buying fodder early in the season, culling

underperforming cows at higher livestock prices, using long-term fodder reserves, and buying extra fodder to supplement

the lower pasture availability.

Overall, Victorian dairy farm profits declined in 2015-16, with data showing average whole farm earnings before interest and

tax (EBIT) falling to $70,804, a 70 per cent decrease compared with the previous year. This was the third lowest EBIT level

recorded over the ten-year history of the project, while return on assets was 0.6 per cent compared with last year’s 5.3 per

cent.

Additional fodder purchases led to declines in farm profits for south west farmers

Drier seasonal conditions prevailed in the south-west, with the lowest rainfall on record for most parts of the region in

October 2015. The dry spring led to lower pasture growth rates and many farmers cut lower quantities of fodder, particularly

hay. Long-term fodder levels declined on farm, as it was fed out from mid-late spring to reduce the effect of low pasture

availability. Farmers also purchased additional hay at elevated prices to ensure adequate feed for the remainder of the

financial year.

While the south-west recorded the highest milk price of the regions at $5.47/kg MS, it was 11 per cent lower than the

previous year and compounded the effects of poor growing conditions.

Farmer confidence

Given the complexity of the challenges ahead, the report found three in four farmers expect their business returns to

deteriorate in 2016-17 with the majority predicting lower milk prices and higher input costs will lead to a further reduction in

profits.

Milk price, succession planning and water were the main concerns farmers identified over the longer term.

Copies of the Dairy Farm Monitor Victoria Annual Report 2015-16 are available for download at agriculture.vic.gov.au/

dairyfarmmonitor or dairyaustralia.com.au/dairyfarmmonitor

For further information contact Claire Waterman, Specialist Farm Business Economics Agriculture Victoria,

Ellinbank on (03) 5430 4697.

Blair Summerville, Regional Extension Officer, WestVic Dairy

Public perception and scrutiny of the dairy industry and how we care for our animals is a constant issue. In order to protect our industry and maintain our “Legendairy” status in promoting the milk and products our farms produce, a thorough understanding and knowledge of best practice and industry standards with respect to animal welfare is crucial.

The Australian Animal Welfare Standards and Guidelines for Cattle are an important component of the pre-existing Australian Animal Welfare Strategy (AAWS). The AAWS was created to ensure consistency of legislation across states and territories for improved and sustainable animal welfare outcomes. The Australian dairy industry supports the AAWS vision that:

“The welfare of all animals in Australia is promoted and protected by the development and adoption of sound animal welfare standards and practices.”

It’s important to note that standards are legislated minimum requirements and are enforceable (= must), and Guidelines are advisory and non-legislative (= should).

The welfare standards development process is supported and funded by all Governments, Australian Dairy Farmers, Australian Lot Feeders Association and The Cattle Council of Australia. The standards provide a basis for developing and implementing consistent legislation and enforcement across Australia, and provide guidance for all people responsible for cattle. They are based on current scientific knowledge, recommended industry practice and community expectations.

Areas covered include:

Feed and water Risk management of extreme weather, natural disasters, disease, injury and predation Facilities and equipment Handling and management Castration, dehorning and spaying Breeding management Calf-rearing systems Dairy management Humane killing

Victoria intends to adopt the Australian Animal Welfare Standards and Guidelines for Cattle and Sheep into legislation subject to normal policy development processes. It is anticipated the implementation will commence in 2017-18.

To view the full guidelines visit the website http://www.animalwelfarestandards.net.au/cattle/

WestVic Dairy, in association with the NCDE, offer workshops and resources that comply with the new welfare standards with a focus on these key issues;

Calving induction Down cow management Heat stress mitigation Stockmanship Calf management Dehorning/pain relief Euthanasia of livestock Lameness prevention and treatment

To find out more about these resources contact the WestVic Dairy office on (03) 5557 1000

New welfare regulations

Focus Farm Project Laurie Hickey, Regional Extension Officer, WestVic Dairy

Dairy Australia’s current emphasis on business profitability has highlighted the importance of the Business Focus Farm

project. By demonstrating real farms, real conditions and real decisions, the project is relevant to all farmers in the region.

The three focus farms all had specific challenges that allowed consultants to demonstrate management and capacity

building strategies. The challenges faced by each group were not unique to the industry but confirmed that effective

management process could maintain profitability and commitment to the success ensured a positive outcome.

The wide scope of the project encouraged farmers to utilise business analysis and apply them to their own

enterprises.

The project demonstrated the importance of business decisions based on strong understanding of the key profit drivers of

home grown feed and risk management. The Focus Farmers were supported by an experienced farm consultant in addition

to a support group of farmers and service providers. The project was an ideal opportunity to promote the utilisation of Dairy

Australia tools and programs including DairyBase, Taking Stock, feed base

programs, animal health and welfare programs. The current round of Business

Focus Farms has concluded after two years, and a dinner was held in

September to recognise the achievements and commitment of all to the

project.

The Barongarook West Business Focus Farm main achievements were to

improve pasture access for the herd by installing sub-surface drainage with

collectors to store excess water. The construction of an underpass and creek

crossings allowed access to remote paddocks that were effectively

out-paddocks, allowing milking platform to grow from 180ha to 263ha.

The farm’s potential was further realized by shifting the calving pattern to maximise seasonality and milk price. The Scott

farm showed resilience in a tough year for the region with below average milk price.

The Timboon Business Focus Farm achievements have been, improved recruiting, training and retention of staff.,

The seasonal calving herd has been shifted from spring to summer calving, maximising factory growth and milk incentives.

The farm recorded a significant increase in the tonnes of home grown fodder yielded. The development of a succession

plan allowed partners to realise their needs.

The Heathmere Business Focus Farm lists their achievements as sowing maize resulting in crop yields of 18 ton

DM/ha. This has allowed cows to be fully fed in the critical 100 day post calving period. This alone resulted in an increase

in milk yield, and a lift in 6 week pregnancy rates. By expanding the irrigation system to better utilise current water

allocation, the farm returned a profit despite seasonal and industry challenges.

A new round of Business Focus Farm projects will see two farms commence in January 2017, with the possibility of a third

farm starting in January 2018. At a time when industry retention of both farms and employees is delicately poised, Focus

Farms provide information and confidence to farmers to assist with decision making on managing financial risk and

maintaining profitability.

The Focus Farm ‘Wrap Up’ Dinner

Effluent after silage Rachael Campbell. Agriculture Victoria, Ballarat

Applying second pond effluent after a silage cut will replace valuable nutrients and boost pasture regrowth.

Second pond effluent is a valuable source of nutrients, especially nitrogen and potassium. Most farms have a large amount

of these nutrients sitting in their second effluent pond, ready to be spread and benefit silage regrowth. As we know,

harvesting pasture removes a large amount of potassium, so why not apply effluent to your silage paddocks to increase

regrowth and replace nutrients. The nitrogen in the effluent will also give the pasture a good kick along. Applying effluent to

actively growing plants will ensure the greatest benefit, so silage regrowth is ideal.

It is best to test the effluent prior to application to assess the nutrient levels and to help calculate application rates. The new

Dairy Australia Nutrients and Sludge Calculator can help determine appropriate application rates. It can be found on the

Dairying For Tomorrow website. Remember second pond effluent is often high in salt, so this needs to be taken into

account and paddocks monitored with regular soil tests.

Local Agriculture Victoria trial work found when second pond effluent was applied after a silage cut, pasture growth was

increased by between 0.9 tonnes DM/ha and 2.7 tonnes DM/ha. Following any effluent application it is important not to

graze for at least three weeks. This allows the plant time to take up the nutrients, reduces the risk of pathogens and nitrate

and also allows enough time to reduce palatability issues associated with the application. It is advised not to graze late

pregnancy cows or freshly calved cows on effluent application paddocks. It is also recommended that young stock not be

grazed on effluent application paddocks.

If it isn’t practical or you don’t want to use the effluent on silage regrowth paddocks, then start thinking of a plan as to how

you are going to ultilise the resource you have. Another way to make efficient use of second pond effluent is applying to

summer fodder crops (single or multiple graze crops). Similar principles apply for application and withholding periods.

Agriculture Victoria can assist you to develop an effluent use plan for your farm. This includes a visit by an Extension Officer to conduct a stocktake of the effluent available for use. It will assist to identify options to use effluent to save on fertilisers, grow more feed and keep nutrients on farm. For more information please contact Rachael Campbell, Agriculture Victoria Ballarat on (03) 5336 6868 or rachael.campbell@ecodev.vic.gov.au

FeedBase Challenge Peter Gaffy, Regional Extension Officer, WestVic Dairy

Are you happy with how much pasture your cows consumed in the 2015-16 financial year?

In many areas of the south west it was a particularly challenging 12 month period. This

challenge was reflected in the results of the recently released Dairy Farm Monitor Project

(DFMP). The report identified that the average direct grazed pasture consumption was 3.6

tonnes/DM/ha for the south west region.

The FeedBase Challenge is a tool developed to grow more home grown feed. It uses the

three Dairy Moving Forward key performance indicators as targets for farmers to try and

achieve. These are:

1. Aim for 1 tonne of home grown feed per 100 mm of rainfall.

2. Aim for 1 kg of milk solids production per kg of cow live weight.

3. To have feed costs less than 40% of total farm milk income.

The Feed base challenge is aimed at farmers who have completed the ‘Feeding Pastures for Profit’ program and are

looking for the next step to help motivate them to better performance.

The program uses the DairyBase tool to discover participants current performance against KPI’s. The farmer then works

with a coach to discover the key fundamentals preventing better performance. A series of group activities are scheduled to

address common areas of concern. The program is run over a 2 year period with a mixture of one-on-ones and group

activities. Please call Peter Gaffy 0438 345 712 to register your interest.

Are you happy with pasture consumption?

Contact Us

Editor: Chris McNamara

WestVic Dairy

214 Manifold Street

Camperdown VIC 3260

(03) 5557 1000

media@westvicdairy.com.au

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WestVic Dairy Staff

Contacts

Lindsay Ferguson – Regional

Manager – 0418 545 580

Laurie Hickey – Extension

Officer – 0439 833 484

Madeleine Francis –

Extension Officer – 0459 227

337

Peter Gaffy– Extension

Officer – 0438 345 712

Blair Summerville – Extension

Officer – 0438 336 500

What's on October/Nov 2016

OCTOBER 13 AND 20

EVENT: Farm Chemical Users Course (short course) TIME: 9am to 3pm WHERE: Colac CONTACT: Bec Huth on 0458 000 445 or ncdeawest@gotafe.vic.edu.au

OCTOBER 24 AND 31

EVENT: Farm Chemical Users Course (short course) TIME: 9am to 3pm WHERE: Terang CONTACT: Bec Huth on 0458 000 445 or ncdeawest@gotafe.vic.edu.au

NOVEMBER 9 AND 16

EVENT: Mental Health First Aid Training TIME: 9am to 3pm WHERE: Colac CONTACT: Ruth Payne on 5232 5369

NOVEMBER 8, 9, 10, 15, 16, 17

EVENT: Tactics Pasture Plus– Summer Days TIME: TBC WHERE: Various Locations CONTACT: Amanda at WestVic Dairy on 5557 1000

NOVEMBER 22, 23, 24, 29

EVENT: Tactics Pasture Plus– Summer Days TIME: TBC WHERE: Various Locations CONTACT: Amanda at WestVic Dairy on 5557 1000

NOVEMBER 30

EVENT: The Mens ‘Mo-Off’ (mens event) TIME: From 6:30pm (for 7:30pm start) WHERE: TBC CONTACT: Amanda at WestVic Dairy on 5557 1000

Thanks to Dairy Australia and the Gardiner Foundation, the following pocket guides are now available from the WestVic Dairy Office.

Ryegrass– spring grazing management

Quality pasture silage– 5 easy steps

For a copy of either, please call the office on 5557 1000 or drop in to 214 Manifold Street Camperdown. Or download a copy from tftt.dairyaustralia.com.au/

For the latest WestVic Dairy events head to

www.westvicdairy.com.au/NewsandEvents/EventsCalendar