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Dairy in
�Strong Livestock Industry �Moderate Climate �Exceptional Quality of Life �Favorable Business Climate
�Competitive Land Values �Financial Assistance �Quality Feed Sources �Good Industry Support
Contact Kurt Olsen for more information573-291-5704 or [email protected]
Missouri
We Want You in Missouri! An agricultural state with room to grow
Missouri’s mix of population centers and rural geography make the state a compelling opportunity for dairy growth. While there is plenty of room to farm, the state’s expanding population means Missouri needs more milk. There is more consumption than production. Existing processing capacity is capable of handling an additional billion pounds of milk per year. It’s a landscape waiting for modern dairies.
Grass, Grain, and Ground
Missouri as a producer � Corn - 3.4 million acres; 629 million bushels (2014) � Soybeans - 5.6 million acres; 260 million bushels (2014) � Alfalfa - 280,000 acres; 700,000 tons (2014) � All other hay - 3.2 million acres; 6.4 million tons (2014) � Wide distribution of bioenergy plants for co-products
Affordable, available land � $3,810 for average cropland (2014) � $1,850 for average pastureland (2014) � Climate conducive to grass and grain, average rainfall over 40 inches
The right business environment � Milk processing facilities located throughout Missouri with extra capacity � Good infrastructure for dairy operations � Total population of 6.1 million for strong consumer demand
A place for families � Top rated state universities and private colleges � Top notch secondary public school system: public, private, and home school � Major cities for recreation and amenities including five professional sports teams � Plenty of opportunity for small town, rural living, community, and church involvement
Strong Livestock IndustryBeef CowsDairy CowsHogs and PigsTurkeys
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Milk Cow Inventoryby County
Missouri’s Rank Among States
Livestock and related products account for 47% of Missouri’s agricultural receipts in 2013. In 2014, Missouri had 1,248 permitted dairy operations, 90,000 milk cows, and produced 1.38 billion pounds of milk.
The Missouri State Fair highlights the importance of livestock to Missourians by hosting livestock competitions and shows every year. The 2014 State Fair, which drew in 361,000 attendees, had nearly 31,000 total livestock and competitive entries.
Moderate ClimateBecause of its inland location, Missouri is subject to frequent changes in temperature. While winters are cold and summers are hot, prolonged periods of very cold or very hot weather are unusual. Occasional periods of mild, above freezing temperatures are noted almost every winter. Conversely, during the peak of the summer season, occasional periods of dry-cool weather break up stretches of hot, humid weather.
In the summer, temperatures rise to 90° F or higher on an average of 40 to 50 days in the west and north and 55 to 60 days in the southeast. All of Missouri experiences freezing temperatures every year. In winter there is an average of about 110 days with temperatures below 32° F in the northern half, the West Central Plains, and East Ozarks, about 100 days in the West Ozarks, and about 70 such days in the southeast counties.
Mean annual precipitation varies along the same gradient as temperature, from a low of 34 inches in the northwest to a high of 50 inches in the southeast.
For more information about Missouri’s climate, please see the Missouri Climate Center at: http://climate.missouri.edu/
Exceptional Quality of LifeQuality of life is important and Missouri has more than enough to offer. In addition to great schools, Missouri has 85 state parks and historical sites with more than 200,000 acres available to the public. Within the state park system there are 3,700 campsites, 194 cabins, and 840 miles of trail. Missouri’s park system is home to the longest rails-to-trail project in the United States—the 225-mile Katy Trail. In addition, there are 12 federal parks and historic sites located in Missouri, including the Lewis and Clark National Historic Trail, Ozark National Scenic Riverways, and Wilson’s Creek National Battlefield.
In 2011, 1.6 million people hunted and fished in Missouri. The United States Forest Service owns 1.5 million acres that is open to the public for hunting, in addition to land leased by private owners. Nearly 300,000 deer and over 11,000 turkey were harvested during the 2009-2010 season. Sportsmen will find they are in good company in Missouri.
Missouri is also home to six major metropolitan areas that each offer their own amenities. The six major areas of St. Louis, Kansas City, Springfield, Columbia, Joplin, and St. Joseph are geographically spread about the state so many Missourians will find they are nearby to entertainment and recreation offered by a major area.
Favorable Business ClimateMissouri has the infrastructure for handling a large capacity of milk for processing which makes for a competitive market. Currently, Missouri’s milk processing facilities have the capacity to handle more than an additional billion pounds of milk annually – or the milk from 50,000 more cows!
Missouri’s central location also puts it in a position to supply milk-deficit areas of the United States such as the southeast markets. In addition, many factors such as tax rates, utility costs, infrastructure and cost of living are favorable in Missouri.
Missouri Illinois Iowa Kansas Minnesota Nebraska Wisconsin
Tax RatesCorporate 6.25% 7.75% 6%-12% 4.0-7.0% 9.80% 5.58%-7.81% 7.90%
Federal Income Tax Deduction Yes No Yes No No No No
State Sales Tax 4.23% 6.25% 6.00% 6.15% 6.88% 5.50% 5.00%
Per Capita Total State Tax Revenue $906 $1,206 $1,019 $1,006 $1,489 $994 $1,183Gasoline Tax $0.17 $0.39 $0.22 $0.25 $0.29 $0.26 $0.33
Diesel Tax $0.17 $0.45 $0.24 $0.27 $0.29 $0.27 $0.33
Utility Costs & InfrastructureAvg. Commercial Electric Rates (¢/KWH) 7.9¢ 9.2¢ 8.5¢ 10.0¢ 8.9¢ 8.6¢ 10.9¢Avg. Residential Electric Rates (¢/KWH) 9.5¢ 12.0¢ 10.9¢ 12.1¢ 11.5¢ 9.8¢ 14.0¢Freight Railroad Miles (Class 1) 3,400 5,892 3,175 2,816 3,624 2,446 2,531Interstate Miles 1,379 2,182 782 874 914 482 743Total Public Road Miles 131,978 144,337 114,438 140,614 138,833 93,797 115,094Airports 478 715 280 363 442 230 534
PopulationMedian Family Income $58,754 $69,557 $66,684 $64,969 $75,112 $64,763 $65,618Per Capita Income $25,649 $29,666 $27,027 $26,929 $30,913 $26,899 $27,523Population 6,063,589 12,880,580 3,107,126 2,904,021 5,457,173 1,881,503 5,727,564Cost of Living Ranking (2014 Annual Avg.) 17 22 14 9 32 8 26
Sources: Missouri Economic Research and Information Center, Tax Foundation, Bureau of Transportation Stats, U.S. Energy Information Administration and US Census Bureau
Missouri Dairy Processors Fluid milkCheeseIce cream & yogurtButterDry dairy productsDairy beveragesCondensed milkFarmer processor
Business Climate Comparison
Competitive Land Values
Missouri farmers benefit from having plenty of rural land available for farming. Steady appreciation of land values also benefit farmers when choosing to make a capital investment. Simply put, land in Missouri can provide a return on investment while supporting a dairy operation in the meantime.
Source: University of Missouri Extension Survey
Estimated cropland values per acre for July 2015
Missouri AverageGood cropland $4736Average cropland $3621Poor cropland $2670
Estimated pastureland values per acre for July 2015
Missouri AverageGood cropland $2767Average cropland $2293Poor cropland $1782
Source: University of Missouri Extension Survey
Agricultural Land Values 2015
Croplandper acre
Pasture per acre
Farm Real Estateper acre
Missouri $3,810 $1,950 $3,350Kansas $2,210 $1,390 $2,030Arkansas $2,630 $2,290 $3,050Iowa $8,200 $3,400 $8,000Illinois $7,650 $3,550 $7,500Cornbelt (IN, IL, IA, MO, OH) $6,840 $2,440 $6,350U.S. (average 48 states) $4,130 $1,330 $3,020
Source: USDA/National Agricultural Statistics Service
Financial AssistanceThe Missouri Agricultural and Small Business Development Authority has programs to provide assistance to Missouri farmers. The following is a list of programs that relate to dairy operations. You can find a complete listing of MASBDA’s programs on their website at: http://agriculture.mo.gov/abd/financial/
Single-Purpose Animal Facilities Loan Guarantee Program � 50% first-loss guarantee on loans up to $250,000 � Interest rate is negotiated with lender, maximum 10 years � Loans can be used for livestock, land, buildings, facilities, equipment, machinery, and animal waste systems for dairy cattle (and other livestock)
� Eligible if legal Missouri resident and at least 18 years old
Animal Waste Treatment System Loan Program � Financing up to 100% of the cost to install a livestock waste treatment system
� Current interest rate of 5.43%, for up to 10 years. � Eligible if less than 1,000 animal units per site and have NRCS Certification
Beginning Farmer Loan Program � Enables lenders to offer lower interest rates to beginning farmers
� Eligible if legal Missouri resident, at least 18 years old � Borrow up to $517,700 to purchase:
� Agricultural land � Farm buildings
Bridge Loan Program � Funding for all Soil and Water Conservation District (SWCD) cost share programs � Funding for all Natural Resource and Conservation Services (NRCS) cost share programs including EQIP (Environmental Quality Incentives Program) through the United States Department of Agriculture (USDA)
� Pay interest only monthly at 5.9% until project is complete � Upon project completion, cost share payment satisfies loan principal � No credit check necessary, need approved contract and supporting documentation from the NRCS and/or SWCD to apply
� Farm equipment � Breeding livestock
Quality Feed Sources
Hay, excluding alfalfaSoybeansRiceAll hayCorn for grainWinter wheat
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Missouri’s Rank Among States
In 2014, Missouri produced 629 million bushels of corn on 3.4 million acres, 260 million bushels of soybeans on 5.6 million acres, 700,000 tons of alfalfa on 280,000 acres, and 6.4 million tons of all other hay on 3.2 million acres.
Missouri is home to many industries that process grains – breweries, energy, human food – which results in large quantities of nutritious co-products feed. Missouri farmers often have access to co-product feeds from corn, soybean, rice, wheat, and cotton at favorable prices.
Corn Acres Harvestedby County
70,000 acres and Above20,000 acres - 69,999 acresUnder 20,000 acresNot Published
50,000 acres and Above30,000 acres - 49,999 acres20,000 acres - 29,999 acresUnder 20,000 acres**Includes counties with unpublished data.
Hay Acres Harvestedby County
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Source: USDA/NASS - Missouri Field Office
Source: USDA/NASS - Missouri Field Office
ContactsIf you would like more information regarding the opportunities and programs available for dairy producers interested in coming to Missouri, the people listed on the following pages can help.
The Missouri Dairy Growth Council is a group of individuals interested in growing a viable, thriving dairy industry in the state of Missouri. This group consists of dairy producers, and allied industry representatives, state government staff and university faculty. The current council exceeds 30 members dedicated to the cause.
The University of Missouri Extension Dairy Team is dedicated to enhancing the profitability and competitive position of the Missouri Dairy Industry.
Missouri Dairy Growth Council Board of Directors
Dr. Scott Poock ChairmanDairy VeterinarianA331 Clydesdale HallColumbia, MO 65211573-882-6359
Gene Wiseman Vice ChairmanMissouri State Milk Board1616 Missouri Blvd.PO Box 630Jefferson City, MO 65102573-751-3830
Kelly Smith TreasurerMissouri Farm BureauPO Box 658Jefferson City, MO 65102573-893-1416
Ed Donnell SecretaryF & H Food Equipment CompanyPO Box 3985 G.S.Springfield, MO 65803417-881-6114
Dave Drennan Exec Director/Asst SecretaryMissouri Dairy Association1954 Sumter Ridge CourtChesterfield, MO 63017636-519-9300314-712-6565 Cell
Richard FordyceDirector - MO Dept. of Agriculture1616 Missouri Blvd.PO Box 630Jefferson City, MO 65102573-751-5617
David Klindt Assn of Missouri Electric Co-opsPO Box 1645Jefferson City, MO 65102573-659-3403
Gary WheelerMissouri Soybean AssociationPO Box 104778Jefferson City, MO 64110573-635-3819
Dr. Tom McFaddenUniversity of MissouriS110 ASRC, 920 E. Campus DriveColumbia, MO 65211573-882-8336
Larry SchmidtMissouri Dairy Association216 Hwy JJLaredo, MO 64652660-286-2781
Dr. Alan WesslerMFA, Inc.201 Ray Young DriveColumbia, MO 65201573-876-5248
Kyle BounousGrasslands LLCPO Box 703Monett, MO 65708417-235-4450 Cell
Bob IdelFCS Financial1934 East Miller StreetJefferson City, MO 65101573-636-7809 ext. 122
Craig WestfallMissouri Dairy Association4671 Hwy HHalfway, MO 65613417-445-2220
Bradley SchadMissouri Corn Growers Association3118 Emerald LaneJefferson City, MO 65109573-893-4181
Keith BohlanderDairy Farmers of America10220 North Ambassador DriveKansas City, MO 64153816-801-6270
Steve DavisMissouri Dairy Products Association800 West TampaSpringfield, MO 65801417-865-9641
ContactsUniversity of Missouri Extension Dairy Team
On-Campus
Scott BrownAg Policy215 Mumford HallColumbia, MO [email protected]
Joe HornerEconomics223B Mumford HallColumbia, MO [email protected]
Robert KallenbachForages214 Waters HallColumbia, MO [email protected]
Teng LimAir Quality 230 Agricultural EngineeringColumbia, MO [email protected]
John LoryNutrient Management210 Waters HallColumbia, MO [email protected]
Ryan MilhollinEconomics223A Mumford HallColumbia, MO [email protected]
Scott PoockDairy VeterinarianA331 Clydesdale HallColumbia, MO [email protected]
Joe ZulovichAgricultural Engineer231 Agricultural EngineeringColumbia, MO [email protected]
Off-Campus
Ken BolteRegional Ag Business Specialist116 W. Main St.Union, MO [email protected]
Stacey HamiltonState Dairy Specialist14548 Highway HMt. Vernon, MO [email protected]
Stacy HambeltonRegional Ag Business SpecialistOzark County CourthousePO Box 187Gainesville, MO [email protected]
James HumphreyRegional Livestock SpecialistCourthouse - PO Box 32Savannah, MO [email protected]
Sarah KenyonRegional Agronomy SpecialistOregon County CourthousePO Box 97Alton, MO [email protected]
Ted ProbertRegional Dairy SpecialistMSU Fruit Experiment Station9740 Red Spring Rd.Mountian Grove, MO [email protected]
Reagan BluelRegional Dairy SpecialistBarry County CourthouseCassville, MO [email protected]
Gene SchmitzRegional Livestock Specialist 1220 Commercial StreetWarsaw, MO [email protected]
ResourcesGeneral Information about Missouri DairyingMissouri Dairy Resource GuidePractical dairy information targeted for Missouri’s dairy producershttp://dairy.missouri.edu/
Starting a Dairy in Missouri GuideGeneral guide for new dairy producershttp://dairy.missouri.edu/buildings/startingadairyguide.pdf
Missouri Dairy Business OpportunitiesWeb resource for finding opportunities in Missouri’s dairy industryhttp://agebb.missouri.edu/dairylink/opportunities/
Missouri Dairy ModelsDairy models developed specific to Missourihttp://dairy.missouri.edu/dairylinks/models.htm
Snapshot of Missouri’s Dairy IndustryData on Missouri’s dairy industryhttp://dairy.missouri.edu/dairylinks/snapshot.htm
Land Prices and Cash RentsMissouri Land Value SurveyYearly farm value opinion survey conducted by MUhttp://agebb.missouri.edu/mgt/landsurv/
Missouri Cash Rental RatesCash rental rate survey conducted by MUhttp://extension.missouri.edu/p/g427
Missouri Custom Rate GuideCustom rate survey conducted by MUhttp://extension.missouri.edu/p/G302
Climate and WeatherMissouri Climate CenterMissouri Climate and Weather Informationhttp://climate.missouri.edu/
Horizon PointPrecise weather information available to Missouri farmershttp://agebb.missouri.edu/horizonpoint/
Site EvaluationMissouri Animal Feeding Operation Site Evaluation ToolInternet-based tool for farm site evaluationhttp://ims.missouri.edu/afosite/
Cooperative Soil Survey Missouri Soils Datahttp://soils.missouri.edu/
USDA-NRCS Soil Survey Tool Missouri Soils Data and Mappinghttp://websoilsurvey.nrcs.usda.gov/app/
Regulations and RequirementsGuide to Animal Feeding OperationsRules for animal feeding operations in Missourihttp://www.dnr.mo.gov/pubs/pub915.pdf
CAFO Permitting RequirementsGuide for getting a CAFO permithttp://www.dnr.mo.gov/pubs/pub2351.pdf
Local RestrictionsCounty ordinances that impact animal agriculturehttp://nmplanner.missouri.edu/regulations/mocountyrules/
Co-Product Feed PricesBy-Product Feed PricesWeekly by-product feed prices for producershttp://dairy.missouri.edu/byprod/bpmenu.asp
Missouri Ethanol Plants Location of all Missouri ethanol plantshttp://www.mocorn.org/ethanol-industry/
ContactsMissouri Dairy Growth CouncilIndustry Contactshttp://milkmissouriinstyle.org/
MU Dairy TeamUniversity Contactshttp://dairy.missouri.edu/contacts.htm
Missouri State Milk BoardMilk Regulatory Agency and Farm Inspectionhttp://agriculture.mo.gov/animals/milk
Missouri Department of Natural ResourcesEnvironmental Regulatory Agencyhttp://www.dnr.mo.gov/env/wpp/cafo/
Missouri Dairy AssociationDairy Farmer Contactshttp://www.missouridairy.org