pei cattle producers agm march 31, 2010. business management alternative feeds improving...
TRANSCRIPT
PEI Cattle Producers AGM March 31, 2010
Business management Alternative feeds Improving traditional home grown feeds Management tips Government programs
Al Mussel – George Morris Centre Regardless of farm size, type or province
business management expertise is key to profitability.
Larger not always better 1995-2003 Farm cash receipts ^26% but
operating expenses ^40% - not sustainable.
Production Marketing Financials
People are good in one or two areas but not all three – personality types.
Must control all three areas equally well If not the business is set up to struggle
even in a good economic climate and a high probability to fail in tough times
Trinity of Management
Have to know your margins - details Article in Cattlemens
◦ Steve Kenyon – Gross Margin Analysis Don’t need to be an accountant Need someone to take an interest in the
books. Knowing COP is not sufficient – need details
of revenues and expenses to determine where improvements can be made.
Corn based Home grown or custom grown- ROI Not cheap crop to grow – fertilizer vs
manure◦ Corn silage – background/finishing◦ Cob meal/snapplage – specialized equipment◦ HMC – kernel corn 30% moisture
Processing for storage – rolled Higher energy availability than dry corn Funding programs for co-op equipment sharing
◦ Dried corn – cost of drying
Oilseeds Soybean, canola, crambe, flax, camelina Potential to brand beef around these?? Pressed - high oil 12% vs 2% Protein supplement - 30 – 40 % CP High E – from oil rather than starch Limits inclusion rate – 4 lbs/hd OD on protein
Silage corn or grass/legume (40% legume) Timing of cut is critical – weather related Not as early as dairy – within a couple of
weeks. (13 – 16% CP) Save the best for most demanding periods
◦ Cows close to calving, creep feed calves Feedlot
◦ Good quality silage 3.5 – 4.0 ADG with less grain
Round bales – bale slow to squeeze air out Plastic 4 -6 layers min – pest issues Chopped silage – Plastic -seal, cover or open Seal 7 - 12:1 ROI Cover 5 - 7:1 ROI Open DM loss (7- 5%)-Acres, fuel, time etc Heat damage locks up protein and E – ( ADG
0.75–1.0 lb) – top portion, compost–toxic soup
Crossbreeding system – premium feeder calf◦ (Bluewater blacks, Bruce Peninsula Calf Club – Ch x)◦ Improved conception, calf survival, weaning wt, and
life of the dam, well framed high muscled feeder. ◦ Hybrid vigour
Require – management skill set, record keeping, pasture management, use of health protocols and marketing plan
Costs - $20 - $40 /hd – (fencing for extra pastures, purchase of F1 heifers, health protocols)
Net return - $120 – 180/calf when marketed
as reputation feeders.
Ch x sale – 2009 ◦ 570 lb av @$700/hd st/hf ◦ $125 above Ontario price
PEI Herd Health program is based the Ontario calf club program which is self financed from premium prices and a 67 lb increase in wwt.
PEI – offer $40/cow-calf pair Whole herd program – cows, calves, bulls
◦ $160,000 Incentive for handling system
◦ $60,000 Offer incentive for heifer retention
◦ $100,000
Reduce late born calves Compress by 30 days - 65 lbs per calf Require herd nutrition overhaul, herd health
program, record keeping to cull cows not performing, breeding soundness of bulls each year
Net return - $30 – 60 /calf
Early age – reduce stress vs older age calf Option to implant on grass Castrate older calves – lose 2 weeks growth
and feedlots discount if not healed completely
Net return on male calves – $15 - $20 If you wean, vac, dehorn castrate at same
time the vaccine will be virtually useless. If you vaccinate calves in poor nutritional
status the vaccine is virtually useless
Creep feeding - $20 - $30 /calf Superior herd sires - $15 - $18 /calf from a
sire considered to be breed average Superior sire - $35/hd cf to non evaluated
sire Dehorn - $15 - $20 – feedlots discount Grazing management – extra 15 – 20 lb wwt
◦ Degrees of intensive management◦ Fencing, sward renovations, fertility - lime
Nutrition program – E/CP/Min OTM Reduction strategy
◦ Feeder type, time to full feed, energy to finish Largely about sourcing high margin feeders Record keeping
◦ ID high margin feeders◦ $15/hd return for individual vs group
management◦ Grid marketing - $5-10/hd advatage◦ Return of info to cow-calf - $50/hd return◦ BIXS information gateway CCA
What Will Not Doing These Cost You (and your customers)..........
1.Horns – 5 cents2.Bulls – 5 to10 cents3.Stags – 10 to25 cents4.Uniformity + 5 to 20 cents5.Type + or – 10 to 50 cents6.Vaccination + 5 to 10 cents
Critical time periods – 3rd trimester, after calving, rebreeding etc
Current research – all important From nutrition focus – check body condition Developing fetus – day 1 to birth is critical Deprive dam of protein in late gestation –
calf could have slow immune system, heifers have impared repro tract.
Deprive dam of E and CP early and calf will be predisposed to a number of problems – genes turned off and locked ◦ Males, lower ADG and carcass wt◦ Females – lower reproductive efficiency◦ Set them up to develop age diseases much earlier in
life◦ Mechanism that silences the genes is inherited
for at least 2 generations. ◦ Reduce nutrients in early-mid gestation, decrease
secondary muscle fibres ◦ Reduce in mid-late gestation decrease muscle fibre
size and marbling
AgriInsurance◦ Crop Insurance◦ Livestock Insurance - 2011?
AgriStability – no need to incur extra acct fees
AgriInvest – 1.5% ANS ◦ Double you money almost immediately◦ No strings to take out
Food safety, biosecurity & traceability◦ VBP - RFID readers
Environment ◦ ALUS, Stewardship, EFP
Business Development ◦ Self assessment, skills, financials, planning,
training Innovation & research
◦ Project funds Future Farmer program Organic industry development program
Cherry pick which options work on your farm
Gather information from variety of sources Producer clubs are a great avenue for
information gathering. Local or regional – Sean Firth working on regional basis to market feeders through Truro.
Measure it to Manage it
Infrastructure $ for Co-op equipment purchases for sharing.
Infrastructure $ for improved feed storage Premium payments which could see $ for
program type cattle with a direct premium paid to cow-calf producer.