Cutting Costs on Dairy Farms

Teagasc has outlined how dairy farmers can save money on two big cost items – Meal Feeding and Fertilizer.

Meal Feeding

According to Teagasc, meal feeding costs accounted for 19% of total costs per litre in 2014. The following steps can help reduce costs.

• Including more grass in the cows’ diet will reduce this cost.
• There is plenty of grass on farms at present. For most herds on grass full-time during March, 3kg meals should be the maximum feed level. This should be reduced when grazing conditions are good.
• Aim for 1-2kg/cow/day during April and no meals from mid-May onwards.
• Decide in the autumn whether meal feeding is justified.
• Focus on reducing quantities fed than on price per tonne.

Shop around for the best value but do not compromise on ration quality, which should be assessed on an energy (UFL) basis. High protein ingredients add cost per tonne and may not be necessary where good quality grass is offered. A concentrate containing 0.94 UFL and 14% CP will be adequate.

Fertiliser Costs

Teagasc says that fertiliser costs typically accounted for 12% of total costs per litre in 2014. Here is how farmers can save money and prevent waste.

• Soil test so that phosphorus (P) and potassium (K) fertiliser isn’t wasted. Focus on maintenance dressings of P and K early in the year and on build-up later in the year.
• Get lime right first before considering building either soil P or K.
• Use slurry/soiled water to replace some purchased N, P and K; apply in the spring for best value.
• Match fertiliser nitrogen (N) to stocking rate.
• Use urea rather than CAN (25% cheaper per kg N) until the end of May – for a potential saving of 0.3 cent per litre on your annual fertiliser bill.
• Spread sulphur (20kg/ha; 16 units/acre) on dry farms from April.

- Farmers Journal 03/03/2015