calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

Profitability of Tasmanian beef enterprises:

Libby Salmon, David Counsell and Tim Rhodes

Calving dates and stocking rates for weaner and yearling production systems

How can I make more from beef?

“Profitable grazing businesses generate more incomefor roughly the same costsas less profitable farms”

Holmes, Sackett and Associates, 2004

More income, same costsMeat production

(kg/ha)Beef price

(c/kg)

Stocking rate Type of enterprise, Genetics

Supplementary feed

• Pasture production

• Fertilizer management

Animal health

Time of calving

(Labour/DSE)

Key questions for beef production systems in midlands TAS

What are the most profitable and sustainable:

1. stocking rates?

2. enterprises?

3. calving dates?

4. levels of supplementary feeding?

Specific for farm, over a range of seasons

Farm resources

weather

pasturessoil

livestock

management

Grassland Society of Southern Australia IncGrassland Society of Southern Australia Inc

Putting the farm’s resources together

Management

$ ProfitRiskSustainability

• Depth• Water availability• Bulk density• Fertility

Southern midlands-climate and pasture growth

Apsley42oS

Annual rainfall: 550 mm(1979-2004)

Elevation: 270 m

Daily temperatures

Average monthly temperatures

+ short days in winter

Rainfall variability

Percentiles for monthly rainfall

Best 10%

Worst 10%50%

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27

50100150200250300350400

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27

0100200300400

500600700800

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27

1980 1995 200019901985

Annualrainfall(mm)

Green pasture

(t DM/ha)

Meat production(kg LW/ha)

Grossmargin($/ha)

Feed(t/ha)

0200400600800

Climate variability Production risk

Cocksfoot, annual grass, sub clover

Average = $248/ha

Average = 190 kg LW/ha

Average = 550 mm

Jan Mar May Jul Sep Nov

Pasture supply – S. Midlands

Green pasture

(tonnesDry Matter

Stocking rate = 5 DSE/ha

Cocksfoot - annual grass - sub clover

Variability in pasture supply

Green pasture

(tonnesDry Matter

Best 10% of seasons

Worst 10% of seasons

Reliability of pasture supply - S. Midlands vs SW Victoria

Hamilton, VICGreen pasture

(tonnesDry Matter

Best 10%

Worst 10%

Stocking rate = 5 DSE/ha

Beef systems tested

• Self-replacing herd: 550kg Angus cows – Weaner & Yearling production

– 5 stocking rates at 3 winter-spring calving dates

• Common weaning date (end Mar)

• Weaners sold on 1st April (7-9 months)

Assumptions for weaner system

185200215Heifers230250270Steers

> 300 kg< 300 kg< 285 kgWeaners prices (c/kg LW):

• CFA cows 130 c/kg LW

• Yearling steers sold on 15th Dec (15-17 months)

• Cull heifers sold on 1 Mar (18-20 months)

• Prices:

- Steers 220c/kg LW

- Heifers 175c/kg LW

- CFA cows 130c/kg LW

Assumptions for yearling system

Profit driver: Stocking rate

Test 5 stocking rates:

0.3, 0.6, 0.9, 1.2, 1.5 cows/ha

Over 25 years (1979-2004)

Grazing pressure: cows/ha vs DSEs

0Followers/ha

Weaner System

8.5DSEs/ha on 1 Jul

0.9Cows/ha

(includes repl. heifers)

0.6 yearlings0Followers/ha

Yearling SystemWeaner System

12.78.5DSEs/ha on 1 Jul

0.90.9Cows/ha

0.6 yearlings0Followers/ha

Yearling SystemWeaner System

12.78.5DSEs/ha on 1 Jul

0.90.9Cows/ha

Cost: Supplementary feeding

Feed to maintain condition above:• score 2.0 -cows • score 2.5 -weaners

Hay purchased at $150/t(not cut from surplus)

Gross margins calculated after cost of feeding

Significant feeding needed at calving

kg/head/day

1.2 cows/ha

Percentiles for hay fed to mature cowsworst 4 years in 10

half the years

best 4 years in 10

Calving

0 0.3 0.6 0.9 1.2 1.5 1.8

Supplementary feeding depends on stocking rate

Annualfeed costaveraged

over 1979-2004

Calving date

Yearlingsystems

Weanersystems

cows/ha

($/ha/year)

Key messages - feeding

• Significant feeding– at stocking rates over 0.6 cows/ha

• Yearling systems - more feeding than weaners

• Weaner systems carry less animals through winter

• In most years, yearlings also fed over winter to maintain weight

• Earlier calving = more feeding

Profit driver: Time of calving

Green pasture

(tonnesDry Matter

3 calving dates tested

15 Sep

15 Aug

15 Jul

Time of calving: yearling vs weaner requirements

Green pasture

(tonnesDry Matter

8 Calvingdate?

Pasture quality

Pasture quantity

0.75 t DM/ha

Weaners: heavier sale weights from earlier calving and low stocking rates

0 0.3 0.6 0.9 1.2 1.5 1.8

Weight of weaner steers at sale

Calving date

cows/ha

AverageLW(kg)

200 300 400 500 600

Live weight at sale (kg)

Probability 0.3

Yearlings: reaching target (400kg) more likely at low stocking rate

cows/ha

90%Probability

July calving

200 300 400 500 600

Live weight at sale (kg)

Probability

Calving date: little effect on reaching yearling target weight

Calving date

Probability

0.9 cows/ha

0 0.3 0.6 0.9 1.2 1.5 1.8

Stocking rate vs Profit (weaners)

Averagegross margin Jul

Calving date

cows/ha

($/ha)

$100/ha

0 0.3 0.6 0.9 1.2 1.5 1.8

Calving date vs Profit (weaners)

Calving date

cows/ha

($/ha)

$50/ha

More beef from higher stocking rates and from yearling systems

July calving

0.3 0.6 0.9 1.2 1.5

cows/ha

kg LW/ha weaneryearling

Meat production(kg LW/ha)

Enterprise vs Profit

0 0.3 0.6 0.9 1.2 1.5 1.8

Calving date

Yearlingsystems

Weanersystems

cows/ha

($/ha)

Enterprise (same stocking rate and calving date)

0 0.3 0.6 0.9 1.2 1.5 1.8

Calving date

Yearlingsystems

Weanersystems

cows/ha

($/ha)

$100/ha

0 0.3 0.6 0.9 1.2 1.5 1.8

Calving date

Yearlingsystems

Weanersystems

cows/ha

($/ha)

Enterprise (stocking rate and calving optimised)

$45/ha

Key messages Calving dates & Profit

Weaner system (April sales):– later calving less profitable

Yearling system: – calving dates had little effect on profit – (total amount of supplement high for all dates)

What has the greatest effect on Profit?

1. Stocking rate

3. Calving date

2. Enterprise

Boost to gross margin:

120-180%

15-30%

Stocking rate, profit & risk

– What are the downside risks for each system?– What are the opportunities?

Risk = year-to-year variationRank gross margins from 25 years

Weaners- July calving

1.5000

1.20000.90000.60000.3000

Stocking rate (cows/ha)

Weaners - July calving

0.3 0.6 0.9 1.2 1.5

GrossMargins

1979-2004($/ha)

Middle value (median)

Best year

Worst year

1.5000

1.20000.90000.60000.3000

0.3 0.6 0.9 1.2 1.5

GrossMargins

1979-2004($/ha)

Middle 50% years

Rank gross margins from 25 years

1.5000

1.20000.90000.60000.3000

0.3 0.6 0.9 1.2 1.5

GrossMargins

1979-2004($/ha)

Middle 50% years

Best 25% of years

Worst 25% of years

Rank gross margins from 25 years

Stocking rate and riskWeaners- July calving

1.5000

1.20000.90000.60000.3000

0.3 0.6 0.9 1.2 1.5

GrossMargins

1979-2004($/ha)

Yearlings- July calving

1.50001.20000.90000.60000.3000

Yearlings: more variable

1.5000

1.20000.90000.60000.3000

0.3 0.6 0.9 1.2 1.5

Yearlings - July calving

0.3 0.6 0.9 1.2 1.5

GrossMargins

1979-2004($/ha)

1.50001.20000.90000.60000.3000

Yearlings: more upside opportunity

1.5000

1.20000.90000.60000.3000

0.3 0.6 0.9 1.2 1.5

GrossMargins

1979-2004($/ha)

1.50001.20000.90000.60000.3000

Yearlings: similar downside risk

1.5000

1.20000.90000.60000.3000

0.3 0.6 0.9 1.2 1.5

GrossMargins

1979-2004($/ha)

1.50001.20000.90000.60000.3000

Picking the best long-term stocking rate

1.5000

1.20000.90000.60000.3000

0.3 0.6 0.9 1.2 1.5

GrossMargins

1979-2004($/ha)

Yearlings-September calving

1.50001.20000.90000.60000.3000

Yearlings: calving date –so what?!

0.3 0.6 0.9 1.2 1.5

Yearlings - Sep calving

0.3 0.6 0.9 1.2 1.5

GrossMargins

1979-2004($/ha)

Stocking rates and risk

Yearlings: - more up side opportunity(more beef/ha)

Both: - similar down side risk at moderate stocking rates

- greater down side risk at higher stocking rates

Opportunities for other GrassGro studies

• Are bigger cows more profitable?

• How would a later or early calving affect risk?

• Is it cost effective to feed steers over winter to reach higher target weights?

Profit-drivers in southern beef systems

1. Stocking rate

2. Enterprise type

(not calving date)

Keep focused: similar drivers, different targets

What did GrassGro show?

Targeted information to support decisions

• Your grazing system’s potential

• A way to explore options

• Profit

• Production risks

calving dates and stocking rates for weaner and yearling

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