calving dates and stocking rates for weaner and yearling

53
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

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Page 1: 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

Page 2: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

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

Page 3: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

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)

Page 4: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

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

Page 5: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

Farm resources

weather

pasturessoil

livestock

management

Page 6: Calving dates and stocking rates for weaner and yearling

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

Page 7: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

Southern midlands-climate and pasture growth

Apsley42oS

Annual rainfall: 550 mm(1979-2004)

Elevation: 270 m

Page 8: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

Daily temperatures

oC

Max

Min

Average monthly temperatures

+ short days in winter

Page 9: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

Rainfall variability

Max

Min

Percentiles for monthly rainfall

mm

Best 10%

Worst 10%50%

Page 10: Calving dates and stocking rates for weaner and yearling

0

0.25

0.5

0.75

1

1.25

1.5

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

0

100

200

300

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

-500

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

0

200

400

1000

200

300

1.0

0

1.5

0.5

02

46

8

Climate variability Production risk

Cocksfoot, annual grass, sub clover

Average = $248/ha

hay

Average = 190 kg LW/ha

Average = 550 mm

Page 11: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

0

1000

2000

3000

4000

5000

6000

7000

8000

Jan Mar May Jul Sep Nov

Pasture supply – S. Midlands

0

1000

2000

3000

4000

5000

6000

7000

8000

Jan Mar May Jul Sep Nov

0

2

4

6

8

Green pasture

(tonnesDry Matter

/ha)

Stocking rate = 5 DSE/ha

Cocksfoot - annual grass - sub clover

Page 12: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

0

1000

2000

3000

4000

5000

6000

7000

8000

Jan Mar May Jul Sep Nov

Variability in pasture supply

Green pasture

(tonnesDry Matter

/ha)

0

2

4

6

8

Best 10% of seasons

Worst 10% of seasons

Page 13: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

0

1000

2000

3000

4000

5000

6000

7000

8000

Jan Mar May Jul Sep Nov

Reliability of pasture supply - S. Midlands vs SW Victoria

Hamilton, VICGreen pasture

(tonnesDry Matter

/ha)

0

2

4

6

8

Best 10%

Worst 10%

Stocking rate = 5 DSE/ha

Page 14: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

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)

Page 15: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

• 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

Page 16: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

• 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

Page 17: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

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)

Page 18: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

Grazing pressure: cows/ha vs DSEs

0Followers/ha

Weaner System

8.5DSEs/ha on 1 Jul

0.9Cows/ha

(includes repl. heifers)

Page 19: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

0.6 yearlings0Followers/ha

Yearling SystemWeaner System

12.78.5DSEs/ha on 1 Jul

0.90.9Cows/ha

(includes repl. heifers)

Grazing pressure: cows/ha vs DSEs

Page 20: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

0.6 yearlings0Followers/ha

Yearling SystemWeaner System

12.78.5DSEs/ha on 1 Jul

0.90.9Cows/ha

(includes repl. heifers)

+50%

Grazing pressure: cows/ha vs DSEs

Page 21: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

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

Page 22: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

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

Page 23: Calving dates and stocking rates for weaner and yearling

0

100

200

0 0.3 0.6 0.9 1.2 1.5 1.8

Supplementary feeding depends on stocking rate

Annualfeed costaveraged

over 1979-2004

Jul

Aug

Sep

Calving date

Yearlingsystems

Weanersystems

cows/ha

($/ha/year)

Page 24: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

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

Page 25: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

Profit driver: Time of calving

Page 26: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

0

1000

2000

3000

4000

5000

6000

7000

8000

Jan Mar May Jul Sep Nov

Green pasture

(tonnesDry Matter

/ha)

0

2

4

6

8

3 calving dates tested

15 Sep

15 Aug

15 Jul

Page 27: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

Time of calving: yearling vs weaner requirements

0

1000

2000

3000

4000

5000

6000

7000

8000

Jan Mar May Jul Sep Nov

Green pasture

(tonnesDry Matter

/ha)

0

2

4

6

8 Calvingdate?

Pasture quality

Pasture quantity

0.75 t DM/ha

Page 28: Calving dates and stocking rates for weaner and yearling

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

150

200

250

300

350

0 0.3 0.6 0.9 1.2 1.5 1.8

Weight of weaner steers at sale

Jul

Aug

Sep

Calving date

cows/ha

AverageLW(kg)

Page 29: Calving dates and stocking rates for weaner and yearling

0%

20%

40%

60%

80%

100%

200 300 400 500 600

Live weight at sale (kg)

Probability 0.3

0.9

1.5

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

cows/ha

27%

58%

90%Probability

July calving

Page 30: Calving dates and stocking rates for weaner and yearling

0%

20%

40%

60%

80%

100%

200 300 400 500 600

Live weight at sale (kg)

Probability

Jul

Aug

Sep

Calving date: little effect on reaching yearling target weight

Calving date

Probability

0.9 cows/ha

Page 31: Calving dates and stocking rates for weaner and yearling

0

100

200

300

400

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

Page 32: Calving dates and stocking rates for weaner and yearling

0

100

200

300

400

0 0.3 0.6 0.9 1.2 1.5 1.8

Calving date vs Profit (weaners)

Averagegross margin Jul

Aug

Sep

Calving date

cows/ha

($/ha)

$50/ha

Page 33: Calving dates and stocking rates for weaner and yearling

More beef from higher stocking rates and from yearling systems

July calving

0

100

200

300

400

0.3 0.6 0.9 1.2 1.5

cows/ha

kg LW/ha weaneryearling

Meat production(kg LW/ha)

Page 34: Calving dates and stocking rates for weaner and yearling

Enterprise vs Profit

0

100

200

300

400

0 0.3 0.6 0.9 1.2 1.5 1.8

Averagegross margin Jul

Aug

Sep

Calving date

Yearlingsystems

Weanersystems

cows/ha

($/ha)

Page 35: Calving dates and stocking rates for weaner and yearling

Enterprise (same stocking rate and calving date)

0

100

200

300

400

0 0.3 0.6 0.9 1.2 1.5 1.8

Averagegross margin Jul

Aug

Sep

Calving date

Yearlingsystems

Weanersystems

cows/ha

($/ha)

$100/ha

Page 36: Calving dates and stocking rates for weaner and yearling

0

100

200

300

400

0 0.3 0.6 0.9 1.2 1.5 1.8

Averagegross margin Jul

Aug

Sep

Calving date

Yearlingsystems

Weanersystems

cows/ha

($/ha)

Enterprise (stocking rate and calving optimised)

$45/ha

Page 37: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

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)

Page 38: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

What has the greatest effect on Profit?

1. Stocking rate

3. Calving date

2. Enterprise

Boost to gross margin:

120-180%

15-30%

0-15%

Page 39: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

Stocking rate, profit & risk

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

Page 40: Calving dates and stocking rates for weaner and yearling

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

Weaners- July calving

-200

600

1.5000

200

1.20000.90000.60000.3000

800

Stocking rate (cows/ha)

0

400

GM

($/h

a)

-200

200

0

400

600

800

Weaners - July calving

0.3 0.6 0.9 1.2 1.5

GrossMargins

1979-2004($/ha)

Middle value (median)

Stocking rate (cows/ha)

Best year

Worst year

Page 41: Calving dates and stocking rates for weaner and yearling

Weaners- July calving

-200

600

1.5000

200

1.20000.90000.60000.3000

800

Stocking rate (cows/ha)

0

400

GM

($/h

a)

-200

200

0

400

600

800

Weaners - July calving

0.3 0.6 0.9 1.2 1.5

GrossMargins

1979-2004($/ha)

Middle 50% years

Stocking rate (cows/ha)

Rank gross margins from 25 years

Page 42: Calving dates and stocking rates for weaner and yearling

Weaners- July calving

-200

600

1.5000

200

1.20000.90000.60000.3000

800

Stocking rate (cows/ha)

0

400

GM

($/h

a)

-200

200

0

400

600

800

Weaners - July calving

0.3 0.6 0.9 1.2 1.5

GrossMargins

1979-2004($/ha)

Middle 50% years

Stocking rate (cows/ha)

Best 25% of years

Worst 25% of years

Rank gross margins from 25 years

Page 43: Calving dates and stocking rates for weaner and yearling

Stocking rate and riskWeaners- July calving

-200

600

1.5000

200

1.20000.90000.60000.3000

800

Stocking rate (cows/ha)

0

400

GM

($/h

a)

-200

200

0

400

600

800

Weaners - July calving

0.3 0.6 0.9 1.2 1.5

GrossMargins

1979-2004($/ha)

Stocking rate (cows/ha)

Page 44: Calving dates and stocking rates for weaner and yearling

Yearlings- July calving

1.50001.20000.90000.60000.3000

Stocking rate (cows/ha)

Yearlings: more variable

Stocking rate (cows/ha)

Weaners- July calving

-200

600

1.5000

200

1.20000.90000.60000.3000

800

Stocking rate (cows/ha)

0

400

GM

($/h

a)

-200

200

0

400

600

800

Weaners - July calving

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)

Page 45: Calving dates and stocking rates for weaner and yearling

Yearlings- July calving

1.50001.20000.90000.60000.3000

Stocking rate (cows/ha)

Yearlings: more upside opportunity

Stocking rate (cows/ha)

Weaners- July calving

-200

600

1.5000

200

1.20000.90000.60000.3000

800

Stocking rate (cows/ha)

0

400

GM

($/h

a)

-200

200

0

400

600

800

Weaners - July calving

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)

Page 46: Calving dates and stocking rates for weaner and yearling

Yearlings- July calving

1.50001.20000.90000.60000.3000

Stocking rate (cows/ha)

Yearlings: similar downside risk

Stocking rate (cows/ha)

Weaners- July calving

-200

600

1.5000

200

1.20000.90000.60000.3000

800

Stocking rate (cows/ha)

0

400

GM

($/h

a)

-200

200

0

400

600

800

Weaners - July calving

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)

Page 47: Calving dates and stocking rates for weaner and yearling

Yearlings- July calving

1.50001.20000.90000.60000.3000

Stocking rate (cows/ha)

Picking the best long-term stocking rate

Stocking rate (cows/ha)

Weaners- July calving

-200

600

1.5000

200

1.20000.90000.60000.3000

800

Stocking rate (cows/ha)

0

400

GM

($/h

a)

-200

200

0

400

600

800

Weaners - July calving

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)

Page 48: Calving dates and stocking rates for weaner and yearling

Yearlings-September calving

1.50001.20000.90000.60000.3000

Stocking rate (cows/ha)

Yearlings- July calving

1.50001.20000.90000.60000.3000

Stocking rate (cows/ha)

Yearlings: calving date –so what?!

Stocking rate (cows/ha)

-200

200

0

400

600

800

Yearlings - July calving

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)

Page 49: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

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

Page 50: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

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?

Page 51: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

Profit-drivers in southern beef systems

1. Stocking rate

2. Enterprise type

(not calving date)

Keep focused: similar drivers, different targets

Page 52: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc

What did GrassGro show?

Targeted information to support decisions

• Your grazing system’s potential

• A way to explore options

• Profit

• Production risks

Page 53: Calving dates and stocking rates for weaner and yearling

Grassland Society of Southern Australia Inc