the$new$zealand$dairy$industry$ history,$some$facts$and ...€¦ · 6 new zealand dairy statistics...

The New Zealand Dairy Industry

History, some Facts and Figures

Dr R (Vish) Vishwanath

The power of pooling resources The essence of any co-‐opera4ve

Sir Arthur Ward

NZ Dairy Board 1954

New Zealand Dairy Board

Formed in 1923 – statutory body responsible for markeEng of all dairy products from NZ unEl market was de-‐regulated and re-‐structured in 2001

The progress of the Co-‐operaEves

•  First recorded Dairy Co-‐operaEve in New Zealand 1871

•  1930 – 1950 Number grew to 400

•  FragmentaEon and compeEEon in the marketplace.

•  ConsolidaEon by New Zealand Dairy Board down to 166 co-‐operaEves in 1960

•  Series of amalgamaEons in the 1990’s to form two major dairy companies. NZCDC and Kiwi Dairy

•  Industry deregulated in 2001. Farmers voted to retain control of their industry.

•  Fonterra controls >90% of the milk produced with 3 other smaller companies. Tatua, Synlait and Westland.

•  Worlds largest exporter of milk products – 96% of na9onal produce exported.

The progress of arEficial inseminaEon

•  Began in the late 50’s •  Government controlled but not much progress

•  New Zealand Dairy Board NaEonal Breeding Programme

•  NZDB subsidiary -‐ delivery of arEficial inseminaEon services

Dr Jimmy James Dr Patrick Shannon

The delivery of AI services today

•  Free market – purchase of semen from any source LIC (Livestock Improvement) – 75% market CRV AmBreed Animal Breeding Services Other small providers

•  InseminaEon services – DIY or Technician

Facts and Figures 2012 / 2013 1974 / 1975

No of herds 11,891 18,540

No cows 4.784 mill 2.079 mill

Avg herd size 402 112

Cows per hectare 2.85 2

Total ProducMon 18.9 billion litres 5.3 billion litres

Milk solids 1.7 billion Kgs 477 million Kgs

Average kg milk fat / cow 196 kg 142 kg

Average protein / cow 346 kg 259 kg

Milksolid producEon per cow and per effecEve hectare since 1992 / 93

New Zealand Dairy Statistics 2012-13 9

i) Production per cow and per hectareAverage milksolids per cow in 2012/13 was 346 kg, compared with last season’s record 364 kg (Graph 2.2). Average milk production per hectare was 989 kg – below last season’s 1,028 kg. Variations from season to season are masked by the considerable effect of the weather on each season’s actual production. For example, widespread drought in 2007/08 caused milk production to decline while in 2011/12 favourable pasture growth conditions throughout the season enabled record milk production.

Graph 2.2: Milksolid production per cow and per effective hectare since 1992/93

400

360

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1,200

1,100

1,000

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Aver

age

kg m

ilkso

lids

per c

ow

Aver

age

kg m

ilkso

lids

per e

ffec

tive

hect

are

Season

Average kg milksolids per cow Average kg milksolids per effective hectare

New Zealand Dairy Statistics 2012-136

ii) Population

• Small increase in the number of herds

• Cow numbers increase by 150,000 to 4.78 million cows

• Average herd size exceeds 400 cows

Between 1980/81 and 2007/08 total herd numbers declined at an average rate of about 170 herds per season (Graph 2.1). However, the total number of herds in the 2012/13 season increased by 93 to 11,891. This was the fifth consecutive season of small increases in herd numbers.

The average herd size was 402 in 2012/13, up 9 cows on the previous season. The average herd size has tripled in the last 30 seasons, and has increased by 117 cows in the last 10 seasons. Expansion of the dairy herd in the South Island has assisted the increase in average herd sizes.

Graph 2.1: Trend in the number of herds and average herd size for the last 30 seasons

17,000

16,500

16,000

15,500

15,000

14,500

14,000

13,500

13,000

12,500

12,000

11,500

11,000

10,500

10,000

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440420400380360340320300280260240220200180160140120100

Season

Num

ber o

f her

ds

Her

d si

ze

Number of herds Average herd size

Trends in average herd size and number of herds

Breeding – criEcal for success of any Dairy Industry

•  Na4onal Breeding Objec4ves

•  Educa4on and Extension – DairyNZ consultancy services free industry good service on all aspects of dairy farming

•  Research & Development –  Breeding & Semen technology

A unique situaEon in New Zealand ( )R. Vishwanath, P. ShannonrAnimal Reproduction Science 62 2000 23–5346

ŽFig. 7. The distribution of inseminations in New Zealand during the spring mating period 1st September–31st. Ž .December . Data from Vishwanath et al. 1996 .

Žare with liquid stored semen, which has a 4-day shelf-life Curson et al., 1991;.Vishwanath et al., 1996 .

3.8. Semen packaging

The current methods for semen packaging are largely based on the French mini-straw,Ž .the 0.25-ml pailette Cassou, 1964 . The procedure has been in operation for many years

and has generally worked well for packaging frozen and liquid semen in many countriesŽ .Chupin and Schuh, 1993 . The straw allows essential details of the sire to be recordedand this has become mandatory for semen traded internationally. The packaging methodfor liquid semen in New Zealand is the minitub straw sealed at both ends with glass

Ž .beads Minitub, Germany .¨ŽFreezing of semen in pellets was first described by Japanese workers Nagase and

.Niwa, 1964; Nagase et al., 1964 and is still used in some countries for storing semenfrom young sires and for local use. This procedure is not widely practised becausedetails of the sire cannot be easily recorded on a pellet.

4. Commercially available diluents

Most AI companies prepare their own semen diluents with minor modifications tosuit their requirements. In the last few years, a few proprietary brands have beenavailable and they are listed below. The move to eliminate egg yolk from the system hasbeen quite strong because of a perceived health risk associated with a biological materialbeing included in the diluting media. However, suitable alternatives have not been as

Ž .successful as either milk or egg yolk van Wagtendonk-de Leeuw et al., 2000 . Some ofthe diluents listed below are dual purpose and recommended for both liquid and frozenstorage of semen. The list is by no means exhaustive; nor has a detailed market survey

Targeted R&D •  Semen technology – specific for New Zealand’s needs.

•  Short GestaEon Length bulls

•  Funding by DairyNZ levy on milk solids produced. Farmer pays levy on producEon

Cross breeding – most common breeding opEon in New Zealand


D. Breed breakdownThree dairy breeds (Holstein-Friesian, Jersey, and Friesian/Jersey crossbreed) dominate the dairy cow inseminations carried out in New Zealand, as recorded on the LIC National Database.

The Jersey breed dominated the national dairy herd until the late 1960s. By 1970, Holstein-Friesian was the dominant dairy breed in New Zealand, as a result of changes in farm management practices and farmers raising larger numbers of dairy calves for beef. Of the other breeds of cattle used to inseminate dairy cows, the main beef breed currently in use is Polled Hereford. Other beef breeds used to a lesser degree include Angus, Belgian Blue, and Simmental. Other breeds of dairy cattle present in smaller numbers in New Zealand include Milking Shorthorn, Guernsey and Brown Swiss. Holstein-Friesian/Jersey crossbreed is emerging as a breed in its own right for the insemination of dairy cows.

The percentages of the major dairy breeds for New Zealand and each region are shown in Graphs 3.2 and 3.3. Percentages are given for Holstein-Friesian, Jersey, Holstein-Friesian/Jersey crossbreed and Ayrshire cows with the remaining breeds and crossbreeds grouped into “Other”. Holstein-Friesian is the prevalent breed in Northland, Bay of Plenty/East Coast and Manawatu/Wairarapa. Holstein-Friesian/Jersey crossbreed is the prevalent breed in Waikato, Taranaki and all South Island regions. The Manawatu/Wairarapa region continues to have the highest percentage of Holstein-Friesian cows (47%) followed closely by Bay of Plenty/East Coast (46%). Tasman/West Coast has the highest proportion of Jerseys (25%) followed by Taranaki (19%). Marlborough/Canterbury has the highest proportion of Holstein-Friesian/Jersey crossbreeds (48%), followed by Otago/Southland (46%).

Graph 3.2: Breed percentages of cows for New Zealand in 2012/13

Graph 3.3: Breed percentages of cows by region in 2012/13

Holstein-Friesian / Jersey crossbreed

Holstein-Friesian

Jersey

Ayrshire

Other

11.7%

0.7%8.1%

42.6%

37.0%

New Zealand

11.7%

0.7%

42.6%

37.0%

100

90

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70

60

50

40

30

20

10

0

Perc

enta

ge

North

land

Waik

atoBa

y of P

lenty

/ Eas

t Coa

st

Taran

aki

Man

awatu

/ Wair

arapa

Tasm

an / W

est C

oast

Marl

boro

ugh /

Can

terbu

ry

Otag

o / So

uthla

nd

New Ze

aland

New Ze

aland

North

land

Waik

atoBa

y of P

lenty

/ Eas

t Coa

st

Taran

aki

Man

awatu

/ Wair

arapa

Tasm

an / W

est C

oast

Marl

boro

ugh /

Can

terbu

ry

Otag

o / So

uthla

nd

42.633.7

43.536.6

40.7

33.8

43.4 48.4 45.8

37.0

11.7

43.0

14.2

35.2

13.3

45.7

11.6

29.1

19.1

47.2

11.4

19.1

24.7

36.4

6.1

39.7

6.1

Trend in percentage of cows to arEficial breeding in the last 30 years


Yearlings to AB

Region 2004/05 2005/06 2006/07 2007/08 2008/09 2009/10 2010/11 2011/12 2012/13

Northland 6,333 7,334 8,533 11,759 10,796 8,816 8,744 9,637 10,377

Auckland 2,075 2,420 2,338 3,454 3,336 2,588 3,073 3,170 2,994

Waikato 13,933 13,312 16,126 22,341 22,557 15,505 18,676 23,609 26,144

Bay of Plenty 5,027 6,696 7,723 11,508 10,495 7,116 7,871 7,461 8,373

Central Plateau 1,862 2,008 3,374 4,811 3,944 2,917 2,704 4,118 4,533

Western Uplands 637 655 550 1,141 853 782 1,048 1,577 2,066

East Coast 0 0 0 29 3 7 2 0 0

Hawkes Bay 872 968 1,042 1,417 2,037 1,010 1,986 2,025 3,725

Taranaki 3,268 3,375 3,420 8,227 6,775 4,822 5,191 6,458 7,651

Manawatu 2,690 3,553 3,205 6,423 6,215 4,137 4,717 6,341 7,119

Wairarapa 2,409 2,850 3,357 5,091 5,044 4,150 4,055 4,537 4,721

Nelson/Marlborough 2,175 3,088 3,522 5,096 4,651 2,499 4,006 4,826 4,874

West Coast 1,739 1,747 1,981 3,658 4,265 3,580 3,706 4,481 3,760

North Canterbury 11,085 16,653 17,920 32,205 25,831 18,911 29,168 36,916 43,063

South Canterbury 7,096 9,193 9,750 14,020 14,669 11,395 14,808 18,151 23,201

Otago 6,545 8,201 10,225 14,767 13,599 13,043 15,754 16,392 16,974

Southland 11,535 14,302 25,160 25,358 25,210 18,209 22,947 27,266 29,161

New Zealand 79,281 96,355 118,226 171,305 160,280 119,487 148,456 176,965 198,736

Graph 4.4: Trend in the percentage of cows to Artificial Breeding for the last 30 seasons

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Average number of inseminaEons per cow for the last 20 years


In 2012/13 the average number of inseminations per cow (1.34) (recorded on the LIC National Database) has remained the same as the previous two seasons.

Graph 4.5: Average number of inseminations per cow for the last 20 seasons

The use of Ayrshire, Holstein-Friesian and Jersey semen over different cow breeds for the past fi ve seasons is shown in the graphs below. Ayrshire semen use over Ayrshire cows is 31.5% (Graph 4.6). Crossbreed semen is used predominantly over Friesian/Jersey crosses (Graph 4.7). The use of Jersey semen over other breeds is illustrated in Graph 4.8. The percentage of Holstein-Friesian semen over Holstein-Friesian/Jersey cows continues to increase (Graph 4.9).

Graph 4.6: Ayrshire semen usage (%) over cow breed for the last fi ve seasons

1993

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1.34 1.34

1.29 1.291.29

1.28

1.25

1.27 1.27

1.30 1.301.31

1.301.30 1.30

1.32

1.351.34

1.32

1.36

1.34

1.32

1.30

1.28

1.26

1.24

1.22

1.20

Num

ber o

f ins

emin

atio

ns

Season

1.34

0%

2010/11

2011/12

2009/10

2008/09

2012/13

20%

26.7 6.2 10.0 16.5 20.4 20.1

28.3 6.7 10.7 14.6 21.4 18.3

27.4 6.0 12.0 15.4 21.3 18.0

31.5 5.7 7.6 15.0 21.2 19.0

40% 60% 80% 100%

Ayrshire Jersey Holstein-Friesian Ayrshire crossbreedHolstein-Friesian/Jersey Other

Seas

on

27.8 5.5 8.8 16.7 20.6 20.6

Trend in the percentage of inseminaEons for each major breed


The percentage of inseminations for each major breed (Holstein-Friesian, Jersey, Crossbreed, and Ayrshire) as recorded on the LIC National Database is shown in Graph 4.10. The percentage of inseminations for Holstein-Friesian increased to 55%, while inseminations for the Jersey breed continues to decline (now at 16%). The percentage of inseminations for crossbreed (shown since 2000/01) increased to 26%.

Graph 4.10: Trend in the percentage of inseminations of each major breed for the last 40 seasons

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Ayrshire Holstein-Friesian Jersey Crossbreed


3. Regional dairy statistics

A. Region

• 75% of dairy herds located in North Island

• 62% of dairy cows located in the North Island

The majority of dairy herds (75%) are located in the North Island, with the greatest concentration (30%) situated in the Waikato region. Taranaki, with 15% of dairy herds, is the next largest region on a herd basis.

Although South Island dairy herds account for 25% of the national total, they contain 38% of all cows (Graph 3.1). Twenty-four per cent of all dairy cows are located in the Waikato region, followed by North Canterbury (13%), Southland (11%) and Taranaki (10%).

Graph 3.1: Regional distribution of dairy cows in 2012/13

Northland

6.0%

Nelson/Marlborough

1.8%

Otago

5.0%

North Canterbury

12.7%

West Coast

3.1%

Manawatu

4.5%

Taranaki

10.3%

Western Uplands

0.9%

Waikato

24.0%

Auckland

2.3%Bay of Plenty

4.0%

Central Plateau

5.2%Hawkes Bay

1.0%

Wairarapa

3.5%

South Canterbury

4.6%

Southland

11.1%

East Coast

0.1%North Island

61.8%

South Island

38.2%

Regional distribuEon of dairy cows in New Zealand

The future of the industry

•  Profitable

•  Environmentally sustainable

•  High value niche products

the$new$zealand$dairy$industry$ history,$some$facts$and ...€¦ · 6 new zealand dairy statistics...

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