The dairy farm has the task now to create a sustainable businessmodel and to achieve a reduction of the CO2 eqv. emissions. At the same time, she struggles with a high workload and a relatively low income.
This seems an impossible task;
However, appearances are deceiving because the point from which you stand determines what the view is like.
Each company has 3 options to improve earnings;
1: Increasing production
2: Increase the sales price
3: Reducing costs
You can increase the sales price, for example, by becoming organic. Statistics from Statistics Netherlands over the last 10 years show that the farmer's income does not improve as a result of this conversion. Organic dairy farmers earn, on average, just as much as their non-organic collegues. They just play the game on a different level; higher milk price but also higher costs.
The profitability of a company and the true independence of an entrepreneur stand or fall with the cost price per kg. milk.
A low cost price determines the level of the margin and determines the feeling of freedom. On a primary production company such as dairy farming there is a direct relationship between cost price and CO2 eqv. emissions.
The lower the cost price on a dairy farm, the lower the CO2 eqv. emissions.
That is precisely why cost reduction is so interesting for dairy farmers. It leads to a low workload; the cows work for you, not you for the cows. A low investment pressure; if you want to buy mobile fence posts,wire and posts you don't have to go to the bank for a loan. What you don't spend is what you don't have to earn.
Pure Grazers realize an extra margin compared to their starting situation of 6 ct. to 15 ct./kg milk
Pure Graze PG NxT STEP® Farming offers you a field-proven, reliable farm system. Successfully applicable to any soil type. You will be guided by farmer coaches, who successfully apply the farming system to their own farm.
They know the emotional and business process you are going through and guide you through it.
The Pure Graze Grazing Course is a first step to get acquainted with PG NxT STEP® Farming.
Participation gives you a good impression of what Pure Graze has to offer.
Join the webinar on September 23, also to take advantage of that evening's special offer!
Register here for the webinar!
Ado Bloemendal
Pure Graze
