Dairy farmers urged to future proof their farms

Futureproofing Irish Dairy Systems was the topic for discussion at the Teagasc Ballyhaise Open Day 2024 on Wednesday, July 24, at Ballyhaise Agricultural College.

Visiting farmers were told that farm financial costs have risen on Irish dairy farms by 56% since 2015, resulting in significantly reduced farm incomes in 2023 despite record milk prices.

The focus of the event was on ways to bring costs within sustainable levels.

One strategy to reduce both feed and fertiliser costs is to incorporate clover within grazing swards to replace chemical nitrogen (N) with biologically fixed N while increasing animal intake and performance.

Over the last three years 80% of the Ballyhaise farm has been reseeded.

Speaking at the first information point, Donal Patton, Research Officer at Teagasc, said: “Both significant economic value and improved environmental sustainability have been achieved in the Irish dairy sector by focusing on core grazing principles to maintain low production costs and high levels of pasture utilisation.”

He continued: “Our grazing systems can be improved by reducing reliance on supplementary feed and chemical fertilisers by incorporating white clover within grazing swards. The successful establishment of white clover in the border midland and western (BMW) region of Ireland can significantly reduce requirements for chemical nitrogen (N) fertilisers whilst maintaining similar pasture productivity to perennial ryegrass only swards which require increased chemical N applications level.”

John Kelly, Principal of Ballyhaise College noted that addressing the “challenge of sustainability” is paramount, and that the college are now dedicated to incorporating all outputs into a circular economy.

“Our facilities are constantly being upgraded and improved. Our latest advancements, include pasture renewal and enhanced infrastructure such as slurry storage, farm roadways, and fencing. Our teaching and advisory staff are engaged in continuous training to stay updated on the latest technological developments from our research, ensuring that we provide our students and farmer clients with the most current information.”

Dr Joe Patton, Head of Dairy Knowledge Transfer in Teagasc believes the rate of increase in farm input costs has accelerated in recent years. This has been driven by a combination of unit price increases and input usage levels per farm.

“Feed budget costs have increased significantly while pasture utilisation has been declining; given the strong link between pasture utilisation and farm profit, this trend needs to be reversed,” he stated.

“Compared to farms with low net margins, higher margin farms utilise more pasture to produce extra milk sales for no increase in supplement fed. Higher margin farms have lower variable and fixed costs indicating better cost control across a range of categories.”