Wisconsin Dairy Modernization Survey UW-Extension 2008

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Mark W. Mayer, Dairy & Livestock

Agent, Green County

David W. Kammel, Biological

Engineering, UW-Madison

Wisconsin Dairy

Modernization Survey

UW-Extension

2008

30 Counties

Represented

104 Surveys

Received

99 Surveys In Data

Set

General Farm Information

Pre

Modernization

82 Herd Size (Milk Cows)

Average Milk Production

/Cow

Acres of Land Owned

19,601 lbs.

351

Acres of Land Rented 187

Acres/Cow (owned & rented) 6.56

Full Time Labor Equivalents for Dairy

Milk Cows per F.T.E.

2.34

35 50

Post

Modernization

203

20,941 lbs.

421

308

3.59

4.32

Parlor Construction &Type

Milking Stall Type

Flat Barn Herringbone Parabone Parallel Rotary

2 8

11

30

40 n = 91

New vs. Used

n = 89 n = 91

Labor for Parlor

Labor Supplied for

Parlors

Farmer Contractor

63%

37%

Average Time For Parlor

Conversion:

17 weeks

Range of Time to Convert:

4 to 104 Weeks

Labor Provided for Parlor

New Construction vs. Retrofit

New Parlors Retrofit Parlors

Farmer Contractor

Farmer Contractor

76%

24%

55%

45%

10

5

0

20

15

Time for Parlor Conversion

Construction Time

Weeks

4 8 12 16 20 24 28 32 36 40 44 48 52 104

Weeks

Parlor Construction &Type

R etrofit C ons truc tion

S tall T ype

11

F lat B arn

Herring bone

P arabone

P arallel

6

8

18

New C ons truc tion S tall

T ype

Herring bone

P arabone

P arallel

R otary

3

3

10

30 n = 55 n = 34

Parlor Cost per Milking Stall

2008 Dollars

Parlor

Stall Type

Flat barn

Herringbone

Parabone

Parallel

Retrofit

Construction (n=55)

$3,360

(n=6)

$9,657

(n=8)

$3,845

(n=30)

$7,478

(n=11)

New Construction n= 34

NA

$18,769

(n=3)

$6,016

(n= 10)

$22,361

(n=18)

16

1

11

Cow Housing Facility

4 6

19

21

2 row FS barn

3 row FS barn

4 row FS barn

6 row FS barn

8 row FS barn

Bedded pack barn

Compost bedded barn n = 78

Manure Handling and Storage

Manure Handling System

Skid Steer /Tractor Scrape

Automatic Scraper

Flush

Other

87 n = 107

8

11

1

Manure Storage

Daily Haul

Short Term Storage

Long Term Storage

29

52

31 n = 112

Manure Storage and Bedding

n = 77 n = 101

Replacement Housing

n = 101 n = 86

Economic Investment

Since 1993 (2008 Dollars)

• Milking Parlor Facility

– $17,144,281

• Dairy Cow Housing

– $30,529,855

• Dry Cow Housing

– $1,722,057

• Heifer Housing

– $1,610,210

• Calf Housing

– $1,480,703

• TMR Feeding

– $1,981,566

• Feed Storage

– $4,153,360

• Manure handling

– $2,149,120

• Manure Storage

– $4,536,318

• Total Investment for 99 farms in Survey

$65,307,470

Dairy Modernization Impacts

Change

Milk Cows

Pre

Modernization

Post

Modernization

7,923 19,689 +11,766

Ave. Herd Size 82 203 +121

Total Annual

Milk Production

Ave. Production per Cow (lbs)

Dry Cows

160,401,113 (lbs) 426,936,276 (lbs) +266,535,163

20,245

1,197

21,684

2,920

+1,439

+1,723

Heifers

Calves

4,307

2,320

10,207

5,868

+5,900

+3,548

Modernization Economic Impacts

Change Dollar Impact

Average Increased Milk

Income per Cow

+1,439 lbs x $17/cwt

Ave. Increased Gross

Milk Income per Farm

Increased Local

Economic Impact from more cows/farm

Increased Annual Milk

Income for the State

203 cows @ 21684 x .17= $748,315

82 cows @ 20245 x .17 =- $282,215

121 cows x **$17,000

+266,535,163 lbs. x 99 farms x $.17

Economic Impact from more Cows in the State

+11,766 cows x $17,000

**UW Department of Agriculture and Applied Economics

= $245

= $466,099

= $2.06 Million

= *$44.8 Million

= *$200 Million

* Total for 99 Herds

5

0

15

10

25

20

Milking System Throughput

Mean = 22.7 cows/person/hour

Std Dev =11.56

PRE

POST

Mean = 44.1 cows/person/hour

Std Dev = 19.79

Change = 21.4 cows/person/hour

P = 0.000

0 10 20 30 40 50 60 70 80 90 100 110

Cows Milked/Person/Hour

Pre and Post Labor Requirements

Average Per Cow/Day

2

1.59

Pre Modernization

Post Modernization

1 0.65

0.72

0.49

0.79

0.4

0

**Feeding Milk Cows *Handling Cows **Handling Manure

**P= <.001 *P= <.01

Pre and Post Labor Requirements

Average Per Cow/Day

4.07

4

3.5

3

2.5

2

1.5

1

0.5

0

2.09

0.8

0.32

0.51 0.32

**Milking

Pre Modernization

Post Modernization

**Maintaining Stalls *Milking Setup/Cleanup

**P= <.001 *P= <.01

Reduced Labor Requirements

Minutes Per

Cow / Day

Milking Setup/Cleanup .19 x 365

Total Reduction

Per Cow / Year

=1.16 hours

Milking Time 1.98 x 365

Feeding Time per Cow .94 x 365

=12.05

= 5.72 hours

Handling Cows

Maintaining Stalls

Handling Manure

.26 x 365

.48 x 365

.39 x 365

= 1.58 hours

= 2.92 hours

= 2.37 hours

Totals: 4.24 minutes/Day 25.80 hours/Year

Economic Impacts from Reduced

Labor Per Cow

Reduction/Cow/Year Dollar Impact

Milking Setup/Cleanup 1.16 hours @ $12/Hour =$13.92

Milking Time 12.05 hours @$12/Hour =144.60

Feeding Time per Cow 5.72 hours @ $12/Hour = $68.64

Time Handling Cows 1.58 hours @ $12/Hour = $18.96

Maintaining Stalls 2.92 hours @ $12/Hour = $35.04

Handling Manure 2.37 hours @ $12/Hour = $28.44

Totals: 25.80 Hours/Cow/Year $309.60/Cow/Year

Cow Benefits Observed

Overall Cow Health

Less Feet & Leg

Problems

Lower SCC

Increased Production

Lower Culling Rate

Increase Conception

Rates

74%

73%

66%

85%

82%

78%

Ranking of Cow Benefits

Overall Cow Health

Less Feet & Leg Problems

Lower Cull Rate

Lower SCC

Increased Production

Increase Conception

Rates

3

Less Important

3.5

4

4.65

4.86

4.58

4.34

4.53

4.27

4.5

5 5.5

6

More Important

People Benefits Observed

Reduced Labor Per Cow

Improved Working

Conditions for Milkers

Improved Health/Safety of Workers

Allowed Business to

Continue

Increased Profitability

Provided Entry for Next

Generation

Increased Family Time

96%

93%

88%

86%

82%

80%

78%

Ranking of People Benefits

Improved Working

Condition for Milkers

Improved Health and

Safety for Workers

Allowed Dairy to

Continue

Provided Entry for

Future Generation

Reduced Labor Per

Cow

Increased Profitability

Increased Family Time

3 4

4.61

4.92

4.85

5.26

5.16

5.13

5.1

5 6

Educational Resources Used

V is iting Othe r

Far m s /Tour s

Exte ns ion

M e e tings /Se m inar s

Far m V is it by

County Age nt

M agazine s and

Ne w s pape r s

Far m V is it by UW

State Spe cialis t

Far m Show s

U.W. Publications ,

Ne w s le tte r s , CD's

Phone /Em ail

CountyAge nt

Phone /Em ail State

Spe cialis t 46%

86%

73%

67%

65%

64%

86%

81%

99%

Ranking of Educational Resources

Visiting Other Farm s/Tours

5.48

Farm Visit by UW State Specialist

Farm Visit by County Agent

U.W. Sem inars and Meetings

Phone/Em ail to State Specialist/Co Agent

UW Publications and CD's

Farm Show s

Magazines and New papers

4.12

4.00

4.62

4.52

4.42

3.94

3.91

3 3.5

4 4.5

5 5.5

6

Professional Resources Used

UW-Extension Agent/Specialist

Milk Equipm ent Dealer

Other Dairy Producers

Builder/Contractor

Ag Lender

Veterinarian

Nutritionist

Financial Consultant

Professional Design Consultant

33%

30%

66%

64%

76%

93%

89%

86%

85%

Ranking of Professional Resources

Other Dairy Producers

Builder/Contractor

Ag Lender

UW-Extension Agent/Specialist

Nutritionist

Milk Equipment Dealer

Financial Consultant

Veterinarian

Professional Design Consultant

3 3.5

3.53

4

4.03

4.00

4.5

4.57

4.53

4.52

4.36

4.78

4.73

5 5.5

6

UW-Extension Impacted Decisions with Dairy Modernization

Yes

No n = 99

22%

78%

Average Planning Time:

23.02 Months

Range: 3-120 Months

How Did UW-Extension Help?

(27) Assisted in Parlor Location and Design

(20) Organized Tours and Farm Visits to Observe Modernization on other Farms

(15) Presented new Ideas and Options for Parlor Design and Construction

(12) Design and Layout of Cow Housing Including Cow Flow and Stall size

(9) UW-Extension Dairy Modernization Presentations (Meetings and Pasture Walks)

(5) UW Publications (Low Cost Parlor CD and Retrofit Parlor Paper)

(5) Received reinforcement of ideas and plans

(4) Assisted in the Permitting Process

(4) Assisted in Preparing Budget for Modernization Project

(3) Assisted in Manure Handling and Storage plans

(3) County Agents and State Specialists answered all our questions

(3) Assistance with Ventilation

117 Responses

How Could Assistance from UW-

Extension be Improved ?

87

Don't Know/ No Response

Were so Helpful

Keep Doing what your doing

Bring real life dairy experience

2

More awareness of expanding dairies in the area

Work with NRSC and Government to speed up grant processes

2

2

3

3 n = 99

Biggest Challenge in Modernization

(16) Working with the Contractors/Serving as General Contractor

(10) Deciding what system & number of cows would work best for my farm

(10) Budgeting & Financing for Expenses

(8) Milking in Existing Facilities During Construction

(8) Design of Milking Facility & Housing

(6) Cost Over runs

(5) Finding Good & Knowledgeable Contractor

(4) Manure Storage & Handling

(4) Confidence & Motivation to do it

(3) Permitting Process for Building/Expanding

(3) Getting Honest Opinions from Equipment Dealers

(3) Did too much of my own labor

(3) Changing the Management System of Feeding/Breeding/Housing

What Would You Change?

(14) Wish we would have done the expansion sooner.

(11) Wish we would have made the parlor/freestalls bigger

(6) Start expansion at another site to allow for additional future expansions

(5) Spend more time planning and seeking help in design

(4) Start with new building and equipment right away

(4) Would not start building in the fall, start earlier in the year

(4) Design of Parlor

(3) Add a dry cow and calving facility

(3) Change from mattresses to sand for bedding

(3) Hire a more experienced and honest contractor

Would You Still be in the Dairy

Business if you had not

Modernized?

46%

54%

Yes No n = 94

Programs and Grants Utilized

Dair y 20

20

NRC

S

Lan d Co nser va...

MVP

FSA

Loa n

Gro w W

I

Foc us o n En ergy

WHED

A

Allia nt G rant

Joh nes

Gran t

0

2

2

5

4

5

5

8

13

25

27

27

30

30

10 15 20

Number of Producers

35

Questions!

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