DRUMGOON DAIRY Rodney and Dorothy Elliott Lake Norden, South Dakota, USA HISTORY • 1982 – April, started milking 22 cows in a 4 point pipeline . • 1983 – Introduction of milk quota, my farm allowance 111,000 litres but gained 6,200 litres under development. • 1987 – started buying quota, leased more land and built a double 5 milking parlour. Now milking 45 cows. • 1995 – we bought land and we’re milking 70 cows. • 1999 – moved back home to Drumgoon to live, more building was required, milking 110 cows. • 2002- I concentrated on all Dairy built a new 14 point swing parlour, and increased the herd to 140 cows milking. • 2004 – Production reached 1 million litres of milk, went on a Dairy tour of South Dakota! REASONS TO RELOCATE Northern Ireland South Dakota • Land prices, £7 – £10,000 an acre • Land prices, £1200 -£1500 an acre • Labour– difficulty to find and retain good employees and competition from construction • Labour – easy to recruit • Free trade • Legislation • Quota • Legislation • Animal movement • Manure management • Labour • Permitting • Animal health • Labour LOCATION SOUTH DAKOTA VS. NORTHERN IRELAND South Dakota WINTER IN SOUTH DAKOTA DEVELOPMENT OF DRUMGOON DAIRY • 2005 Purchased 153 acres for a dairy site • February 2006 – we moved to South Dakota • Construction started May 2006 for a 1400 cow facility. • 2006 purchased an acreage with 40 acres of land, some farm buildings and a dwelling. • Started milking December 2006. • Expanded 2008 to 2000 cows. • 2007 – 2011 continuous expansion and development of calf and heifer raising facility. • 2009 purchased 154 acres of crop land adjacent to the Dairy. • 2010 purchased 100 acres of cropland and another acreage. • 2010 began renting 230 acres of land, cropland and some pasture. FEED AND CROPS CURRENT OPERATION • MILK COWS 1950 • REPLACEMENTS 1750 DAILY ANNUAL • PRODUCTION 34 LITRES 10,680 LITRES • BUTTERFAT 4.01% 3.87% • PROTEIN 3.44% 3.52% • SCC 196 218 • PRICE 30 PPL 28.75 PPL (2011) CROSS VENTILATED BARN Picture of inside of the barn on a working day, pushing up feed. This task is done every two hours to ensure that the cows have always feed available. RELEVANT DAIRY PURCHASES Prices in USA • Petrol- 64p per liter • 100 ml of Excnell- £41.50 • Diesel- 66p per liter • John Deere 6430- £55,000 • Electricity- 5p per Kw • Ground Maize- £160 per ton • Soy Bean Meal- £187 per ton • Labour- £6.50 per hour • Milk replacer- £52 per 25 kg • Vet/Mechanic- £60 per hour MANAGEMENT AND STAFF EMPLOYEE BREAKDOWN • Milkers- 14 • Herdsmen- 5 • Parlour Manager- 1 • Feeder- 1 • Operations/Maitainance-3 • Manager/Owner-2 • TOTAL-26 INNOVATION WILL FEED THE WORLD EMBRACING CHANGE • Learn from the past • Efficiencies • Accepting technology • Larger, specialized units • Combine harvester • Corporation • Milking parlour • Education • Computers • Youth • Consumer awareness • Genetics • Vaccines and drugs • BST– carbon footprint • Hormones • GMO Crops PITFALLS DRUMGOON DAIRY Rodney and Dorothy Elliott 19048 US Hwy 81 Lake Norden, SD 57248 1 605 785 2151 drumgoon@itctel.com