Wisconsin Dairy Modernization Survey UW-Extension 2008 Mark W. Mayer, Dairy & Livestock Agent, Green County David W. Kammel, Biological Engineering, UW-Madison 30 Counties Represented 104 Surveys Received 99 Surveys In Data Set General Farm Information Pre Post Modernization Modernization Herd Size (Milk Cows) 82 203 Average Milk Production /Cow 20,245 lbs. 21,684 lbs. Acres of Land Owned 351 421 Acres of Land Rented 187 308 Acres/Cow (owned & rented) 6.56 3.59 Full Time Labor Equivalents for Dairy 2.34 4.32 Milk Cows per F.T.E. 35 50 Parlor Construction &Type n = 92 New vs. Used n = 89 n = 91 Labor for Parlor Average Time For Parlor Conversion: 17 weeks Range of Time to Convert: 4 to 104 Weeks Labor Provided for Parlor New Construction vs. Retrofit Time for Parlor Conversion Parlor Construction &Type n = 55 n = 34 Parlor Cost per Milking Stall 2008 Dollars Parlor Stall Type Retrofit New Construction Construction (n=55) n= 31 Flat barn $3,360 NA (n=6) Herringbone Parabone Parallel $9,657 $18,769 (n=8) (n=3) $3,845 $6,016 (n=30) (n= 10) $7,478 $22,361 (n=11) (n=18) Cow Housing Facility n = 78 Manure Handling and Storage n = 107 n = 112 Manure Storage and Bedding n = 77 n = 101 Replacement Housing n = 101 n = 86 Milking System Throughput Change = 21.4 cows/person/hour P = 0.000 Pre and Post Labor Requirements Average Per Cow/Day **P= <.001 *P= <.01 Pre and Post Labor Requirements Average Per Cow/Day **P= <.001 *P= <.01 Reduced Labor Requirements Minutes Per Cow / Day Total Reduction Per Cow / Year Milking Setup/Cleanup .19 x 365 =1.16 hours Milking Time 1.98 x 365 =12.05 Feeding Time per Cow .94 x 365 = 5.72 hours Handling Cows .26 x 365 = 1.58 hours Maintaining Stalls .48 x 365 = 2.92 hours Handling Manure .39 x 365 = 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 Ranking of Cow Benefits Less Important More Important People Benefits Observed Ranking of People Benefits Educational Resources Used Ranking of Educational Resources Professional Resources Used Ranking of Professional Resources UW-Extension Impacted Decisions with Dairy Modernization n = 99 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 UWExtension be Improved ? n = 99 Economic Investment Since 1993 (2008 Dollars) • Milking Parlor Facility – $17,144,281 • Dairy Cow Housing – $30,529,855 • Dry Cow Housing • TMR Feeding – $1,981,566 • Feed Storage – $4,153,360 • Manure handling – $1,722,057 – $2,149,120 • Heifer Housing • Manure Storage – $1,610,210 • Calf Housing – $1,480,703 – $4,536,318 • Total Investment for 99 farms in Survey $65,307,470 Dairy Modernization Impacts Pre Post Modernization Modernization Change Milk Cows 7,923 19,689 +11,766 Ave. Herd Size 82 203 +121 Total Annual Milk Production 160,401,135 (lbs) 426,936,276 (lbs) +266,535,141 Ave. Production per Cow (lbs) 20,245 21,684 +1,439 Dry Cows 1,197 2,920 +1,723 Heifers 4,307 10,207 +5,900 Calves 2,320 5,868 +3,548 Modernization Economic Impacts Change Average Increased Milk +1,439 lbs x $17/cwt Income per Cow Dollar Impact = $245 Ave. Increased Gross Milk Income per Farm 203 cows @ 21684 x .17= $748,315 82 cows @ 20245 x .17 =- $282,215 = $466,100 Increased Annual Milk Income for the State +2,692,274 lbs. x 99 farms x $.17 = *$45.3 Million Increased Economic Activity from more Cows per Farm 121 Cows x $17,000 = $2.06 Million Economic Impact from +11,766 cows x $17,000 more Cows in the State **UW Department of Agriculture and Applied Economics = *$200 Million * Total for 99 Herds 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? n = 94 Programs and Grants Utilized Wisconsin Dairy Modernization Survey UW-Extension 2008 Full Paper Available on the Dairy Modernization Web Site at: http://www.uwex.edu/ces/dairymod/cost/index.cfm Questions!