The Latest News from Nobis Agri Science

The average cost to produce milk has climbed substantially so far this year. In our conversations, we have been hard-pressed to find anything — services or products — that are cheaper this year than they were at this time in 2020. Based on our straw poll of producers, average wages are up 10% to 15% on U.S. dairy farms compared to levels a year-ago. The costs of parts has jumped by 20% or more and fuel prices are still trending higher, after already climbing by more than 35%. While the Federal Reserve debates inflation, it’s clear it has already arrived at dairy farms. And I haven’t yet mentioned feed costs. In the first four months of 2021, corn prices rose by 32% year-over-year and soybean prices jumped by 48% versus 2020 levels. Based on my estimates, total feed costs were more than $2 per hundredweight (cwt.) higher January through April than in the same period in 2020.

Heat stress costs the dairy industry over $897 million annually in losses attributed to decreased performance, increased mortality, and decreased reproduction (St. Pierre et al., 2003). It is caused by a number of factors, including air temperature, humidity, wind speed, and solar radiation. Cattle experience heat stress when they cannot physically cope with their environmental conditions. Producers know heat stress can have severe impacts on cattle, but what exactly happens to a cow experiencing heat stress?

The 29thTri-State Dairy Nutrition Conference was held virtually April 19-21, 2021. The conference is organized by leadership of Extension and the Department of Animal Sciences at: Michigan State University, Purdue University, The Ohio State University, and allied industry personnel.

The feed costs for dry cows and heifers can influence the cash flow as much as the lactating cow. This is particularly true if forage inventories are lacking. The feed costs per nonlactating animal can be very close to what the market is reflecting. This is due to feeding both purchased forage and grain. Examining feeding strategies for all animal groups is warranted considering the continued high feed costs in 2021.

Feed costs make up nearly 50 percent of your total cost of milk production, and that is assuming your cows are getting the correct nutrition at the right time. Not mixing TMRs correctly or not delivering them on time will cost you milk which will bump up feed cost per unit of milk.

There is a common business adage that “what gets measured gets managed.” Every day, you’re digging into data to identify optimal solutions for the herd. One data point we’re focused on each spring is what to do about decreases in milk component percentages as the days get longer and hotter.

If there was a way to review your dairy’s results last summer in the areas of pregnancy rates, milk production, feed intakes and lying time, then make proactive changes to your heat abatement program before the dog days of summer arrive, would you do it? The good news is that this very action is possible. By assessing your herd’s pregnancy rates, milk production and feed intake changes, and lying time, for example, you get a good feel for whether your herd is experiencing heat stress. And, if so, about how much.

Markets always have a tendency to fall faster than they increase. That was very evident again recently as Class III futures plummeted over a three-day period. Cheese prices fell as buyer’s needs for fresh cheese were filled temporarily. A price void developed under the market as buyers leap frogged over each other trying to get their hands on available loads before price moved too much higher. This is similar to what takes place at a farm auction when a few people want something and are willing to continue to run the price up. The daily spot market is a price auction with buyers and sellers doing a similar thing, but for a different reason. Even though the spot market trades for a limited time each day and sometimes can move more than the underlying fundamentals for a period of time, it is an accurate representation of supply and demand.

Over the past two months, a number of consultants asked why some of their Holstein herds’ milkfat and protein concentrations are well above historic levels. These herds are located from Michigan to New York and are encroaching upon Jersey herd milkfat and protein production. Of course, I am exaggerating the Holstein to Jersey comparison slightly and recognize Jerseys produce milk component levels well above Holsteins.

Today’s dairy farms typically feed a large amount of fermented forages and processed feeds which contain little sugar. Because of this, lactating dairy rations usually contain about 1.5% to 3% sugar, if no supplemental sugar is fed. Since sugars are generally rapidly digestible, they can help the rumen microbes capture and use nitrogen. Supplemental sugars can improve rumen pH. When more sugars are incorporated into the rumen bacteria, less organic matter is converted into fermentation acids. Furthermore, dietary sugar often increases the molar proportion of butyrate, which yields only one hydrogen ion while propionate and acetate generate two hydrogen ions. Butyrate also stimulates the rumen epithelial cells, increasing volatile fatty acid (VFA) absorption from the rumen.

Mastitis is one of the most common diseases affecting dairy operations as a detriment to cow comfort and, ultimately, profitability. Traditionally, dairymen have relied on a five-point plan to control the disease that focuses primarily on sanitation and proper treatment of the herd.

The protein content of milk has become much more important in recent years. This reflects its higher value to dairy farmers due to the continued high consumption of cheese, as well as the perception of consumers that milk fat, and fats in general, are unhealthful while milk protein is healthful. Regardless of the reasons, dairy producers are paying much more attention to the protein production of their cows, both in pounds per day and as a % of milk, since both can influence the economic value of the milk.