Dairy Economics: Feeding Milk Quality, and Management 2014 ISDA Annual Meeting ...
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University of Illinois at Urbana-Champaign
Dairy Economics: Feeding Milk Quality, and Management2014 ISDA Annual Meeting January 3rd – Waverly, Iowa
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University of Illinois at Urbana-Champaign
“Profit Potential”
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University of Illinois at Urbana-Champaign
Time To Vote for 2014• Milk prices
– < $20/cwt or > $20/cwt
• Corn prices– <$4.25 a bushel or > $4.25a bushel
• Soybean meal prices– <$450 a ton or > $450 a ton
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University of Illinois at Urbana-Champaign
Looking Ahead to 2014 Prices(Dec 20, 2013, CME Futures)
Month Milk Corn SB Meal
(cwt) (bu) (ton)
Jan, 2014 $19.45 $4.30 $429
March, 2014 $18.55 $4.38 $419
May, 2014 $18.01 $4.45 $411
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University of Illinois at Urbana-Champaign
1980 1983 1986 1989 1992 1995 1998 2001 2004 2007 2010 2013$0.00
$5.00
$10.00
$15.00
$20.00
$25.00
Milk ($/cwt) Corn ($/bu) Soybeans ($/bu)
Historical US Average Farm Price Received
http://farmdoc.illinois.edu/manage/uspricehistory/us_price_history.html
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University of Illinois at Urbana-Champaign
The 2013 Crop Year• Over 1.7 million acres of alfalfa winter killed
• Wet spring delayed corn planting, replacing alfalfa, and cutting alfalfa
• Dry areas in August, and September
• Killing frost in mid-September in some areas
• Green immature corn in October
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University of Illinois at Urbana-Champaign
Corn Production United States
Crop Production (September 2013) USDA, National Agricultural Statistics Service
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University of Illinois at Urbana-Champaign
Soybean Production United States
Crop Production (September 2013) USDA, National Agricultural Statistics Service
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University of Illinois at Urbana-Champaign
Cotton Production United StatesCrop Production (September 2013) USDA, National Agricultural Statistics Service
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University of Illinois at Urbana-Champaign
• Forage update from 2013• Feeding economics in 2014• Building your milk check• Economic feed prices• Management factors: Additives, grouping,
heifer costs, and “free feed”
Today’s Program
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University of Illinois at Urbana-Champaign
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University of Illinois at Urbana-Champaign
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University of Illinois at Urbana-Champaign
Got Milk?
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University of Illinois at Urbana-Champaign
Take Home Message #1
ForageAvailability
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University of Illinois at Urbana-Champaign
Avoiding the Forage Cliff
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University of Illinois at Urbana-Champaign
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University of Illinois at Urbana-Champaign
Forage Inventory• No carry over of
corn silage from 2013
• Limited amounts of 1st cutting legume/grass forages
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University of Illinois at Urbana-Champaign
Forage Quality• Late planted corn silage
results in grass rather than starch
• Delayed harvest of first crop due to wet conditions and cool weather
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University of Illinois at Urbana-Champaign
Hay/Haylage (Rock River Lab)Nutrient 2011 2012 2013 (fresh)
Protein (%) 18.8 19.4 17.9
NDF(%) 45.8 44.1 47.6
Lignin 8.5 5.9 6.29
NDFD-30 hr 43.0 40.4 38.1
TTNDFD 48.4 44.7 42.6
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University of Illinois at Urbana-Champaign
Corn Silage (Rock River Lab)
Nutrient 2011 2012 2013 (fresh)
DM (%) 33.5 40.7 37.2
Protein (%) 9.0 8.1 7.8
NDF(%) 50.9 43.9 48.1
Starch 24.5 11.6 26.7
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University of Illinois at Urbana-Champaign
Fuzzy Cottonseed Status• Reduced acreage
• In the drought area
• Prices are up $50 a ton
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University of Illinois at Urbana-Champaign
Forage Inventory Today• Plan on 30 lb of DM per cow (includes 5 to
7% shrink) results in 10,950 or 5.5 tons (includes dry cows)
• Add 30% for replacement heifer
• 7 tons of forage dry matter per unit
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University of Illinois at Urbana-Champaign
2013 / 2014 Forage Yield DM tons /AcreSpring cereal grain (2014)
Boot stage: 1 to 2Dough stage: 3 to 4
Late planted corn silage (2013) 3 to 4
Fall cereal grain (2013) 1 to 2
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University of Illinois at Urbana-Champaign
Using Corn Stalks• Lactating cows
– High producing groups—1 to 2 pounds– Low producing groups—2 to 5 pounds (depending on the ration)
• Older heifers—up to 40 to 50% of DM intake• Dry cows--none• Treat corn stalks with calcium oxide (quick lime)—2 to 5%• Avoid soil contamination in corn stalks• Variable on quality depending on harvesting method
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University of Illinois at Urbana-Champaign
Using Straw• Milk cow rations
– Start with 0.5 lb per cow and monitor cow response– Maximum of 2 lb per cow– Processing to 1 to 2 inches in length or
1/3 in each of the Penn State box (3 box unit)– Add water
• Dry cows—up to 1/3 total DM intake (8 to 10 lb)• Older heifers—up to 40 to 50% of DM intake• Be aware of mycotoxin risks in straw