June 30, 1998

Dairy Farmers Try Various
Techniques To Be Profitable

BLACKSBURG -- The old saying, "The grass is always greener on the other side of the fence," has some dairy producers thinking twice. Rotational grazing is a trend that seems to be gaining popularity due to the economic advantage it has given some producers.

"Milk prices have not kept pace with the cost of producing the milk. That means dairy operations show lower profitability and producers are not able to make the improvements and technology changes necessary to remain viable in today's agricultural environment," said Jerry M. Swisher Jr., Virginia Cooperative Extension dairy scientist. "Relatively constant milk prices in nominal dollars, coupled with inflation, has led to a continuous erosion in the purchasing power of the dollar for dairy producers over the past 18 years."

Strict government regulation has impacted dairy producers. Swisher pointed out that more strict laws dealing with pesticide use, animal waste, drug residues in milk and dairy beef, and labor laws are changes to which producers have had to adapt.

Challenged by these obstacles, dairy producers have been forced to evaluate their production and financial management status. "Producers have tried to maintain economic viability by increasing milk production either by milking more cows or increasing milk production per cow; by reducing or controlling the overall cost of production; or by using a combination of these methods," Swisher said.

Using a rotational grazing system is a way to cope with some of the concerns. "Some producers have realized larger profits, a reduced workload in the spring and summer, improved lifestyle, improvement in animal health, reduced cow cull rate, and more frequent observation of cows," Swisher said.

"Additionally, some producers have noted that a rotational grazing system promotes better reproduction, provides consistent, high-quality forage, good use of difficult to cultivate contour strips on hillsides, reduced soil erosion, and prolonged usefulness and longevity of older farm equipment."

Rotational grazing is the practice of allowing cows to graze one pasture while the grass grows up in another. When the grass in the first pasture gets short, the cows are put on the pasture with the taller grass.

Rotational grazing is an environmentally sound alternative to dry-lot feeding. Because the animal waste will fall directly on the land during grazing, there is less of a threat to water quality. '

While rotational grazing could be an economically feasible alternative for some dairies, producers should still weight the cost-to-benefit ratio for their own operation. "Rotational grazing can provide an opportunity for some (not all) dairy producers to reduce cost as well as increase their net cash farm income," Swisher said.

Contact: Jerry Swisher
Extension dairy scientist
Augusta County
(540) 245-5750

Writer: Marcia Carter Elliott, intern
ARE Communications
Virginia Tech
(540) 231-6975
jnayram@vt.edu

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