Examining all Farm Costs
The Denis Brinicombe Groups’ Technical Department have recently finished a study into the effect that many common livestock problems have on overall farm profitability.
Leading the investigation was Dr Colin Shorrock who explained that things which are almost “accepted” by many farmers as part and parcel of keeping livestock can have serious financial implications. “One typical example we found of a common problem that drains finances was infertility. It is estimated that this can be in the region of £88/cow. This is made up of £3/day for every day lost in the calving interval with an increased number of services from 1.8 to 2.2 per cow. Even with a modest straw cost of £20, this is significant and doesn’t take into account a culling rate of 11% solely due to infertility.”
Other areas were looked at in cows and it was found that a case of mastitis can see milk yield drop by 2.5% for an increase in SCC’s of 100,000. This had an estimated cost to a 100 cow herd of almost £3000 at 19 ppl. Clinical milk fever affects around 8% of dairy cows in the UK at an average cost of £6000/100 cow herd. Sub clinical milk fever could be losing each dairy cow 50 -100 litres of milk from the next lactation. If a cow recovers quickly from treatment with calcium the overall cost is estimated at £50.00 per cow. Where a “downer cow” is slower to recover the reduction in milk yield is greater and the direct costs are estimated to rise to £150/cow.
The incidence of lameness in dairy cows varies greatly from 10 – 55 cases in 100 cows. The total cost is a combination of treatment, loss of milk, reduced fertility and has been estimated at £93 for direct costs (treatment + milk) and £273 with associated losses (i.e. fertility, culling, no. of services increased calving interval).
In sheep flocks, the potential loss is not much better.
A typical outbreak of coccidiosis can cost £1200 per 100 ewes. Treatment with Deccox can prevent coccidiosis and give up to an extra 3kg lwg, so there is also a potential to treat the condition and improve growth rate at the same time.
Improving the number of lambs finished from 1.4 to 1.5 in a lowland flock would improve gross margin per hectare from £332 to £409. This figure is based on a starting point of a tupping percentage of 175 with a live lamb percentage of 158 and a 10% subsequent mortality rate. On an upland flock the estimate is lower at £169 to £211 increase.
It has been suggested that no flock should have an incidence of prolapse of greater than 2% and that affected ewes should be culled. The cost would be the replacement of the ewe and the work of possibly rearing orphan lambs. An onset of Toxoplasmosis can have devastating effects. Where toxoplasmosis occurs in early pregnancy the result is usually foetal death and a barren ewe. The financial implication would therefore be the cost of up to 2 finished lambs (at £50/h) and the cost of feeding a ewe for a year. In severe cases, toxoplasmosis has been known to effect upwards of 50% of the flock.
Beef cattle also came under the microscope. Overall poor live weight gain due to an unbalanced diet could be costing £1,800 of bottom-line profit per 100 animals finished. A mere 10% improvement in growth rates in from 0.9 to 1.0 kg/h/day would add an extra 9 p/h/d to the value of an animal. Assuming an indoor wintering period of 200 days this could be worth an extra 20 kg LW at a value of £18.00. The beast could be sent out earlier, saving about 20 days, or retained and sold at a heavier weight.
An outbreak of ringworm was more difficult to cost as it is unlikely to seriously affect performance. The likely consequence is that the animal may have to be kept on the farm longer until the condition clears up. The cost of feeding a diet of silage and 2 kg barley protein mix per day could be 60–70p/day. If the animal needed to be kept on farm four weeks longer than normal, this would result in extra feeding costs of £29/head.
Whilst surprised by many results, Managing Director James Brinicombe was pleased that the investigation had been done. “It was surprising the financial impact some everyday problems can have but I am pleased that we now have definitive values. Hopefully it can help farmers to budget their inputs against potential losses. These results definitely show that attention to detail can pay financial dividends, with a reassurance that a purchase is not false economy.”
DENIS BRINICOMBE GROUP
Registered Office: Fordton Industrial Estate, Crediton, Devon, UK EX17 3BZ
tel: 01363 775 115 | fax: 01363 772 114 | enquiries@brinicombe.co.uk
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