Farm costs: How to prepare now to make savings on winter feeding
With input expenses rising across the board for agriculture, Austin Callaghan, Teagasc drystock adviser, has outlined practical measures farmers can consider to help reduce costs on farm.
In recent years, global conflicts, including the Middle East conflict, have increased volatility in energy, fertiliser and machinery markets, driving up costs.
According to Callaghan: “With the increases in the price of fertiliser, green diesel and silage plastic, the costs of wintering cattle have greatly increased.
“Unfortunately for beef farmers, this increase in costs has also coincided with a large drop in beef slaughter prices."
Callaghan added that, on Irish farms, grazed grass remains the lowest-cost feed available.
So, he maintained that a renewed focus on grazing management on cattle farms needs to be undertaken.
“A proper paddock system should be in place so that grass quality and utilisation of the grass grown are maximised," Callaghan said.
“Grazing management in the spring and autumn needs to be carried out so as to maximise grazed grass in the diet.
"This, of course, is difficult on wetter farms, but there is scope for improvement on all farms.”
Bulk vs quality
According to the Teagasc drystock adviser, winter silage costs on all farms will spiral and this will be felt more so on the wetter farms where the winter housing period is longer.
Callaghan said: “In all cases, it is important to make high-quality silage where growing cattle are housed.
“Where cows are being fed, bulk is important; however, bulk is detrimental to quality in most cases."
On suckler farms where weanlings are sold in the autumn, he advised that only in-calf cows should be housed, along with replacement stock.
“What tends to happen on farms is that late-born calves, which have not achieved adequate weights by the autumn and are unsuited for sale, are housed.
“Appropriate meal feeding of these cattle needs to take place.
“Feeding very expensive poor-quality silage with low meal feeding is a complete no-no for these growing cattle," Callaghan stressed.
Silage costs
Figures from Teagasc show that baled silage, including fertiliser and contracting charges (slurry, cutting and baling), will now cost close to €35 per bale. Add in a land charge and these bales will have a cost in excess of €50 per bale.
Callaghan said: “Farmers making large numbers of bales may need to look at making pit silage.
"Those farmers with a good paddock system should be able to get 20% of their silage from these paddocks.
“This is where a paddock becomes too strong or heavy and is cut so as to maintain quality in the grazed sward.”
Callaghan said that the per-bale land charge here will be lower, as these fields are not excluded from grazing for periods of up to 14 weeks, as is the case in a two-cut silage system.
Looking at red clover silage, the Teagasc adviser said that this option is now much more price-attractive.
“It is giving increased cattle growth rates and is an option that should be looked at on many farms,” said Callaghan.
“The management of red clover silage will result in better silage quality. In addition, there are no nitrogen fertiliser applications to the second and third cuts (slurry is required).”
Meal
Finally, as silage-making costs increase, the Teagasc adviser said that meal feeding becomes more cost-beneficial.
“Meal prices reduced last winter,” O’Callaghan said.
“Surprisingly, there are still farmers who do not feed meal at appropriate levels over the winter months.
“They continue to feed poor-quality silage (very high cost per unit of energy) and do not supplement with meal as required.”
He said that high costs will impact every farming sector and the entire economy. However, on cattle farms, a huge portion of farm costs relates to the winter housing period.
Callaghan added: “Every effort should be made to reduce the unit feed costs on every farm.”
