Adapting to an Evolving Northeast Dairy Industry - Dairy Business … · Business planning...
Transcript of Adapting to an Evolving Northeast Dairy Industry - Dairy Business … · Business planning...
Adapting to an Evolving Northeast Dairy Industry
Dr. Tom OvertonProfessor and ChairDepartment of Animal ScienceDirector, PRO-DAIRY program
The only constant is……..
Source: Progressive Dairy from USDA-NASS
Slide courtesy Dr. Andy NovakovicSource: 2017 USDA Census of Agriculture
Source: 2017 Census of Agriculture, USDA-NASS
Source: Progressive Dairy from USDA-NASS
NYS milk production per cow and total milk production, 2007 to 2017
Source: 2017 New York State Annual Dairy Statistics; NYS Dept. of Agriculture and Markets
2017: ~ 623,000 cows ~ 4,400 farms
Slide courtesy Dr. Andy NovakovicSource: 2017 USDA Census of Agriculture
Slide courtesy Dr. Andy NovakovicSource: 2017 USDA Census of Agriculture
Source: 2017 New York State Annual Dairy Statistics;
NYS Dept. of Agriculture and Markets
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Source: Drs. Mark Stephenson and Bob Croppwww.dairymarkets.org
NCOP = (total cash operating costs + calculated depreciation + family living expense) – non-milk farm income
Source: 2018 Farm Credit East Dairy Farm Summary, May 2019
Source: 2018 Farm Credit East Dairy Farm Summary, May 2019
Utilization of milk by class; Northeast Federal Milk Marketing Order
Source: 2017 New York State Annual Dairy Statistics;
NYS Dept. of Agriculture and Markets
NE Precipitation ChangesSummaries provided by Jessica Spaccio, Northeast Regional Climate
Center via Karl Czymmek, PRO-DAIRY
Observed Precipitation Trend: Northeast
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Year
Annual Precipitation in the Northeast1895-2015
Jessica Spaccio, NRCC
Similar annual precip trend at Ithaca:
Jessica Spaccio, NRCC
Observed Trends in 1-day Very Heavy Precipitation
(1958 to 2010)
NOAA/NCDC
Top 1% of 1-day storms: 74% larger over 53 year period
Jessica Spaccio, NRCC
Winter Spring
Summer Fall
Fall precip increasing about ¼” per decade
Seasonal distribution of precip has changed:
Jessica Spaccio, NRCC
NYS dairy industry challenges• Labor, labor, labor…….
• Compliance education and management skills• Technology adoption
• High volatility in milk price to farmer• Fundamental changes in milk price, premiums, etc. making Northeast milk prices more similar to other parts of the
country
• Less able to take advantage of economies of scale compared to some other regions
• Land availability issues (cost, location, distance, quality)
• Ongoing high need for next generation of dairy producers
• Unpredictability of macro-factors affecting ability to produce milk
• Public perception and pressure
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So, how do we adapt to the evolving Northeast Dairy Industry??
New York dairy industry opportunities
• Dairy processing/proximity to population
• Capacity to produce high quality feeds/environment/water availability
• Progressive and entrepreneurial mindset of many producers
• Excellent allied support professionals
• Solid support at Cornell and state levels through funding for agriculture-related programs
• Active industry-level leadership on key issues
Examples of NY dairy industry “workgroups”
• CAFO workgroup
• Animal Well Being Workgroup
• Agricultural Workforce Development Council
• Dairy Issues Team
• Cow Power
• New York Animal Agriculture Coalition
• Partners for a Healthy Watershed
CALS/Cornell research/extension/outreach programs relating to dairy
• PRO-DAIRY
• FarmNet/FarmLink
• Dairy Farm Business Summary and Analysis
• Northeast Dairy Foods Research Center
• Nutrient Management SPEAR program
• Cornell Net Carbohydrate and Protein System Nutrition Model
• Quality Milk Production Services (CVM)
• Milk Quality Improvement Program
• Cornell Program on Dairy Markets and Policy
• Other individual faculty programs
• Cornell Cooperative Extension Regional Specialists and County Educators
• Jason Karszes M.S., Anna Richards and Lauren Hill
• Farm Business Management, Business-focused Discussion Groups, Business Analysis, management educational programs
• Karl Czymmek, J.D.• Field Crops and Nutrient Management/Environmental Policy
• Joe Lawrence, M.S.• Dairy Forage and Cropping Systems
• Curt Gooch, P.E., Peter Wright, P.E. (0.5 FTE), and Jennifer Bockhahn
• Renewable Energy, Manure Systems Engineering; Dairy Facilities; Digital Agriculture
• Robert Lynch, D.V.M.• Dairy Herd Health and Management, online educational
programs
• Debbie Grusenmeyer, M.P.S.• Dairy Youth Programs/Junior Dairy
LEADER/Beginning Dairy LEADER
• Kathy Barrett, M.S.• Dairy Discussion Groups, Winter Dairy Management,
CCE training, online educational programs
• Caroline Potter• Programs Coordinator, Dairy Acceleration Program,
Empire Farm Days
• Julie Berry, M.S. (~0.7 FTE)• Communications
• Thomas Overton, Ph.D.• Professor of Dairy Management and Program
Director
PRO-DAIRY team
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Junior Dairy LEADER youth programs
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• PRO-DAIRY’s Junior DAIRY LEADER has introduced nearly 500 youth to career opportunities in the dairy industry • 98% of graduates continued their education after high school• 85% attended or are attending college to study agriculture• 56% of these youth indicated that they had not been
planning to pursue agricultural careers or had been undecided
• 31 youth between 16 and 19 years old in 2018-2019 class
• A true “game changer” relative to exposing and developing enthusiasm among youth for agricultural careers
Dairy, Livestock and Field Crop Teams
Positions IncludeDairy SpecialistField Crop SpecialistLivestock SpecialistFarm Business ManagementSmall FarmsPrecision Ag
2008 Teams2018 TeamsPotential
CCE Regional Teams
SCNY Dairy and Field Crops
Janice Degni – dairy crops and manure management
Betsy Hicks – dairy nutrition and management
Mary Kate Wheeler – farm business management
Melanie Palmer – dairy production and management
A. Fay Benson – small farms focus
NWNY Dairy, Livestock and Field Crops
Mike Stanyard – crops, pest management
Margaret Quaasdorff – dairy production management
Ali Nafchi – precision agriculture
Jodi Putman – agronomy, nutrient management, forage quality, hemp,
Libby Eiholzer – bilingual dairy specialist, HR focus
Joan Sinclair Petzen – farm business management
Nancy Glazier – grazing, production management, marketing
CCE Regional Teams
CNY Dairy, Livestock and Field Crops
Kevin Ganoe – field crops specialist
David Balbian– dairy production management
Ashley McFarland – livestock production
Nicole Tommell – farm business management
North Country Regional Ag
Kitty O’ Neill – field crops and soils specialist
Mike Hunter – field crops, agronomy
Lindsay Ferlito – dairy production management
Casey Havekes – dairy production management
Kelsey O’Shea – farm business management
CCE Regional Teams
Southwest NY Dairy, Livestock and Field Crops
Josh Putman – field crops specialist
Katelyn Walley-Stoll – farm business management
Alycia Drwencke – dairy management
Currently searching – livestock and small farms
Top ten characteristics of high performing, resilient dairies
• Know and understand their numbers (financial, efficiencies, etc.) and are very self-aware of the strengths and weaknesses of their business
• Understand that the dairy is a business, make business-based decisions, and are entrepreneurial in approach
• Promote a culture within their teams/employees of continuous improvement
• Focus relentlessly on forage quality
• High emphasis on cow comfort/well-being/health
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Top ten characteristics of high performing, resilient dairies
• Invest in both owners/managers and employees (education, self-improvement)
• Know how to best tap into the expertise of the resources around them (e.g., allied industry and agribusiness, CCE, other programs at Cornell and elsewhere)
• Owners/managers balance short-term decisionmaking and reactive with the need to have a longer-term plan for their dairy
• Open to reconsidering approaches upon availability of additional information
• Are engaged internally and externally within the dairy industry
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Dairy Advancement ProgramSupporting excellence in the New York
dairy industry.
Coordinator: Caroline [email protected]
Funds Available for Services
80% of cost up to:
❑ Record keeping systems – $2,500 for implementation and support of a new, or significant update to, an existing record keeping system.
❑ Operational planning – $2,500 for a farm’s first year of budgeting and planning from an operational perspective.
❑ Business planning – $5,000 for a farm to develop a business plan which may include, but is not limited to, business planning, transition analysis, facility planning and farmstead layout planning.
❑ Continued business planning – $2,500 for continuation of business planning for a farm awarded business planning funds in a subsequent year.
Environmental Planning(NYS DEC Environmental Protection Funds)
Program covers 80% of project costs:
• Up to $6,000 for development of a new CNMP (and CNMPs more than 3 yrs. old), plus first year of service, for herds with less than 300 mature cows.
• Up to $4,500 for the update of a CNMP, plus first year of service for herds with less than 300 mature cows.
Environmental Planning
Program covers 80% of project costs
• Up to $5,000 for design of a single eligible BMP identified in a farm CNMP for farms up to 699 mature cows.
• Up to $10,000 for design of a combination of BMP’s identified in a farm CNMP for farms up to 699 mature cows.
Strategic Focus Groups
• Peer to Peer Groups
• Funding for educators to coordinate and facilitate producer discussion groups.
• Minimum of 7 distinct producers
• Minimum of 2 producer contacts and 1 meeting.
• Advisory Teams
• Funding for advisory teams for individual producers
• 80% of project cost up to $3,000
• Can be applied for by producers or educators on behalf of producer
Thanks!!