PSXII-12 - Partial indicators monitoring in dairy farm: effect of feed efficiency improvement on gross margin

Abstract: The use of partial indicators helps to improve technical and economic efficiency of dairy farms. Nevertheless, a complete monitoring of farm cash flow and economic balances is needed to better support the decision making. The aim of this work was to propose a practical approach to monitor farm costs and incomes and related indicators of profitability. A methodological framework to calculate farm gross margin was developed and applied to a dairy cattle farm with 227 milking cows from Arborea (Or, Italy). Farm data were gathered at daily scale and elaborated twice per month. Replacement and dry cattle, other costs were monitored separately. Considered variables included: diet formulas, dry matter (DM) and costs of the produced and purchased feeds, milk delivered and price, meat and cattle sold (culled cows, live animals). Through the management software Ecostalla^®were collected the other costs concerning health and reproduction cost, energy and other cost that included: fuel, electricity and other materials. The farmer was asked daily to input in an excel spreadsheet for lactation groups feed and milk delivered, milking cows, feed orts a and for all the groups: consistency, feed delivered and weekly the unifeed DM. Partial indicators were calculated for feed efficiency as mik/feed (FE), cost in €/kg of DM, IOFC, gross margin (revenues –considered costs). All the calculations were referred to the year 2022 the average milk price and cost per kg of DM was 0.465 €/l 0.39 €/kg respectively. The average milk production and DMI per cow was 33 l and 25.5 kg respectively, with a FE of 1.29 . Pooling daily data over the whole year a variation of ±0.1 in FE corresponded to ±1.01 €/head daily change in IOFC. At the end of the year the feeding cost were equal to 817,798 € for lactating cows, 229,354 € for heifers, dry cows and calves, health and reproduction cost were 60,852 € and energy and other cost were 212,132 € . The final gross margin was 18,461 €, ranging from a max of 14,282 € in March and a min of – 15,501 € in September. Improving FE from 1.29 to 1.43 with 26.5 kg/DM and 38 l/d with other cost that remain equal excep improving cost per kg of DM of . 0.02 € it will be a gross margin about 128,707 € more than 110,246 € respect the actual situation. This approach can be useful to stimulate farmer nutirionist and vet to improve a discussion to research goal to economic sustainability of farm.