The secret to 60c-plus a litre payouts lies in one word … components, according to Jersey breeders Colin and Jenny Dowel.
Top farmgate prices are not rocket science, just the result of good genetics and switched-on management, they said.
And components … as much as the girls can produce.
The Inverell Jersey stud herd went into June averaging 13.4 litres at 4.3 protein and 5.7 fat.
The payment structure of their processor, Burra Foods, saw the Dowels receiving more than 60c/litre, even before their winter milk premium.
Colin is very matter-of-fact. “We just produce the best genetics and it’s then down to management of feed. If you don’t do that right, you don’t get the best result. We make sure we just feed the cows strategically, according to the time of the year and availability. We also take account of herd test results for individual feeding in the bail.
“The Jersey’s better rate of feed conversion into components is a breed strength.”
The Dowels use a nutritionist to help balance the ration and also use soil testing to manage the fertiliser input “based on based on principles of biological farming”.
Colin’s management style is unwavering. “We work to the same sort of system year-in and year-out with minor adaptions. If you chop and change you’re asking for problems.”
His experience is drawn from a long tradition of Inverell Jersey breeding. The 212ha site is home to bloodlines dating back to 1929 when Colin’s grandfather Henry Dowel established the stud that passed to Wal, and then to Colin.
There are three sons in the family, Wesley, 16, who studying his Certificate II in dairying at NCDEA in Leongatha. Other Dowel sons are Mark, 24, a greenkeeper, and Stuart, 21, a production manager. “All three assist at various times with their skills and knowledge,” said Colin.
Colin and Jenny have been farming the property, on fertile undulating heavy grey loam just on the outskirts of Korumburra, since 1956.
The area receives an annual rainfall of 1200 mm and the Dowels have two dams, covering 2.5ha.
The Dowels typically run all registered Jersey cows, 370 milkers and about 100 calves and 100 yearlings.
They run a split calving herd; some empties and smaller heifers joined in late June for Autumn calving. It is further evidence that the Dowels achieve their high farmgate price without pushing the borders of herd maintenance either.
“We calve from June 10 to September 10. It’s not a tight calving pattern because of our family and community activities,” said Jenny.
She is responsible for the calf-rearing operations.
“Calf rearing is the key to your future success. If you rear the calves well, you can expect them to produce to their potential,” she said.
Grain supplements for the whole milking herd totals around 1.5tonnes/cow/year. Additionally, the Dowels cut about 500 tonnes of pasture silage off 40ha, along with 500 rolls of pasture hay and about 12ha of crops, mainly turnips.
Some years they have forward-bought their feed supplies, buying 150 to 200 tonnes of grain at harvest, to secure feed at the right price.
“We also buy high-quality lucerne and vetch from Northern Victoria to cover feed shortages in drought years. Farmers have to be smarter and might have to consider forward-buying feed supplies to cope with changing climate. We have bought up to 200 tonnes of grain at harvest at prices that are viable.”
Colin said: “It all boils down to what you’ve got in your pocket at the end of the year.”
Jenny adds: “Your processor has to be in partnership with you. We supply Burra Foods and we feel that we’re part of the company. The partnership is important highlighting integrity, honesty and open communication between the milk company and ourselves.”
Reno Tomaino, Supply and Logistics Manager for Burra Foods, highlighted the benefits of components. "Our company, probably more than many dairy processors, needs components. We supply dairy food ingredients to a growing range of export clients, and components are fundamental to those operations.”
More than 80 farming families annually supply, some more than 150m litre-equivalents to the Korumburra-based family-owned business. It creates high-end premium ingredients for food processors, servicing both domestic and export clients.
Reno said: "For many years domestic demand saw a focus on litres produced. But now, as the market matures and the foods we create grow more sophisticated, we have a new appreciation of the application and flexibility of milk-based protein and fat.”
For details about supplier payments, contact Reno on 5658 0017 or 0409 552 174.