Grain Feeding
David Balbian, Area Dairy Specialist
Central New York Dairy and Field Crops
Last Modified: May 1, 2014
The milk feed price ratio that is used today (since 1985), that uses the price of corn grain, soybeans, and hay in it's calculation is 1.29 for July (the lowest since it's been calculated this way). I don't want to belittle how bad the current economic situation is, but the old milk feed price ratio is not as relevant today as it once was. Today we are looking at net milk income after feed costs as a measure to key in on. It's what's left over (per cow/day or per cwt.) after we pay for feed costs.
Penn State tracks those numbers monthly. For July 2012 they list Income over Feed Cost (for a 65 lb. cow) at $5.63 per cow/day. Compare that to $10.17 for September of 2011. On a per cwt. basis they list income over feed cost at $8.66 for July 2012. Compare that to $15.65 in September of 2011. It is not a good situation (as you know). It tells us that there is about half as much money left over after paying feed expense than there was in September of 2011.
Most people have a negative cash flow right now. After paying for feed there is simply not enough money to pay other expenses.
No matter how you look at it or evaluate things, it's a very bad situation economically.
If you have your own high moisture corn you should feel real good about things. For this fall's harvest be sure you have taken care of your forage needs first, before considering your corn grain needs. Some people will need to convert corn originally planted for grain to corn silage.
Don't cheat the cows. It's tempting to pull way back on grain feeding, but it will likely cost you in the long run (assuming you are allocating grain as appropriately as you can right now). Saving $1.00 and losing $1.50 or $2.00 is bad business.
Realize that if you pull back on grain the cows will consume more forage. If you're tight on forage supply this will only worsen that situation.
We've seen this situation in the past (or at least very similar situations). Cows that are shortchanged lose weight, do not breed back, and drop in production. When things turn around (milk & feed prices) you simply cannot turn on the switch to bring production back. It often takes the next lactation to return things to normal.
Take care of the basics. Meet energy and protein needs. With properly balanced rations there is still a return for feeding grain. It may not be very good, but there is still a return.
Work with your nutritionist to be sure your ration is on track. Scrutinize any extras you have in the ration and be sure they still pay.
Reduce shrink any way you can. This is spilled, wasted, or spoiled feed. You can no longer afford excessive shrink.
Talk to your lender. Their interest rates will be better than with your feed supplier. Hopefully you can tap into a line of credit that will allow you to get through this situation. Believe me, it will turn around. It always does.
I wish I could tell you when and by how much, but I simply do not know.
I hate to say it, but the current strategy is to operate in a way that minimizes loses. Those who lose the least over the next several months will come out of this better than others. A profitable environment will exist sometime in the future.
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Mother nature has really been difficult over the last few days. Significant damage has been seen throughout NYS. Please let us know what types of damage your farm may have sustained during this time. This could be in the form of property damage, lost power, milk dump due to lost power, loss of livestock, loss of stored feed or growing crops.Farms are encouraged to DOCUMENT AND SHARE any impacts the weather may have had on their home or business. This could include structure damage, crop loss, inventory loss due to power outages, damage to equipment or fencing, and more.
If your farm experienced any sort of damage, please reach out to any of the folks listed below (or all of them). The more impact information that is collected, the greater the likelihood of a disaster declaration which can bring vital emergency support and awareness. The CNYDLFC Team will continue to collect detail and submit to NYSDAM and the EDEN network.
Reporting Weather Related Impacts (For your home or farm business)
- First, ensure that all the people and animals on your farm are safe, and that there aren't any unsafe working conditions created because of the weather (check your structures!). If there's an emergency, call 911 - don't try to manage it all on your own.
- Second, document all negative weather impacts for your farm and their estimated financial cost. Take photos, make estimates, and put it all in a safe place.
- Reach out to your insurance providers - farm, vehicle, crop, etc. to initiate the claim process as needed.
- Then, share your farm's damage with any (or all) of the ag support agencies listed below. We all work together to collect storm damage information and funnel it up to Ag and Markets which can initiate a natural disaster declaration.
Your local Cornell Cooperative Extension Association Office.
- Chenango: 607-334-5841
- Fulton/Montgomery: 518-853-2135
- Herkimer: 315-866-7920
- Madison: 315-684-3001
- Otsego: 607-547-2536
- Schoharie: 518-234-4303
- Saratoga: 518-885-8995
Any of our CNYDLFC Team members (calls/emails/texts/site visit requests all ok)
Your county USDA/FSA service center.
Your county farm bureau manager
Please let us know how we can help you.
- Erik Smith: 315-219-7786
- Daniela Gonzalez: 315-749-3486
- Ashley McFarland- 315-604-2156
Your county USDA/FSA service center.
- Chenango: 607-334-3231
- Fulton/Montgomery: 518-853-4015
- Herkimer: 315-866-2520
- Madison:315-824-9076
- Otsego: 607-547-8131
- Schoharie: 518-295-8600
- Saratoga: 518-692-9940
Your county farm bureau manager
- Region 3: Bailey Coon: 518-937-0566
- Region 5: John Wagner: 315-761-9770
- Region 6: Natally Batiston: 518-937-0269
- Region 7: Todd Heyn: 518-431-9338
Please let us know how we can help you.
Cash Rent and Custom Harvest Survey
To date, there is limited information available about rental rates and fees for crop harvesting. Farms can use this valuable information for their farm business planning to help improve decision making and profitability.The data that is collected, and the subsequent reports/findings/resources will be helpful for all of us to answer that call of "What's the average rental rate in my area?" and "How much do people charge to combine oats?"
Farmers Can Join MeatSuite For Free!
MeatSuite.com is a free resource provided by Cornell University where NY meat farmers can create a farm profile and list their bulk (wholes, halves, quarters) and bundled (i.e. Grilling Bundle) meat products.Why should farmers join?
1. It's free and easy!
2. Connect with more local customers. In the past year the MeatSuite.com farm directory had 8,300 visits from New York consumers. Farm profiles get as many as 25 views per month from potential local customers. We also spotlight MeatSuite farms on social media and bring attention and purchases to farms through highlights and giveaways.
How do I join?
Farmers can visit https://www.meatsuite.com/farmers/ to create a free farm profile. You must list at least one product for your farm's profile to go live. You'll also have access to Cornell's free Meat Price Calculator, a helpful tool for pricing your meat to make a profit.
While you're on MeatSuite, check out the "Creating Consumer-Friendly Bulk Meats" publication on the log-in page. It has tips on how to create bulk meat products that are easier for first-time buyers to say "yes" to.
If you have any questions as you create your farm profile or products, we're here to help! Please email Matt LeRoux at mnl28@cornell.edu.