Input costs: On page 32 we review where prices for some of the main farm inputs have gone in the last number of years. When we take 2010 as the base year, it’s clear that the price of fertilizer, feed and energy has increased by 25 to 30%. That’s a phenomenal increase in a relatively short time frame. Dairy farmers survived because output prices have increased by a similar amount over the last number of years. However, what is going to happen next year if output prices crash as they have already done on global export markets? What about those farmers I met in Balmoral last week, producing winter milk this week with no bonus in Northern Ireland at 23p/litre to 24p/litre (29-30c/litre)?

Something needs to change – producing more milk from the same cows or farm will only go some of the way to diluting costs, but if the business model is wrong, all the extra milk in the world will do no good. It comes back to efficiency before scale. Once you are efficient you can consider expansion. As I keep repeating, do what is right for your farm and business – not what your milk processor, Dairygold, Glanbia, Lakeland or any other processor, wants. Be real about your commitments, to your farm, your family members, the cost of expansion and the cost of running the farm from year to year.

In terms of input costs, look at ways to reduce meal costs while maintaining feed quality. Consider straights, bulk purchasing and buying small quantities at a time. Maybe hold off on buying fertilizer until the effects of the oil price drop wash through the system.

Annual grass yield: On page 60 we review the annual grass yields for a Wexford farmer who is measuring grass every week of the year. The weekly measurements allow him to total up the tonnage grown in each paddock at the end of the year. As you can see, this farmer had an exceptionally good grass-growing year (average 15.4t DM/ha). Unless you have this type of information for your farm you are not exploiting grass to the full.

You need this information year after year, to allow you make the right decisions on soil fertility, drainage, changing the variety, etc. There are software packages available that automatically calculate this annual figure, such as Agrinet, Kingswood and PastureBase. They are all useless unless you make up your mind that you want to get a tight handle on what grass your farm is growing. Weekly growth rate and annual grass yield per paddock should be everyday language, similar to milk yield for the modern day dairy farmer.

In-calf heifers and meal: If feeding meals to in-calf heifers before calving, be very careful because they can quickly become over fat. Heifers are most susceptible to laying down fat internally, in the pelvic cavity. This will reduce the space available for calving. Mature cows will not encounter the same problem. Heifers finishing first lactation might be more deserving if calving early next year.