MARKETS ▶▶▶


Why NZ farmers favour efficiency


The numbers are crystal clear. According to the latest New Zealand Dairy Statistics, the country has during the period 2018-19 produced more milk from fewer cows. How has the country’s dairy sector managed this? In a word – efficiency. It seems that with a focus on efficiency and productivity, the dairy sector in New Zealand has not only made strides in milk output but is continuously progressing in other avenues too.


BY ZANA VAN DIJK O


ne of the challenges facing agricultural indus- tries globally is how to realise better results with less impact on the environment. Considering that industries often have several goals to reach


when it comes to the impact on the environment, it seems that the dairy sector in New Zealand is one to take note of, in light of the recent 2018-19 New Zealand Dairy Statistics report released by DairyNZ and Livestock Improvement Corporation (LIC).


Record milk production New Zealand – in a nutshell it is one of the most profitable dairy farming sectors and lowest cost producers globally. Over the last five years cow numbers have remained steady


NZ: Dairy sector in numbers


• 3.59 Million cows mated to AB (1% up from 2017/18) • 4.946 million cows (down 0.9% from 2017/18) • Jobs in the dairy industry: 46,000 employees • 11,372 herds (down by 218 from 2017/18) • 435 is the average herd size (up by 4 from 2017/18) • 3.67 million cows herd tested (1.6% up from 2017/18) • 21.2 billion litres of milk containing 1.88 billion litres of milk solids (2.4% up from 2017/18)


• $ NZ18.1 billion – amount if export revenue NZ earned from dairy farming (year to June 2019).


Source: New Zealand Dairy Statistics 2018-19 10 ▶DAIRY GLOBAL | Volume 7, No. 1, 2020


around 4.9 to 5 million. According to the report by DairyNZ and LIC, the 2018-19 cow census shows that with the rela- tively stable total cow numbers, the country is producing more milk than ever before. New Zealand reached record milk production per herd and per cow this year, with dairy companies processing 21.2 billion litres of milk containing 1.88 billion kilogrammes of milksolids – both up 2.4% on the previous season. The latest numbers show that New Zealand has 4.946 million milking cows – a decrease of 0.9% from the previous season. (Box 1 – NZ dairy sector in numbers.).


Efficiency tools Dr Tim Mackle, DairyNZ chief executive states that New Zea- land’s dairy sector is evolving, and the days of significant cow number growth may be over. With this evolving trend taking place, changes have also been seen in the business end of it, in the form of investment measures. This has allowed more technology on-farm and sustainability measures to be car- ried out and allowed the country’s dairy sector to remain competitive in the global market. According to DairyNZ, New Zealand’s dairy farmers are com- mitted to running their dairy farm more efficiently. Efficiency has clearly paid off with higher milk output as can be seen in the statistics released. Wayne McNee, LIC chief executive, tells Dairy Global that “today farmers are continuing to draw on a range of tools (Box 2 – Tools and services.) to enable them to farm more productively and efficiently.” The question is; what exactly are farmers doing to be more efficient? “Starting with the first national herd database, one of the strengths of our co-op has always been our ability to use our data to drive genetic gain, produce more milk solids more efficiently and help farmers save time and increase their profits.” McNee adds: “We’re proud of the role we play in helping ensure cows around the country are year-on-year more efficient at converting grass into milk, in turn enabling dairy farmers to reduce their environmental footprint.” Al- though efficiency is a concept that can differ from farm to farm in terms of varied focuses, there are tools that are wide- ly offered to dairy farmers in New Zealand that ensure ut- most efficiency. These tools and services offered to New Zea- land dairy farmers (Box 2 – Tools and services.) allow for example quicker and easier decision-making, better feed management and a focus on the environment. Tools include


PHOTOS: DAIRYNZ


Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22  |  Page 23  |  Page 24  |  Page 25  |  Page 26  |  Page 27  |  Page 28