June 27, 2016

Can you save your way into profitability?

 |  By: Anna-Lisa Laca

By Robert B. Corbett, DVM

During times of low milk prices, many dairy veterinarians and nutritionists are asked for recommendations to reduce costs and improve profitability.

Because feed costs are the single greatest expense to the dairy, this is often the first place dairy farmers look to reduce costs. If the nutritionist can reduce feed costs and not reduce milk production or milk components, it is obvious that they are not doing their job with the utmost diligence. Therefore, reducing feed costs enough to make a difference without having an adverse effect on production and components is usually not an option.

The next option is often trying to “save our way into profitability” by taking things out of the ration that might be considered extras or additives. Because minerals are often the single most expensive part of the ration, they are often considered first as a means of reducing ration costs.

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