Forget the doom and gloom surrounding agriculture, livestock producers have a lot to look forward to if they are prepared to change and look to a more forage-based system.
That was the overwhelming viewpoint of several speakers attending the British Cattle Breeders Conference in Telford, who have completely transformed their business within a matter of years.
“Being fit for the future does not mean continually doing what you have always done, you have to get a clean sheet of paper and ask yourself what will add value,” Roddy McLean, director of agriculture at the Natwest Bank, told a packed audience on Tuesday.
“Change is scary, but don’t be constrained by history. You have to measure to improve and you should be budgeting as a matter of course. You can’t expect different results from doing the same thing,” he said encouraging producers to focus on the jobs that are worth £300 per hour compared to those at £10 per hour.
However, he warned that the need to change can often result in anger, conflict, stress and depression at the realisation of what has to be achieved to improve profit margins.
It’s a process which Maggie and David Kelly, from Netherhall farm, Kirkby Lonsdale, know all too well. Having hit the headlines on regular occasions for breeding highly prized pedigree Limousin cattle, with numerous four and five-figured bulls and heifers, the couple admitted they were under huge stress when they realised their cattle were not making money.
Add to that a colossal work load, calving cows and heifers which could result in caesarians, dead calves, poor fertility and increased feed bills producing over-fit cattle for the sale ring that could end up going lame or lack fertility because they were too fat to work, and the pressure was immense.
However, a trip to New Zealand in 2013, where they saw docile, Hereford cattle that calved themselves, and finished off grass provided the light bulb moment they needed.
“We were told at the bull sales the next February, we were ruined because we were producing bulls for a market which was being so influenced by show calves,” said Maggie, who admitted they were right.
“Why were we producing bulls with big behinds when all the back end produces is mince and the value is in the loin? We have always been led to believe a good calf is one that is difficult to pull but it doesn’t have to be.”
The couple then took the plunge and bought the autumn calving portion of the Ervie Hereford herd in 2014 and were most impressed.
“They calved, they grazed and they milked! They were so easy calving we decided to put a L1 hereford bull on to our Limousin heifers just to calve them and avoid doing damage. The Limford was born,” Maggie added.
The couple were so impressed by their Herefords, they flushed females in America and Australia to produce the best cattle possible and now run 200 pedigree cows to calve March-May. They are run commercially at grass in summer, with just silage and straw in the winter. They happily calve at two years of age compared to 2.5years with the Limousin.
“Our herefords are not as big as the Limousins, they do not eat as much, make better use of the grass and they need less silage!,” Maggie added pointing out that the business is now back making money.
Ben Harman, a fourth generation farmer and chairman of the British Charolais Cattle Society, was equally positive for the future, and encouraged producers to continually strive to improve.
“If you look to do everything 1% better every time, those small improvements add up and make a huge difference in the end,” he said adding that this concept has enabled him to develop and expand his successful Chagyu ¬– a Charolais cross Wagyu - meat business.
“I am extremely lucky in that I live withing 25 minutes of the five richest postcodes in England, so I can add value to my product and sell it to very rich people, but if you want to rely on repeat business you have to keep doing everything right.
“Quality + repeatability = profitability. Customers want high welfare, locally produced, grass fed and high quality. People eat through their mouth but they also eat with their brains and they want a story to go with the food they are eating.”
He said the key to continually producing top quality beef is reducing the amount of stress on cattle which means having the right breeds and crosses in the first place and a management and housing system that reduces stress.
“You have to minimise stress from day zero which means no shouting, no running, no sticks for hitting cattle only for showing direction or scratching, stress-free handling, and fence line weaning.
“You also have to minimise mixing of groups and always travel cattle in pairs (at least). No mixing of groups withing 42 days of slaughter and slaughter in pairs in the right slaughterhouse. I also introduce my cattle to travel before they go to the slaughterhouse,” added Mr Harman.
• For more positive features from the British Cattle Breeders Conference see The Scottish Farmer Livestock Special on February 15.
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