Strategic culling key to cost-effective dairy farming

By Scout Nelson

Raising the right number of replacement cows is a cost-effective goal for dairy farms. In 2022, it cost over $2100 to raise a heifer, according to the University of Minnesota FINBIN database. Replacement costs account for a significant slice of a dairy's operating cost, just behind feed and labor.

When a cow leaves the herd, it costs the farmer money. The cost is the difference between what the new cow costs and what the old one was worth. Lately, these costs have gone down due to high cull cow values, but raising too many replacements still isn't profitable for most.

The cull rate for dairy herds is a complex process influenced by various factors such as goals, replacements, herd size changes, funds, milk prices, and cull cow values. The goal is to maximize income from cows, while also considering future productivity.

Setting the perfect cull rate is challenging, as it's not universally applicable. Top-performing farms may achieve a 25% cull rate, and older cows may be more profitable than younger herds, but not for every farm.

So, how do you plan your replacements? It's not just about the cull rate. It's about knowing when and why cows leave the herd. Here are some steps to help plan:

• See each cow as a way to make money. The goal is to have cows that will earn the most money, considering not just the milk they produce but also how easy they are to take care of.
• Look at why cows leave the herd early in their milking period. These culls are costly and usually due to diseases or injuries just after giving birth. A good target is for fewer than 8 out of 100 cows to leave during this time.
• Check the forced cull rate. If many cows are leaving because of health problems, it's time to see what can be done to keep cows healthy and in the herd longer.
• Setting the perfect cull rate is challenging, as it's not universally applicable. Top-performing farms may achieve a 25% cull rate, and older cows may be more profitable than younger herds, but not for every farm.
• Plan for the future. Know how many replacements you'll need in the coming years. Some companies can predict this for you.
• Set a replacement plan based on your target cull rate but have a few extra cows just in case. Your management team can help decide how to breed your cows to meet your replacement needs.

The optimal cull rate varies across farms, so it's crucial to consider the reasons behind cow departures and collaborate with your team to devise the optimal plan for your farm's objectives and style. Success can occur at different replacement rates.