In many parts of the country, dairy farmers have enjoyed favourable growing conditions throughout winter and spring, leading to reduced use of stored and imported feed and higher-than-expected production to date. Combined with an improved milk payout forecast and falling interest rates, the outlook is more favourable compared to this time last year.
Interestingly, twelve months ago, we discussed navigating a drop in payout in our "Feed for Thought" podcast (Feed for Thought Podcast - Season 1 - Pioneer). The key message then was to stick with the fundamental principles that make your system successful—an approach that remains relevant today.
One of the key principles that applies now is setting your farm up for the summer season. Dairy farmers have an opportunity to build on early season momentum, transitioning from a pasture deficit to a surplus. Proper management of this period can help mitigate the effects of low pasture production during the summer, directly impacting the farm’s bottom line.
While harvesting pasture silage is a natural solution for managing surplus pasture, incorporating a maize crop into the rotation is another option that offers multiple benefits. Maize is a reliable feed crop, capable of producing over 25t DM/ha under optimal conditions, making it one of the highest-yielding crops available to farmers. In comparison, ryegrass typically yields between 12 to 18t DM/ha annually. This extra feed supply can be achieved with minimal disruption to the grazing system, balancing the need for both pasture and stored supplementary feed.
Despite the favourable early season conditions, some farmers are cautious that these conditions may not last. If we experience a more traditional, dry summer, maize is well-positioned to thrive, thanks to its excellent water-use efficiency. Maize typically requires around 400–600 mm of water per growing season, which is significantly less than pasture and many alternative crops. Additionally, maize’s deep-rooting system—often extending 1.5 meters into the soil—enables it to access deeper water reserves during dry periods. This drought tolerance ensures that maize can maintain growth and yield, even when surface water is limited.
Although the dairy outlook is more positive than a year ago, farmers are still feeling the effects of high inflation and rising on-farm costs. This economic pressure is leading many farmers to focus on cost-effective solutions this season.
One practical solution is growing maize on effluent-treated paddocks, which provides an opportunity to utilise on-farm nutrients and reduce input costs. Dairy farm effluent is rich in nitrogen, phosphorus, and potassium—essential nutrients for plant growth. Because maize produces high yields it has a demand for nutrients and can remove up to 240 kg of nitrogen and potassium per hectare when yielding a 20t DM/ha maize crop. By growing maize in areas where effluent has been applied, farmers can reduce the need for synthetic fertilisers, saving up to $1,000 per hectare. This not only lowers input costs but also ensures more sustainable nutrient management on the farm.
Another factor currently influencing farmers’ decision-making is the falling price signals for some imported feeds. These are leading some farmers to take a “wait and see approach” to supplying summer feed, as it can be purchased when needed, without the upfront costs associated with growing maize.
However, relying solely on imported feed comes with potential risks. If summer conditions turn dry and demand for supplementary feed increases, the price of these feeds could spike, making it less affordable than it appears now. In contrast, growing maize on-farm provides a more stable, reliable feed source that is not subject to market fluctuations. While the current price signals may tempt some farmers to reduce their maize planting, it’s important to balance this decision against the long-term security maize silage offers.
By planting maize, farmers can effectively manage surplus pasture, reduce reliance on imported feed, mitigate risk and efficiently utilise on-farm nutrients. Maize’s drought tolerance, high yield potential, and ability to recycle nutrients from effluent-treated paddocks make it a valuable addition to the farm system. Even in a season with favourable pasture growth to date, maize can provide a reliable future feed source that helps mitigate risks and maintain consistent production.
Author, Wade Bell, Pioneer Farm Systems Manager. Published by Dairy News 03/10/2024.