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Management

Manage dairy employees, establish farm protocols, take on milk marketing, and become more confident in your farm financials.

LATEST

Making any major change in your dairy operation demands a team approach, and moving from a traditional stall or parlor milking system to a robotic milking system is certainly a major change.

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Current commodity prices have some dairy farmers looking to capture additional revenue by feeding out dairy steers or the growing number of dairy-beef calves that are more common due to herd breeding decisions.

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Increased components and improved quality are adding to basis on milk checks, but dramatically higher hauling charges are pulling overall basis lower in the Midwest, according to Matt Lange, business consultant with Compeer Financial, Baldwin, Wisconsin.

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Milk prices declined in 2018, but announced prices again didn’t tell the whole story. Marketing deductions continued to shrink basis as well.

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With the end of another year, now is the time to brush up on key financial ratios and cost drivers that will assist in evaluating your farm’s performance.

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Economic conditions for dairy producers have been challenging over the last few years, mostly due to pricing pressures putting the squeeze on profit margins. Interest rates, however, were not a major factor, thanks to the Federal Reserve keeping short-term rates historically low in the wake of the recession.

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