The economic importance of reproductive managament in dairy herds

Abstract

The objective of this study was to analyze the economic importance of reproductive management of dairy herds. The results presented quantify the annual losses due to reproductive failures at herd level. The investigations were carried out at 2 Hungarian largescale (Herd 1: 1150; Herd 2: 1100 cows) Holstein-Friesian dairy farms with average output and fertility parameters. The method of partial budgeting was used in the calculations. The data of cows calved in 2008 and the agro-economic conditions of the year 2008 were taken into consideration when quantifying the losses. When considering net milk receipts together with calf sales, an average calving interval of 11 months (< 350 day) for farm 1 and 12 months for farm 2 was found to be economically optimal. The difference between this optimum and actual calving intervals represented the losses to the farms, with respect to decreased income per cow per year (so-called obscured loss), premature disposals, additional treatments and increased insemination costs. The annual losses due to reproductive failures were found to be EUR 194 and 276 per cow (1 EUR = 250 HUF) for farm 1 and farm 2 respectively. The average cost of an open day was EUR 2.5 for farm 1 and 2.65 for farm 2. The total annual losses attributed to reproductive failures throughout the herd exceeded EUR 223,000 for farm 1 and 303,000 for farm 2. These figures amount to a staggering 9-11% of the farm’s total income. Considering these results, it can be concluded that reproductive disorders are responsible for the highest losses in Hungarian dairies. As a proportion of the total losses incurred by each farm suboptimal calving intervals were found to be responsible for 54.4% and 50.9% for farm 1 and farm 2 respectively. The second largest losses were attributed to premature disposals making up 31.7% and 32.2% of the total. The remaining losses incurred as a result of poor reproductive performance were due to treatment costs and increased numbers of artificial insemination. Prevention of all the above-mentioned losses owing to reproductive failures is perhaps not feasible due to the high levels of investment needed. However, reducing the calving interval by just 10 days would yield a EUR 22,400 increase in total return for Herd 1, and a EUR 25,200 return for Herd 2. Reducing the calving interval further by 1 eostrus cycle (21 days) would result in a EUR 47,200 and a EUR 53,200 increase in total revenue respectively. The 30 reproductive management on dairy farms is therefore of high economic importance.