27
Sheep = $ dollars Geoff Casburn sheep Officer Wagga

Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

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Page 1: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

Sheep = $ dollars

Geoff Casburn sheep Officer Wagga

Page 2: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

$0.00

$10.00

$20.00

$30.00

$40.00

$50.00

WETH

ERS (18 m

icron

)

WETH

ERS (20 m

icron

)

(18 m

icron

) - M

erino

Ram

s

(20 m

icron

) - M

erino

Ram

s

(20 m

icron

) weth

er la

mbs so

ld as tr

ade

lambs

(20 m

icron

) 25

% to

Ter

minal R

ams

(20 m

icron

) - Te

rmina

l Rams

(20 m

icron

) - M

atern

al Mea

t Ram

s

1st C

ROSS EW

ES - Ter

minal M

eat R

ams

DORPER EW

ES - Dor

per R

ams

DS

E/H

a

2011 exluding feeding

Sheep Gross Margins

Page 3: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

$0.00

$10.00

$20.00

$30.00

$40.00

$50.00

WETH

ERS (18 m

icron

)

WETH

ERS (20 m

icron

)

(18 m

icron

) - M

erino

Ram

s

(20 m

icron

) - M

erino

Ram

s

(20 m

icron

) weth

er la

mbs so

ld as tr

ade

lambs

(20 m

icron

) 25

% to

Ter

minal R

ams

(20 m

icron

) - Te

rmina

l Rams

(20 m

icron

) - M

atern

al Mea

t Ram

s

1st C

ROSS EW

ES - Ter

minal M

eat R

ams

DORPER EW

ES - Dor

per R

ams

DS

E/H

a

2011 exluding feeding

2010 including feeding

Gross Margins $/DSE

Page 4: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

$0.00

$10.00

$20.00

$30.00

$40.00

$50.00

WETH

ERS (18 m

icron

)

WETH

ERS (20 m

icron

)

(18 m

icron

) - M

erino

Ram

s

(20 m

icron

) - M

erino

Ram

s

(20 m

icron

) weth

er la

mbs so

ld as tr

ade

lambs

(20 m

icron

) 25

% to

Ter

minal R

ams

(20 m

icron

) - Te

rmina

l Rams

(20 m

icron

) - M

atern

al Mea

t Ram

s

1st C

ROSS EW

ES - Ter

minal M

eat R

ams

DORPER EW

ES - Dor

per R

ams

DS

E/H

a

2011 exluding feeding

2011 including feeding

2010 including feeding

Gross Margins $/DSE

Page 5: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

2011 Sheep enterprise Gross Margins

Weaning +20% Weaning

%

18µµµµm self replacing (SR) 83 99

20µµµµm SR 86 103

20 µµµµm SR - finished wether lambs 86 103

20 µµµµm SR - finished wether lambs 25% T 87 104

20 µµµµm SR - all joined to terminals 90 108

20 µµµµm SR - breeding 1st X ewes 90 108

1st X ewes: joined to terminals - prime lambs 118 141

Page 6: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

Gross Margin per hectare

$0.00

$100.00

$200.00

$300.00

$400.00

$500.00

$600.00

WETH

ERS (18 m

icron

)

WETH

ERS (20 m

icron

)

(18 m

icron

) - M

erino

Ram

s

(20 m

icron

) - M

erino

Ram

s

(20 m

icron

) weth

er la

mbs so

ld as tr

ade

lambs

(20 m

icron

) 25

% to

Ter

minal R

ams

(20 m

icron

) - Te

rmina

l Rams

(20 m

icron

) - M

atern

al Mea

t Ram

s

1st C

ROSS EW

ES - Ter

minal M

eat R

ams

DORPER EW

ES - Dor

per R

ams

$/H

a

2011 Sheep enterprises

2011 wheat 3.2 T @ $215

Page 7: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

Gross Margin per hectare

$0.00

$100.00

$200.00

$300.00

$400.00

$500.00

$600.00

WETH

ERS (18 m

icron

)

WETH

ERS (20 m

icron

)

(18 m

icron

) - M

erino

Ram

s

(20 m

icron

) - M

erino

Ram

s

(20 m

icron

) weth

er la

mbs so

ld as tr

ade

lambs

(20 m

icron

) 25

% to

Ter

minal R

ams

(20 m

icron

) - Te

rmina

l Rams

(20 m

icron

) - M

atern

al Mea

t Ram

s

1st C

ROSS EW

ES - Ter

minal M

eat R

ams

DORPER EW

ES - Dor

per R

ams

$/H

a

2011 Sheep enterprises

2011 Wheat 3.7 T @$215

2011 wheat 3.2 T @ $215

Page 8: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

Gross Margin per hectare

0

100

200

300

400

500

600

WETH

ERS (18 m

icron

)

WETH

ERS (20 m

icron

)

(18 m

icron

) - M

erino

Ram

s

(20 m

icron

) - M

erino

Ram

s

(20 m

icron

) weth

er la

mbs so

ld as tr

ade

lambs

(20 m

icron

) 25

% to

Ter

minal R

ams

(20 m

icron

) - Te

rmina

l Rams

(20 m

icron

) - M

atern

al Mea

t Ram

s

1st C

ROSS EW

ES - Ter

minal M

eat R

ams

DORPER EW

ES - Dor

per R

ams

$/H

a

2011 Wheat 3.7 T @ $255

2011 Sheep enterprises

2011 Wheat 3.7 T @$215

2011 wheat 3.2 T @ $215

Page 9: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

Gross Margin per hectare

0

100

200

300

400

500

600

WETH

ERS (18 m

icron

)

WETH

ERS (20 m

icron

)

(18 m

icron

) - M

erino

Ram

s

(20 m

icron

) - M

erino

Ram

s

(20 m

icron

) weth

er la

mbs so

ld as tr

ade

lambs

(20 m

icron

) 25

% to

Ter

minal R

ams

(20 m

icron

) - Te

rmina

l Rams

(20 m

icron

) - M

atern

al Mea

t Ram

s

1st C

ROSS EW

ES - Ter

minal M

eat R

ams

DORPER EW

ES - Dor

per R

ams

$/H

a

2011 Wheat 3.7 T @ $255 standard weaning2011 Wheat 3.7 T @$2152011 wheat 3.2 T @ $215+20 % weaning

Page 10: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

� A proportional increase in stocking rate or weaning rate improves gross margin per hectare (GM/ha) by about

the same amount.

� For Under-stocked farms improving reproductive rate at the same time as increasing stocking rate will result

in fewer ewes being bought.

� Especially important when the cost of ewes is high.

Page 11: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

� Increased weaning rate increases stocking rate.

� For example increasing weaning rate in a prime lamb enterprise from 118% to 130% (ewes weighing 70kg)

increases the DSE rating per ewe from 2.67 to 2.77.

� For an enterprise running 1000 ewes this equates to an increase of 100 DSE.

Page 12: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

� In many situations there will be no need to reduce ewe numbers.

� The enterprise would produce 1300 lambs compared to 1180, an increase of 120 lambs.

� However, if the stocking rate is optimum, the number of ewes would need to be reduced by 37 to 963 ewes

producing 1252 lambs, an increase of 72 lambs.

Page 13: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

Profitability of a meat enterprise is more than just reproduction - what other factors need to be considered

Page 14: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

� number of lambs born – natural breeding season and fatscore

� pasture utilisation - both ewes and lambs

� hand feeding – supplementation and production feeding

� kilograms of lamb meat produced per Ha – number of lambs and their sale weight

� sale value - $/kg

� Balancing everything else

Page 15: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

Profit = Optimum

Optimum = a compromise that produces the best possible result

Page 16: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

Gross Margin ($/ha), $185T grain, production feeding and similar sale weight, annual pastures.

0

50

100

150

200

250

300

350

400

450

Apr May Jun Jul Aug Sep

Month of lambing

Gro

ss M

arg

in p

er H

a

6 ewe/ha

5 ewe/ha

4 ewe/ha

• Variation within an enterprise greater than between enterprise

• June the most profitable

• 5 ewes/ha as profitable as 6 ewes for other lambing dates

Page 17: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

Feeding trade offs

0

20

40

60

80

100

120

140

160

180

200

Apr May Jun Jul Aug Sep

Month of lambing

Fee

d C

ost

s $/

ha

Combined

Adult ew e

Lamb s

Page 18: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

1 fatscore increase = 12 more lambs

0

20

40

60

80

100

120

140

160

1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 5.0

Fat score

Co

nce

pti

on

rat

e (

lam

bs

scan

ned

/100

ew

es)

Page 19: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

Conception rate and breeding season

Conception rate of Merino and Crossbred ewes at different joining times

0

20

40

60

80

100

120

140

160

180

Nov Dec Jan Feb Mar Apr May

Months

Co

nce

pti

on

rat

e %

Cross Bred

Merino

Page 20: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

0

20

40

60

80

100

120

J F M A M J J A S O N D

Per

cent

ew

es c

yclin

g

Merino

Dorset, DorsetMerinoBorder Leicester XMerinoBorder Leicester

Seasonal oestrus patterns

Page 21: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

Autumn Joining – Spring lambing

� Nearly all ewes will naturally cycle in autumn

� Ewes cycle every 17 days

� Approximately 6% of ewes (1/17th) will be mated each day

� One healthy ram can join between 8-10 ewes per day

� One ram per 100 ewes?

� One backup ram is required per mob (1% +1)

GC1

Page 22: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

Slide 21

GC1 Geoffrey Casburn, 4/08/2011

Page 23: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

Autumn Joining – Spring lambing

� Large, hilly or heavily timbered paddocks require as much as 2% rams

� Maiden ewes have priority for the best joining paddock

� They should be joined at 2% regardless as they only stand for the ram for around 12 hours which is half the time of adults.

� Join for a minimum of 5 weeks (35 days) - this allows two opportunities for a ewe to be successfully mated

Page 24: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

Spring joining – Autumn lambing

� Many ewes will not cycle unless triggered by the sudden introduction of

rams.

� Ewes must not have had contact (>1km) with rams for at least one month.

� Introducing rams trigger ewes to start cycling and come on heat between

days 17 to 23

� This equates to between 10 and 30% of ewes cycling per day around this

time with synchronisation continuing for subsequent cycles until ewes

become pregnant

Page 25: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

Spring joining – Autumn lambing

� Use between 2 and 3 rams per 100 ewes (depending on breed of ewe)

� If a ewe is not mated during the first standing heat, there is a chance

she may stop cycling until at least late December into January

� Rams need to be with ewes for a minimum of 7 weeks to ensure two full

cycles

Page 26: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

Summary� Sheep enterprises profitable and should remain so.

� No real differences between enterprises.

� Reproduction is a big driver of profitability.

� Potentially big differences within an enterprise

� Different joining/lambing dates require different strategies.

Page 27: Geoff Casburn sheep Officer Wagga · 2014-07-15 · $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 W E T H E R S ( 1 8 m i c r o n) W E T H E R S (2 0 m i c r o n) ( 1 8 m i c r o n) -

Weaning GM/ha GM/ha

% + 10%weaning

+ 20%weaning

18µµµµm self replacing (SR) 83 473 516 558

20µµµµm SR 86 379 417 455

20 µµµµm SR - finished wether lambs 86 387 427 466

20 µµµµm SR - finished wether lambs 25% T 87 408 449 490

20 µµµµm SR - all joined to terminals 90 420 467 513

20 µµµµm SR - breeding 1st X ewes 90 430 478 525

1st X ewes: joined to terminals - prime lambs 118 416 473 529