Video or image
2 August 2023
Categories
Over the Farm Gate
Livestock
Market Commentary

Beef over dairy offers win-win

Co-operation stands to benefit both sectors

Several largely unrelated factors could work well together to meet the different needs of two separate farming sectors as the service bull season approaches.

Land use change from farming to forestry has reduced the national beef herd in recent years, intensifying the appetite for good quality genetics among farmers who are still finishing cattle. 

Meanwhile, as production dynamics change, the dairy sector offers a potential ‘win-win’ option for beef farmers, particularly as animal welfare concerns put pressure on traditional practices relating to bobby calves.

Finishers want good quality genetics, which is what they know and what they are used to. Dairy farmers meanwhile seek genetics that shorten gestation and maximise ease of birth. A change of emphasis for dairy farmers when purchasing bulls could help solve their own challenges around bobby calves, while better meeting the needs of their beef finishing colleagues.

Diversifying into a ‘beef over dairy’ strategy when purchasing a bull team could establish significant value for otherwise worthless bobby calves, providing an animal that a beef finisher would be able to profitably grow out, and will therefore be prepared to pay for. 

With sales of service bulls for dairy farmers set to commence in mid-September PGG Wrightson’s Defer-a-Bull is a popular way to purchase service bulls each season. Designed to help manage finances in the spring when cashflow pressure can be tight, many clients come back to it year after year. A smart option to manage cashflow around bull procurement, Defer-a-Bull provides farmers with the opportunity to fund the cost of stock for an extended period, with no cash outlay, zero upfront cost, and repayments held off until the bulls are sold.

Defer-a-Bull follows a simple application process, where finance is managed internally by PGG Wrightson, documentation is minimal, and approval straightforward. Whether you are buying two bulls or 100 bulls, anyone is able to use Defer-a-Bull.

Speak to your livestock representative, or see here for more information and to apply.

Callum Stewart, PGG Wrightson Livestock National Genetics Manager

Back to News

Proudly Supported By