Byline: Emily Middleton-Gyomory, Regional Consulting Manager
Recently, there’s been talk in the industry wondering if we’ve gone too far with beef x dairy strategies that may lead to long-term effects. The dairy-replacement-heifer population has decreased 10% from 2022 to 2024 and is currently at a 20-year low. Consequently, dairy-cull-cow numbers are way down. Year-over-year, U.S. milk production was down 0.4% in July. The USDA attributes milk-production declines in 2024 to lower yields from aging cows, adverse weather, and limited replacements. This picture may seem bleak, but it doesn’t have to be the case. There are plenty of dairies that are creating adequate replacements, maximizing their genetic progress, gaining milk production, and capitalizing on extra revenue from beef x dairy calves.
The dairy shown here utilizes CentralStar’s reproductive and genetic consulting services. We monitor an inventory calculator bimonthly to calculate how many replacements the dairy needs as well as to determine which females will create those replacements.
When we look at a year’s worth of heifer inventory in Figure 1, we see the herd is creating enough heifers to meet their needs, plus a 20% buffer. The buffer allows the herd to maximize their profit per stall, while also giving them the flexibility to add a few more cows or sell extra heifers.
Combining the inventory calculator with the Select Mating Service® (SMS®) has helped ensure that future replacements are being created from the top-ranking females in the herd. Figure 2 shows sexed semen (red dots) is being utilized in the females that rank the highest in HHP$®, while beef semen (blue dots) is being used in the lowest-ranking females. The herd also utilizes NxGEN® sires that rank high in HHP$ and DWP$® to maximize their genetic progress. Their goal is to create long-lasting, healthy, high-producing cows.
Figure 3 demonstrates how this herd effectively tapped into the high beef x dairy market. Through the use of ProfitSOURCE® sires, they consistently produce and sell approximately 135 beef x dairy calves each month, adding a valuable revenue stream to their operation. Over the last four years, this herd has reduced their percentage of first-lactation cows from 40% to 31%. In that same time, average milk production increased by 13 pounds per cow. Excellent management paired with a genetic strategy has allowed this dairy to progress, while also taking advantage of both strong dairy-replacement and beef x dairy markets.
This farm demonstrates, with a balanced strategy, it’s possible to find the sweet spot in inventory management, producing the optimal number of heifers, balancing beef x dairy with replacement needs, boosting milk production, and maximizing genetic progress. So, the answer to “Have we gone too far?” may be, “no,” when we make every calf count! Work with the CentralStar team to help you get more from your inventory management!