Tuesday, February 6, 2024

Why some dairy farms do better than others

Britain has a long-running productivity problem and that includes agriculture.   What is also the case both generally and in agriculture is that there is considerable variability in performance, something confirmed for the dairy sector by farm business consultant Andersons: https://ahdb.org.uk/knowledge-library/characteristics-of-top-performing-farms-2024

The top 25 per cent of dairy farms typically make about £120,000 more a year profit than the bottom 50 per cent.  The top farms obtained an average milk price 1.7p a litre higher than bottom producers.

Top farms were more successful because of factors such as relentless cost control, efficient stocking rates, knowing what the market requires and producing it, and keeping a close eye on detail.


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