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While
milk prices will always vary, the use of sound management practices
and production-enhancing tools can offset negative price changes.
Such is the value of a management tool like POSILAC®
1STEP™ bovine somatotropin.
Producer
experience with POSILAC shows excellent results in soundly-managed,
well-fed herds with no resulting stress or negative
health effects.
Based on typical response levels, dairy producers’ return-on-investment
from the product usually reaches or exceeds 100 percent,
according to John Fetrow, V.M.D., M.B.A., Professor, University
of Minnesota College of Veterinary Medicine.
“The
typical response is an increase of about 8 to 12 pounds of milk
per treated cow per day,” says Fetrow. “For profitable results,
research shows the response to POSILAC needs to be about six pounds
of additional milk per supplemented cow, per day, when prices are
at $10.50/cwt.,” he adds.
The
economic returns from POSILAC use are based on a combination of
milk production and milk price. Once basic profitability is established,
Fetrow says producers’ return-on-investment usually increases promptly.
Even
when milk prices drop, producers most likely will find that POSILAC
is a valuable management tool.
Whenever the production response goes above breakeven, it
remains a profitable tool even when the total profit margin is depressed.
In other words, when milk prices drop, producers typically
find that the profit derived from using POSILAC accounts for a larger
percentage of their income.
In some scenarios, when low milk prices occur, income derived
from POSILAC may account for up to one-half or more of the total
farm profits.
The
ability of dairy cows to respond well to POSILAC depends on several
factors:
sound health, adequate cow comfort, and consumption of additional
feed to secure nutrients needed for higher production levels. “When
each of these factors is in place,” Fetrow explains, “producers
are likely to secure the desired milk response.”
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