Buying and selling a dairy herd: A guide for purchasers and vendors. Part 1: Introduction.

Agriculture, farming, husbandry, management, business, trading, buying, selling, practical advice, purchasers, vendors, contracts, avoiding pitfalls.

Part 1: Introduction

By Dr Clive Dalton

Dairying is New Zealand’s “knowledge economy” and the trading of livestock is an essential part of it. 

Small numbers of animals are bought and sold by farmers throughout the year, but there is also the major trading of whole herds, which is both a large strategic operation and a very big financial transaction.

Who buys herds?
Herds are bought in New Zealand by new people entering the dairy industry who have either purchased or leased a farm, then by ‘sharemilkers’ moving up from ‘lower order’ (e.g. 25%) to 50:50 when they provide the herd, or by established farmers who are expanding their operations.  These herd purchases can take place at any time of the year in New Zealand, but delivery is for June 1 which is taken as the start date for the new season.

Who sells herds?
Herds are sold by people who want to make a capital gain to reinvest in farming e.g. by buying land. They may have bought cows when prices were low to sell when prices rise again. Herds are also sold when people move on from farming to other businesses, and when they retire.

Moving into dairying
Moving into dairying is an exciting time, but you must know what you are doing. The best way to find this out is not by making costly mistakes. You need to learn from those with many years of experience in the industry, who understand your circumstances and who will look after your money. In any case, the money is most likely not yours but will belong to the bank!

Moving out of dairying
Moving out of the industry is no less exciting.  It’s a time of life when you cannot afford to make mistakes, as you need to get full value for what could have been a lifetime of hard work and dedication to your stock. This final transaction can also be tinged with emotion and sadness, but eased greatly by knowing that your herd is going to good young people who will farm them well.

Herd Managers’ Course
In the 1990s, ‘buying and selling a dairy herd’ was an important topic in The Waikato Polytech’s Herd Manager’s course, which I ran in the 1990s.  The course ran at five venues in the Waikato and over seven years with around 700 mature students keen to enter the industry completing it.  The students had come into the dairy industry from other trades by choice, or were already in the industry and wanted to upskill.

Guest tutor for these classes was Mr Ric Dawick, former Dairy Co-ordinator of Waikato Farmers, (now Allied Farmers Livestock Limited - renamed Allied Farmers Rural Limited 1/7/09).  In this role Ric had pioneered the drawing up of a legal contract to cover the problems that regularly arose in a dairy herd trading transaction.  He had experienced all of these.

Ric had enormous empathy with young people entering dairying, and from his 40-year career in the stock and station industry he was able to deliver the straight facts with no ‘spin’!  He had seen and could relate, the very best and the very worst of what could happen when buying and selling a dairy herd.

Keys to success
I strongly recommend anyone in the business of buying or selling a herd of cattle to read and digest the following words of wisdom by Ric Dawick. If you are a purchaser, make sure you read the information for vendors, and vice versa.  Appreciating what’s involved in the other side of a transaction can be invaluable in avoiding problems.

You need to seek help from as many sources as possible and keep asking questions wherever you go.  Be prepared for conflicting advice, and for things that sound too good to be true – they usually are!

Seek help from reliable people who will get a lot more satisfaction from helping you before you make a move, than trying to dig you out of what can be a very expensive and stressful legal hole.

Disclaimer
This material is provided in good faith for information purposes only, and the author does not accept any liability to any person for actions taken as a result of the information or advice (or the use of such information or advice) provided in these pages.

Buying and selling a dairy herd: A guide for purchasers and vendors. Part 2: Purchasers’ advice.

Agriculture, farming, husbandry, management, business, trading, buying, selling, practical advice, purchasers, vendors, contracts, avoiding pitfalls.

Part 2. Purchasers’ advice

By Ric Dawick

Vendors also take note: This section contains valuable information that will assist you in selling your herd.

Rule 1. Seek quality advice - Find yourself a mentor.

• Seek quality advice from people with a reputation in the business.
• They need to be professional, sincere and candid.
• You want people who will tell you the truth, and not what you want to hear.
• Buying your first herd is both an exciting and scary business – and your emotions can easily get in the way and out of control.
• Find someone knowledgeable in the dairying industry who you respect, to act as a sounding board or mentor.
• Their job is to keep your feet on the ground, and keep you focussed on cold hard facts and not what you may want to hear.
  

Rule 2. When using a Specialist Dairy Agent or Stock and Station Company.

• It’s vital that besides being competent, your dairy Agent’s company must have a sound financial backing.
• Your credit worthiness will be checked, so do the same to your Agent, bearing in mind that you will be entrusting large capital funds to their company’s care.
• Request an “Annual Report” or perhaps a prospectus from the Agent’s company.
• If you find these reports difficult to follow, get some independent professional help to explain them to you.
• Check the Agent’s company are a financial member of the New Zealand Stock and Station Association. This is a positive sign demonstrating that they have a highly responsible attitude to their business.
• You have much at stake, and you owe it to yourself and others to have all this checked out should something go wrong.
• Top Agents stand out (enquire through your farming mentor) and will be well known in the business. They are professionally thorough, will take time over negotiations, and more importantly, are genuinely interested in you and your future.
• They realise you have much at stake and want your repeat business. So it’s clearly in their interest to look after you.
  

Rule 3. Give clear instructions.

• Give your Agent clear instructions. An Agent cannot read your mind!
• Your Agent will treat your financial situation and arrangements in strict confidence.
• Inform the Agent fully about your budget and the parameters around it – i.e. how much flexibility you have. However having done so, request client confidentiality.
• Be totally honest and up-front about this. There’s nothing that wastes more time or causes more ill feeling, than when people find out promised money has not been arranged or is not available.
  

Rule 4. Do your homework.

• Do your homework before inspecting the herd. This will save hours of frustration and time.
• Initially it’s not your job to spend hours or days searching for the ideal herd – it’s the Agent’s job, so use the service provided.
• If you want to do your own initial research or assist your Agent, request a “Condensed Herd Listing”. This describes the key features of the herd quotes on the Agent’s books at that time.
• There may be “Sole Agencies” or interesting fringe quotes worth investigation on the list.
• Better still - check if your Agent has a website containing a comprehensive search engine that you can use to save time.
• Condensed listings and a well-designed Internet site (with photographs) have the added advantage of being able to view all available herds quickly from your home, thus satisfying yourself that all options have been considered.
  

Rule 5. Request full formal quotations.

• When you have selected a herd for further scrutiny from the condensed list or downloaded from the Internet – then request a “Full Formal Quotation”.
• It’s extremely important that you are satisfied with the following points:
• That the Vendor has signed a declaration stating that all descriptions contained therein are to the best of their knowledge true and correct.
• That you are authorised to view and/or investigate any information contained therein pursuant to the Privacy Act 1993.
  

WARNING! If the above are not declared, then stop until remedied. If it cannot be resolved – then purchase another herd that does comply. Ignoring this advice may inherit unpleasant consequences.

• Formal quotes should be very comprehensive and always accompanied by supportive information.

Rule 6. Arrange finance before herd inspection.

• Arrange your finances before seeing any herd. Do not be persuaded by well-meaning friends or mentors to visit herds to “test the water”. It wastes vendor and Agent’s time and will not help your credibility when things get serious.
• Without organised creditable finance, you’re not in a strong position to negotiate with a vendor. You can’t negotiate from strength from a negative position.
• Your Agent will want to be assured of this before taking you to a herd.
• If you are a 50/50 sharemilker, your Agent will also want to know if your contract has been signed with your farm owner. Do not look until it has been.
• Remember to calculate your GST, which is added to the purchase price.
• GST is also added to the 10% deposit.

Rule 7. Inspect the best three herds.

• Don’t waste your time or your Agent’s inspecting endless herds – three is ideal.
• It’s potentially very confusing to look at more than three herds, and indicates one of the following three things.
• (a) The Agent did not listen to your instructions.
• (b) Your instructions were not totally clear.
• (c) You have changed your criteria without telling the Agent.
• If you don’t get the herd you want after looking at three – change your Agent.

Rule 8. Check the Agent’s Company Dairy Herd Contract.

• This contract is your safeguard.
• Don’t get emotionally trapped by signing a poorly-drawn-up contract for what appears to be a “great deal”, even if it seems quite genuine.
• At the time of writing this guide the best herd contract being used is Allied Farmers Livestock’s 2007 contract. Extensively revised by leading dairying specialists and experienced field staff the contract safeguards Purchasers and Vendors to a new level of best industry practice. Although conceived in 1977 the first contract did not roll out until 1989 due to long-held prejudices of the ‘shake hand’ era not recognising the rising sophistication of the dairy industry.
• The beauty of Allied Farmers Livestock Limited’s contract is that it is a ‘living document’ thus its reputation for equitable fairness has spread far and wide because of the continuing security it offers. Whether you are a Vendor or Purchaser make it your business to check one out - especially before signing anything else (especially private treaty sales where no agents are involved) – to avoid potential pitfalls. Better still for a fee it can be used for private treaty deals and administered by the company as if it was a normal transaction.
• Caveat emptor (buyer beware)! While on the subject of farmer to farmer private treaties… A number of these are transacted every season. Many on simple contracts. The main incentive for this is:
• (a) The Vendor saves paying commission thereby gaining more money.
• (b) The Purchaser assumes budget savings for the same reason. Both can’t be right. Negotiations invariably end up by agreeing to split the commission down the middle. There lies the irony! Both parties have settled close to market value. While solicitors do a good job the agreement will come at a cost thereby negating some of that perceived commission savings.
• In 46 years the writer has never seen a solicitor squelching about in mud resolving disputes. On the other hand reputable Stock & Station Agency companies, especially where large capital livestock investment monies are involved, play a more active roll - most of the time gratis.
• Commission (or a third party fee suggested above) fast becomes a moot point in lieu of the security of a knowledgably controlled well drafted professionally administered contract. Disputes big or small take on a completely different persona when no friendly shoulder is present to lean on to buffer potentially fractious circumstances.
• Note: 90% of the contract should be about ‘the transaction’ and 10 % about ‘the Agent’ or ‘the represented company’. Should this ratio of legal description be reversed – look out!

Rule 9. Check guarantees and warranties in the agreement.

• The herd Purchase Agreement must include full guarantees and warranties to protect your investment.
• Strong penalty clauses must be included, clearly spelling out the Vendor’s and Purchaser’s remedies, should either fail to settle.

• The main ones to check for are the following:
• A secure trust account for your deposit (normally held by the Agent’s company).
• Will you the Purchaser get the interest (less RWT)? You should plus a pro-forma account to assist you claiming back GST prior to the delivery/settlement date?
• Clear finance conditions, delivery + GST clauses.
• Clear settlement clause.
• A comprehensive care clause (Vendor’s contractual obligation to care for your stock after signing).
• Comprehensive in-calf clause that also covers retention monies for bone fide non in-calf claims.
• Purchaser’s inspection clause. This is extremely important (see more information later in vendor’s section ‘AFTER PURCHASE’).
• Rejection rate clause that should also incorporate… an ‘Insufficient Numbers’ clause (protecting the Vendor from not being able to deliver the full agreed tally due to reasonable deletions caused through sickness, deaths or unsoundness) and a ‘ Negative Index Variance’ clause (protecting Purchasers when insufficient numbers negatively vary the indices [BW, PW & RA] too much from the original quotation that justifies a formulated price adjustment according to the severity and/or annulment).
• A clear Pro Rata clause when sharing a line of stock with another buyer and/or multiple buyers.
• A comprehensive drying off warranty that includes an agreed somatic cell count threshold + treatment.
• Calving duration and individual calving clauses (that includes compensation for animals calving too early or late in accordance to their stated dates).
• Warranties on SCC, TB, EBL plus Lepto inoculation responsibilities stating who pays (based on the inoculation timing), Condition Score, (see Rule 10 for more information).
• GST and income tax clauses.
• Comprehensive disputes/mediation/arbitration clauses.
• Clear data clause spelling out Vendor’s responsibilities.
• Animal health clauses comprehensively covering Tuberculosis, Facial Eczema and Biosecurity issues.
• Final inspection clause prior to delivery/settlement.

Rule 10. Herd inspection day
(NB: Assumes an Agent is involved but still largely applicable to private treaty sales as well).

Maybe a good day to go and look at a herd to see how they are being looked after?

• Take your farming mentor with you.
• If buying from a sharemilker, will the current employer approve?
• Ensure the Agent instructs the Vendor to draft out all cattle not involved in the deal before viewing.
• Unsuitable cows are not part of your normal 10% rejection rate (NB: The reject rate can vary). Only ‘sound and in-calf cows’ are considered suitable for capital transactions. However…
• Request that the unsound cows are also placed on view for inspection as it will provide you with a ‘management indicator’ of the herd’s wellbeing.
• Request the vendor be present and if this is not possible – delay your inspection.
• Head for the kitchen table first with the Vendor to thoroughly understand the herd’s data history before physically inspecting them.
• It’s here that the vendor will sell him or herself to you – or not.
• Accurate records are paramount to your success. Make sure they are.
• Ask the vendor why the herd is being sold.
• Clearly discuss the average and minimal Condition Scores (CS) required for your farm and how the vendor is going to achieve these by the delivery date. If you buy the herd include the answer in the special conditions clause (for writing in verbal guarantees - every contract should have one).
• It’s important (and fair) that the Agent emphasises to the vendor before signing that the agreed scores are the very minimum standards expected and NOT the highest and what the consequences could be are if they are not achieved.
• Be realistic when negotiating CS if herds are situated in challenging areas.
• In Allied Farmers Livestock Limited’s contract once the condition score clause has been mutually agreed the vendor has a contractual obligation to present the herd regardless of… i.e. droughts, milking longer than agreed ‘Because feed is ‘plentiful’ and so on.
• The only exception is a ‘Force Majeure’ situation (i.e. extraordinary factors beyond reasonable control such as… floods, earthquakes, disease, theft, etc) however the vendor must immediately notify you (and Agent if involved) in order to facilitate, if possible, any reasonable/practical mitigation.
• Question the Vendor about the current herd health status and if they are shed drenched or fed supplements during milking.
• Check the vendor’s culling policy and reasons for culling.
• 'Double-check the mating programme, calving pattern, and individual calving dates. Check to see if natural matings have been recorded. Investigate this thoroughly, as it’s the cause of many traumas. Ask if you can consult the veterinarian if a PD has been carried out or approach the AB technician for verification on the how the insemination program went.'
  
• Observe the milking set-up. Perhaps ask the vendor if you can attend a milking before signing.

• Appraise the farm as well as the herd. Check things like stocking rate, soil fertility levels, fertiliser use, if crop or feedlot supplements are fed, how many calves are reared and so on.
• Is the herd is being managed/milked by farm employees? If so it’s important to sound them out. Are they genuinely interested in the herd – sound out their knowledge? Is their attitude keen or is it “Just a job”?
• Depending on the time of the season when you view the herd… have they been sharp at detecting anestrus cows and accurately recording mating dates? Listen carefully as there is a lot at stake – especially if the Agent’s contract does not have a ‘Individual Calving Date’ warranty (ICDW).
• (CAUTION:- ICDW penalties are far stricter than ‘Calving Duration’ warrantees'. If neither of these clauses appear in your contract, insist they must be included. If calving goes pear-shaped, you could sustain a financial loss after delivery if you don’t. Conversely, vendors mutually benefit too as the contract protects them from invalid claims.
• A well-drafted herd will sell itself! However, satisfy yourself that there are no abnormalities other than the obvious 10% (NB: The reject rate can vary) of sound in-calf cows you may reject later.
• As a last request, if you like the herd, ask the vendor if you can approach some of the farm services – i.e. Farm Consultant, Veterinarian, AB Technician and so on. A positive response will confirm your favourable impressions.

Rule 11. Decision time.

• If you’ve done your homework well, and are happy with the result – don’t procrastinate. You could lose the herd so move firmly but deliberately.
• Don’t be put off because it’s the first herd you have seen. If it is, and it meets your criteria – compliment your Agent for doing a good job for you.
• Go over the contract again with your Agent before meeting the vendor – get everything crystal clear. Ask if the Agent has offered the same courtesy to the vendor. This importantly gives both parties time to thoroughly digest what they are agreeing to or ask more in-depth questions before signing.
• Have your deposit monies ready (plus GST) for immediate payment after signing.
• Request a deposit receipt from the Agent and make sure the interest is credited to you. In the Allied Farmers Livestock Limited’s contract the deposit is legally described as ‘a deposit in earnest’ meaning… ‘in part payment’ and therefore does not pass over to the vendor (as Real Estate deposits do) and accumulates interest is in the Purchaser’s favour. When Allied’s contract was first reviewed by Federated Farmers they were especially praiseworthy that purchasers’ deposit interest went towards payment – especially where sharemilkers and first time dairy farmers were involved.
• Also query if you will receive a monthly trust account statement appraising the current accumulated interest – if not request that you do.
• Check that you will get a competitive interest rate.
• Negotiate with authority and make a realistic first offer for the herd. Keep in mind that the Vendor’s comprehensive guarantees and warranties are worthy of respect.
• Once your offer has been accepted, the vendor, your Agent and you need to spend some quality time signing the agreement. This allows time to discuss again the contractual obligations and will avoid problems between signing and delivery. Don’t be rushed!
• Congratulations! You are now a “secure” owner of a dairy herd. Don’t settle for anything less.

Rule 12. After the contract has been signed - inspection and drafting tips.

• Inspections: If the weather turns dry shorten your regular inspections to fortnightly ones. February to April is the critical time for vigilance. Responsible vendors will keenly discuss events and negotiate actions for mutual benefit.
• Drafting Rejects: Do your homework well beforehand to determine prospective culls. Make it a condition that the vendor keeps you updated with the latest Herd Testing data, non in-calf cattle, deaths and culls.
• Give the vendor the tag numbers of the 10% (NB: The reject rate can vary) sound rejects so they can be drafted out before you arrive on the drafting day for easier viewing and to alleviate separation stress. Better still – definite goers should be declared to the vendor asap, especially if conditions are dry, to facilitate early disposal.
• On drafting day, when drafting your rejection rate of sound stock, take your mentor along with you.
• On arrival walk through the herd and with your mentor’s help, reject any on eye appraisal. A sincere vendor will assist you here by making helpful suggestions.
  

Draw up 5 columns on a sheet of paper and record cows that fail on these criteria:

• Poor final herd test results.
• Late calvers.
• High SCC cows.
• Low PW (more important than BW).
• Miscellaneous.

• If a cow appears more than once in a column, then she is a possible reject.


AFTER PURCHASE ACTION: To ensure a smooth delivery/settlement.

• Confirm your delivery date early with the vendor especially if inter-island. This enables the vendor to plan a feed budget in order to achieve the agreed condition scores plus give carriers time to organise fuel saving back-loads with the good chance of a lower transportation cost.
• Plan ahead for the drafting and final inspection days. On the signing day with the vendor diaries in advance the dates you will perform inspections. Request all parties (if going through an Agent) are to be present on those days. If adverse climatic conditions prevail, shorten to fortnightly inspections.
• Inspections: At the very minimum you, or your nominee, should inspect the herd at monthly intervals. This is very important. It not the responsibility of your Agent or the Company to keep an eye on them. It’s your’s! In responsible contracts purchaser inspections are a contractual obligation.
• If you are not available to carry out any monthly inspection, then employ a registered Farm Consultant, Veterinarian or a trusted third party to act on your behalf. Responsible vendors appreciate consistent constructive feedback on their herd’s progress.
• If the vendor is busy on the farm on a inspection day ask if you can pass your impressions before leaving. Solutions for any problems are more easily resolved when all parties are timely informed and can indulge in open and honest rapport.
• It is also very important that you, or your nominee, complete a final inspection one week before the Delivery Day. Make a checklist of your contractual rights, and obligations, and carefully work through them before uplifting any beast. Once loaded onto trucks or driven off the vendor’s farm certain vendor contractual responsibilities immediately cease. Do not be caught out!
• Delivery Day – Double check all tallies.

Trucking:

• Preferably with the vendor present, check the tally with the Carrier’s when counting livestock onto trucks. If you do not agree count them again until you do.
• If you are unable to be present on the vendor’s farm meet the carrier to count off at the destination – particularly if the cattle are being agisted on a grazing farm.
• If there are any tally variances where you or the vendor could not be present then the carrier’s tally will be deemed legally correct.
• Whether you are tallying at the beginning or the end of the delivery you should always ask the Carrier to confirm the tally in writing regardless.

Droving:

• Count the stock twice into a paddock near the boundary gate before exiting the vendor’s property. Once your cattle have left the vendor’s farm boundary tallies become your responsibility.

Ear tagging

• Do it before leaving the vendor’s property.
• Herds coming on new properties have to put up with a lot upon arrival - prodded off trucks, strange sheds, jabbed with needles, ear tagged etc. Not a great introduction to a new milking shed is it?
• The remedy is to tag on the vendor’s farm so they will not associate the new shed with pain and stress.
• Another important aspect for tagging on the vendor’s farm is to confirm that all lifetime ID’s are correct and perfectly match the Vendor’s LIC or AMBREED records before inputting them onto your data base. It’s a job that has to be done sometime so get it right on the vendor’s farm - not yours.
• Tagging errors are more easily dealt with before delivery too, and becomes even more important if the vendor’s farm is separated by the Cook Straight.

SHAREMILKERS
Condition Scoring upon arriving on your Employer’s farm

• Approximately one week after the herd has arrived, arrange to have all animals professionally condition scored with your employer present.
• Record the result into your sharemilking contract.
• Note: Ensure that all parties initial the addition to the agreement.
• When your sharemilking tenure finishes, ensure that 'incoming condition score' becomes the benchmark for the herd’s 'outgoing condition score' upon leaving the employer’s property.

Disclaimer
This material is provided in good faith for information purposes only, and the author does not accept any liability to any person for actions taken as a result of the information or advice (or the use of such information or advice) provided in these pages.

Buying and selling a dairy herd: A guide for purchasers and vendors. Part 3: Vendors’ advice.

Agriculture, farming, husbandry, management, business, trading, buying, selling, practical advice, purchasers, vendors, contracts, avoiding pitfalls.

Vendors’ advice

By Ric Dawick


Purchasers also take note: This section contains valuable information that will assist you in buying your herd.

You have a new partner!
The dynamics of your herd ownership is about to change. Once it is has been sold, be prepared that you are not going to have a normal dairying season. You now have a new ‘partner’ with a vested interest in your cattle who must now be considered/informed in all farming decisions you make affecting the herd - especially if you are sharemilking with ‘fiduciary employer responsibilities’ to juggle as well.

Preparing to sell
Some excellent selling information can be gleaned from the advice above but before any Agent or purchaser steps on your farm to view your herd, tidy it up. A good tip while doing this is to take the position of a buyer to consider what would put you off buying it.

DON’T fall into the all too common mindset of - 'the buyer (or Agent) will see past that, wont they?” Frankly, complacency never works, and depending on the scale of the transaction, may set a false impression that you:

1. Are not a motivated seller.
2. Care little about detail.
3. Could be unreliable about calving records, herd condition, animal health, etc.
4. May even be difficult to deal with.
   

As with a lot of things first impressions count a lot. If you are going to employ the services of an Agent, then treat the first visit as if a potential buyer is coming. The fact is Agents are potential buyers! If an Agent leaves your farm genuinely enthused with your presentation, then you are half way to selling your herd.

So do not put your Agent in the position of having to make excuses why your herd looks untidy etc. to potential purchasers. A huge amount of investment money is at stake for all parties, but sadly poor presentation and lack of preparation happens far too often so make sure you avoid this by the following checklist.

Checklist

• Having all your records 100% up to date.
• Culling or drafting aside anything you would honestly not buy for yourself. Be aware that these animals have nothing to do with the Purchaser’s rejection rate (normally 10% but can vary). Also aged cattle and any with three functional quarters etc., do not qualify either. True ‘Rejection Rate’ cattle must always be genuine sound stock.
• Replacing all missing ear tags.
• Ensuring your tags/IDs absolutely match your database records – this is extremely important as purchasers can rightfully claim compensation from you if incorrect.

Records needed
Gather up all your records into one place and make up a herd CV folder.

• Your current Herd Test; Herd Profile records.
  
• Last year’s final Herd Test.
  
• Latest Animal Health records (TB and EBL status certificates, Leptospirosis certificate).
• Somatic Cell Count reports (Dairy Company milk dockets as well as the Herd Test SCC reports).
• AB technician’s insemination book.
  
• Natural mating chart.
  
• Veterinarian’s pregnancy diagnostic (PD) reports (if relevant)
• Any other information that will give a good honest impression of your herd and capital replacements.
  

Also important

• Provide the Agent with a copy (if you are selling through one) to pass on to interested buyers to gain a thorough background before viewing the herd.
• Offering refreshments before showing the herd gives you and the buyer a chance to get to know each other and a great opportunity to sell yourself.
• Inviting genuinely interested buyers to approach the professionals involved with your herd, i.e. veterinarian, farm advisor, AB technician and if you are sharemilking, your employer. Being an open book will set a favourable impression.
• Extending an invitation to milk the herd. Providing all goes well, it will often lead to an offer.

If you employ a manager or farm workers, see that their knowledge of your herd is sharp and are especially vigilant during mating time, detecting anoestrous cows and accurately recording service dates. Ultimately, if too many cows calve outside of their due recorded dates, this will rebound back on you.

Inspections, securities and credit checking.
Sit down with the purchaser and diary in advance all monthly inspection dates, the drafting day, the final inspection date and trucking date. If Agents are involved include them in too, as all parties should be present on those dates. Maintaining excellent communications between all parties throughout the contract’s tenure is the key to a successful closure on delivery/settlement day.

In capital dairy herd transactions NO livestock company or private agent guarantees payment.
The normal 14 day terms for livestock auctions (i.e. saleyards and clearing sales) and paddock sales, conducted by reputable Stock and Station companies where ‘the company guarantees the buyer (legally termed a ‘Del Credere’ policy) does not apply to capital herd sales.

This is to cope with the huge bottleneck of herd sales transacted every year on 31 May and 1 June involving substantial amounts of monies that stretch even especially arranged short term bank over-draft arrangements to the limit. Hence why herd sales are treated like real estate sales. Payment must to be paid up front by the Purchaser before delivery can be allowed.

Once received Stock and Station Agency companies and solicitors then convey these payments on to Vendors (less service fees for discharging mortgages, liens, commissions etc). While a competent Agent (if involved) would have approached the purchaser about payment before stepping onto your farm, it still is advisable to satisfy yourself that everything is in order before signing too.

Letter from bank or solicitor
Immediately after signing request from the Purchaser that a formal letter from their bank, or solicitor, is to be sent to you or your solicitor, to substantiate proof of payment. Your contract should have clear finance and payment terms covering these matters and more - check that it has. Should you have any doubts do not proceed with signing – even if an Agent is involved, until these matters are sorted out to your satisfaction.

Note: Where no agents are involved be absolutely clear who is paying GST to Inland Revenue and write it into the contract.

To expedite the payment process, check early to see if there are any registered charges against your livestock under the Personal Securities Act 1999. If you are unsure, approach your solicitor or livestock company to check. If you have any, they must be discharged before the settlement/delivery date in order to give clear title to the purchaser on the delivery/settlement day.

Recommendations for a smooth ‘delivery/settlement day'.
Paying full attention to the following key points will avoid stress and expensive claims, on or after the delivery/settlement day. These are:

1. Condition score at delivery - don’t make it a problem
There is no middle ground on condition score. Financially there is a lot at stake for all parties and your delivery day presentation will either be highly phrased or soundly criticised. The key factor is to plan ahead so that everyone wins.

Important: An agreed CS is lowest expectation you must meet and NOT the highest! Any misunderstanding of this point can create testy relationships especially if the destination is inter-island (if it is, ask to be informed as early as possible).

Knowing where you stand means you can confidently forward plan your feed budget plus when to precisely start progressively drying off all light conditioned lactating cows - especially in-milk two year heifers and three year olds. Even if you are knowledgeable about condition scores still seek your Veterinarian’s expert opinion at critical times of the season as a back up of the herd’s progress.

This will stand you in good stead with your Purchaser plus give you peace of mind. However it is important to note if a C S challenge does arise an independent Veterinarian will probably be employed whose qualified opinion will be binding on both parties. If this is not included in your contract then make sure it is. The 2007 Allied Farmers Livestock Limited’s contract comprehensively covers this matter to equitably protect both parties.

2. Make sure the calving dates are as accurate as possible - YOU are guaranteeing them!
It’s imperative for your peace of mind to Pregnancy Diagnose (PD) your cows to verify calving dates (A thought - a prudent gesture could be to invite the purchaser’s veterinarian to do it). All natural mating dates after AB has finished must be faithfully recorded to avoid late calving date claims.

Attention to detail here is extremely important. In the Allied Farmers Livestock Limited's contract for example, there are two calving warranties. The 'Calving Duration Warranty' and the ‘Individual Calving Date Warranty’. Both clauses are very specific and incorporate sensible calving tolerance criteria that once exceeded, invoke penalties to compensate fair purchaser claims.

The best action to take is to PD all mated sale cattle no later than six weeks after AB has finished, AND six weeks after all service bulls have been removed from the herd. This becomes especially important if you employ a manager or farm workers. A responsible approach to this job is to imagine yourself in the purchaser’s position at calving time, and what their likely expectations would be.

3. Double check all ear tags
Double check all ear tags. Make sure they correctly correlate to lifetime ID’s. Purchasers can rightfully claim full reversal monies plus cartage if proven incorrect. (For more comprehensive see information on ear tagging in the purchaser’s section)

4. Tidy up any missing Animal Health Board (AHB) tags
As soon as you have signed, start tidying up any missing AHB tags. Don’t put this job off until trucking time. That’s when everyone else is doing the same causing tagging manufacturing companies to run short at critical times - in your case trucking time. The law is very specific on this matter. Trucking companies by law cannot uplift any cattle if they don’t have AHB tags correctly displayed in their ears. Consequently settlement payments will be held up until rectified.

5. Transfer Location Certificates
The best times to pass over 'Transfer Location Certificates' to the purchaser are on the drafting or final inspection days. Handing them over does not give the purchaser clear title – only full payment does.

Your solicitor should approve this, once the purchaser’s finance has been confirmed in writing. Order them as soon as possible or electronically transfer them to the purchaser’s database after your solicitor’s approval. Similar to AHB tags LIC get bogged down with late requests – DON’T be caught out on the delivery/settlement day.

6. Double check all tallies
When trucking: Preferably with the purchaser present (or their representative) check all tallies with the carrier’s when counting onto trucks. Recount again if you do not agree until it’s right. If there are any tally variances where you, the purchaser (or representative) could not be present, then the carrier’s tally will be deemed legally correct.

When droving: When droving, count the stock twice into a paddock near the farm’s boundary gate before exiting your property, an agreed run-off or grazier’s agistment property. Once your cattle have left the farm’s boundary etc, tallies become the purchaser’s responsibility.

7. Animal Health Board Status Declaration forms
These are your last delivery requirement. Finally, do not forget to provide a fully filled out signed AHB approved 'Animal Status Declaration' (ASD) form to the carrier before the stock leave your farm or agreed grazing property. Should you inadvertently overlook this statutory requirement, delivery will inevitably be held up until remedied. Don’t let this simple task spoil your deal and purchaser goodwill at the last moment.

At the end of the day everything written above is good old fashioned common sense that New Zealand farmers are blessed with in plenty.

Disclaimer

This material is provided in good faith for information purposes only, and the author does not accept any liability to any person for actions taken as a result of the information or advice (or the use of such information or advice) provided in these pages.

Facial Eczema (FE). Farmer Information. Part 3. (Dairy Cattle). Management.

Agriculture, farming, animal husbandry, animal heath, disease, Facial Eczema, Dairy cattle, management, advice, recommendations

By Dr Clive Dalton

Original 1991 information written by Dr Barry Smith and Dr Neale Towers, Ruakura Agricultural Research Station, Hamilton, New Zealand.

 
3. (Dairy Cattle). Management.

• Make early preparations - in December or early January.
•  Learn about spore counting - contact your veterinarian.
• Find out which are your worst paddocks (by spore counting) and avoid grazing them during danger periods.
• Never make stock graze into the base level of pastures. The fungus grows on the litter at the base of the pasture and the spores are concentrated there.
• Choose a prevention option from one of the following three:
•  (1). Spray pasture with fungicide. Check that spray unit is properly calibrated and purchase fungicide early.
• (2). Use a suitable zinc prevention method. If you have a suitable water reticulation system, add zinc sulphate. Otherwise dose with zinc oxide or spray zinc oxide on to pasture.
• (3). Provide supplementary feed (crops, fodder, hay or silage). Use to reduce grazing pressure on toxic pasture.
• Have a concentrated calving and calve early so that you have at least 80% of annual production in the six months to the end of January.
• Get rid of all surplus stock early before spore counts become high. This allows you to reduce grazing pressure for remaining stock. If things get worse dry off the herd.  This will immediately cut pressure on feed by half. It will also cut your income so it's an important decision.
• If replacement heifers are grazed off the farm make sure that the manager is taking adequate measures to protect them against FE.
• Care for affected stock by one of the following options:
• (1). Dry off milking cows.
• (2). Confine in shaded area, barn etc.
•  (3).Treat infected skin lesions.
• (4). Provide access to water and quality feed. Cattle with clinical FE will prefer to graze at night or in overcast conditions.

Disclaimer

This material is provided in good faith for information purposes only, and the authors do not accept any liability to any person for actions taken as a result of the information or advice (or the use of such information or advice) provided in these pages.

Facial Eczema (FE). Farmer Information. Part 17. (Deer). Management.

 Agriculture, farming, animal husbandry, animal health, disease, Facial Eczema, zinc, deer, management

By Dr Clive Dalton

Original 1991 information written by Dr Barry Smith and Dr Neale Towers, Ruakura Agricultural Research Station, Hamilton, New Zealand.

17. FACIAL ECZEMA: (Deer). Management.

• Red deer are more susceptible to FE than cattle. Fallow deer are more susceptible than sheep so they need more protection than Reds.
• Make early preparations - in December or early January.
• Learn about spore counting - contact your veterinarian.
• Find out which are your worst paddocks (by spore counting) - avoid grazing them during danger periods.
• Never make stock graze into the base level of pastures. The fungus grows on the litter at the base of the pasture and the spores are concentrated there.
• Choose an appropriate prevention option.
• Spray pastures with fungicide. Check that spray unit is properly calibrated and purchase fungicide early.
• Regular spraying with fungicides provides the most appropriate control method for preventing FE in deer.
• Start the spraying programme early while spore counts are low.
  

Zinc

• The effectiveness and safety of zinc as a prevention has not been researched.
•  If used, dose rates as for sheep (Fallow deer) and cattle (Red deer) should be followed.
• Because of low water intake, zinc in drinking water is not effective.
• Provide supplementary feed such as hay, silage, meal or crop. Use to reduce the grazing pressure on toxic pastures.
• Get rid of all surplus stock early before spore counts become high. This will relieve pressure on the remaining stock.
• Early and compact fawning allows for early weaning and good growth before disposal of sale stock.
  

Care for affected stock.

• Confine in shaded area, barn etc.
•  Provide access to water and quality feed. Deer with clinical FE will prefer to graze at night or in overcast conditions.
• Take care moving affected animals, temporary blindness may cause extreme distress and result in self-inflicted injuries.

Footnote 2009:  Zinc boluses are now available. Contact your veterinarian before using them on deer.

Disclaimer
This material is provided in good faith for information purposes only, and the author does not accept any liability to any person for actions taken as a result of the information or advice (or the use of such information or advice) provided in these pages.

Facial Eczema (FE). Farmer Information. Part 18. (Sheep). Mangement. Minimising losses after outbreaks.

 Agriculture, animal husbandry, animal health, disease, Facial Eczema, Sheep, management, minimising losses after outbreak.

By Dr Clive Dalton

Original 1991 information written by Dr Barry Smith and Dr Neale Towers, Ruakura Agricultural Research Station, Hamilton, New Zealand.

18. Facial Eczema: (Sheep).  Mangement. Minimising losses after outbreaks.

Strategies

• If an FE outbreak occurs in your flock there are strategies that can be followed to minimise animal and financial losses. 
•  Don't panic and immediately ship lambs or ewes to the works. You will incur freight and killing charges and clinical animals with jaundice will be condemned.
• At the first sign of clinical FE consider these points:
• Check weather conditions. Do they favour further spore production? If so start protection procedures if not already in place.
• Check control procedures are being correctly followed. Recalculate zinc dose and fungicide application rates. Have someone else independently cross-check.
• Remember that neither zinc dosing nor fungicide spraying will give complete protection especially against very high spore counts.
  

Best options

• The best options will depend on the severity of the FE outbreak, the feed supplies available and the class of stock involved. 
•  Remember that - The severity of the external signs and the severity of the liver damage are not closely related.
• Some animals with FE damaged livers will become jaundiced as bile leaks back into the bloodstream after major bile ducts become blocked.
• Jaundiced animals will become extremely sensitive to exposure to light (i.e.  photosensitive).
• It only takes a few minutes exposure to bright sunlight to cause extreme stress to photosensitive animals.
• Many of the deaths from FE are due to the stress of photosensitisation, therefore it is imperative that affected animals are given access to heavy shade.
• Jaundiced animals will be condemned at the works.
• The liver can regenerate and repair if the original damage is not too severe and the jaundice will clear. To recover affected animals need time, shade and good food. If they don't recover they would have been condemned at the works.
  

Overall farm situation

• With these facts in mind consider the overall farm situation.
•  What is the feed situation? Can you afford to treat the affected mob well for a few weeks or do you need to quit stock to lower grazing pressure (and therefore the FE risk) on the other stock?
• Can you protect the flock from further FE outbreaks?
• Draft out all affected animals and examine for the most severe signs of jaundice by looking for yellowing of eyes, mouth, gums, vulva etc.
• Separate clinically affected animals into mobs with or without severe jaundice.
  

Works Lambs

• If no clinical signs.  Send to works now or later depending on body condition, feed availability and your ability to prevent further outbreaks.
•  Clinical cases with minor jaundice. Send to works.
• Clinical cases with severe jaundice. Keep until jaundice clears and body condition improved and then cull or send toworks.
  

Ewes and Ewe Lambs

• If no Clinical signs, protect from further outbreaks.
•  Give best possible feed.
• Give shade if possible.
• Assess condition over next few months and cull unthrifty animals.
  

Affected animals (with or without jaundice)

• Keep in covered yards, woolshed or heavily treed area with access to water, hay and/or silage.
•  Allow access to safe grazing at night (spray with fungicides).
•  Prevent and/or treat flystrike and infections.
• Cull animals not improving when jaundice clears.
• Record numbers of affected ewes and do not keep replacements from them if number allow.
  

• Do not quit ewes surviving an FE outbreak. Resistance to FE is heritable so those ewes surviving are a valuable resource. 
• Buy rams from a breeder selecting for FE resistance and take advantage of the disaster to begin breeding a more resistant flock.

Rams

• If no clinical signs, treat as for ewes and ewe lambs.
•  With affected animals, cull immediately as susceptibility to FE is highly heritable.

Disclaimer
This material is provided in good faith for information purposes only, and the author does not accept any liability to any person for actions taken as a result of the information or advice (or the use of such information or advice) provided in these pages.

Angora (Mohair) Goat Basics: Getting started

Agriculture, husbandry, goats, Angora, Mohair, management, decisions, getting started

By Dr Clive Dalton



Getting started

Buying goats
Females

What to buy depends on what’s available at the time and what the current market is like. If mohair is out of fashion, then does will be a lot cheaper than when fibre prices are good and people are talking about an approaching boom!

An established flock is described as “age-balanced” as it is made up of all ages from:

• Kids
• Yearlings (goatlings)
• 2-tooths
• 4-tooths,
  
• 6-tooths
• 5-year olds (full mouth) and older. After five you cannot age goats by their teeth eruption.
  

Normally there are a higher proportion of younger animals kept, as over time they‘ll be culled out for a variety of reasons (mainly health).

Top performing goats may be kept until they die and may live to 7-8 years old or more. These old proven dams can be used as the mothers of future sires if they have had many years of proven top production over a range of seasons.

Some purchasing options are:

• Buy mixed-age (MA) does to start off an age-balanced flock.
• Buy all young goats (kids or yearlings) as they have their full lives ahead.
• Buy old goats. These will have been cast for age (CFA) with a limited life ahead of them. But the fact that they are still in the flock tells you that they must have performed well over a range of seasons so must have valuable genetics.
• Buy empty or pregnant does or does with kids at foot.
• Buy does running with the buck (RWB). They may or may not be pregnant.
  

If you want to buy animals with performance records, then it’s important to find out which breeders have this information, and what it all means.

Males

• Buying a buck is an extremely important job and it’s important to find a source of animals with performance records. If there are no records, you should at least have fleece sample tested before purchase, even if you have to pay for it. (See fibre testing).
• Due to the high cost of a top proven male, breeders with small flocks should look at leasing or sharing a buck with other breeders.
  

How to buy & sell stock

At public auctions
Initially you may want to buy (and sell) your own stock, especially if you consider that stock companies and their agents charge too much and their service is less than you demand. Consider these points:

• The more sales you attend, the more people will find out who you are – which may be a good or a bad thing.
• You can check the sale reports in the local papers or contact a Stock and Station Agent for comment about prices at the most recent sales.
• But remember agents can get fed up with your evening calls, especially if you don’t give them any business.
• Public sales can be a competition or battle ground which you are about to enter – usually with little experience. But don’t let that put you off – it’s the only place to learn the business.
• You must register with the office at saleyards before a sale, and get a number that the auctioneer will use to record your identity and purchase.
• Remember that a bid is an unconditional offer.
• Also remember that you’ll be noticed straight away by the sale regulars as a “newchum”. It’s inevitable that you’ll be far too well dressed, as even your old clothes will look far too smart!
• Don’t take anyone along as your adviser who is not a genuine farmer as they’ll stand out like new chums too.
  
• If you are going to bid on stock yourself, then your lack of experience will show and you’ll be signalling for all to see. Some new buyers in ignorance and excitement even bid against themselves! Auctioneers don’t mind you doing this - they’ll take all the bids they can get.
• Check what the commission rate is going to be beforehand, as these can vary, depending on how long a customer you have been and how much you are prepared to complain. Normally rates are around 6% but for stud stock you can be charged up to 13%.
  

With the help of a stock agent

• Stock agents will be keen to do this for you in the hope that they’ll get your future business. You should not pay commission on purchases – vendors pay on stock sold.
• Check what the commission will be, because it’s a lot more at “stud” sales that ordinary sales. It can be double ordinary sale rates.
• You must give the agent a very clear brief of what is your financial limit, and don’t be surprised when the agent always goes to that limit.
• When buying (and selling) through a registered Stock and Station Agency, your money should be safe, and you‘ll get the stock delivered after you have paid for them.
  
• But always read the small print in the terms and conditions of a livestock contract. There are no “guarantees”. History shows that in the event of financial problems when companies have had serious financial disaster, farmers are always last to get a share of what little is left.
• There are also one-person livestock agencies that operate from their home offices. They have lower overheads than the big companies so can be very competitive on charges and offer a very personal service.
  
• But check out their financial status before offering them too much business. You may have to wait some days after the sale for your money and your bank manager may not like this arrangement, so check it out with him/her before you do business.
  

With the help of a farming mentor

• If you don’t want to use an agent, you can get a farming “mentor” who can do the bidding for you.
• Don’t stand near them at the sale, as you’ll give the game away. Have some means of signalling your approval to them from a distance or when you want to stop bidding.
  

Privately in the paddock

• Here you avoid all the hassle of the saleyards and can take time over the business. This is a big plus if you are not happy at the saleyards.
• There are no commission or transport costs to pay. The purchaser pays the transport costs unless the vendor is very generous.
• You and the buyer must come to an agreed value in the paddock. You can base this on recent auction reports or simple bargaining till you agree.
  
• There is always the concern over money. You should insist on getting the money (in hand or in the bank) before you part with your stock.
• You may need to involve your bank to verify that the buyer’s cheque has arrived in your account before you hand over the stock.
  

Privately on the Internet

• There are Internet sites now that offer this service with the big advantage that no or very low commission or transport costs are involved. The purchaser normally pays the transport unless the vendor is feeling generous.
• You can quote a price or ask for offers or tenders and take the highest by a certain date and time.
• Websites selling livestock have important requirements about accurate description of stock and payment details. Surprisingly few problems of non-payment have arisen as buyers are often asked to comment on vendors’ integrity with previous transactions. If you have developed a bad reputation as a trader – it’s hard to keep it quiet on the Internet!
• Current auctioneers hate this idea and say it will never work as buyers always have to inspect animals with their own eyes. Old traditional buyers certainly did, but things are changing fast with much more emphasis on providing documented information on stock for sale.
• Success depends on accurate description of the stock and there is plenty of space to provide full details on a website on their past history, breeding, feeding, animal health treatments, current weight and even digital photos or video clips.
  
• This is a lot more comprehensive than the quick-fire three-second verbal blessing of animals an auctioneer gives each pen at the sale yards.
• You can always go and see the stock and talk to the vendor on the farm. This is an invaluable opportunity to learn.
  

Angora (Mohair) Goat Basics: Monthly management diary

Agriculture, animal husbandry, goats, Angora, Mohair, management, monthly action diary

By Dr Clive Dalton


Management calendar
January

• Shearing (where it applies).
• Time to tidy up the flock and decide what you want to keep for next season. As feed always declines in the summer dry weather, there’s no point in keeping stock that won’t earn their keep next season.
• Decisions made on bucks to be used, and keep them separated from does incase they trigger some early cycling.
• If there are any signs of drought developing, make sure you have a plan to provide supplementary feed and a good water supply if things get worse.
• Avoid drenching adult goats unless there is a crisis confirmed with your veterinarian by a Faecal Egg Count (FEC).
  

February

• Shearing (where it applies).
• Check does are not losing too much condition and if they are provide an improved diet.
• Check with veterinarian regarding vaccinations needed for your property and flock. May be 5-in-1 or 10-in-1.
• Health check all does and bucks on the property. Pay special attention to bucks which should have a veterinary check of reproductive organs and feet.
• Make sure the bucks are in a safe paddock. Holding them within sight and smell of does will stimulate oestrus in does.
• Avoid drenching adult goats unless there is a crisis confirmed with your veterinarian by a Faecal Egg Count (FEC).
  

March

• Bucks joined with does (depending on area). There’s no point in kidding too early when feed shortage and bad weather will cause high kid mortality.
• Avoid giving goats any chemical treatment, drench or pouron during mating or for six weeks afterwards incase of effect on embryo establishment.
  

April

• Bucks out. Check that they have been effective by how many does return to oestrus. A mating harness will show this but make sure it fits properly and does not chafe the buck.
• Feed bucks concentrates during mating to maintain body condition.
• Avoid giving goats any chemical treatment, drench or pouron during mating or for six weeks afterwards incase of effect on embryo establishment.
  

May

• Make sure bucks are cared for after mating and build up lost conditon before winter. Cull any that you don’t want to use again.
• Check for lice during winter.
• Avoid drenching adult goats unless there is a crisis confirmed with your veterinarian by a Faecal Egg Count (FEC).
  

June

• Make sure does don’t lose too much body condition.
• If they start to fade, get urgent veterinary help.
• Does will be on maintenance feed but this is not planned starvation.
• Avoid drenching adult goats unless there is a crisis confirmed with your veterinarian by a Faecal Egg Count (FEC).
  

July

• Shearing (where it applies)
• Make sure does don’t lose too much body condition.
• Time to start to improve doe’s plane of nutrition.
• Avoid drenching adult goats unless there is a crisis confirmed with your veterinarian by a Faecal Egg Count (FEC).
  

August

• Shearing (where it applies).
• Boost feed levels and make sure does don’t lose too much body condition.
• Avoid drenching adult goats unless there is a crisis confirmed with your veterinarian by a Faecal Egg Count (FEC).
• Prepare does for kidding and check you have all the gear organised.
  

September

• Kidding.
• Docking at birth if desired.
• Provide what’s needed to maximise kid survival.
• Recording. Tagging.
• Feed supplements to ensure good lactation.
• Check with veterinarian if any problems.
  

October

• Docking and dehorning if desired.
• Check growth of kids.
• Discuss any health problems with your veterinarian.
• Vaccinate if appropriate.
• Make sure does don’t lose too much body condition.
• Does will be on maintenance feed but this is not planned starvation.
• Avoid drenching any goats unless there is a crisis confirmed with your veterinarian by a Faecal Egg Count (FEC).
• There should be no need to drench any kids as at this stage of life (up to 6m) their natural immune system is developing and any chemicals don’t help this. There is research evidences to show this.
  

November

• Check that kids are growing well. Consult your veterinarian if they are not.
• Make sure does don’t lose too much body condition.
• Avoid drenching any goats unless there is a crisis confirmed with your veterinarian by a Faecal Egg Count (FEC).
  

December

• Wean kids and make sure they are growing well, providing exra concentrate feed if appropriate.
• Check vaccination needs with veterinarian.
  

Drench resistant worms in sheep – other options

Sheep, farming, husbandry, disease, animal health, worms, internal parasites, options to avoid drench, organics, homeopathy, minerals, evaluating products, future developments

By Dr Clive Dalton

When none of these products work any more
- what options do you have?

When drenches fail - what happens
When the day arrives when you find out that the current range of anthelmintics will no longer work on the farm, you will have to sit down and ask where you go from here. The chances are that the consultants and vets you have been using will be as worried as you are.

At present there are the following options:

1. Use 'survival of the fittest'

• This is survival with a vengeance when you lock the drench gun away. What will happen is unpredictable, as it depends on how big a worm and drench resistance problem you have.
• Expect poor stock health and performance for some years, but this again will be hard to predict.
• The biggest worry is how lower fertility and poor growth of young stock will affect the number and quality of flock replacements. You may be forced to buy some in of unknown drench resistance status.
• Your bank manager may not like this idea, as they hate surprises and unpredictable events.
• A few farmers have done this because they ran out of drenching options. They say it was very hard in the first couple of years, stopping drenching, ruthlessly culling all daggy sheep and having to breed their own rams. But then things came right fairly quickly after that and they’ve never looked back.
  

2. Go organic sheep farming

• Initially this always sounds a great idea when you hear about the premiums for organic meat. But before getting carried away – ask organic sheep farmers about internal parasites and how they manage them as they are a major problem.
• If officially registered as ‘organic’, (which requires an annual fee) farmers can use their own preparations usually based on cider vinegar, seaweed and the plant wormwood.
• Organic sheep farmers are allowed to use homeopathy.
• Plants containing condensed tannins such as plantains are claimed to bring about some control as are the leaves from poplars and willows. Drenching with cold tea has also been used – again for its tannins.
• When in the opinion of a veterinarian the health and welfare of animals are at risk, then conventional remedies can be used, and indeed they must be used under current law to prevent pain or suffering. All animals treated then lose their organic status and can only regain it after a specified period in quarantine on the farm.
  

3. Use homeopathy

• Traditional scientists are highly sceptical and openly critical of homeopathy, because they say it lacks scientific evidence showing statistically significant benefits.
• Homeopaths say there has been documented research done – but the disagreements between the two sides go on and it looks like a very long war.
• While this is going on, an increasing number of veterinarians now offer both conventional and homeopathic remedies because they believe many current methods of preventing animal sickness (not improving health as homeopaths point out) with chemicals including anthelmintics are not sustainable.
• Homeopathy is based on the ancient principle of ‘using like to treat like’ and hence improve the general wellbeing and immune system of the animal so it can control its own health.
• Homeopathic products need not be registered as ‘animal remedies’ under the Agricultural Compounds and Veterinary Medicines (ACVM) Act 1997 as long as the provider does not ‘make a claim’ as to what the product will specifically cure or prevent.
• Makers can describe products as ‘promoting general health’ but that’s about all. Users of products can make claims about benefits – but not the manufacturer.
• There are severe penalties for anyone selling an ‘unlicensed animal remedy’ and a major reason for this is the threat it could be to food safety and our overseas markets.
• Farmers can either accept what they read and hear about homeopathic products, or do some simple comparisons on their own farm to see if there are benefits.
  

4. Use mineral & trace element products

• There is plenty of old peer-reviewed research to show that minerals (especially copper, selenium and zinc) help growth and the development of a young animal’s immune system.
• Hence there are a number of products on the market, given orally as a drench, or fed as a meal or lick to exploit this.
  
• They are sold to promote ‘the general health of sheep‘ and that’s about all the manufacturer can say about them, as they are not registered as ‘animal remedies’ under the NZ Agricultural Compounds & Veterinary Medicines (ACVM) Act 1997.
• If a product is not registered (showing an ACVM number on the pack), then the manufacture breaks the law if they “make a claim” that the product will do something or the other like kill worms.
  
• The makers can only make general statements saying their product assists overall health and boosts natural immunity, but that’s all. It’s similar situation with homeopathic products. The user can make claims as to benefits on their farm, but the manufacturer cannot do this.
• The products contain minerals and trace elements- and there‘s plenty to choose from. Some include vitamins making the brew even more complex, and farmers assume that if it has all those goodies in it – it’s got to be good. If it smells good (e.g. Cider vinegar) this seems to be attractive.
• Some farmers add their own extra brews, and there is no law against this if it’s used on their own livestock. It’s not a wise practice and could cause animal health problems and human food safety issues.
• The big justifiable complaint of farmers is that manufacturers of these products are loath to hand out literature with details of trial results, and they won’t tell you what’s in their brews.
• There are two reasons for this. First, the makers could not afford to get their products tested by an official research organisation, and secondly, if they said what was it their product, somebody would copy it as they cannot afford the high cost of patents, which are easy to get around in any case.
• When questioning the use of these products (which is always a good idea), remember that farmers will try new things but if they don’t work they don’t re-order, and may not even pay the bill. So for an honest assessment, check with people who have used anything new for some time (at least 12-18 months) and paid their bills.
• Key Point: If products truly help to enhance immunity, then that’s all good news. If they allow you to reduce or cut out anthelmintics – then that’s an added bonus, which also helps immunity. So then it will be much easier to identify highly immune sheep to improve the accuracy of selection.
  

Evaluating products on your farm
In these days where so much independent research done by old government departments of agriculutre has been killed off, you have to be very careful accepting research results done by commercial companies who also sell the product they are testing! So it’s tempting for farmers to test thing on their own farm.

This is not easy and all that is ever achievable are very basic comparisons, provided you pay attention to some important points:

• Realise that anyone with a formal scientific training will rarely accept your results. If you find major benefits – somebody will always say that it was a fluke and that you probably even ‘cooked the books’! Ignore them as the objective is to convince yourself.
• You must have an untreated ‘control’ group that are similar in age, sex, weight and background to the treated group or groups. Indeed the control group is the most important one!
• Aim for at least 25 animals per group – the more the better as animals disappear on farms!
• Manage all the groups in a similar way – and run them together if possible.
• If you need to run a group separately (e.g. to avoid cross contamination), then ensure they have similar grazing and management.
• Before you start – discard from the total group any animals that look sick or are very large or very small. You need to get your trial sheep from an even line to start with.
• Then randomise them into their trial groups. Simply draft them off in turn through the race for each treatment group.
• Look them over after drafting to check there are no ‘odd-ball’ animals in any group. Discard these and replace them with animals picked at random again from the main mob.
• Make sure all sheep are well identified by groups – a good long-lasting raddle mark may suffice. Individual ID using tags is nice but it may not be necessary.
• Make sure their ID will last till long after the trial has finished as you’ll be amazed at how interesting these sheep may become later. And in any case you may not see benefits for a long time.
• Data recorded could be things like live weight and FEC/FCS at the start and end of the comparison. Don’t get bogged down recording too much – only essentials that you need to make a decision. Keep it simple.
• Record the information in a hard-backed exercise book and not on separate sheets of paper that will get lost. Don’t worry about the book getting covered in sheep muck – it’s a working document!
• If you don’t get at least a 10% difference between any treated groups and the control – be wary of drawing any conclusions. Assume there are no differences – which is a very important conclusion indeed! This will certainly save you money from buying things that don’t work.
• Be wary of seeing things through rose-tinted spectacles as the mind can play tricks and confirm what you want to happen. Remember this is what a myth is.
• If you want to assess visual differences between groups – then get someone from outside who has never seen the sheep before to do the job and don’t tell them which group is which.
• Remember – the aim is to avoid fooling yourself by spending money on products that don’t work.
  

Promised future developments
There are certainly plenty of things talked about and being researched, but it depends how long you are prepared to wait. When you hear researchers interviewed and read reports of their predicted delivery times – it seems we only have to wait for 2-5 years and at most a decade.

But because of the stop-start way research is funded these days and the bureaucratic and commercial restrictions on getting results out to farmers at a sensible cost, don’t hold your breath! The average sheep farmer at age 50+ will probably never see most of these.

But with a positive outlook - here’s the current wish list:

• New drench chemicals.
• Biological anthelmintics that interfere with normal worm metabolism.
• A pasture L3 larvae test to locate high contamination areas to avoid when planning grazing.
• Plants with condensed tannins such as Lotus or plantains.
• Vaccines to enhance the animal’s own immunity. This is the Holy Grail of parasite control!
• Fungi that kill worm larvae on pasture or in the soil.
• Genetic markers (called Marker Assisted Selection of MSA) using DNA profiling to find sheep resistant to worms.
  

Disclaimer This material is provided in good faith for information purposes only, and the author does not accept any liability to any person for actions taken as a result of the information or advice (or the use of such information or advice) provided in these pages.

Cattle farm husbandry – monthly management diary

Cattle, farming, husbandry, monthly management tasks, livestock, feeding/pasture management, animal health, fertiliser, general & business management tasks

By Dr Clive Dalton



All farms are different
Every NZ farm is different and there are enormous differences between regions and districts in the timing of farm operations. Generally farming activities in the NZ South Island are at least a month later than on North Island farms. So use this calendar as a memory jogger, and get advice from local farmers or consultants who have many years of experience in your area.

JUNE
Livestock

• All non-productive stock should be off the farm to reduce feed demand.
• Check cow weight and condition score targets.
• Make early plans for calving – check you have all the gear.
• Finalise the calf rearing programme and check you have all gear needed.
• Check that disposal methods for dead stock are in order.
  

Feeding/Pasture management

• Feed will be getting short so carry out a full feed budget, and check feeding levels for stock, especially those needing special care like pregnant cows and young stock.
• Avoid pugging pastures in wet weather.
• Check management of new grass paddocks sown in autumn.
  

Animal health

• Discuss a detailed animal health programme for next season with your vet.
• Ask your vet to arrange blood profiles for minerals and trace elements.
• Start supplementation with magnesium if needed.
• Palpate dry cows’ udders regularly (weekly) for possible mastitis.
• Watch out for early abortions – and get all cases checked by your vet.
• Update animal health records.
  

Fertiliser

• Plan for some nitrogen fertiliser when soil temperatures are above 6-10°C, provided soils are not too wet.
• Check progress of new pastures sown in autumn – they may need nitrogen at 25-30 kg N/ha.
  

General & business

• Check the farm maintenance programme.
• Depending on balance date, book the date for your annual formal review of the business with accountant, banker and farm consultant.
• Contact banker/accountant to check GST payments and pay accounts monthly.
• Input data to PC to estimate cash position and bank requirements for payment of creditors and finalise cash book.
  

JULY
Livestock

• Cows should have reached condition score 5 and heifers condition score 5.5 for calving.
• Separate cows about to calve (springers) and watch for mastitis.
• Make sure early-calved cows get full attention – dairy cows to be milked out fully, and check all calvers are free from udder problems.
• Fully feed all calved cows.
• Get calf tags, rearing pens, bedding and feeding equipment ready.
  

Feeding/Pasture management

• Have regular farm walks to assess pastures and update feed budgets.
• Check on feed and mineral supplement use.
• Check cow live weight and condition score targets.
• Lactating cows to be fed on rising plane of nutrition.
  

Animal health

• Continue magnesium supplementation.
• Watch for abortions.
• Watch for bloat.
• Note all cows that are likely to have delayed oestrus – e.g. difficult calvings, have twins, downer cows and cows with metabolic diseases. These may need treatment before mating.
• Vaccinate calves for blackleg when 6-8 weeks old.
• Check calves for lice.
• Update animal health records.
  

Fertiliser

• Consider strategic use of nitrogen at 30 – 50 kg N/ha to provide feed post-calving.

General & business

• Do regular checks of electric fence, farm vehicles and water supply.
• Check financial budget and cash flow and pay accounts monthly.
• Input data to PC to estimate cash position and bank requirements for payment of creditors and finalise cash book.
  

AUGUST
Livestock

• Give special attention to feeding newly-calved cows and especially heifers.
• Check cow live weight and condition score targets.
• Milk out all cows as soon as possible after calving and check for mastitis.
  

Feeding/Pasture management

• Feed budgets to be updated.
• Have regular farm walks to assess pastures.
• Checks on supplement use.
• Grazing rotation should be around 20-30 days.
• Grazing residuals should be around 1600-2000kg DM/ha with no clumps left.
  

Animal health

• Continue magnesium supplementation.
• Treat clinical cases of mastitis and keep records.
• Check cows that have not calved by due dates and discuss with your vet what to do with them.
• Tail paint to record when cycling activity starts in dairy stock. This is not so important with beef cows mated later.
• Watch for bloat.
• Update animal health records.
  

Fertiliser

• Consider strategic use of nitrogen at rates similar to July which will provide feed in the second and third grazing round after calving.
• Plan and carry out your soil and pasture testing programme
  

General and business

• Do regular checks of electric fence, farm vehicles and water supply.
• Check financial budget and cash flow and pay accounts monthly.
• Input data to PC to estimate cash position and bank requirements for payment of creditors and finalise cash book.
  

SEPTEMBER
Livestock

• Cow live weight and condition score targets to be checked.
• Check planning and facilities for AI programme with dairy stock next month.
• Check you have beef bulls organised.
• Get the vet to check non-cycling cows.
• Tail paint and start recording pre-mating heats. Some farmers like to start this earlier (August).
  

Feeding/Pasture management

• Fully feed all lactating cows.
• Feed budgets to be updated.
• Do regular farm walks to assess pastures.
• Check on supplement use.
  

Animal health

• Vet check non-cycling cows.
• Maintain tail paint and record pre-mating heats if going to use AI.
• Day 42 of calving – check all late calving cows.
• Check that all service bulls have been arranged.
• Watch for bloat.
• Ensure all calf dehorning is being done effectively (with anaesthetic).
• Castrate any calves not left as bulls before they are 6 weeks old.
• Update animal health records.
  

Fertiliser

• Consider strategic use of nitrogen at rates as for July and August.
• Consider applying your maintenance fertiliser nutrients, including P, K, S and Mg if and as required, based on soil and pasture test results and farm production.
• Trace element additives, such as Se, Cu or Co can be applied with the maintenance fertiliser if required.
  

General and business

• Do regular checks of electric fence, farm vehicles and water supply.
• Check financial budget and cash flow and pay accounts monthly.
• Input data to PC to estimate cash position and bank requirements for payment of creditors and finalise cash book.
• Finalise cash book.
  

OCTOBER
Livestock

• Check cow live weight and condition score targets.
• Check calf growth progress.
• Start AI programme or turn the bulls out.
• Monitor heat detection progress.
• Organise bulls to follow up after AB programme. Have reserve bulls in case of accidents.
  

Feeding/Pasture management

• Fully feed all lactating cows.
• Have regular farm walks to assess feed.
  

Animal health

• Check on calf weaning strategy.
• Check need for clostridial vaccinations.
• Review drench programme.
• Get vet to check late cycling cows.
• Vet check all bulls that come on to the farm (especially for Tb, EBL and BVD). Watch for bloat.
• Update animal health records.
  

Fertiliser

• Consider strategic use of nitrogen at 20 to 30 kg N/ha to increase silage production and make sure cows are fully fed.
• Apply any capital fertiliser recommended if the objective is to lift soil fertility levels.
• Apply maintenance fertiliser as for September if you haven’t already done so.
  

General and business

• Check electric fences, farm vehicles and water supply.
• Check financial budget and cash flow and pay accounts monthly.
• Input data to PC to estimate cash position and bank requirements for payment of creditors and finalise cash book.
  

NOVEMBER
Livestock

• Check cow live weight and condition score targets.
• Analyse and check progress of AI programme and how bulls have been working.
• Check bulls are actually serving the cows – and watch for injuries.
  

Feeding/Pasture management

• Fully feed all lactating cows.
• Do regular farm walks to assess feed.
• Start identifying true pasture surpluses for silage or hay.
• Make silage from surpluses.
  

Animal health

• Check calves for any weaning checks in growth.
• Watch for bloat.
• Update animal health records.
• Make plans for pregnancy testing.
  

Fertiliser

• Consider strategic use of nitrogen to build up a feed surplus for summer.
• Lime can be applied any time from now until late April if needed.
  

General and business

• Checks electric fences, farm vehicles and water supply.
• Check financial budget and cash flow and pay accounts monthly.
• Input data to PC to estimate cash position and bank requirements for payment of creditors and finalise cash book.
  

DECEMBER
Livestock

• Check cow live weight and condition score targets.
• Finish AI programme and analyse results. Take appropriate action if needed.
  

Feeding/Pasture management

• Fully feed lactating cows.
• Do regular farm walks to assess feed.
• Make silage or hay from surplus pasture.
  

Animal health

• Check growth and health of calves.
• Carry our early pregnancy testing of dairy stock.
• Examine and treat repeat breeders.
• Plan to start zinc drenching for Facial Eczema (FE) next month (in prone areas).
• Update animal health records.
  

Fertiliser

• Consider strategic use of nitrogen provided there is adequate soil moisture and the pasture is still growing.
• Apply lime if required from soil test results.
  

General and business

• Check electric fences, farm vehicles and water supply.
• Check financial budget and cash flow and pay accounts monthly.
• Input data to PC to estimate cash position and bank requirements for payment of creditors and finalise cash book.
  

JANUARY
Livestock

• Check cow live weight and condition score targets.
• Remove bulls and decide on their fate.
  

Feeding/Pasture management

• Fully feed lactating cows.
• Feed supplements when needed.
• Do regular farm walks to assess feed.
• Make hay and late silage (balage).
• Start increasing the grazing round if pastures get dry.
  

Animal health

• Start FE protection and check that dose rates are delivering the correct level of zinc.
• Update animal health records.
  

Fertiliser

• Probably too dry and hot to apply nitrogen, unless irrigation is available.

General and business

• Check electric fences, farm vehicles and water supply.
• Check financial budget and cash flow and pay accounts monthly.
• Input data to PC to estimate cash position and bank requirements for payment of creditors and finalise cash book.
  

FEBRUARY

Livestock

• Check cow live weight and condition score targets.
• Get rid of early culls (unproductive or barren stock) and fully feed productive stock.
• If pastures are drying up rapidly, feed out supplements.
  

Animal health

• Continue FE protection in prone areas.
• Start calf leptospirosis vaccinations for dairy stock.
• Watch for ryegrass staggers when pastures start to dry up.
• Update animal health records.
• Start pregnancy testing.
  

Fertiliser

• Probably too dry and hot to apply nitrogen, unless irrigation is available.
• Lime and maintenance fertiliser may be applied if required.
  

General and business

• Check electric fences, farm vehicles and water supply.
• Check financial budget and cash flow and pay accounts monthly.
• Input data to PC to estimate cash position and bank requirements for payment of creditors and finalise cash book.
  

MARCH
Livestock

• Check cow live weight and condition score targets.
• Fully feed all lactating cows.
• Dry off early any cows that are not producing or losing condition.
  

Feeding/Pasture management

• Update feed budgets.
• Make regular farm walks to assess pastures.
• Check on supplement use.
• Feed supplements if needed to maintain lactation and body condition.
• Identify pastures that may need to be renewed.
  

Animal health

• Continue FE protection in prone areas.
• Check on calf growth and health.
• Update animal health records.
• Use liver samples from culled cows to check for trace element status through your vet.
• Carry out pregnancy testing.
  

Fertiliser

• Consider strategic use of nitrogen at 20-30kg N/ha to start and build up autumn feed.
• Carry out soil tests and review fertiliser programme with consultant.
• Apply any autumn fertiliser needed.
  

General and business

• Check electric fences, farm vehicles and water supply.
• Check financial budget and cash flow and pay accounts monthly.
• Input data to PC to estimate cash position and bank requirements for payment of creditors and finalise cash book.
• If 31 March is balance date – lodge books with accountant by 1 May.
  

APRIL
Livestock

• Check cow live weight and condition score targets.
• Consider fate of non-productive cows – dry off or cull them.
  

Feeding/Pasture management

• Fully feed any lactating cows.
• Feed supplements to maintain productive stock.
• Do regular farm walks to assess pastures and update feed budgets.
• Check on supplement use.
• Start pasture renewal programme.
  

Animal health

• Finish FE zinc prevention if not required. Could continue into May.
  
• Do liver tests for trace elements through your vet.
• Check growth and health of any young stock on the farm.
• Update animal health records.
  

Fertiliser

• Consider strategic use of nitrogen at 20-30 kg N/ha to build up late autumn/early winter feed.

General and business

• Check electric fences, farm vehicles and water supply.
• Check financial budget and cash flow and pay accounts monthly.
• Input data to PC to estimate cash position and bank requirements for payment of creditors and finalise cash book.
  

MAY
Livestock

• Check cow live weight and condition score targets.
• Dry off any cows still milking.
  

Feeding/Pasture management

• Do regular farm walks to assess pastures and update feed budgets.
• Check on feed supplement use.
• Make plans to avoid pugging during winter.
  

Animal health

• Use appropriate dry cow treatment in consultation with vet.
• Arrange liver tests for trace elements.
• Check new pastures and crop for high nitrate levels.
• Review animal health programme with your vet (for the past and future season).
• Update animal health records.
• Check growth and health of young stock on the farm.
  

Fertiliser

• Consider strategic use of nitrogen as for April.

General and business

• Check electric fences, farm vehicles and water supply.
• Check financial budget and cash flow and pay accounts monthly.
• Input data to PC to estimate cash position and bank requirements for payment of creditors and finalise cash book.
• If 31 May is balance date – lodge books with accountant by 1 July.
  

Disclaimer This material is provided in good faith for information purposes only, and the author does not accept any liability to any person for actions taken as a result of the information or advice (or the use of such information or advice) provided in these pages.