Post deregulation of the Dairy industry in Australia

Ron Malor rmalor at bigpond.com
Thu Apr 4 22:32:57 EST 2002


Hi All,

Down here many dairy farmers have already diversified into other grazing 
enterprises - primarily fat lamb (be nice if I could export them to the US 
without a 40% tariff though - so much for free trade) and cropping where 
the ground permits it. Mainly poppies and pyrethrum daisies. Although many 
are testing out other crops such as wasabi, peppermint, ginseng etc. 
Generally most dairy farmers have scrambled to get half decent contacts 
with the  local processors such as Bonlac. Obviously value adding is 
another major option. However such dairy enterprises as cheese making 
require a lot of up front capital and heaps of skill - both technical and 
marketing. I'm managing to make a (very) modest living by (amongst other 
things) agisting dairy heifers, who are hopefully in the family way, giving 
them lots of TLC over winter, and keeping a tight eye on the spring 
calving. Definitely not buckets of money but enough to enable other things 
that I want to do on the property. The heifer owners appreciate that they 
don't have to come out to check the stock for months on end and are 
prepared to pay accordingly.

Regards,
Ron...


At 21:39 04/04/2002 -0500, you wrote:
>The Dairy Industry is still reeling from the imposition of Commonwealth
>Governmentlegislation two years ago deregulating the price of farm gate
>milk.
>An income shortfall of some 30% per annum is considered conservative for
>most families.
>Loss of farms and aging farmers is creating problems for the
>future,particularly in rural communities dependent on the industry.
>This generation of farmers cannot foresee the need for change in order to
>sustain their bussines. Value adding through diversification is beyond the
>perception of most dairy farmers.
>How do non farming strategic planning practitioners bridge the impasse?
>
>
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Ron Malor

'Redbank Grazing'
South Mole Creek
Northern Tasmania




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