Entry into farming is all too often thought of and treated as an event. At some undetermined date the farmer will “turn it all over” to the successor. After all, for years the farmer has been saying, “Someday, son/daughter/niece/nephew (circle the appropriate), this will all be yours.”

The most dramatic year in the dairy business in living memory, 2009, has turned dairy farmers’ attention worldwide to the ever-present issue of the cost of producing a pound of milk. Of paramount importance is making this reduction without incurring any adverse effect on the health or fertility of the cow. The initial response from the dairy producer in 2009 was to reduce feed input costs. Unfortunately that has resulted in a situation where health and fertility has suffered dramatically and refocuses the mind on thinking more “outside the box.”

I suspect that being in the dairy business these days is a lot like playing poker. “You have to know when to hold ‘em and know when to fold ‘em. Know when to walk away and know when to run.” The dairy industry continues to struggle its way through the worst financial crisis in modern times. For many areas of the country feed costs are higher than they’ve ever been and, for much of 2009, the price being paid for milk was at the lowest levels in years. And since feed costs are the single-highest cost on a dairy, it’s only natural for dairy farmers to try to reduce feed costs.

When will milk prices cover your costs? The operative word in this question is “when” – not “will” milk prices ever cover your costs again. Milk prices will cover your cost of production; however, for some milk producers it will be several more months into the future. For some milk producers, it will be a few months too late. Liquidations, foreclosures and bankruptcies are already taking a toll.

As the dairy industry suffered a huge economic blow in 2009, so did Wisconsin’s agriculture industry. Total receipts from the state’s farm marketings dropped by an estimated $1.8 billion (18 percent) in 2009, with nearly 80 percent of that decline resulting from much smaller milk checks. Coincidently, the equity of the state’s dairy industry also fell by $1.8 billion last year.

2009 was a rough year for dairy farmers. Many faced the worst economic crisis of their lives. Although there are signs of life in the dairy economy, recovery is coming much slower than expected. Today the dairy industry finds itself at a crossroads: It can keep the status quo, or it can build a decidedly stronger future.

The service a food animal veterinarian provides has dramatically changed over the past 50 years. In the past, food animal veterinarians awaited farm calls concerning the health of individual animals, which helped individual farms.

Dairy producers are keenly aware of the importance of feed and feed management. Your choices of what and how to feed affects profitability. You know and understand the importance of feed uniformity. To get consistent performance, all producers strive to formulate a uniform mix of all the necessary nutrients, like protein and fiber, for optimum cow nutrition. What do ration balancing sub-models add to all the facts you already know?