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Benchmarking update 2013

Benchmarking update 2013. 30 October 2013 Paul McHenry. CAFRE Benchmarking. Approximately 450 businesses benchmarked/year. Average farm size 61 hectares. Average suckler herd - 44 cows. Average ewe flock - 264 ewes. 64% of the businesses farming full-time. Process of benchmarking at CAFRE.

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Benchmarking update 2013

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  1. Benchmarking update 2013 30 October 2013 Paul McHenry

  2. CAFRE Benchmarking • Approximately 450 businesses benchmarked/year. • Average farm size 61 hectares. • Average suckler herd - 44 cows. • Average ewe flock - 264 ewes. • 64% of the businesses farming full-time.

  3. Process of benchmarking at CAFRE

  4. It’s all down to price!!! £/Kg carcase Number of cows

  5. Gross margin/Hectare Kg liveweight/ha Higher stocking rate

  6. Range in performance for suckler to beef farms in 2011/12 *Ranked by net margin/cow **No allowance for family labour cost

  7. Why the difference? • Lower total common fixed costs of £274/cow. • Each cow produced 61kg more beef worth £172/cow. • Lower variable costs of £130/cow.

  8. Control of fixed costs

  9. Trends over last four years on the top 25% of suckler to beef farms

  10. Trends over last four years on average suckler to beef farms £/Kg

  11. Suckler to beef farms ranked per hectare * Farm ranked by net margin/ha ** No allowance for family labour

  12. Trends in benchmarking • On average the farms producing the highest amount of beef or lamb per hectare are making the highest gross margin per hectare. • As a guide variable costs are approximately 35% of output on top 25% farms and 60% of output on bottom farms. • The difference in performance is equivalent to £608 per hectare.

  13. How are benchmarked suckler herds comparing against NISBP target? Gross margin/Ha Kg live weight produced/ha

  14. How do the enterprises perform?

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