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Pulling It All Together: Managing Cattle and Crops through Feed and Fertilizer

Pulling It All Together: Managing Cattle and Crops through Feed and Fertilizer. John Lawrence, Iowa Beef Center at ISU Evan Vermeer, Iowa Cattlemens Association. Commercial Supplement. DGS. Diet Formation. Crop Sold. Cattle Bought. $. Management. Cattle. Crops. Rules & Regulations

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Pulling It All Together: Managing Cattle and Crops through Feed and Fertilizer

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  1. Pulling It All Together: Managing Cattle and Crops through Feed and Fertilizer John Lawrence, Iowa Beef Center at ISU Evan Vermeer, Iowa Cattlemens Association

  2. Commercial Supplement DGS Diet Formation Crop Sold Cattle Bought $ Management Cattle Crops Rules & Regulations Information & Records Advice & Service Cattle Sold Commercial Fertilizer Manure Export Manure Application

  3. Guiding Principles • What goes in comes out • Everything has a cost or value • Nutrients only have value if they are needed (applies to feed or fertilizer) • Influence outputs through inputs • P-Index is flexible • New rules, new feedstuff, new thinking

  4. At Plant 30 Miles 60 Miles 100 Miles Profit Advantage Assume: 95% of corn price, $0.10/bushel increase corn price, costs covered, 153 days

  5. At Plant 30 Miles 60 Miles 100 Miles Optimum Use Assume: 75% of corn price, $0.10/bushel increase corn price, costs covered, 153 days (Calculated from 2006 U. of Nebraska Analysis) Source: Dan Loy, ISU

  6. Value of Applied Manure Supply and Crop Demand Nutrients have value where they are needed

  7. 300 Head Feedlot ExampleNutrient Supply, Value * 26#/A available 2nd year

  8. Feedlot Example C-C Crop Demand, Value Cannot apply at low rates so use 3 year rotation

  9. P-Index • Field level planning tool • “Flexible regulation” for a creative person • User defines the field • Opportunity to manage P-Index factors • Depending on soils, management, etc, producer can store P • For later crops • Forever

  10. Helping Clients Make Decisions • Maximizing profit to the whole farm within the constraints of regulations, resources, and skills • Tools available to help evaluate decisions, but management is essential • Decisions are dynamic • Plan-Do-Check-Act • Start with an assessment of farm

  11. Plan-Do-Check-Act • Does the plan meet their objectives? • Profits, stewardship, regulations • Do they understand the plan? • Do they know what to do, when, whom? • Do they know what to monitor and what good is suppose to look like? • Measure, record, evaluate? • Do they/you review and revise to make it better?

  12. Maximize Farm Profit While Balancing Farm Nutrients

  13. Historic Perspective Pork Nitrogen Corn Milk P2O5 Eggs Soybeans K2O Beef

  14. Future Perspective ? Pork Nitrogen Corn P2O5 Milk ? Soybeans K2O ? Eggs ? Beef ? Ethanol DGS

  15. Paradigm Shift • Do crop farmers buy and apply P2O5? • How much do they pay for it? • Do livestock producers have enough land for P-Index based applications? • What is the value of excess P2O5? • Is there an opportunity for these two people? • What are possible outcomes? • Win-win: Feedlot sells P2O5 at reduced rate • Win-draw: Feedlot sells at full price or gives away • Lose-lose-lose: Cropper imports, Feedlot wastes, and P levels continue to accumulate in Iowa soils or Iowa exports value added potential

  16. Take Home • Ethanol production is changing Iowa ag • Ethanol production does not create P2O5, but it does concentrate it in the DGS • DGS is a feeding opportunity for cattle • How to capture greater profit for clients by thinking, planning, and managing the integrated crop, ethanol, cattle, system

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