As dairy farmers, are we colleagues or competitors? Maybe a little of both? And do I look at my neighbours differently than I do to the dairy farmers in New Zealand?
I am a dairy farmer in the Netherlands and farming in my family goes back many generations. As an entrepreneur, I am always looking outside the industry, both nationally and internationally. My wife Annette and I run Hunsingo Dairy and have been members of international networks for many years, which has benefited us and our business.
I have been president of Global Dairy Farmers (GDF) since 2017. GDF is a global network of inspirational and ambitious dairy farmers. Together with other leading experts in different fields related to dairy and key stakeholders from around the globe, we exchange knowledge, experience and business opportunities.
In the Netherlands dairy farming has changed in recent years, with new regulations, more requirements, different milk flows and often no direct business model attached. Some farmers like it and some are resistant. Usually I can live with it, see the opportunities and challenges. Our products have to be consumed and society is constantly changing, so we have to listen to that and try to adapt.
Hunsingo Dairy delivers milk to a relatively small co-operative, which I founded in 2007. At our co-op we can choose between five milk streams. The basis is the EU stream – standard conditions, basic sustainability topics, but also the lowest price. At the highest price you are not allowed to grow corn, or plough/renew pasture, cannot have too many cows per hectare and face a range of other conditions. This stream received five cents extra, it is the maximum premium.
We receive up to 5c more – we got 3c – per kilogram/milk, which is money in the pocket.
On our farm we are one level lower, providing a milk stream specifically for the German market. The most important thing in this stream is feeding GMO-free concentrates. But also grazing, not overcrowding, ensuring cow welfare and more. This makes me quite satisfied.
Milk price in December 2020 was 0.3630 Euro cents per kg milk, ex VAT, 4.33% butterfat, 3.57% protein and 4.59% lactose. This excludes yearly post-payment from the co-operative, which usually fluctuates around 1c. I include this as farmers are always curious about milk prices.
Land is our most expensive production source, land prices are heading towards €100,000 per hectare. That is why we are working on precision agriculture, targeted and accurate fertiliser spreading to work even more efficiently and save costs. If we apply slurry, we work with sensors, and levels of N, P and K are continuously monitored and corrected. We work closely with crop farmers in our region; they grow seed potatoes at our farm and we grow alfalfa and corn with them. Plus we exchange manure.
Protein is the hot topic right now. We are trying to increase the protein production of the land. We are succeeding but it is not easy. We now produce 68% of the protein on our land. I would like to bring that to 75% eventually, or maybe even higher. Fertiliser is becoming more and more of a limiting factor, but there are all kinds of innovations on the way.
Over the past 20-30 years the sector has undergone tremendous development, and it will do so again over the next 10-20 years. Like climate-neutral, antibiotic-free, genetic developments in crops and in cows, for example.
There are challenges though. But I think that is always the case. I can take criticism of the sector, but I am annoyed that often the wrong arguments are used and that knowledge and understanding are sometimes totally lacking. The demand for food is going to rise, including the demand for dairy products.
There are many challenges for farmers in NZ and for us too. Often they are the same challenges – technical developments, society, communication and climate change.
We have pride and passion, beautiful products, we feed the world and are open and transparent – I think we can and should tell our story better and in a modern way, worldwide.
I think we are colleagues, that’s better and that’s what we should do.
Take care, stay healthy, you are always welcome and the coffee is ready.
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To learn more go to www.hunsingodairy.com or www.globaldairyfarmers.com
