N.C. Farmers Need to Increase Size of Dairy Herds, 1956

GRASS-ROOTS CONFERENCE—Participants got down to the cow’s level at the N.C. Dairymen’s Conference, which was held at State College. Left to right are Dr. Ray Murley, State College animal industry scientist; S.J. Hassell, Roper; and J.L. Knowles, Plymouth. Approximately 400 persons attended the meeting.

“Trend to Large Cow Herd Cited” in the March, 1956, issue of Extension Farm-News

A tremendous increase in the capital investment needed to operate dairy enterprises is contributing to a trend toward larger herds and larger farms.

Dr. J.W. Pou, head of the animal industry department at N.C. State College, pointed this out in a speech before the North Carolina Dairymen’s Conference. The conference, held at State College, was attended by 400 persons.

Speaking on the future of dairying in the state, Pou said there is still room for growth, and the need for sound management is increasing.

‘Grade A production is one of the best farming opportunities for the years immediately ahead…. We will experience some continued growth, but it will be slower than in the past few years.”

Pou warned speculators against rushing into the business, despite a favorable outlook. Most of the growth potential lies in established herds, largely because of the sizeable investment required to start a dairy operation.

“It costs about $1,200 per cow to start a dairy herd in North Carolina,” Pou said. “It isn’t a business to rush in and out of.”

Pou reported that capital investment in North Carolina dairy herds is up 300 percent from the pre-World War II years. “Depreciation on dairy farm equipment is 97 percent more now than it was just seven years ago.”

Pou calculated that dairymen whose herds are smaller than 25 cows will find it will pay them to expand (on a sound basis) because of their large capital investment. He said that dairymen will also find it more profitable to rent land for feed production than to buy hay.

An increase in consumption of milk and a favorable feed-cost outlook (this year) helped paint a bright forecast for North Carolina dairymen. Pou said that North Carolina milk consumption last year increased 8 percent; production was up 3 percent. Based on dietary needs, the state could still increase its milk consumption, he said.