MANAGEMENT PRACTICES ON VIRGINIA DAIRY FARMS



their farm businesses. Many farmers are in a favorable equity position to finance an expansion, with
almost half reporting farm debt-to-asset ratios of 10 percent or less.

Virginia dairy farmers using management-intensive grazing (Intensive Grazer) in 1996 averaged 100 milking
cows and were not significantly more satisfied or dissatisfied than other farmers with quality-of-life or
production characteristics. The Intensive Grazer group reported the smallest number of farms with debt-to-
asset ratio more than 70 percent, and they employ computers in their business at a higher rate than other
farmers. However, management intensive grazing is not without its drawbacks. Reliance on grazing leads to
fewer pounds of milk produced per cow, which implies substantial reductions in production costs are required
to retain the same level of net returns as Moderate Grazers or Confinement operations.

Management-intensive grazing by Virginia’s dairy farmers is no longer a novelty. In less than 6 years
(1990-96) (Swisher 1998), management-intensive grazing of dairy cattle has increased from very few
farms to more than 10 percent of the dairy farms represented in this 1996 survey. Overall, half the
respondents to this survey reported grazing the milking herd during some part of the year. In addition, 20
percent of the farmers (140 herds, totaling 13,250 cows) plan to increase their reliance on grazing for the
milking herd or other dairy animals. This change can be contrasted to the planned use of BsT in 24
percent (134 herds, totaling 19,029 cows) of the herds. Management intensive grazing has gained
acceptance similar to that of BsT by dairy farmers in Virginia.

13



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