Adisseo

News Release: A strategy to promote revenue and cash flow

06/13/2019

Alpharetta, GA (February 28, 2019)

Dairy farmers in the Federal Milk Marketing Orders (FMMOs) are encouraged to increase the volume of milk, butterfat, and milk protein their herds produce. Increasing all three will increase revenue and cash flow, according to independent consultant John Geuss. Geuss recently discussed the FMMO pricing structure and the impact of components on revenue and cash flow during the Western Dairy Management Conference.

In the FMMOs, the announced Class III milk price is based on 3.0 percent milk protein, 3.5 percent butterfat, and 5.7 percent other solids.  Component levels above these rates provide incremental revenue and cash flow at the announced price rates for these components.  Additional milk per cow may also add to revenue and cash flow.

One of the time-proven management tools for raising all three – milk yield, milk protein, and milkfat —  is properly balancing the amino acid levels in rations. Doing so results in rations that more fully meet the nutrient requirements of dairy cows, according to Dr. Brian Sloan, Global and North and Central America Regional Business Director, Adisseo.

“Typically methionine and lysine are the first limiting amino acids in rations,” says Sloan. “Because they are in short supply, they can limit an animal’s production and performance.”

Increasing the level of these amino acids in the ration while maintaining the right ratio of lysine to methionine results in production increases. A compilation of carefully measured trials shows an average increase of  0.18 percentage point in butterfat, an average increase of 0.14 percentage point in milk protein, and a 2.0 pound increase in milk volume when the amino acid levels are balanced properly.

Balancing amino acids also provides long-term benefits to health and reproduction. Fewer metabolic diseases occur at transition, breed backs become more timely, and more pregnancies reach full term. Typically, the combined benefits of amino acid balancing outweigh any incremental change in feed costs for a net increase in revenue and cash flow. For these reasons, daily supplementation with limiting amino acids is becoming as common as daily supplementation with vitamins and minerals.

Increasing herd components and milk volume are key for individual dairy farmers to increase their personal farm-gate Class III milk price.  By increasing butterfat and milk protein yields, dairy farmers increase revenue and cash flow. Increases in butterfat alone do not maximize revenue and cash flow.

 

Tweets


💧 Let's compare the #labor time to dose an #additive in a bag or in an #IBC 😉
Handling a #liquid additive in an IBC takes less time than emptying bags of powdered additive for the same amount.
That's not all, see more here: https://t.co/I2SZydR7Dl https://t.co/e8dH4whWAt

[DYK❓] Feed represents 60 to 70% of the production cost of a bird 🐦 Knowing that 20% can't be digested, a lot of money invested isn't converted into animal protein & energy.
💡 Discover Rovabio®, a muti-enzymatic solution favoring the feed digestibility: https://t.co/ptJyg6dFvx https://t.co/i1AtneAjrb
Adisseo photo

[Breaking News] A real #sporting challenge organised by @oxfamfrance awaits 2️⃣0️⃣ Adisseo employees around #Lyon 🇫🇷
In few weeks, a day and night #walk without relays awaits our athletes 🚶
🤳 Following the event directly on October 8 & 9 on the Instagram account ⤵️ https://t.co/lSxrUthDfF
Adisseo photo

[Did you know❓] With sales of over €1.69 billion in 2021 and more than 3,900 customers, Adisseo is one of the world's leaders in #AnimalNutrition 🙌
Our vision? 🧐 To feed the planet in a way:
1️⃣ Qualitative
2️⃣ Affordable
3️⃣ Sustainable
4️⃣ Safe
Info ➡️ https://t.co/WS4ZV9Qlj0 https://t.co/BLREvhY6JQ
Adisseo photo

To differentiate the vitamin quality of products:
1️⃣ Fill the beaker with water at 176 °F / 80 °C
2️⃣ Put equal amounts of vitamin A from different brands into the water
3️⃣ Stir the water and mix them for 10s
4️⃣ Wait for the water to settle
👉 https://t.co/Vc4TFWCDmx https://t.co/BLZBxSdRJl

[Did you know❓] Rhodimet® AT88 provides 880g of #methionine in the formula per 1kg of product, as well as significant savings and practical benefits for millers and integrators.
Check out for more information ➡️ https://t.co/gPf3ROgW2D https://t.co/lG0u49rU3m
Adisseo photo