Managing a profit squeeze (Part 1) | Ep. 41

How are farmers managing their way through the current economic climate to maintain profitability? Over the next two episodes, you’ll hear from a group of farmers who have kindly agreed to talk about their approach. We’ll ask them how they’re coping, how they calculate their profit from various inputs, like supplements, and how they go about budgeting when things are changing so quickly. In this first episode, we’re joined by farmers Dan King and Marc Jones. Dan and his wife Kate are owner/operators on the West Coast; and Marc and wife Nia are 50/50 sharemilking 700 cows at Mamaku, Bay of Plenty, and contract milking 500 cows in Tirau, Waikato.

Notes
Budget Case Studies
Budgeting when inflation is high
Dairy operating profit
Dairy Training Business by the Numbers course

Chapters
0:00 – Intro
4:15 – Dan’s and Marc’s farm production systems
7:46 – Approach to rising farm costs 
11:33 – Their farm business principles
15:00 – How they calculate profit on various inputs
16:09 – Budgeting process for next season
19:58 – Previous experiences and lessons learnt