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NOVUS is Navigating Challenges, Opportunities in the Australian Dairy Industry

cows in field

NORTH SYDNEY, NEW SOUTH WALES (28 January 2025) – The Australian dairy industry stands at a crossroads. With demand and local market dynamics evolving, dairy farmers face an intricate mix of opportunities and challenges.

In preparation for the Australian Dairy Conference in February where they’ll be available to discuss these topics, Andrew Schmetzer and Rafael Guerrero of NOVUS recently shared their thoughts on a path forward for this critical sector of the animal agriculture industry.

Opportunities for Growth

  • Technological Advancements: According to Schmetzer, the industry in Australia is embracing new dairy management methods, such as freestall barn housing and robotic milking machines. These technologies not only optimise herd management but also address labour inefficiencies, which are critical for sustainability in a labour-intensive industry like dairy farming.
  • Value-Added Dairy Products: Guerrero says the industry is embracing a shift toward value-added products like cheese and yogurt. As global markets demand premium dairy goods, Australian farmers are adapting by focusing on milk solids rather than just volume. This pivot increases profitability and ensures resilience against market fluctuation. Guerrero warns farmers to watch for incidents of a drop in solids – also known as milk fat depression – that can quickly impact profits.
  • Market Adaptability: Guerrero says the sector’s resilience, combined with advanced health standards, can be used to attract investors and skilled labour. It’s up to farmers and agriculture groups to get the word out about the opportunities that exist.

Key Challenges

  • Labour Shortages: One of the most pressing issues is the lack of skilled labour. Guerrero underscores the concerning trend of younger generations moving away from farming. While technology is creating increasingly sophisticated operations ultimately requiring less labour overall, Schmetzer says dairy operations need a human touch. The decrease in people entering the industry is a bottleneck for growth.
  • Shifting Landscape: High land values and the allure of less labour-intensive ventures, such as beef production or urban development, underscore the need for dairy farmers to do more with less.

Expert Advice for Farmers

  • Nutritional Precision: Schmetzer says intelligent nutrition can help herds reach their genetic potential, ensuring better financial returns. This can be achieved through best management practices and feed additives in ways forage can’t.
  • Technology and Innovation: Guerrero advocates for adopting cutting-edge technologies, from genetics to advanced milking systems, and stresses the importance of investing in skilled labour to manage these innovations.

NOVUS Solutions

To aid in these efforts, NOVUS offers products tailored to tackle specific dairy challenges:

  • MFP® Feed Supplement: As a source of methionine, 2-hydroxy-4-(methylthio) butanoate or HMTBa, is shown to enhance milk component production (milk fat, milk protein yield), reduce the risk of milk fat depression and help cows transition into lactation more efficiently
  • MINTREX® Bis-Chelated Trace Minerals: The unique combination of organic trace minerals and HMTBa is shown to support udder and hoof health, as well as optimise fertility to promote herd longevity.

Learn More in February

The Australian dairy industry has the tools and expertise to thrive, but the level of its success may depend on how quickly farmers and nutritionists can pivot from challenges and take advantage of opportunities. Don’t miss your opportunity to discuss these topics with the NOVUS team during the Australian Dairy Conference, 12-14 February at the Gold Coast Conference & Exhibition Centre in Queensland.

For more information on how NOVUS is helping dairy farmers in Australia reach their goals, visit novusint.com/dairy.