Welcome to the Bullvine Podcast, where we separate
dairy fact from fiction with the subtlety of
a Holstein stampede. Today, we're tearing open
a feed bag of truth that'll make your accountant's
head spin. What if I told you every $20 you save
on calf feed today could be costing you $1 ,000
in future profits? With Holstein Springers hitting
$4 ,250 at Pipestone, we're exposing how penny
-pinching nutrition programs are leaving dairy
producers day while it's hemorrhaging cash. Stick
with us as we break down the 170 % ROI secret
weapon top operations are using, reveal why Whole
Milk is a nutritional con artist, and show exactly
how to build an antioxidant portfolio that turns
calves into profit -generating assets. This isn't
just animal science. It's financial warfare.
Let's roll. All right, let's dive straight in,
because this number I stumbled across while it's
been rattling around in my brain. $4 ,250. Wow!
Yeah. That's the recent going rate for Holstein
Springers at Pipestone. Makes you stop and think,
doesn't it? It certainly does. $4 ,250. That's
significant. Right. Now, here's the real kicker
for your bottom line for everyone listening.
Are we potentially, you know, flushing serious
future value down the drain by sweating the small
stuff like calf feed costs today? It definitely
makes you sharpen your pencil, doesn't it? We're
really talking about a fundamental shift, I think,
in how we need to view those youngsters. Well,
for too long, maybe the calf was just seen as
the next cow in line, you know. But with heifer
availability looking tighter than a drum, heading
into 2025 especially, well, the old way of thinking
is becoming a seriously expensive luxury. Precisely.
It feels like it's time to ditch that image of
calves as just another set of mouths to feed
and really recognize them for the appreciating
assets they actually are. Walkie investments.
Totally. Think about it. Every healthy, well
-developed heifer represents, potentially, that
$4 ,250 walking investment, maybe more, right
there in your barn. And the producers who are
really hitting their stride, it seems like they're
adopting what some are calling nutritional cash
flow management. Okay, that sounds a bit... Corporate,
maybe. But break it down. Yeah, it might sound
a bit fancy, but the core idea, it draws inspiration
from Dr. Johan Osorio's work with transition
cows, actually. Oh, interesting connection. And
then it was cleverly adapted to calves by Tana
Dennis over at Cargill. And it's surprisingly
straightforward, but it really packs a punch
economically. So how does that framing work?
Thinking of a calf like its own little business.
Exactly. Dennis's analogy is spot on. I mean,
any business needs consistent cash flow, right?
Not just to cover the immediate costs, but also
to invest in future growth. Okay, makes sense.
Well, a calf's business is all about growth,
building that robust immune system, setting the
stage for productive lactation down the road,
and it's cash flow. That's the nutrition. That's
the nutrition. It's the energy, the essential
amino acids, and... Crucially, those antioxidant
defenses we supply through their diet. That's
the incoming revenue for that calf's business.
Gotcha. So when that nutritional cash flow gets
squeezed, that's when the problems start. That's
when the wheels can start to wobble. Yeah. We
all feel the pressure to tighten the purse strings,
especially when milk checks fluctuate like they
do. Oh, absolutely. But nickel and diming the
calf feed. trying to maybe shave 20 bucks here
or there. It can be the textbook definition of
being penny wise and pound foolish. Right. You
see that tiny immediate saving on the feed bill,
but what's the real cost down the line? Exactly.
What's the tally in terms of stunted growth,
more sick days, more treatments, and ultimately
just a less valuable animal entering the milking
string maybe six months or a year later than
she should. Couldn't agree more. Let's maybe
zero in on energy for a moment. That's kind of
the base currency, wouldn't you say, in that
calf's internal system? Yeah, absolutely fundamental.
So when a calf isn't taking in enough energy,
maybe the milk replacer or the starter isn't
quite cutting it. Or perhaps they're battling
some sort of stress. Like cold stress or transport.
Exactly. They go through what we could call an
energy revenue shortfall. And to keep the lights
on, metabolically speaking, their bodies have
to start rating those very, very limited fat
reserves they have. And that's a huge difference
comparing to our mature cows, right? I mean,
a dry cow, even a lactating cow, she's in decent
shape. She has some body conditions she can mobilize.
She's got reserves. Correct. But these young
heifers, particularly in those critical first,
say, four months, They just don't have that buffer.
They are quite literally living nutritionally,
sort of hand to mouth, paycheck to paycheck,
if you like. Yeah, that's a good way to put it.
If the fuel isn't there consistently, they're
in the red almost immediately. Precisely. And
the Ontario Ministry of Agriculture, Food and
Rural Affairs, OMARFRA, they have some really
compelling figures that show just how rapidly
their nutritional demands escalate. Oh, yeah.
Well, a young calf, maybe. one to two months
old, needs roughly 7 .5 kilograms of feed per
month. Seems manageable. Okay. But fast forward
to six or seven months old, that jumps to nearly
100 kilograms. Wow, that's a massive leap, more
than tenfold. It's a monumental increase. So
if your feeding strategy isn't evolving right
alongside those surging needs, well, those revenue
shortfalls we talked about become... Almost inevitable.
It really just underscores that a set it and
forget it approach to calf feeding is basically
asking for trouble. It really is. And it highlights
what I think I'm seeing is a real divergence
in the industry. It feels like two different
camps. How do you mean? Well, on one side, you've
still got producers who view calf nutrition primarily
as just another expense category, something to
trim whenever margins get tight. The cost cutters.
Yeah. But on the other side, there's this growing
number who are treating it as a strategic investment.
An investment with the potential for seriously
impressive returns. And that return, I mean,
the ROI figures we've seen bandied about, they
can be truly eye -opening when you run the numbers.
Like what kind of numbers are we talking about?
Okay, consider this. An extra, say, $32 spent
on high -quality antioxidants per calf. Sounds
like an expense, right? $32, okay. But that investment
can translate directly to maybe $45 saved on
treatment costs because the calf is healthier.
Okay, so you're already ahead. You're already
ahead. Plus, you might see a 15 % uptick in growth
rate. And when that heifer freshens, that faster,
healthier growth could mean an added value of
anywhere from $375 to maybe even $625. Whoa.
So you put in $32, save $45, and gain potentially
hundreds more down the line. Exactly. Do the
math on that. That's a staggering 1 ,070 % to...
1 ,850 % return on that initial $32 investment.
That's almost unbelievable. You'd be hard pressed,
I mean, really hard pressed to find another on
-farm expenditure that consistently delivers
those kinds of numbers. Makes you wonder what
else we're overlooking, doesn't it? Where else
could we be getting that kind of payback? Absolutely.
Show me the piece of equipment or the management
tweak that promises that kind of ROI. It sounds
almost too good to be true. But the data suggests
it's real. And the savvy operators, they're not
just blindly tossing in any generic antioxidant.
They're thinking strategically. Right. They're
building what you might call an antioxidant portfolio
for their calves. It's kind of like a retirement
fund, but for calf health. That's a great analogy.
Instead of securing their financial future, it's
safeguarding the calf's health and future productivity.
Diversification. Yeah. Now, what's really interesting,
you mentioned the OMAFRA data earlier. It seems
the payoff from these nutritional investments
isn't actually uniform across all operations.
No, it's not. And this is where it gets a bit
counterintuitive. The data actually indicates
that you get the biggest bang for your buck,
the highest return on nutritional investments
in the more challenging environments. Really?
Not in the already top tier operations. Not necessarily.
Think lower quality pasture or maybe situations
where stress levels are just inherently higher.
You'd almost assume the biggest gains would be
in those already optimized settings layering
on top. Yeah, I would have thought that. So why
the difference? Well, it's kind of like finding
an undervalued stock in a down market, maybe.
When the baseline conditions aren't ideal. That
extra nutritional support makes a much more significant
difference in the calf's ability to not just
survive, but actually thrive. Ah, okay. They're
more vulnerable to begin with. So that added
resilience from the premium nutrition, it just
shines through more dramatically. It has more
impact. Exactly. It's about maximizing potential,
even when, or perhaps especially when, the starting
point isn't perfect. That makes sense. And it's
not just theory. I heard this anecdote about
a producer who... You know, after really crunching
the numbers and grasping this whole idea of calves
as walking financial securities. I love that
term. Right. They actually decided to expand
their heifer program because they saw a genuine
profit center there, not just a replacement cost
they had to bear. That's a fantastic example
of that, like light bulb moment when the economics
really click. So, OK, let's get practical. How
do we actually go about constructing this antioxidant
portfolio for our calves? Tana Dennis, you mentioned
she outlined three key principles. What are they?
Right. The first one is all about backup protection.
Think about a well -balanced investment portfolio.
You've got stocks, bonds, maybe some real estate.
Diversification. Exactly. To weather market fluctuations.
Well, a calf's antioxidant defense system needs
that same kind of variety. Different antioxidants
target different types of oxidative stress. So
you wouldn't bet the farm on just one stock.
And you shouldn't rely on just one antioxidant
for your calves. Precisely. Don't put all your
eggs in the vitamin E basket, for example. Okay,
makes perfect sense. Diversify the defenses.
What's the second piece of the puzzle? The second
concept is synergistic effects. Basically, some
nutrients just work better together than they
do on their own. Like a team. Exactly like a
team. The classic example is vitamin E and selenium.
Selenium plays a really vital role in regenerating
oxidized vitamin E, essentially recharging it
so it can keep working. Ah, so selenium helps
vitamin E do its job better and for longer? Correct.
It boosts its effectiveness, prolongs its protective
action. It's a perfect case of the whole being
greater than the sum of its parts. One plus one
equals three, sort of. Okay, synergy. Got it.
And the third aspect? The third is providing
a buffer against the unexpected. I mean, life
on a dairy farm, it rarely follows a neat, predictable
script, right? Understatement of the year. Yeah.
Sudden weather shifts heat waves. Cold snaps,
the stress of transportation, regrouping, even
minor illnesses. They can all throw a calf system
out of whack very quickly. So the portfolio acts
like a safety net. Exactly. A comprehensive antioxidant
portfolio acts as that safety net, providing
extra resilience to help them navigate these
bumps in the road, these unforeseen challenges.
So it's about having that nutritional safety
margin built in for when things inevitably don't
go exactly according to plan. That's it. It really
reinforces Dennis's point then about. proactively
feeding those diverse antioxidants to build that
well -diversified financial portfolio for calf
health. Really powerful way to frame it. It is.
Now, look, let's be pragmatic here. We know not
every farm operates with unlimited resources.
Budgets can be tight, really tight sometimes.
Absolutely. Reality bites. But even with those
financial constraints, there are strategic ways
to allocate your nutrition dollars. You want
to put them where they'll have the greatest impact.
Right. It's about prioritizing, isn't it? Where
should producers focus their attention, their
dollars, if they can't? maybe overhaul their
entire calf program overnight. Okay, number one
priority, I'd say, is the first 30 days of life.
Absolutely pivotal. Why so critical? Well, their
immune systems are still developing, they're
naive, and they're encountering a whole host
of new environmental challenges and pathogens
for the first time. Yeah, it's a high -risk period.
It is. There's intense immune system activity
going on. So targeted nutritional support during
this specific time can significantly influence
their long -term health and performance trajectory.
Okay, first 30 days. Where else? Stressful periods
in general. Weaning is a big one, obviously.
Moving to new housing, mixing groups, dealing
with extreme weather conditions, heat or cold.
Those predictable stress points. Exactly. Those
are times when calves are definitely more vulnerable
and they'll derive significant benefit from that
additional nutritional support, especially antioxidants.
Makes sense. Anything else? And maybe think about
your genetically superior animals. Those heifers
destined to be your top producing cows, it's
likely a very wise investment to ensure they
get optimal nutrition early on to help them actually
reach that full genetic potential you paid for.
Good point. maximize the return on your genetic
investment too. Yeah. Okay. So those are key
priorities. What about situations where maybe
a more premium all out approach might be less
critical? Where could you maybe pull back a little?
Well, If you're really fortunate and you consistently
maintain excellent calf rearing conditions, top
-notch hygiene, low stress, really robust health
across the board. The ideal scenario. The ideal,
yeah. Or if you have access to really high quality
pasture that provides a good natural source of
antioxidants, maybe later in life, the need for
extensive supplementation might be somewhat reduced.
And also, if you're already using well -formulated
commercial calf feeds or milk replacers that
you know include a comprehensive blend of antioxidants
you might already be covering many of these bases
right so it's about understanding what your current
program actually delivers first absolutely know
your starting point that's a good reminder it's
not a one -size -fits -all prescription is it
definitely not but for those looking to make
improvements maybe step things up what's a practical
way to start implementing these ideas without
you know Breaking the bank immediately. I think
a phased approach is often the most manageable.
Start somewhere. Like where? Well, probably the
initial and often simplest step for many producers
feeding whole milk is to address that well -documented
deficiency we talked about, vitamin E and selenium.
50 % gap. Exactly. Fortifying whole milk or even
waste milk with just those two essential nutrients
can make a really tangible difference relatively
easily and affordably. Okay, that's a solid first
step. What's next? The next step could be to
incorporate targeted supplementation during those
known stress periods we identified, weaning,
transport, weather changes. Just boost the antioxidants
around those times. Be strategic about it. Be
strategic. And then, you know, as you observe
the benefits, maybe see fewer treatments, better
growth. And as your budget allows, you can progressively
work towards implementing a more comprehensive
year round antioxidant program. That sounds like
a sensible, achievable strategy. Build it over
time. Yeah. Step by step. Now let's flip the
coin. Let's consider the alternative. What happens
when we don't? prioritize that nutritional cash
flow. What's the real downside of skimping? Yeah,
that's when calves can end up in what we could
call nutritional debt. They're essentially expending
more energy, more nutrients than they're taking
in. Like going bankrupt, nutritionally speaking.
It's the nutritional equivalent of a business
teetering on bankruptcy, yes. And there are two
particularly vulnerable phases where this is
most likely to happen. The first is early in
life. Especially if milk intake, for whatever
reason, just isn't sufficient to fuel their incredibly
rapid growth rate. Not enough revenue coming
in. Exactly. And the second really critical period
is right around weaning. That transition time
when their consumption of solid starter feed
hasn't yet ramped up enough to fully compensate
for the nutritional contribution they were getting
from milk. Yeah, that weaning transition always
seems like such a precarious time. They're losing
that consistent, highly digestible nutrition
from milk. Right. And their rumen isn't yet fully
firing on all cylinders to efficiently utilize
that starter feed. It's a real nutritional tightrope
walk. It absolutely is. And as Tana Dennis pointed
out, calves that are running on a minimal cash
flow diet or those that have low savings, you
know, low reserves of essential nutrients, they
are far more susceptible to oxidative stress,
illness, and the resulting cellular damage. Makes
them sitting ducks almost. Pretty much. And this
brings us right back to that whole milk issue
again. The fact that standard whole milk typically
falls around 50 % short of a calf's vitamin E
and selenium requirements, that's huge. It is.
It means if you're relying solely on unfortified
whole milk, you're essentially starting your
calves off with a significant nutritional handicap
right out of the gate. You're putting them in
debt from day one. Wow. That 50 % deficit, it's
a pretty sobering statistic when you put it like
that. It really highlights the fundamental importance
of at least addressing that specific gap. even
if other program changes have to take more time.
Agreed. It's low -hanging fruit, really. Okay,
so let's try and distill all this down into some
really actionable advice. What? What are, say,
three concrete steps our listeners could take,
maybe starting today or tomorrow, to begin boosting
their heifer profitability through nutrition?
Okay, three steps. First one, proactively plan
for stress. Don't wait until the thermometer
plunges or the weaning date is staring you in
the face. Be prepared. Be prepared. Build those
nutritional reserves before these predictable
challenges arise. What does that look like? Well,
it might involve increasing milk volume when
cold weather is forecast. It could mean adding
extra antioxidants to the diet a few days before
a planned stressful event like transport or regrouping.
Get ahead of it. Get ahead of it. Or it might
mean meticulously monitoring and encouraging
starter intake well in advance of weaning so
that transition isn't such a shock. Think of
it like like putting on your snow tires before
the first blizzard hits, not after you're already
stuck in a snow bank. Good analogy. Solid advice.
Okay. Plan for stress. What's the second practical
step? The second is to diversify your antioxidant
sources. We talked about the portfolio idea.
Don't rely on just one single vitamin or mineral.
Mix it up. Mix it up. Aim to include things like
glutathione precursors. The amino acids methionine
and cysteine are key there. A comprehensive range
of vitamins. ACE are the big ones. Essential
trace minerals. Selenium, obviously, but also
copper, zinc, manganese. And maybe even consider
incorporating some plant -based compounds, polyphenols
and such, that are known for their antioxidant
properties. A well -rounded approach just offers
much more comprehensive protection against different
kinds of challenges. Variety is the spice of
life, and apparently the key to a resilient calf,
too. Makes sense. Diversify sources. And the
third takeaway. The third is simply track your
performance. Monitor the numbers. You're running
a business, right? Supposedly. And like any successful
enterprise, you need to monitor your key performance
indicators, your KPIs, keep detailed records,
track health events, scours, pneumonia cases,
track treatment expenses. How much are you spending
on meds? Track growth rates. Are they hitting
benchmarks? Even monitor feed intake if you can.
Get the data. Get the data. Because this information
will provide invaluable insights into whether
your nutritional program is actually working.
Is it translating into healthier, faster growing
calves with lower costs? You simply can't. You
can't improve what you don't measure. Absolutely
fundamental. You can't manage what you don't
measure. Yeah. It applies here just like anywhere
else in the business. For sure. And as Dennis
reminds us, the ultimate goal is to keep that
calf's nutrient balance sheet, its cash flow
firmly in the black, especially during those
demanding times when they're drawing down more
heavily on their energy and antioxidant reserves.
Keep them solvent. nutritionally speaking. Keep
them solvent. So maybe as a quick starting point,
just a brief checklist for everyone listening
to consider. Okay, let's hear it. First, honestly
assess your current antioxidant provision. Are
you adequately meeting their needs, especially
considering things like that whole milk gap?
Right. Second, identify the key stress points
your calves encounter throughout the year on
your farm. When are they most vulnerable? Know
your risks. Know your risks. Third, specifically,
if you're feeding whole milk, Are you addressing
that significant vitamin E and selenium deficiency?
Yes or no? Crucial point. Fourth, are you proactively
building nutritional reserves before stress hits
or are you always reacting after the fact? Proactive
versus reactive. And finally, fifth, are you
consistently tracking your results, health, growth
costs to actually see what's working effectively
and what might need tweaking? in your program.
Excellent. That's a really practical checklist
folks can use right away, just mentally run through
those points. Hopefully. So, okay, bringing it
all the way back around them. Yeah. That striking
$4 ,250 price tag for those Holstein Springers
at Pipestone that we started with. Yeah, still
resonates. It really does. And maybe the real
question isn't, you know, can you afford to invest
in premium calf nutrition in this kind of market?
It feels like the question is, can you really
afford not to? That's exactly it. The dairy operations
that are truly thriving now, and frankly, the
ones that are best positioned for long -term
success in the coming years, they're the ones
that recognize each calf as a valuable economic
unit from day one. Yeah. They get the walking
financial security idea. They get it. They understand
the critical role of that consistent nutritional
cash flow, having adequate antioxidant reserves
built up, and implementing a well -diversified
nutritional strategy to protect that investment.
And those operations that are maybe still holding
on to the older notion that calf nutrition is
simply another cost line item to minimize wherever
possible. Well, the blunt reality is they're
likely leaving a substantial amount of potential
profit just sitting on the table, untapped potential.
Yeah, profit that's getting eroded through maybe
higher treatment costs, slower development, delayed
age at first calving. Ultimately, replacement
heifers that just don't achieve their full genetic
and economic potential. Yeah, leaving money on
the table is exactly right. So maybe the final
thought for everyone listening, as you head out
to your calf barn today or tomorrow, really ponder
this. Are you truly investing in your future
herd with your calf program? Or are you just...
feeding your calves? It's a fundamental question,
isn't it? And the answer carries significant
weight, real financial weight for the long -term
viability and profitability of your dairy. Yeah.
Look at your calf program through that purely
economic lens for a change. What's the real return
you're getting or could be getting on your nutritional
decisions? It's definitely a deep dive worth
taking for your own operation. Couldn't agree
more. A very worthwhile exercise. If today's
episode lit a fire under your feed cart, you'll
find our complete calf nutrition ROI calculator.
antioxidant supplementation checklist, and the
full $4 ,250 CAF article at thebulveen .com.
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Until next time, remember, in this heifer economy…
You're either investing in nutrition or bankrupting
your future. Thanks for joining us today for
the Bullvine Podcast. We don't just report the
revolution. We are the revolution.