Use of sensors in dairy farms

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1 Use of sensors in dairy farms What about the economics Henk Hogeveen & Mariska van der Voort Business Economics Group

2 What can you expect from me What do I mean with precision dairy farming Adoption of sensor technologies The economic value of sensor technologies Oestrus detection systems Calving detection What s next 2

3 Precision Dairy Farming Definition More than labour savings Support (daily) management Improve farm profitability and sustainability But also... Monitor physiological parameters related to health or fertility of individual cows Automatic detection of events (e.g. estrus and mastitis detection) 3

4 Societal concerns on health and welfare 4

5 Individual animal management Easy (To) difficult Forget it 5

6 Increasing availability of sensors 6

7 What can you expect from me What do I mean with precision dairy farming Adoption of sensor technologies The economic value of sensor technologies Oestrus detection systems Calving detection What s next 7

8 Benefits of sensor technologies Improve health & welfare Increase efficiency Improve product quality Objective monitoring Improve social lifestyle

9 Adoption of PDF technologies Why has it been so slow?

10 Not familiar with available options (Russel and Bewley, 2013) 10

11 Too much information without knowing what to do with it (Russel and Bewley, 2013) 11

12 Waiting for improved systems (Steeneveld and Hogeveen, 2015) 12

13 Undesirable/unknown cost-benefit ratio (Russel and Bewley, 2013; Steeneveld and Hogeveen, 2015) Most important limiting factor for commercialisation (Banhazi et al., 2012) 13

14 What can you expect from me What do I mean with precision dairy farming Adoption of sensor technologies The economic value of sensor technologies Oestrus detection systems Calving detection What s next 14

15 Effect of sensors on the production system Input Output Human benefit sensor technology for improving animal health 15

16 What can you expect from me What do I mean with precision dairy farming Adoption of sensor technologies The economic value of sensor technologies Oestrus detection systems Calving detection What s next 16

17 Automatic estrus detection 3D-accelerometers, progesterone in milk, camera systems Clear management (decision support) associated with information Increase estrus detection rate (50% vs. 80%) Reduce labour Adoption rate: ± 15 % in the Netherlands

18 Economic potential vs reality (Rutten et al., 2014) *1000 /herd/year Visual SN 50%, SP 100% Sensor SN 80%, SP 95% Milk Feed Calves -7-8 Insemination -7-7 Culling -7-6 Labour

19 Automatic estrus detection Some other studies (Giordano et al., 2014) $1/cow per year (detection rate 60%) $16/cow per year (detection rate 80%) Technical performances stay the same when farmers do not change their decision rules (Steeneveld et al., 2015) 19

20 What can you expect from me What do I mean with precision dairy farming Adoption of sensor technologies The economic value of sensor technologies Oestrus detection systems Calving detection What s next 20

21 Importance calving detection Timely provision of assistance by the farmer Reduce the effect of dystocia (1/3 calves; Barrier et al., 2013) Prevent calf mortality Improve cow health Under pressure in large herds 21

22 Data from two farms 583 cows 110 calvings Movement sensor (Agis Cow manager) Ruminating, feeding, highly active, not active, temperature Camera for gold standard Exact calving moment Expected calving date 22

23 Associations 23

24 Prediction of calving moment Not specific enough Sensitivity 1 hour hour hour hour Specificity 24

25 Economic analysis of calving sensor 25

26 Specific sensor vs oestrus detection sensor $US/calving relative to no sensor (marginal effect) Specific Oestrus 1 Oestrus 2 Sensitivity 95 % 21 % 54 % Benefits Labour Other Costs Net effect But... Accepting lesser care for cows 26

27 What can you expect from me What do I mean with precision dairy farming Adoption of sensor technologies The economic value of sensor technologies Oestrus detection systems Calving detection What s next 27

28 What s next Precision dairy farming is going to increase Strong need for economic models to increase adoption Value for others in the value chain Dairy processors, vets, breeders, feed industry Tool for farmers to access economic and social effects

29 Thank you for your 29