EverGraze & Caring for Our Country. Final Report June 2012

Transcription

1 EverGraze & Caring for Our Country Final Report June 2012 Date: 8/6/12 Section 1: Site details 1. Name of the Site: Pastoria 2. Location: Pastoria 15 km north east of Kyneton, Vic. 3. Host producer: Michael O Sullivan 4. Coordinator of the Site: Lisa Warn, Mackinnon, University of Melbourne 5. Start date: November (site sown). 6. Farm description a) Rainfall: 700mm b) Enterprise(s): Prime lambs and beef cattle. c) Farm area (ha): 1829 ha (including 490ha leased). d) Number sheep (ewes/wethers/weaners): 5600 cross bred ewes (joined to terminal sires), 6800 lambs. e) Number cattle (cows/weaners): 500 breeders and 200 heifers. f) Describe the combination of pastures, soils and landscapes on the farm: Soils are predominantly sandy loams in granite hill country with a smaller area of farm with red volcanic soils. Around 60% of the farm has been sown to improved pastures consisting of sub clover and perennial ryegrass or phalaris, with some cocksfoot. Perennial weeds such as bent grass and sorrel are the dominant species in the unimproved areas. 7. The site and treatments. Aim: Aim: Comparison and economic evaluation of winter active and summer active pasture species for prime lamb enterprises. Issues: The site is located in granite hill country in central Victoria. The soils are fragile sandy loams which are low in organic matter, prone to leaching of nutrients and prone to erosion. The topography presents grazing management challenges and it is difficult to maintain even and adequate ground cover across paddocks. In addition, this area has experienced 3 failed springs (2006, 2007, 2008) which has put further pressure on producers, pastures and ground cover. Producers in the area are keen to establish more perennial pastures on their properties to improve carrying capacity and protect soils. Phalaris is highly valued as a productive and persistent perennial but as most of the producers in the group are producing prime lambs, they are interested in evaluating the cost/benefits of sowing a portion of their farm to the summer active perennial, chicory, and learning about its management requirements. While lucerne is also a highly valued species, most of the soils in the area are too acidic. Chicory is seen as a possible alternative to sowing brassicas which many producers have used to finish lambs but is not always successful due to unreliable summer moisture. The producers also want to compare the cost/benefits of early autumn (dry) sowing the highly productive but less drought tolerant perennial grass, Banquet ryegrass. This site will demonstrate how well managed perennial pastures can improve soil organic matter, ground cover, root depth, reducing risk of erosion and nutrient loss. Also, the site will allow data to be collected on

2 the relative costs and benefits of different perennial pastures species and economics of pasture establishment. Treatments being compared are: Paddock 1 (Control): Landmaster phalaris/sub clover pasture in ½ paddock. Advanced AT (aluminium tolerant) phalaris in ½ paddock. Sown at 4 kg/ha Paddock 2. Banquet ryegrass pasture. Sown at 20 kg/ha Paddock 3. Chicory pasture. Sown at 5 kg/ha. Pastures were sown in mid November. Sub clover was not included in the mixes due to the spring sowing. All paddocks received maintenance fertiliser and were rotationally grazed. Section 2. Measurements: Paddocks were soil tested (both topsoil and subsoils) in autumn to determine appropriate species for each paddock. Lucerne was being contemplated to go in the mix in the phalaris paddock but was ruled out due to high subsoil aluminium levels. A summary of the soil test result, taken prior to pasture establishment, are shown in Table 1. Only one soil test was taken for the area sown to chicory and ryegrass as it was originally one paddock that was split in half for these two different pastures. Pasture availability, livestock grazing days, DSE/ha, pasture composition, groundcover, perennial species persistence (basal cover), capital and variable costs were all recorded to fully assess the performance of the 3 pasture types. All sown pastures were rotationally grazed hence carrying capacity was assessed using grazing days and then converted to DSE/ha. The economic evaluation was done using discounted cash flow budgets (Net present Value).

3 Table 1. Soil test results (topsoil: Feb, subsoil: May ) prior to pasture establishment ANALYSIS UNITS Chicory & Ryegrass Phalaris TARGET LEVEL or desirable range SUBSOIL Chicory Ryegrass SUBSOIL phalaris Phosphorus (Olsen) mg/kg Potassium (Colwell) mg/kg Sulphur (KCL40) mg/kg ph (1:5 water) ph (CaCl2) Salinity (EC) (1:5 water) ds/m < Soil Texture Loam Loam Clay loam loam Organic Carbon % Nitrate mg/kg Ammonium mg/kg Phosphorus (Colwell) mg/kg Phosphorus Buffering Index PBI LOW (varies with soil type) Calcium (Exch) meq/100 g Magnesium (Exch) meq/100 g Sodium (Exch) meq/100 g Potassium (Exch) meq/100 g Aluminium (Exch) meq/100 g 0.16 < Calculations Sum of cations (CEC) meq/100 g Calcium/Magnesium ratio Sodium % of cations (ESP) 2.3% 0.8% < 6 % 3.9% 2.6% lucerne: <5% Aluminium % of cations 3.4% < 0.1% phalaris: <10% ryegrass: <20% 9.0% 25.4%

4 Section 3 Results: Pastures were only sown in early November. Heavy rain in late winter and spring meant the paddocks were too wet to drive on and couldn t be sown in September as originally planned. Paddocks were sprayed in mid October but more heavy rain after spraying, meant sowing was delayed for 3 weeks. Toad rush (often an issue for autumn/winter sowings) germinated & competed with the pastures in the very wet sections of the paddocks. This impacted most dramatically on the chicory pasture which didn t achieve as good an establishment result as the other 2 pastures. The /11 spring summer had exceptionally high rainfall. A summary of the monthly rainfall (from Kyneton) during the trial, compared with long term average, is shown in Table 2. Table 2. Monthly rainfall (mm) for 2011 at Kyneton compared with long term average ( Bureau of Meteorology: Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec TOTAL Long term average Details of the pasture mixes sown and establishment costs are shown in Table 3. Pastures were sown with fertiliser. The chicory and ryegrass paddock was low in potassium so it received potash in Grazing commenced in March Regular monitoring of the site occurred from March The number of grazings achieved for each paddock and the average annual DSE/ha carried are shown in Table 3. Pasture establishment plant counts (perennial plants per square meter) were taken in January Plant counts were taken again in May 2012 to assess the number of plants that had survived through the second summer (Table 3). Basal cover (a measure of plant size) of the sown perennial species was not assessed in autumn 2011 as pastures had only just established and was not done until May Pasture composition and ground cover (as assessed as a percentage of ground cover) for each paddock is summarised in Figure 1.

5 Table 3. Establishment details, costs, plant establishment and grazing achieved at Pastoria. Sprayed/sown Sowing method Fertiliser Pasture Mix Plant counts Establishment plant counts 24/1/11 31/5/12 Grazing 2011 (DSE/ha) Grazing 2012 until (DSE/ha) Spray: 19 th Oct Sown: early Nov Roundup 2.5 l/ha plus Lemat & Wetter TX. Direct drilled ( cost $263/ha) Sown with 100 kg/ha Super Puna 5 kg/ha 33 plants/m 2 Range: plants/m 2 5 DSE/ha (2 grazings Spray: 19 th Oct Sown: early Nov Roundup 2.5 l/ha plus Lemat & Wetter TX. Direct drilled (cost $383/ha) Sown with 100 kg/ha Super Banquet II perennial 20 kg/ha 124 plants/m 2 Range: plants/m 2 8 DSE/ha (4 grazings) Spray: 19 th Oct Sown:early Nov Roundup 2.5 l/ha plus Lemat & Wetter TX. Direct drilled (cost $263/ha) Sown with 100 kg/ha Super Landmaster 4 kg/ha 69 plants/m 2 Range: plants/m 2 12 DSE/ha (5 grazings) Spray: 19 th Oct Sown:early Nov Roundup 2.5 l/ha plus Lemat & Wetter TX. Direct drilled (cost $263/ha) Sown with 100 kg/ha Super Advanced AT 4 kg/ha 62 plants/m 2 Range: plants/m 2 12 DSE/ha (5 grazings) Figure 1. Pasture composition (% ground cover basis) for each paddock assessed in May 2012.

6 The discounted cash flow/ Net Present Value method was used for the economic analysis. The pasture options trialled were compared with a typical unimproved (but well fertilised) annual pasture on the property. The assumptions used for the analysis are summarised in Table 4. The average gross margin used for the prime lamb enterprise was $25/DSE. A Winfred fodder rape crop was sown in the trial paddocks in spring 2009 at a cost of $180/ha and it was estimated paddocks carried around 5 DSE/ha in while the do nothing paddock carried 7 DSE/ha. The gross margins ($/ha) projected for 2012 were based on projected stocking rates shown in Table 4. Additional livestock cost $50/DSE ($125/crossbred ewe). Interest on capital invested was 5%. Discount rate of 10% used. Table 4. Gross margins ($/ha) achieved for each pasture option in 2011 and 2012*(* projected). Pasture Cost of fodder crop Cost to establish pasture DSE/ha DSE/ha 2011 DSE/ha 2012* Gross margin $/ha 2011 Gross margin $/ha 2012* Gross margin $/ha Chicory $180/ha $ 263/ha $125 $160 $160 Banquet perennial ryegrass Landmaster & Advanced AT phalaris Do nothing Unimproved pasture $180/ha $ 383/ha $125 $250 $359 $180/ha $ 263/ha $125 $425 $425 $ 0/ha $ 0/ha $175 $175 $175 The projected cumulative cash flow for each option is shown in Figure 3. This includes all capital expenses extra stock and pasture establishment. With assumed stocking rates for , it will take 5 6 years for phalaris pasture establishment to break even with not sowing pasture ( do nothing ). It will take 7 8 years for the perennial ryegrass pasture to break even with the do nothing option. The projected cumulative cash flow for each option is show in Figure 3. Using this analysis, the chicory pasture was a poorer investment than Do nothing. However, since chicory is considered to be a special purpose summer fodder crop, it is perhaps fairer to compare the cost of establishment and summer feed provided with the cost of alternatives such as feeding grain for lamb growth.

7 Figure 2. Projected cumulative cash flow for the 4 different pasture options. Net Present Value (NPV) is the method where the cumulative cash flows (including all capital expenditure and income) over a ten year period are discounted so that the investment can be compared in today dollars. Generally, the investment with the highest NPV is considered to be the better investment, but other factors such as cash flow and return on additional capital invested should be taken into account. A summary of the NPV s and return on additional capital for each investment option is shown in Table 5. The phalaris pasture appeared to be the better investment option, due to the higher stocking rates carried in Projected stocking rates for the analysis assume the differential in stocking rate between the pasture types will stay the same over the next 8 years. Table 5. Net present value and return on additional capital for the 4 pasture options. Pasture option Additional capital invested $/ha Net present value $/ha Return on additional capital (ROAC) % Chicory Banquet perennial ryegrass Landmaster & Advanced AT phalaris Do nothing Unimproved pasture

8 Section 4 Discussion: The phalaris and perennial ryegrass established very well despite being sown late in. Follow up rain through summer meant the pasture grew extremely well and were ready to graze by March Although sowing was delayed, sections of the chicory paddock were still quite wet at the time of sowing and this impacted on the chicory establishment which was patchy in these wet areas. The phalaris was very productive in its first year providing a large quantity of feed for ewes, lamb and steers. The ryegrass paddock provided less grazing, but it could be argued its feed quality in summer/early autumn 2011 would have been superior to the phalaris which was allowed to run to head to ensure good establishment. The chicory was grazed once in March, was totally dormant through winter and then was grazed again in October. Since the chicory was sown late, its peak growth period was not capitalised on in year 1. Establishment densities were excellent for the perennial grass pastures. For phalaris 62 and 69 plants/m 2 established and for ryegrass 124 plants/m 2. It is still too early to make conclusions about the persistence of the pasture species/varieties in this environment. There was some loss of plants by autumn 2011, but numbers were still high in both paddocks at plants/m 2 for the phalaris and 49 plants/m 2 for the ryegrass. It is normal for plant populations to decline after sowing, as plants compete for light and nutrients, and then stabilise to a more sustainable density. A density of plants/m 2 would be satisfactory for an established pasture. To date, the two phalaris varieties have performed similarly with respect to persistence and composition. Advanced AT is more tolerant of aluminium than Landmaster, but so far there has been no obvious impact of the high subsoil aluminium on either variety. The two varieties were sown in different sections of the paddock and were not fenced off, hence separate grazing days for each variety could not be obtained. The chicory plant density has been stable since sowing. The chicory was allowed to flower and set seed in spring 2011 in an attempt to get recruitment of new plants. There was evidence of some new plants in autumn 2012, but this was matched by loss of some older plants. The perennial grass paddocks had minimal weed content in autumn 2012 and less than 3% bare ground. The chicory paddock had 7% bare ground and more weeds compared with the perennial grass paddocks. Sub clover was starting to fill the bare spaces in the chicory paddock, but if the ground cover and growth in this paddock doesn t improve by this spring, it will be over sown to perennial ryegrass. Preliminary economic analysis shows that the cumulative cash flows for the phalaris investment option will break even with the do nothing (unimproved pasture) option in 5 6 years, while the perennial ryegrass option will take 7 8 years. The phalaris pasture option had the highest NPV and best return on additional capital. The Supporting Site has been an excellent demonstration of performance of different species under grazing and has the added dimension of a replicated species experiment to compare dry matter yields. Seedmark are continuing to monitor/harvest the experiment which includes cultivars of phalaris, perennial ryegrass, cocksfoot and tall fescue.

9 Section 5 Extension, monitoring & evaluation: The groups objectives: The main areas of interest for this group relate to options for filling feed gaps, for predominantly lamb enterprises, and getting perennial pastures to persist. Here is a summary of the issues/questions that the group will address through their training program: Options for filling winter feed gaps use of urea, Gibberellic acid. Alternative fertiliser options manures, composts etc. Role & management of summer active perennial species (chicory, lucerne) for finishing lambs. Most soils were too acidic for lucerne, so chicory was seen as having more potential in the area. Relative production & winter activity of phalaris versus perennial ryegrass. Management of perennial pastures to improve production & persistence. Chicory: How much production do you get from chicory compared with phalaris? What lamb growth rates do you get? What proportion of the farm would you need to sow to chicory & what is the impact on the farm s winter production? Key extension/communication opportunities completed & feedback received: Activity Date Number producers attended General comments/feedback Planning meeting Farm walk 1 inspection of proposed Supporting Site and older, established pastures of ryegrass on the property Farm walk 2 Focus on establishment and management of chicory at G.Lester Smith s property, Carlsruhe. Nov 2009 Feb Aug 8 Group planned treatments and training program 14 See comments below 12 See comments below Farm walk 3 Farm walk 3 inspection of Supporting Site (establishment of 3 paddocks) and Species/variety trial. Update of results of Poultry Litter/alternative fertiliser trial Visit to site by Kilmore Bestwool Group Visit to site by Nulla Vale/Pyalong West Landcare group Pasture Update Major field day held at site (& seminar in Kyneton) in conjunction with the Grassland Society of Southern Australia & MLA Farm walk 4 Focus on establishment and management of lucerne, chicory, perennial Jan 2011 May 2012 Jul 2012 Sept 2011 Mar See comments below (mix of producers, agribusiness, consultants) 12 See comments below

10 ryegrass, phalaris and bent grass control at Peter Smith s property, Sidonia. Representatives (Cam Conboy, Michael Joss, Reece Hardwidge) from Seedmark (major distributors of phalaris seed) have visited the site and the company is now a collaborator, having established a replicated trial of perennial grasses at the site. Agronomists from CRT (Kyneton), Elders (Kyneton) and Rodwells (Kilmore) also attended the January 2011 Supporting Site farm walk, major field day in September 2011 and farm walk in Mar Two producer groups (not associated with the local EverGraze group) have organised their own visits to the site i.e. Kilmore Bestwool/Bestlamb group and the Nullavale /Pyalong West Landcare groups. An article on the Pastoria EverGraze Supporting Site was featured in Australian Wool Innovation s magazine Beyond the Bale in March This magazine is distributed to all Australian wool growers. What has been the progress toward group objectives in terms of knowledge and skill development? Knowledge: There has been an increased awareness and knowledge about: Chicory identification, its role and management. This was the species the group was least familiar with. Phalaris varieties available and differences in winter growth and aluminium tolerance. Some producers have indicated their intention to sow more phalaris on their farms. Soil testing & interpretation particularly the need to take sub soil samples if considering sowing lucerne. Value of soil testing to improve fertiliser use. Grazing management required for different species to optimise persistence & productivity. Alternative fertiliser options. Responses to poultry litter as an alternative fertiliser & way to increase soil organic matter/carbon. Bent grass control options role of spray topping versus complete pasture renovation with summer fodder crops. Skills: Assessment of what constitutes a good perennial pasture in terms of adequate plants per square metre. Improved pasture species identification skills. Assessing leaf stage of perennial grasses to determine when the pasture is ready to graze. Identifying when & how to use grazing management to reduce/manipulate weeds in pastures rather than herbicides. What has been the progress toward group objectives in terms of practice change on farm?

11 It is too early to evaluate practice change amongst the group. However, after the Chicory training/farm walk, several producers decided that chicory was not a good option for their property and enterprises. After the Supporting Site farm walk in January 2011, a number of producers indicated that they planned to sow more phalaris on their farms. There has been a paradigm shift amongst the producers about phalaris and its cost/benefit. Many producers had the perception that phalaris was difficult to establish and would take a long time to get their money back (compared with perennial ryegrass), most likely due to experience with older, less winteractive cultivars such as Australian. At the farm walk in Jan 2011, producers were amazed with how quickly the phalaris had established and at the field day in Sept 2011 they were also impressed with the amount of grazing it had provided in its first year. Bent grass had re emerged as a big issue after the wet spring/summer of /11. The farm walk in March 2012 increased producers awareness about bent grass control options. At least 6 producers said they would look at spray topping bent grass in paddocks where it was becoming too dominant this coming spring. Local producers inspect the pasture variety experiment located adjacent to the phalaris paddock at the EverGraze Supporting Site. The phalaris paddock and the plots were sown in November. Photo taken in January 2011.

12 Local producers inspect 10 year old paddock of Banquet I perennial ryegrass that has survived the dry years. Peter & Lorraine Whites property, Sidonia, March Michael O Sullivan at the EverGraze Supporting Site, assessing the Banquet II perennial ryegrass pasture. March 2012.