Long-term investment crucial for dairy success

摘要

Articles based on DairyCo's profitability report (Business & Livestock, 20 January) do not reflect significant underlying financial difficulties faced by equally efficient producers striving to meet longer-term objectives. Long-term investment is pivotal to successful farm businesses and also to many rural economies - so why do Promar commend the fact that David Watson has a real grip on his costs, despite him admitting he cannot update his set-up? Using new technology and competing with foreign counterparts is not the same as keeping up with the Joneses. Plus, workable second-hand kit won't be available when needed unless it has first been new. DairyCo says dairy farming businesses neglect long-term planning. Reasons for this include uncertainty about future milk sale returns, changes in government support, consumer issues and family and personal concerns. This tends to result in good short and medium-term planning, at the expense of a longer-term strategy.