Buying a small farm to run cattle

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Fri, 10/07/2011 - 18:11 #1

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elf
Last seen: 03/08/2018 - 21:05
Joined: 09/22/2011 - 21:04

Buying a small farm to run cattle

G'day, I am looking into buying a small farm in the Omeo Valley region to run cattle. What size land would be required to run a farm that can provide a stable income? I was thinking of running smaller cattle as I hear they are easier to work with. I am looking anywhere between 200-500+ acres. My aim is to live comfortably, not to make copious amounts of money. Any ideas?

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Fri, 10/07/2011 - 18:21 #2
charlie
Last seen: 12/26/2018 - 09:21
Joined: 05/31/2011 - 09:44

By my calculation you would need approximately 100 cows to make $30,000 gross profit from your small farm if you produce vealers (180-200kg) for the local market.

The area of land you will require to run this number of cows will depend on factors including rainfall, soil type, management and pasture species. As a general rule of thumb you should be able to run one cow per 2-2.5 hectares or 5-6 acres. You probably then require another 25% of this land area as a reserve for drought or fodder conservation. The above stocking rate is based on a farm with improved pastures, that are fertilised and rotationally grazed (grazed and then rested). At this stocking rate you will still require fodder supplement (hay or silage) for times of the year when there is no rain or when there is minimal pasture growth like winter. If the pastures are unimproved (native) and un-fertilised (for many years) 1 cow could require an area as large as 5-10 hectares.

Many small farmers prefer the smaller cattle breeds as they can run more head on a smaller area (1 breeding cow per 1-1.5 hectares). They are also easier to handle (especially for first time owners), require less equipment, generally require less farm maintenance (fence repairs) and are easier to carry on wet soils (being lighter in weight they cause less pugging).

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Fri, 11/04/2011 - 19:02 #3
Carrie
Last seen: 03/08/2018 - 21:05
Joined: 09/23/2011 - 16:27

I think it depends on the type of farming your practising.  If you use electric fencing rather then permanent fencing, use nature as a means of improving pasture, not vaccinating, using antibotics or worming your animals just because they might catch something, and reducing your need for big machinery are all ways of reducing your costs and therefore improving your profits.

We have a 50 acre property, can produce a large amount of our own food from our land, and have started on selling our excess product to customers.  We are now at the stage of increasing our herds to fully utilise our farm land, and feel we can make a reasonable amount of dollars to support the farm and our lives with 60 meat sheep and 10 cows. 

If you need more thoughts you should check out books by Joel Salatin, he has some very interesting thoughts of the topic of farming and how to run a low cost operation, high production property.

Cheers

Carrie

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Fri, 01/13/2012 - 09:23 #4
snow
Last seen: 01/12/2012 - 23:54
Joined: 01/12/2012 - 22:46

Yeah, I do. Its not about acres, its about what the land can handle. There are many factors in first choosing your land if you want to run cattle? Whats the water like on the farm and will it withstand 10 years of drought, after three bad seasons you will need to lighten your stock to 30%. A lot of farms have gone broke because of drought, some third and fourth generation commercial farms. Remember water is life (Sydney Kidman Quote cattle ring of aust), also what condition is the land in? eg: How much soil, wind and water erosion is there and what would your management plan be.

Any common weeds that the DPI (Department of Primary Industies) eg: black berry bush outlines can be very hard and costly to get rid of, if there is say no more than 5% in flat country or 2% in hills. The reason i say that is because i presume you don't want to use chemicals, they are now one of the main expenses of farmers. The farmers that are making money are the ones that find a niche market, markets are changing with the times eg: it was only up until 12 years ago that coffee became popular and one of the first blokes who invested in it was 20 years old and earning 40 -50 grand per year, he did his research and it paid off.

Find two or three niche markets because when it comes to sheep and cattle prices falls if that hapeens there goes up to about 70% of annual income please watch, study and learn because if you get it wrong it means $2000 to $20.000. I could go on, I say this out of experience and listening to older wiser men than me in industies around Australia. I really hope you do well.

Snow 

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