Teagasc lead the way towards higher sheep farming profitability in Kerry
The challenge to improve returns from lamb production was undertaken in the Caherciveen area under Teagasc specialist Michael Gottstein from 2004 to 2006. The target was to show a holding of 36 adjusted hectares could provide a reasonable return from sheep, through cost control, increased output, and better performance, by focusing on grassland management, growth rate and feed and veterinary costs.
Farm net profit has been improved by 78%, and the ambition now is to continue the programme to 2010, by which time it is believed farm income can be brought to more than 2½ times the original income of 2004.
Over three years ewe numbers were increased from 266 to 302, and lambs reared from 1.36 to 1.43 per ewe, resulting in a 19% increase in gross output. At the same time variable costs were reduced by 17%, total fixed costs by 16%, and the gross profit margin in 2006 was 4½ times the 2004 level. Targets for 2010 including rearing 1.55 lambs per ewe, and cutting the concentrate feeding by 50%.
Michael Gottstein says in-depth analysis of physical and financial aspects of the farming system was the key to the profits hike.
