Method: open-source economic tool for dairy farmers planning extended cow-calf contact

Abstract

Extended cow-calf contact (CCC) is gaining popularity among European dairy farmers. Any change in farm management strategy should be preceded by economic considerations and an accurate assessment of the costs and benefits of the new management strategy. In this study, we have developed an economic tool for farmers planning extended cow-calf contact. The tool allows producers to calculate the costs and benefits of the new practice (CCC lasting from 1 to 3 months) and compare it with the current operation (conventional system with a maximum of 1 day of cow-calf contact). The tool has been developed using the free and open source R package Shiny and is accessible from the following link: https://cowcalfeconomictool.github.io/. The CowCalfEconomicTool consists of two tabs: calculator and user guide. The calculator tab has 7 distinct frames: language selection, housing, herd size, operational costs and revenues, milk production, calf parameters in the current system and expected CCC effect. Additionally, the calculator tab has one output frame which is dedicated to presenting an interactive cost-benefit table, a Gauge cost-benefit chart, net present value and a cost-benefit ratio. Finally, the user can download all input and output data. To test the economic model behaviour and determine which parameter has the biggest impact on the economic result, sensitivity analyses were conducted. Tool verification was performed with a group of experts. The source code for the tool as well as baseline variables and results of sensitivity analysis are available from the GitHub repository: https://github.com/CowCalfEconomicTool/CowCalfApp.

Sensitivity analyses indicated that building costs together with additional milk price premium for improved welfare were the most critical factors affecting the net present value of CCC operations. The user is encouraged to use the tool as a simulator by adjusting production variables accordingly. CowCalfEconomicTool is still in early stages of the development. As CCC research progresses, the default values should be adjusted and new fields could be added in the calculations. The tool assists farmers to make informed decisions on whether and how to adopt CCC, but the results of the analyses have to be used with caution. The final decision should be made after careful consideration and consultation with relevant experts (e.g. farm advisors, barn planning companies, veterinarians).