Financing available for good dairy operators
WISCONSIN - Gary Sipiorski is with Citizens State Bank of Loyal and is recognized as one who has a good handle on financing dairy operations.
15 March 2007
1 minute read
He says credit is readily available for the dairy industry, “Dollars are available for good people who know how to get milk out of cows, know how to take care of cows, know how to manage money.” But, there are a lot of variables these days and it is up to the producer to decide if expansion is in the cards. “You decide what works best for you,” says Siporski “Pencil it out, cash-flow it, and see what works for you.”
Like every aspect of livestock agriculture, corn and ethanol are the big issue. Sipiorski says that is going to put an extra squeeze on Western dairy producers. “In the Midwest, we raise a lot of our corn and forage and feed it to our cattle,” while Western producers not only have to buy the feed at a higher price but pay higher transportation costs to get it there. “We will have a benefit of a buck-and-a-half to maybe a couple of bucks a hundredweight over the West.” Along with that, most believe calving rates are going to start declining out west as a result of that heat wave last July, plus, there’s the rBST issue. “Some milk plants out there are not going to accept that, that’s ten pounds a cow, that is going to be a factor.”
Source: Brownfield Network
