Economical analysis of year round lamb production

Economical analysis of year round lamb production
Peer reviewed

Abstract

The traditional lamb production system in New Zealand is driven largely by the seasonal pattern of pasture growth and ewes lambing once a year. An alternative is the implementation of year-round lamb production systems such as the STAR system, where ewes lamb five times over a three-year period, thus providing a continuous supply of lambs. A modelling exercise was undertaken to assess the economic viability of the STAR system. The model simulates pasture growth and flock energy requirement on a daily basis over a three year period for both the traditional system and the STAR system and calculates gross margins. The model was run for a 100ha block using average Manawatu pasture growth rates. The two systems were set to consume 11000 kg DM/ha of pasture per year. The model indicates that, at the same lambing percentage (160%) the STAR system earned an extra 26% of income compared with the traditional system. Even at a lower lambing percentage (148 versus 160) the system can match a seasonal lamb production system. With a 10 % premium for out of season lambs the STAR system generates an extra 56% in profit.

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