Cost-Effective Reproductive Programs for Lactating Dairy Cows: Economic Comparison of all Estrus Detection, all Timed-AI, or a Combination of Both

The three largest expenses of the dairy business are: 1) feeding lactating dairy cows, 2) raising replacement heifers, and 3) labor. Reproductive performance of lactating dairy cows directly influences the annual frequency of calving (which affects the number of replacement heifers available) and milk yield (due to extended low productivity lactation and dry period).

Many factors such as feed management (Batch et al., 2008), cow comfort (Huzzey et al., 2005; 2006), uterine diseases (Sheldon et al., 2006; Brick et al., 2012), pregnancy loss (Santos et al., 2009), semen handling (Dalton et al., 2004) among other affect the conception risk (CR) and 21-day pregnancy rate (PR) of lactating dairy cows. Therefore, best transition cow management practices (during the weeks before and after calving) are key determinant for optimum reproductive performance of cows, economic success, and sustainability of dairy operations. Suboptimal reproductive performance leads to extended days open, increased culling due to reproductive failure, and decreased milk yield (Meadows et al., 2005; De Vries et al., 2010).

Choosing the most cost-effective reproductive protocol for the specific dairy herd is a critical managerial decision. Every dairy farm is an integrated system and decisions made on one area of the farm will have an impact on other areas of the farm. There are many reproductive tools available, from synchronization of ovulation to estrus detection programs (visual observation or measuring cow activity); but regardless of the tool a farmer may use, proactive management practices at the farm level matter when it comes to reproduction. Therefore, two key aspects of reproductive management were assessed to illustrate: (1) the economic outcome of reproductive programs using estrous detection (ED) and (2) the impact of improving 10 percentage points (from 85% to 95%) in both compliance and accuracy of ED on herd profitability. Additionally, it is common to observe large among-herd variation in culling risk within 60 DIM. Therefore, the effect of two culling risk strategies within 60 DIM (6% vs 12%) and two cow sale prices ($1.85 vs $1.37 per kg live weight) were compared using the same reproductive program and performance on the economic outcomes of dairy herds. 

The following factors that are known to affect the economic benefits of three reproductive programs were assessed: (1) accuracy of ED (85% vs 95%) and (2) compliance with each injection of the synchronization protocol (85% vs 95%). Milk price was set at 0.33 or 0.44 $/kg and ED rate was set at 60%. The combinations of reproductive programs are provided in Table 1. The economic analyses were estimated using an individual-based model of a dairy herd (Galvão et al., 2013).

For the simulation, pregnancy to first AI was 33.9% and then decreased by 2.6% for every subsequent insemination and ED was set to 60%. Accuracy of ED (85% or 95%), and compliance with each injection (85% or 95%) of the AI protocol were evaluated. Inaccurate ED resulted in 0% CR. Missing a Presynch injection resulted in loss of 50% of the benefit, and missing an Ovsynch injection resulted in decrease in CR by 70%. Pregnancy diagnosis was performed at 32 days after AI and open cows were managed according to each reproductive program.

Cows were not AI after 366 days in milk (DIM) and open cows were culled after 450 DIM. Culled cows were immediately replaced with a nulliparous heifer 280 days pregnant to maintain the herd at 1000 cows (lactating and dry). Death losses were set at 6% and abortion at 11.3%. The dry period was set at 60 days. Net daily value was calculated by subtracting the costs with replacement heifers ($1,600/heifer), feeding costs as dry matter ($0.25/kg of lactating cow diet; $0.15/kg of dry cow diet), breeding costs [$0.10/cow/day for ED; $2.65/dose of prostaglandin F2alpha; $2.40/dose gonadotrophin releasing hormone (GnRH); $0.25/injection administration; $3.0 per pregnancy diagnosis], and other costs ($2.5/day to account for labor, veterinarian, and fixed costs) from the daily income with milk sales ($0.44/kg milk), cow sales ($1.65/kg live weight), and calf sales ($140/calf).

There is no single parameter that can fully describe and monitor the success of a transition cow management program. Typically, dairy herds with excellent transition cow health had less than 6% of culled cows within 60 DIM (Nordlund and Cook, 2004). Therefore, the same reproductive program as described above (TAI-ED-60-95; milk price was set at $0.44 per kg) and two culling risk strategies within 60 DIM (6% vs 12%) were used to estimate the economics of transition cow management (Schuenemann and Galvão, 2014). A sensitivity analysis was also performed using culled cow prices at $1.85 or $1.37/kg live weight to assess the effect of beef market variation on herd profitability (Schuenemann and Galvão, 2014). 

            The distribution of CR, 21-day PR, DO, and PP at 366 DIM by breeding program is provided in table 1. The combination of TAI with ED, regardless of ED accuracy or TAI compliance, resulted in higher 21-day PR and reduced DO compared to ED or TAI programs (Table 1). 

Table 1. Reproductive parameters for three programs that used 60% estrus detection only (ED; 85% or 95% accuracy), timed-AI only (TAI) with compliance (85 or 95%) with each injection of the TAI program, and combination of both.

 

Three reproductive programs that used 60% estrus detection only (ED; 85% or 95% accuracy), timed-AI only (TAI) with compliance (85 or 95%) with each injection of the TAI program, and combination of both were compared:

ED-60-85: 60% estrus detection only with 85% accuracy of ED.

ED-60-95: 60% estrus detection only with 95% accuracy of ED.

TAI-85: timed-AI only with 85% compliance with each injection of the TAI program.

TAI-95: timed-AI only with 95% compliance with each injection of the TAI program.

TAI-ED-60-85: timed-AI with 85% compliance with each injection of TAI program combined with 60% ED with 85% accuracy of ED.

TAI-ED-60-95: timed-AI with 95% compliance with each injection of TAI program combined with 60% ED with 95% accuracy of ED.

SR = service rate; CR = average conception risk; 21-d PR = 21-day pregnancy rate; DO = mean days open; and PP at 366 DIM = proportion of pregnant cows at 366 days in milk.

^†Adapted from Galvão et al., 2013. 

The proportion of cows culled, replacement costs, and breeding costs determined the annual profit. Combination of TAI with ED, with good compliance (95%) and accuracy (95%), will provide the best return on investment. Furthermore, ED program is better than TAI with similar accuracy and compliance, but TAI with good compliance is better than ED with poor accuracy (Table 2). Assuming that the herd size remains constant, combination of TAI with ED (95% compliance and accuracy of ED; TAI-ED-60-95) resulted in the greatest profit ($1,616), followed by ED ($1,585.5 and $1,567.9) and TAI only ($1,483.4 and $1,559.5; Table 2). Although milk prices ($0.33 vs $0.44) significantly affected profitability, most of the economical benefits between TAI-ED-60-95 and TIA-85 programs are due to increased culling risk (11 percentage points) because of reproductive failure and replacement costs (Table 2). 

Table 2. Distribution of cows and economical ($/cow/year) outcomes for three programs that used 60% estrus detection only (ED; 85% or 95% accuracy), timed-AI only (TAI) with compliance (85% or 95%) with each injection of the TAI program, and combination of both.

 

For comparison purposes, the price of milk was set at $0.33 or $0.44 per kg.

^†Adapted from Galvão et al., 2013. 

Culling risk within 60 DIM (fresh cows) is referring to the number of sold lactating cows removed from the herd (due to health/injury events or performance) and expressed as a percentage of the number animals that calved. According to the model (same herd size, synchronization program, reproductive performance, and feeding costs), the annual profit for a 1000-cow herd was $55,480 higher for herds with 6% compared to 12% culling risk within 60 DIM when culled cow sale price was $1.85 (Table 3; Schuenemann and Galvão, 2014). When the culled cow sale price was $1.37/kg and replacement costs remain the same, the annual profit was $80,300 higher for herds with 6% compared to 12% culling risk within 60 DIM (Table 3; Schuenemann and Galvão, 2014). Early removal of lactating cows from the milking herd due to poor transition cow management significantly affects the annual profit of dairy operations. 

Table 3. Economics of transition cow management program in dairy herds. 

 

¹Calculated for 1000-cow herd. Milk price was set at $0.44 per kg. 

Compliance with each injection of the TAI protocol (e.g., Presynch-Ovsynch) affects reproductive performance (CR and PR) and the subsequent economic benefits. Dairy farmers should assess AI technician performance by considering the accuracy of ED and compliance to each injection of the reproductive protocol before implementing or changing programs. Integrating an aggressive and accurate ED and TAI program to re-inseminate cows that spontaneously return to estrus, concurrent with a routine pregnancy diagnosis (32 days after AI) and resynchronization of non-pregnant cows, will improve PR, reduce days open, and increase the overall profit of the herd. Designing and implementing a proactive transition cow management program (from cow comfort to personnel training) will significantly reduce calving-related losses, optimize reproductive performance of lactating cows, and increase profitability of the herd regardless of the reproductive program used.

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