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Measuring and monitoring a lucerne / grass mix pasture to increase enterprise, productivity, profitability and sustainability

Project start date: 14 August 2009
Project end date: 01 February 2012
Project status: Completed
Livestock species: Grain-fed Cattle, Grass-fed Cattle
Relevant regions: Southern Australia
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Summary

This Producer Demonstration Site (PDS) investigated implementing more resilient pasture systems that persist through climate variability and respond to rain when it falls outside the traditional growing season.

Objectives

The PDS objectives were to:
• measure and monitor the following key performance indicators of the summer active lucerne/grass mix (phalaris and cocksfoot) pasture over a 3 year period: kg beef produced per ha
• complete a financial analysis of the proposed lucerne/grass mix, which includes cost benefit analysis and return on investment for the pasture system.

Progress

The profitability of the lucerne pasture returns $598 per hectare and 14% return on investment at the end of the ten year life of the pasture. The high initial infrastructure and establishment costs and ongoing labour costs mean the system will breakeven in year seven. If the infrastructure and labour costs were excluded from the lucerne pasture there is potential to earn $1,719/ha or 51% return on investment. Under this best case scenario the profitability is comparable to the Fish’s current perennial pasture system earning $1,950/ha at then end of year ten.