Review of Biological Weed Control Investment for the Australian Livestock Industries

Summary

1. This Report was commissioned by Meat & Livestock Australia Limited to assist in the formulation of a prospectus for Research, Development and Extension to improve the pasture available and its utilisation by the beef industry in southern Australia. The primary objectives of this Report are to summarise existing knowledge relevant to the productivity of the southern beef industry, propose strategies that could be adopted immediately and by the year 2020 to improve productivity and to recommend research and technology development needed to achieve the strategies.

2. A Decision Tree was used to identify the major components of a grazing, beef-breeding enterprise that contribute to the success of the enterprise. The Key Performance Indicator (KPI) selected was net profit/enterprise/year. The principal objective of the Decision Tree analysis was to identify the major components that contribute to the KPI and then work down the Tree identifying each component that contributes to the one above within the hierarchy of the Tree. Once the components of the Decision Tree were identified and its structure developed, the relative contribution each component makes to variation in values for the next component higher in the Tree hierarchy was assessed by statistical analysis of observed variation between farms, simulation models and informed estimation.

3. The Decision Tree analysis highlighted several major factors that affect the productivity and profitability of a grazing beef enterprise and which could be manipulated through management decisions. A simple spreadsheet model incorporating the most important components of the Decision Tree and the GrassGro simulation model were used to confirm the areas where management manipulations would have the greatest effect on profitability and to quantify the likely benefits.