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Dairy farmers expanding horizons

31 Jan, 2012 08:09 AM
WHEN Max and Barbe Jelbart bought their dairy farm in 1981, things were on a much smaller scale. The young couple did all of the milking themselves at first, running a herd of 120 cows over 120 hectares in Leongatha South.

About six weeks in, they hired some help, and the ensuing three decades have seen the farm expand to become one of the biggest dairy farms in South Gippsland - covering more than 650 hectares and milking between 1000 and 1100 cows.

The farm payroll has grown, too. The Jelbarts now employ 17 staff. Annual milk production is about 7500-8000 litres per cow, compared to about 3000 litres in the farm's first year.

That expansion is a microcosm of the growth made in the Victorian dairy industry over recent decades. It has seen the adoption of robotic dairies and annual dairy exports last financial year of almost $2 billion.

Mr Jelbart sees a bright future for Victorian dairy exports. ''The world has got limited options for where they're going to source more product from, and Australia is a key exporter,'' he says.

The farm supplies dairy processor Murray Goulburn. At present, a dairy tanker visits every day to pick up fresh milk. For about half a year, though, two visits a day are required. The milk is transported to Murray Goulburn's plant in Leongatha. Because Murray Goulburn is one of Victoria's major exporters, milk from the farm ends up in dairy products around the world.

Mr Jelbart does see a couple of clouds on the horizon. He says New Zealand has some significant advantages over Australian producers.

''New Zealand has got a free trade agreement with China with zero tariffs. Australia has got to pay a 10 per cent duty, which has a big impact on our ability to market. I think the Australian government has got an obligation to pursue a zero import duty agreement with China,'' he says.

''One of the other big impacts is the financial cowboys playing with our Australian dollar, and the strength of the Australian dollar. If we had a 75¢ or 80¢ dollar, the industry would be in fantastic shape.''

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Dairy farmer Max Jelbart with some of his herd. Photo: John Woudstra
Dairy farmer Max Jelbart with some of his herd. Photo: John Woudstra

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