SEMO OPTS FOR BEEF FARM OPERATION

The decision on whether students, faculty and the overall look of the Southeast Missouri State's 413-acre demonstration farm would be served best by a beef or dairy cattle operation came down to money and risk.

The farm currently operates with both beef and dairy cattle.

After hearing from an outside consultant, an agriculture advisory committee, students and the agriculture faculty at Southeast Missouri State, beef won out.

The transition is expected by next fall.

Dr. Thomas Lindahl, agriculture college dean at the University of Wisconsin at Platteville, agreed to review the university's farm's missions, goals and future. He also discussed the outlook with Southeast agriculture students.

It was Lindahl's opinion that to teach agriculture majors who plan to be employed in the agriculture business "up-to-date experiences" it was necessary to install an "up-to-date technology laboratory."

Lindahl suggested expanding the beef enterprise be given in-depth consideration."

There are more than 60,000 beef cattle operations in Missouri but fewer than 10,000 dairy operations. Of the 50 states, Missouri ranks second in beef cows and second in hay production.

The number of state's dairy operations is small and declining. It was the faculty's opinion that the dairy herd assistant position could be eliminated for an expected annual savings in 1995 of $25,300.

It came down to whether the university wanted to make this a profitable operation or strictly a learning situation, said Dr. Danny Terry, university agriculture department chairman.

"We can still teach the basic operation without having to upgrade equipment and add a lot more dairy cattle," he said.

Terry estimated the transition, which includes selling dairy cattle and equipment, will mean a $100,000 profit.

"But this would go right back into the purchase of more beef cattle, so there really wouldn't be any profit after the transactions are all made," he said.

To move in the direction of a dairy farm, it would have been necessary to sell the existing beef cattle and purchase more dairy cattle. In addition, a dairy enterprise is an intensive skilled labor and management situation. The ability to keep excellent management and a skilled dairy herdsman is essential and difficult.

"You can make more money with dairy cattle, but it costs more to maintain them and in an academic environment the production would be slowed down by the learning process," Terry said. Producing milk that wouldn't be suitable for the consumer is also a risk.

Terry said there is more risk involved in a dairy farm because dairy cattle require more care and attention.

"With beef cattle you only have to make a check on them once a day," he said.

The operational costs of the beef operation are significantly lower. While the dairy parlor equipment is in good condition, much of the peripheral equipment, such as silos, tractors and mowers, is worn out. The present farm operation doesn't generate sufficient funds to replace these items.

Another consideration was future use of the property. Recently property a mile from the farm sold for almost $2,000 an acre. Thus the farm's value might be expected to approach the same value in the future.

Terry said Southeast receives more beef cattle as donations than dairy cattle.

"Gentlemen farmers who own other businesses can afford to donate beef cattle, but dairy farmers who live off of their dairy cattle can't afford to give up what essentially is their livelihood," he said.