• Share
  • Email
  • Embed
  • Like
  • Save
  • Private Content
Economics to support mastitis decisions
 

Economics to support mastitis decisions

on

  • 999 views

The Spanish organization for cattle veterinarians (ANEMBE) held her Annual meeting last week in Santander, Spain. I had the honour to be invited to give a presentation on economics of mastitis.

The Spanish organization for cattle veterinarians (ANEMBE) held her Annual meeting last week in Santander, Spain. I had the honour to be invited to give a presentation on economics of mastitis.

Mastitis is a disease that is occurring on every dairy farm in the world. Every farmer is also taking preventive measures against the disease. However, more prevention is possible. Since farming is a business, economics do play a role in the decision whether or not to apply more preventive measures. This presentation gives an overview of the failure costs of masitis (of which quite some estimates are available) as well as some knowledge on optimizing the level of prevention. A large part of the work in this presentation has been presented before. However, the work on total costs of mastitis (failure costs as well as preventive costs) is novel.

Statistics

Views

Total Views
999
Views on SlideShare
999
Embed Views
0

Actions

Likes
0
Downloads
51
Comments
0

0 Embeds 0

No embeds

Accessibility

Categories

Upload Details

Uploaded via as Microsoft PowerPoint

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

    Economics to support mastitis decisions Economics to support mastitis decisions Presentation Transcript

    • Supporting farmers with mastitis decisionsHenk Hogeveen
    • Who am I Farm boy (dairy farm, 45 cows) Animal science at Wageningen Univesity ● Epidemiology (simulation model of management around cystic ovaries) ● Economics (long term effect of herd health management programs) PhD at Vet Medicine (AI programs to diagnose mastitis) Working in field of animal health management In between Wageningen University and Faculty of Vet. Med. ● @henkhogeveen ● animal-health-management.blogspot.com
    • Mastitis is ……. A welfare problem A production problem A nuisance to the farmers An economic problem Decision making is weighting these aspects and choose that option that gives the highest fulfillment of goals
    • What to expect? Mastitis from an economic perspective Costs of mastitis ● Farmers own estimation Benefits of improved management Economics as motivator Conclusions
    • Economics of mastitis Dairy farm Input Output Capital Main product Buildings Milk Equipment Side products Feedstuffs Health care Calves ….. Meat ….. Labour After: McInerney, 1996 Land
    • Economics of mastitis Other input Capital Labour Land Dairy farm Dairy processor Consumption Input Output Output Satis- Capital Main product Fresh milk faction Buildings Milk Equipment Cheese Side products Deserts Feedstuffs Health care Calves …… ….. Meat ….. Labour Land
    • Economics of mastitis Other input Capital Labour Land Dairy farm Dairy processor Consumption Input Output Output Satis- Capital Main product Fresh milk faction Buildings Milk Equipment Cheese Side products Deserts Feedstuffs Health care Calves …… ….. Meat ….. Labour Land Mastitis
    • Economics of mastitis Other input Capital Labour Land Dairy farm Dairy processor Consumption Input Output Output Satis- Capital Main product Fresh milk faction Buildings Milk Equipment Cheese Side products Deserts Feedstuffs Health care Calves …… ….. Meat ….. Labour Land1. Lower efficiency Mastitis
    • Economics of mastitis Other input Capital Labour Land Dairy farm Dairy processor Consumption Input Output Output Satis- Capital Main product Fresh milk faction Buildings Milk Equipment Cheese Side products Deserts Feedstuffs Health care Calves …… ….. Meat ….. Labour Land1. Lower efficiency2. Lower suitability forprocessing Mastitis
    • Economics of mastitis Other input Capital Labour Land Dairy farm Dairy processor Consumption Input Output Output Satis- Capital Main product Fresh milk faction Buildings Milk Equipment Cheese Side products Deserts Feedstuffs Health care Calves …… ….. Meat ….. Labour Land1. Lower efficiency2. Lower suitability forprocessing3. Less satisfaction Mastitis
    • Economics of mastitis Other input Capital Labour Land Dairy farm Dairy processor Consumption Input Output Output Satis- Capital Main product Fresh milk faction Buildings Milk Equipment Cheese Side products Deserts Feedstuffs Health care Calves …… ….. Meat ….. Labour Land1. Lower efficiency2. Lower suitability forprocessing3. Less satisfaction4. Lower societal value Mastitis
    • Effects Lower efficiency Lower suitability for processing Less satisfaction Lower societal value
    • What to expect? Mastitis from an economic perspective Costs of mastitis ● Farmers own estimation Benefits of improved management Economics as motivator Conclusions
    • Recent literature (€) Bar Halasa Hagnestam-Nielsen Huijps 2012 2009 2009 2008Level Cow Cow Cow-year CowMilk production losses - 11 78 36Labour - 11 - 4Treatment - 14 - 15Culling - 46 - 22Death - 0 - 0Veterinarian - 2 - 1Milk quality - 0 - 0Materials - 0 - 0Diagnostics - 0 - 0Total 61 84 97 78
    • Spain (€) Using tool: www.bec.wur.nl -> research -> decision support tools Spain Spain 2012 Huijps 2012 2008Level Herd (150) Cow CowMilk production losses 21,344 143 36Labour 878 6 4Treatment 13,280 89 15Culling 3,040 20 22Death - - 0Veterinarian 120 1 1Milk quality 0 - 0Materials 0 - 0Diagnostics 0 - 0Total 38,661 258 78
    • Differences Netherlands Spain Incidence clin mastitis (cases/100 cows/year 30 78 Costs milk prod. losses (€/kg) 0.12 0.27 BMSCC (*1,000 cells/ml) 220 230 Visit costs (€/visit) 20 20 Drug costs (€/treatment) 20 60 Value labour (€/hour) 18 10 Culling costs (€/culled case) 480 380
    • Research Default cost calculations ● Based on literature and expertise ● Clinical mastitis: Yearly incidence ● Subclinical mastitis: Bulk milk somatic cell count ● Conservative estimations Data collection ● 64 dairy farms ● Data entry at “open farm days” ● Assistance from researcher
    • Theory vs practise (€/cow/year) Farm specific Default Mean Low High Production losses subclinical 16 36 6.8 72.4 Production losses clinical 23 10 2.5 22 Veterinarian (€/cow/year) 0.3 0.6 0 2.5 Drugs 6 10.6 3.5 26.7 Discarded milk 9 7.9 2.5 17.9 Culling 22 17.9 0 46 Penalties 0 0.30 0 2.4 Labor 4 3.8 0 15 Total economic losses 81 78 31.4 153.8
    • What’s behind this Farm specific Default Mean Low HighCosts milk prod. losses (€/kg) 0.12 0.07 0.03 0.10Visit costs (€/visit) 20 24 0 67.8Drug costs (€/treatment) 20 33 17.5 73.5Value labour (€/hour) 18 19 0 30Culling costs (€/culled case) 480 383 0 750
    • Real vs expected costs (n=64) 200 180 160 5 good estimators 140 Real costs (€/cow) 120 100 80 60 40 20 0 0 20 40 60 80 100 120 140 160 180 200 Expected costs (€ per cow)
    • Too high estimation 200 180 160 13 over 140 estimators Real costs (€/cow) 120 100 80 60 40 20 0 0 20 40 60 80 100 120 140 160 180 200 Expected costs (€ per cow)
    • Too low estimation 200 180 160 140 Real costs (€/cow) 120 100 80 60 46 under 40 estimators!!!!! 20 0 0 20 40 60 80 100 120 140 160 180 200 Expected costs (€ per cow)
    • What to expect? Mastitis from an economic perspective Costs of mastitis ● Farmers own estimation Benefits of improved management Economics as motivator Conclusions
    • Prevention Effectiveness of management is important to know ● Lack of clinical trials ● Only on treatments (AB, dipping, etc.) ● Based on expertise estimates have been made (Huijps et al., 2010). ● Underestimation of effectiveness by veterinarians? ● Preventive programs do work (Green et al., 2009)
    • Costs of mastitis, prevention Half definition until now Definition of costs of an animal disease (McInerny et al., 1992): Costs = Losses + Expenditures ●Loss : Benefit taken away (milk production, culling) ●Expenditures : Extra input into livestock production (treatment and preventive measures) My definition ●Failure costs: Costs associated with occurrence of mastitis ●Preventive costs: Costs associated with prevention
    • Introduction Optimal preventionFailureCosts Preventive costs
    • Study into total costs of mastitis on Dutch dairy farms Questionaire dataset of 189 farms (Santman-Berends et al., 2011) ● General questions ● Livestock management ● Lactating cows ● Milking process ● Feed Pathogens and clinical mastitis on 120 farms MPR data Calculations of failure costs clinical mastitis, subclinical mastitis
    • Preventive measures Cleaning cubicles Cleaning lanes Drying off Pre-stripping Clean dirty udders Milker gloves Clean cluster after clinical case Milk high SCC cow last Post milking teat disinfection Fixing cows after milking
    • Total costs mastitis (€/cow) Average 5% 95% percentile percentile Clinical mastitis 62 16 151 Subclinical mastitis 14 9 21 Failure costs mastitis 76 26 164 Prevention costs 88 43 131 Costs of masitits 164 99 281
    • Failure costs vs preventive costs
    • What to expect? Mastitis from an economic perspective Costs of mastitis ● Farmers own estimation Benefits of improved management Economics as motivator Conclusions
    • Economics as motivator Study to investigate (quantify) farmers motivative factors for a change in mastitis management With special attention to bonus vs penalty system Conjoint analysis, 100 farmers ● Systematically varying the motivation features in a questionnaire ● Measuring the preferences of the farmer ● Calculate preferences for individual features Source: Valeeva et al., 2007
    • Features of motivation Are you motivated to change your mastitis management to decrease the BMSCC if: ● It leads to better cow health/welfare ● You will get a financial reward (bonus/penalty) ● 50 farmers question as bonus ● 50 farmers question as penalty ● It is easier to fulfill legal requirements ● Your pleasure in work increases ● It leads to lower economic losses ● You get recognition ● The quality of the dairy products are better
    • Motivative factors Premium (n = 40) Penalty (n = 43)Job satisfaction 17.41a (1) 14.90agij (2)Overall situation on the farm 15.81abc (2) 14.89bfhj (3)Economic losses 14.23bdgj (3) 14.39abcehi(4)Animal health and welfare consciousness 13.95cfgh (4) 14.51ck (5)Ease in meeting regulatory requirements 12.45def (5) 9.59d (6)Extra financial incentive based on bulk milkSCC 11.35ehij (6) 16.43efgk (1)Dairy product quality and image 8.63i (7) 8.66d (7)Recognition for a job well done 6.13 (8) 6.63 (8)Total 100.00 100.00
    • Clusters 3 clusters could be distinguished ● Farmers motivated by Premium/penalties ● Farmers motivated by an Efficient (well-organized farm) that easily complies with regulations ● Farmers motivated by basic economics No relation between cluster and other variables
    • There is more than economics Attitude explains mastitis situation (Jansen et al., 2009) Campaigns do have an influence (Jansen et al., 2010) Cost factors are not regarded as being equal (Huijps et al, 2009) Sometimes farmers behave irrational (Huijps et al., 2010)
    • What to expect? Mastitis from an economic perspective Costs of mastitis ● Farmers own estimation Benefits of improved management Economics as motivator Conclusions
    • Economics to support decisions Mastitis costs money ● Most expensive cattle disease present ● Many new studies; failure costs:€ 80-100/cow/year) ● Spain € 258/cow/year ?? ● Total costs (including prevention) is much higher ● Differences and underestimation between farmers -> farm specific calculations Decision support is weighing costs of prevention vs reduction of failure costs ● That is up to you, veterinarians!!! ● Tool on www.bec.wur.nl -> research -> decision support tools More than only money to motivate farmers
    • Thank you for your attention