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Hybu Cig Cymru/Meat promotion Wales require software developers that can utilise existing standard off the shelf database or software and develop a bespoke package to include financial ‘what-if scenario’ options to analyse both financial and physical beef farm data.
The principal of the project is to generate evidence of both financial and environmental gain from finishing farm stock younger.
The plan is to have a piece of software that HCC can demonstrate ‘what-if?’ scenarios to participating farmers, by having preloaded market data; readily available from local historic livestock markets, AHDB and our very own HCC (ideally automatically uploaded using csv files). The system developed that could then run a comparison what-if budget against their own accounts, demonstrating profit margin and cash flow gain that they may achieve, had they sold the animal at 14-15months instead of the more mature 24-30months that the results in their financial accounts are based upon. This along with purchase of a replacement dairy beef calf to rear over the course of the remaining 10-15months.
No more forage stocks would necessarily be needed but additional milk replacer (industry standard cost) and concentrate would be required. Therefore the system in respect of 'what-if' scenario assessment needs to account for these and all other necessary inputs. Two 12-15 month old steer/heifers emits less methane than one 24 -30 month animal. So we should also be able to demonstrate the environmental gain within this system.
The database would need to store market data, farmer contact details, their operating system, beef numbers, existing feeding program, weights (if recorded) financial accounts, details of where there animals are sold and where they would buy the young livestock. Etc
From this information, the software would need a calculating package under the what-if scenario to automatically adjust back to 14-15 months, use expected weight (if not already recorded on farm then use industry standard data) and against the market data determine the return, had the animal been sold at that time.
Then to use market data again to determine cost of dairy beef calf purchase at that time, calculate the cost of rearing a second animal through to 15months and sold against market value data recorded for that corresponding date. The system could also use data from the accounts to work up a historic cash flow to demonstrate the position their bank balance could’ve been.
There are expected to be more variables that would need to be included but these will be determined as the software is being developed.
An outline of the process being executed is included within this ITT.
Please contact Russ Thomas if more information is needed.
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