income opportunities with sheep and goats

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Income opportunities with sheep and goats 3/25/2010 S. Schoenian -Univ. of MD Ext. 1 SUSAN SCHOENIAN SUSAN SCHOENIAN SUSAN SCHOENIAN SUSAN SCHOENIAN Sheep & Goat Specialist Western Maryland Research & Education Center [email protected] – www.sheepandgoat.com Introduction Sheep and goat enterprises What you need to raise sheep/goats Breed resources Getting started Economics

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Page 1: Income opportunities with sheep and goats

Income opportunities with sheep and goats 3/25/2010

S. Schoenian - Univ. of MD Ext. 1

SUSAN SCHOENIANSUSAN SCHOENIANSUSAN SCHOENIANSUSAN SCHOENIANSheep & Goat Specialist

Western Maryland Research & Education [email protected] – www.sheepandgoat.com

� Introduction

� Sheep and goat enterprises

� What you need to raise sheep/goats

� Breed resources

� Getting started

� Economics

Page 2: Income opportunities with sheep and goats

Income opportunities with sheep and goats 3/25/2010

S. Schoenian - Univ. of MD Ext. 2

� Monogastric◦ Simple stomach◦ Pigs and poultry (and people)

� Ruminant◦ Cud-chewing ◦ 4 compartment stomach.- Cows, sheep, and goats◦ Pseudo-ruminant (3 compartment stomach)- Alpacas and llamas

� Hind-gut fermenter◦ Fermentation occurs in the caecum and/or large intestine◦ Horses and rabbits

�Sheep

�Goats

� Cervids (deer)

� Camelids (alpacas and llamas)

Page 3: Income opportunities with sheep and goats

Income opportunities with sheep and goats 3/25/2010

S. Schoenian - Univ. of MD Ext. 3

� Economic◦ Profit

◦ Tax advantages

� Lifestyle – quality of life

� Self-sufficiency produce own food, fiber

� Landscape management

� Less acreage required

� Less investment

� Quick return on investment

� Ease of handling

� Multi-purpose

� Reproductive efficiency

� Grazing behavior

� Niche demand for products

� Complement other farm enterprises

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Income opportunities with sheep and goats 3/25/2010

S. Schoenian - Univ. of MD Ext. 4

� Small industries

� Lack of infrastructure

� Lack of mainstream demand for products.

� Fencing requirements.

� Labor requirements.

� Predator risk.

� Similar production practices and inputs.

� Same diseases.

� Similar niche and ethnic demand for products.

� Similar constraints to production: the 3 P’s.◦ Prices◦ Predators◦ Parasites

Page 5: Income opportunities with sheep and goats

Income opportunities with sheep and goats 3/25/2010

S. Schoenian - Univ. of MD Ext. 5

SHEEP SHEEP SHEEP SHEEP ---- ovineovineovineovine GOATS GOATS GOATS GOATS ---- caprinecaprinecaprinecaprine

� Grazer

� Prefer forbs

� Graze close to ground

� Grow faster

� Produce better milk

� More genetic diversity

� Strong flocking instinct and group mentality (aloof)

� Traditional enterprise

� Browser� Prefer shrubs� Top-down grazer� Grow slow� Produce more milk� Less genetic diversity� Curious and independent

� New and growing industry

� Meat

� Dairy

� Fiber

� Landscape management

� Agritourism

Page 6: Income opportunities with sheep and goats

Income opportunities with sheep and goats 3/25/2010

S. Schoenian - Univ. of MD Ext. 6

� Most popular sheep and goat enterprise.

� Primary income is from the sale of live animals for meat and/or the sale of fresh, frozen, or processed meat products.

� There is a demand for many different kinds and sizes of market lambs and goats.

� Primarily an ethnic demand.

� A marketing infrastructure is already in place for meat animals.

� Primary income is from the sale of milk, cheese, and/or other dairy products.

� In most states, operation must be certified grade A or B to sell dairy products for human consumption.

� Usually requires own product development and marketing.

� More investment required, but greater income potential.

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Income opportunities with sheep and goats 3/25/2010

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� Fiber sales comprise a significant portion of the income from the enterprise.

� Wool (many kinds)� Mohair (Angora goats)� Cashmere� Alpaca

� Prices in commodity market (wool pool) don’t usually cover costs of production and marketing.

� Must direct market to make a profit.

� Land improvement on your own farm or property.

� Fee-based grazing

“Turn-key” operation� Animals� Transportation� Fencing� Care

◦ Perhaps, greatest economic potential ! ?

Page 8: Income opportunities with sheep and goats

Income opportunities with sheep and goats 3/25/2010

S. Schoenian - Univ. of MD Ext. 8

Sell stock for trophy hunting or operate your own hunting reserve. Usually hair sheep rams.

Page 9: Income opportunities with sheep and goats

Income opportunities with sheep and goats 3/25/2010

S. Schoenian - Univ. of MD Ext. 9

�Feed

� Fencing

� Housing and shelter

� Feeders

� Watering system

� Labor

�Usually pasture and browse

� Hay

� Grain

� Alternative feedstuffs

Page 10: Income opportunities with sheep and goats

Income opportunities with sheep and goats 3/25/2010

S. Schoenian - Univ. of MD Ext. 10

� Purpose1) To keep livestock contained

2) To keep predators out

3) To control grazing and manage livestock

� Three kinds of fencing1) Perimeter or boundary

2) Interior or cross

3) Heavy use areas

� Possible cost share from NRCS (EQIP program) for rotational grazing.

� Multi-strand, high-tensile, electric.

� Woven wire with extra barbed and electric offset wires.

�Barbed wire

� Adapt existing fences.

Page 11: Income opportunities with sheep and goats

Income opportunities with sheep and goats 3/25/2010

S. Schoenian - Univ. of MD Ext. 11

� Permanent

� Semi-permanent

� Temporary, electric◦ Smooth wire

◦ Polywire, tape, or rope

◦ Electric netting

For� Outdoor lots� Holding areas� Working corrals

Materials� Net wire� Metal gates� Solid panels� Livestock panels� High-tensile, non-electric

Page 12: Income opportunities with sheep and goats

Income opportunities with sheep and goats 3/25/2010

S. Schoenian - Univ. of MD Ext. 12

� Purpose◦ Animal management◦ Isolation area◦ Feed storage◦ Equipment storage◦ Human comfort

� Needs vary by◦ Climate ◦ Production system� Timing of lambing and kidding

◦ Availability of natural shelter.◦ Personal preference

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Income opportunities with sheep and goats 3/25/2010

S. Schoenian - Univ. of MD Ext. 13

� Maybe not, but if they have access to it, they will usually use it.

� They “appreciate” protection from bad weather.

Page 14: Income opportunities with sheep and goats

Income opportunities with sheep and goats 3/25/2010

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� Ample feed storage protects your investment in feed and allows you to make bulk purchases.

� Annual hay requirements◦ ¼ to ⅓ ton per animal

� Hay storage◦ 180 to 240 ft3 per ton

� Uncovered hay deteriorates rapidly in quality.

� Hand / manual watering◦ Buckets

◦ Troughs

◦ Tanks

◦ Tubs

� Automatic waterers◦ Possible cost share from NRCS (EQIP program) for pasture watering systems.

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Income opportunities with sheep and goats 3/25/2010

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� Daily care of animals� Twice daily milking� Annual shearing� Pasture management� Lambing and kidding� Parasite control� Hoof trimming

1) Purposemeat, milk, or wool

2) Usesire or dam

3) Wool or coat typefine, medium, long, carpet, or hair (shedding)

4) Othertail, prolificacy, minor, rare, heritage

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Income opportunities with sheep and goats 3/25/2010

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� Grow wool with the smallest fiber diameter.

� Their wool is the most valuable in the commodity wool market.

� They are best adapted to hot, dry climates.

� They are hardy and long-lived, gregarious, and less seasonal in their breeding habits.

� 50 percent of the world’s sheep population are fine wool based.

Page 17: Income opportunities with sheep and goats

Income opportunities with sheep and goats 3/25/2010

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� Grow wool that has the largest fiber diameter, staple length, and yield.

� Their wool is popular among hand spinners and wool craftsmen.

� Best-adapted to high rainfall areas with abundant forage.

Romney

Lincoln

� Grow wool that is intermediate in fiber diameter and staple length.

� Excel in meat production (growth and carcass).

� Mostly of British origin.

� Most popular breeds: Suffolk, Dorset, Hampshire, and Southdown.

� Comprise 15 percent of the world’s sheep population.

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� Crosses between fine and medium wool.

� Whiteface sheep raised for meat, but have better quality wool than the medium meat-type wool breeds.

� A few specialty breeds1. East Friesian – dairy2. Finnsheep – prolific3. Polypay – 4 way cross

Columbia Finnsheep

East Friesian

Polypay

� Hair coats or hair/wool mix.

� Do not require shearing or tail docking.

� Possess some unique characteristics:◦ Caribbean-typeResistant to parasites (worms)

◦ Romanov - very prolific

� 10 percent of the world’s sheep population.

� Growing in popularity in the U.S. and other western countries.

� Katahdin and Dorper most popular and suitable for meat production.

Katahdin

Romanov

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Income opportunities with sheep and goats 3/25/2010

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� Vary in the type and quantify of wool they produce.

� Vary in characteristics.

� Possess some unique characteristics

◦ Double-coated◦ Carpet wool◦ Four horns◦ Rat tails◦ Solid black color◦ Persian lamb skin

� Many are heritage breeds.

Karakul

BluefaceLeicester

� Classify according to purpose . . .

◦ Dairy

◦ Meat

◦ Fiber

◦ Miniature (small)

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Income opportunities with sheep and goats 3/25/2010

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� Boer

� Kiko

� MyotonicTennessee fainting goat

� Spanish (brush)Not really a breed; a type

� Pygmy

� Savannah

Boer

SavannahPygmy

SpanishMyotonic

Kiko

� ADGA recognized◦ Swiss� Saanen� Alpine� Toggenburg� Oberhasli◦ (Anglo) Nubian◦ La Mancha◦ Nigerian Dwarf

� Other◦ Sable (colored Saanens)◦ Golden Guernsey◦ Mini dairy goats

Saanen

La Mancha

Oberhasli

Nubian

Toggenburg

Alpine

Page 21: Income opportunities with sheep and goats

Income opportunities with sheep and goats 3/25/2010

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0250500750100012501500175020002250250027503000

Source: Breed averages, ADGA, 2008

0.0

1.0

2.0

3.0

4.0

5.0

6.0

7.0

Source: Breed averages, ADGA, 2008

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Income opportunities with sheep and goats 3/25/2010

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� Angora

� CashmereMore of a fiber type than a breed

� PygoraPygma x Angora

� CashgoraCashmere x Angora

Angora

CashgoraPygora

Cashmere

� Pygmy (meat)

� Nigerian Dwarf (dairy)

� KinderPygmy x Nubian

� Mini SilkyMyotonic x Nigerian Dwarf ?

� Mini dairy goats Nigerian Dwarf x standard dairy

Pygmy

Nigerian Dwarf

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Income opportunities with sheep and goats 3/25/2010

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� There is a great deal of variation among sheep breeds; less among goat breeds, especially meat.

� There are no “perfect” breeds.

� All breeds have strengths and weaknesses.

� There is usually as much difference within a breed as between breeds.

Saanen

� Mating animals from different breeds or breed types.

� Maximizes performance and profitability.

◦ Hybrid vigor� Crossbred offspring are superior to their purebred parents.

◦ Breed complementarity� Balances strengths and weaknesses of breeds.

� Use breeds in their appropriate roles

Boer x Kiko x Alpine

Page 24: Income opportunities with sheep and goats

Income opportunities with sheep and goats 3/25/2010

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� If you want to show purebred breeding stock.

� If you want to sell purebred and/or registered breeding stock.

� To produce a specific type of fiber.

� To produce a consistent type and quality of fiber.

� To preserve a rare or heritage breed.

Southdown

� Get pastures and facilities ready before buying your first sheep or goats.

� Start small and gradually increase size of herd.

� Start with healthy animals.◦ Ewe lambs/doelings vs. mature females.

� Spend more money on ram and buck.◦ e.g. 5x the value of a market lamb

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Income opportunities with sheep and goats 3/25/2010

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�Reputable breeders

� Dispersal sales

�Performance and production sales

� Consignment sales

�Local salebarn

�Free

� Web-based directorieswww.sheepgoatmarketing.info

� Breed associationshttp://www.sheepandgoat.com/goatbreedassoc.htmlhttp://www.sheepandgoat.com/sheepbreedassoc.html

� Maryland Sheep Breeders Associationhttp://www.mdsheepbreeders.org

� MPWV Meat Goat Producers Associationhttp://www.meatgoat.biz

� Maryland Dairy Goat Associationhttp://www.marylanddairygoat.org

� Frederick County Sheep Breeders Associationhttp://www.fredericksheepbreeders.com

� West Virginia Market Bulletinhttp://www.wvagriculture.org/market_bulletin/market_bulletin.html

� Virginia sheep and goat clearinghouse listshttp://www.vdacs.virginia.gov/livestock/

� Lancaster Farminghttp://lancasterfarming.com

Page 26: Income opportunities with sheep and goats

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� Business planning

� Enterprise budgeting

� File a schedule F

� Record keeping

� Make decisions based on science and economics.

� Control costs

� Production efficiency

� Smart marketing

Page 27: Income opportunities with sheep and goats

Income opportunities with sheep and goats 3/25/2010

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� Know your costs!

� Feed least-cost rations.

◦ Shop around for feed ingredients.

◦ Balance your own rations.

◦ Maximize forage resource.

� Do you own vet work.

� Cull non-productive and problematic animals.

� Feed balanced rations.

� Aim for a 200% (or more) lamb/kid crop.

� Select for lbs. of quality lamb or goat weaned.

� Cull animals that fail to raise a lamb or kid.

� Manage to breed ewe lambs and doe kids to lamb or kid by the time they are 12 to 15 months of age.

� Use performance tested rams and bucks.

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� Aim for the highest “net” price, not necessarily the highest price.

� Evaluate direct marketing as a means to increase profitability.

� Consider marketing alliances with other like-minded producers and/or entities.

� Choose one or two target markets.

� Don’t let higher market prices compensate for poor production efficiency.

Thank you for your attention. Any questions? Thank you for your attention. Any questions?