Over the last decade, we have seen significant changes in the dairy industry, including the adaptation of new technologies and management of reproduction and genetics:

• Cow and heifer reproductive efficiency has vastly improved in the last 10 years, leading to more replacements each year and higher confidence in precision breeding strategies.
  
  
• Improvements in the processing of sex-sorted semen and user applications have led to more confidence in using sex-sorted semen in lactating cows as well as heifers.
  
  
• Genomic testing and the resulting data have been available during the last decade. Aided by the increased accuracy of genomic predictions, the dairy industry has seen a significant increase in the pace of genetic improvement. 
  
  Figure 1 shows Net Merit (NM$) averages by the year Holstein sires entered A.I. service in the U.S. since 2005.

As the figure demonstrates, the pace of genetic gain for Holstein sires over the last 10 years has greatly exceeded previous genetic gains and has increased in recent years.

During the first 10 years of the genomic era, there has been an increase in the number of Holstein sires designated as “active,” which should be available for U.S. dairy owners to purchase for use in their operations. With the August 2018 sire summary, there were 828 daughter-proven sires and 2,352 genomic young sires on the NAAB active Holstein sire lists.

In Figure 2, all active Holstein sires are plotted into NM$ groups based on the August 2018 sire summary data.

Of the 3,180 active Holstein daughter-proven and genomic young sires plotted into Figure 2, there are 524 elite NM$ sires available to purchase that are at or exceed +850 NM$.

With the advancements in genetic technologies, dairy producers today are provided with a tremendous opportunity to make significant genetic improvement and an expenditure in genetics has never provided a better return on the investment.

When comparing sire options, Chad Dechow at Penn State University researched how much dairy owners can invest in elite genetics, and his data reflects how economically feasible the investment in elite genetics is today. Dechow’s research led to the conclusion dairy owners can justify paying:

• $15.91 per unit more for each $100 of NM$ if using genomic young sires
  
  
• $17.31 per unit more for each $100 of NM$ if using daughter-proven sires

If your sire selection includes a sire semen fertility component, the Council on Dairy Cattle Breeding also offers a summary of Sire Conception Rate (SCR) based on pregnancy check results. Of the sires over +850 NM$ available to use, there are 60 sires that are also +1.0 or higher for SCR. According to Dechow’s research, dairy owners can justify paying:

• $6.50 more for each point of SCR value when used on cows
  
  
• $2.50 more for each point of SCR value when used on heifers

As dairy owners are challenged with the competitive landscape of a global-based dairy market and limited profit margins, it is imperative to fill each slot in the barn with the most profitable cows possible. Every dairy owner likely has their own definition of what fits their description of a profitable cow.

Cows that can efficiently produce high volumes of quality milk over multiple lactations, stay healthy and get pregnant within a reasonable amount of time are likely a common goal. Selection indexes such as NM$ are designed to allow dairy owners a simple index ranking to select future genetic levels for selection of sires, as well as cows or heifers in the operation chosen to create future replacements for the operation.

With replacement heifer rearing costs often exceeding cash value, a growing number of dairy owners are recognizing the need to limit investing in excess replacement heifers and have developed a strategic breeding approach using a mix of conventional semen, sexed semen and beef semen. Embryo use is also gaining popularity among the more progressive commercial producers.

A well-designed strategic breeding program allows herd owners the opportunity to genetically rank cows and heifers in the operation using genomic data or, if not available, parent average data to determine which cows and heifers are given the opportunity to make the next generation of replacements in the operation.

If managed properly, this strategy should lead to significant increases in the overall genetic levels for future generations in the operation.

The change in mindset needed to maximize a strategic breeding program which will lead to fewer excess replacement heifers, is to make the best possible heifers you can afford to invest in.

Using the most elite sires for an economic-based selection index, such as NM$, is a sound investment and will put you on the path to better future replacements, increasing your competitive position in the fast-paced future global dairy race. Make your next generation your best.  

References omitted but are available upon request. Click here to email an editor.

Lyle Kruse Is the VP of U.S. market development for Select Sires Inc. Email Lyle Kruse.