INDECO

Economic index of the individual and phenotypic level of a dairy cow. The aim of this indicator is to classify and rank cows in production according to their economic efficiency, by using the information received from the milk recording, the Herd Book and the farmers themselves. Drawing up an economic indicator such as INDECO for dairy cows represents a useful tool for the technical and economical management of a productive herd, and is designed to integrate the information now available to the dairy farmer. It is commonly accepted that individual economic indicators could help dairy farmers to maximise their profits. Proof of this is the fact that for years, for all breeds, genetic global indices have been studied which tend more and more to take into account traits related to income (milk, fat and protein) and production costs (type traits and functional traits). The final goal is to genetically select animals that are more and more economically efficient, and to make useful management suggestions. Unfortunately, from the point of view of phenotype, today there are few tools available to dairy farmers, or to technicians who assist in herd management.

Estimation of profits is carried out using Mature Equivalent (ME) data for milk, fat and protein, which also enables a uniform comparison, within a given herd, with cows of different parities and in different periods of lactation and, most of all, it enables one to estimate the gross income per lactation, weighting the single production data according to the way milk is paid. Besides this, there are two other kinds of income: one derives from the number of somatic cells (ME), weighted for the specific method of milk payment, the other derives from the sale of the animal at the end of her productive life, and it is calculated using an estimate of the live-weight at maturity (assumed live-weight at the end of herd life), weighted for the market price, as indicated by the dairy farmer. The estimation of production costs takes into consideration the cow’s maintenance and production needs, and the depreciation of the heifer, knowing the average longevity and calving interval of the herd. Quantification of maintenance needs is based on the estimation of live weight at maturity, on type evaluations, on BCS status and on chest measurement (where available).

The availability of an economic indicator for the management of the dairy herd is now a reality for all Italian dairy farmers who are registered in the Herd Book, and whose cows are therefore milk recorded. It is clear that this new management tool is but a starting point, and should be used to stimulate further research towards models able to evaluate more categories of cost and income.