Dairy Farmers Thrive Amid Challenging Conditions
Margins held up well, thanks to the best milk-to-feed price ratio seen since 2001. "The average margin over purchased feed (MOPF) was the strongest in years, only outstripped by the milk price peaks of 2022," said Emma Puddy, farm services specialist at Kingshay.
The report draws on data from 1064 conventional and 98 organic herds and shows improvement in several herd health measures:
- Mastitis fell to 24 cases per 100 cows (down two cases)
- Lameness dropped from 37 to 34 cases per 100 cows
- Fertility slipped slightly, with calving intervals increasing by a day to 394 days, and days to first service rising from 70 to 72.
While the average cow age at exit is falling, a growing share of culls are now voluntary rather than due to health or fertility issues. However, with higher milk prices, poor fertility and health now carry a greater cost per case and per herd. "This year, housing-focused, all-year-round calving herds had the highest MOPF per cow at £2,937," said Mrs Puddy. "The best margin per litre - 41.15ppl - was achieved by low- to moderate-yielding organic herds."
Organic producers saw a rebound, with the organic milk price hitting a record 53.17ppl in March 2025, boosting sector confidence. Organic farms led in milk-from-forage, achieving 44% of output from forage, compared to under 30% in conventional systems. "It seems milk from forage is still very strongly linked to MOPF," remarked Mrs Puddy, adding that "Conventional herds in the top 10% for milk-from-forage posted margins that were 20% higher per cow and 14% higher per litre than the average."
She urged farmers to benchmark performance, suggesting, "The best way for a farm business to identify strengths and improvement areas is to compare their figures with others operating similar systems." Mrs Puddy concluded, "This report is to support exactly that and help farmers build on this year’s encouraging trends."
