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Ministry of Agriculture & Rural Development 010/06VIE Nghe An Province Sustainable Village Based Beef Cattle Development, Training and Extension Programme MS7: Project Technical Repo

Ministry of Agriculture & Rural Development

010/06VIE

Nghe An Province Sustainable Village Based Beef Cattle Development, Training and Extension

Programme

MS7: Project Technical Report A

September 2008

Table of Contents

POTENTIAL FOR DEVELOPMENT OF BEEF PRODUCTION IN NGHE AN PROVINCE.

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Introduction 3

1 Size of Farmers Land Holding: 3

2 Reduction in Common Grazing Land: 3

3 Lack of Genetic Potential in Local Breeds of Beef Cattle: 4

4 Lack of Forage Options: 4

5 Lack of High Quality Conserved Feed for Winter: 4

6 Lack of Capital: 5

7 Cattle Ownership: 5

8 Lack of Extension Infrastructure: 5

9 Lack of Stable Market: 6

10 Disease Risk: 6

PREDICTED CHANGES IN BEEF PRODUCTION SYSTEMS 7

Changes in Nutrition levels 2000 - 2008 7

The Effects of Genetic Improvement: 7

Potential for increased production and improved profitably 9

USE OF A “VILLAGE BULL SYSTEM”: 10

NEW TROPICAL GRASSES AND LEGUMES 11

Pasture Production Data 12

NGHE AN TRAINING REPORT 13

Use of Key Farmers as an Extension Method within the Project: 13

Training Schedule Log for the Project: 15

PROJECT REPORT SUMMARY: 16

Conclusion: 16

Abbreviations

AI Artificial Insemination

BCFRC

Bavi Cattle & Forage Research

Centre

Co Company

Demo Demonstration

DM Dry Matter

g Gram

Ha Hectare

Kg Kilogram

KjME Kilojoules of Metabolisable Energy

Ltd Limited

LWT Live weight

ME Metabolisable energy

PA Per Year

ToT Trainers of Trainers

W/S Workshops

WM Wet Matter

Yr Year

Potential for Development of Beef Production in Nghe An Province

Introduction

The AusAID project set out to evaluate the potential of beef production systems in Nghe An Province and also lay the foundation for expansion of beef productions

In February 2007 a number of one-on-one interventions and farmer workshops evaluated the barriers and restriction to the development of beef production The key finds were:-

1 lack of size of farmer land holdings

2 reduction in common grazing land

3 lack of genetic potential

4 lack of forage options

5 lack of high quality conserved feed over winter The project team over the last 12-months has addressed each of these barriers to development and found that modern technologies can overcome the majority of these

6 lack of capital

7 cattle ownership seen as a “family bank rather than a commercial enterprise

8 lack of extension infrastructure

9 lack of stable markets

10 risk of risk

1 Size of Farmers Land Holding:

The size of farmers land holdings range from 2,500m2 – 30,000 m2 The majority of the land is required for horticulture for cash crops or production of forage Cattle were held for draft, grazed and fed waste bi-product in dry form over the winter dry months The number of cattle was controlled by availability of grazing areas, labour and the availability of winter forage and financial return

The project has found that farmers with land areas as small as 3,000 m2 can effectively support 5-6 cattle as long as they can access bi-product from other farmers This is twice the traditional number for a smallholder without access to common grazing land

2 Reduction in Common Grazing Land:

Intensification of cropping and land use for forestry and other uses is having a marked effect on the availability of land for common grazing Also the number of family units supported in the villages is increasing Where traditional farmers in the past had free access to large areas the availability is reducing and farmers have to rely more and more on cut and carry or growing specialised crops, for animal production

In one village a farmer cooperative had 120 buffalo that went out to graze the surplus common land This cooperative had to be disbanded in 2000 as available common grazing land decreased and was put into cropping and forestry

The introduction of new technologies involving forage crops will see farmers move to

full cut and carry operation in the future (see labour section, and forage production)

3 Lack of Genetic Potential in Local Breeds of Beef Cattle:

A number of factors have controlled the availability and selection of the cattle genetic

base used by farmers The main factor in the past has been the very low nutritional

levels available over winter meaning only small body weight animals could survive

the winter

There is now a wide range of new genetics in Vietnam, ie Brahman, Droughtmaster,

Simmental, Red Angus and Sindi The speed of improvement in genetics needs to

be in-line with (1), the nutrient levels available (2) the ability of the small local female

cattle to give birth to larger calves (3) cows having the ability to rear calves sired by

new breeds Genetic improvement programme are long-term ventures The project

has introduced Red Sindi bulls as stage I Once Red Sindi crossbred female

replacements are mature, there will be the opportunity to introduce a third breed i.e

Droughtmaster and Red Angus A small three year project can only just start a

genetic improvement programme and will require on-going support to be effective

4 Lack of Forage Options:

Traditional farmers had little knowledge of nutrient balancing or the need to provide

stable high protein diets to cattle Rice straw and dry maize stover, corn powder and

banana stem were the main diet of cattle over the winter

The new technologies have changed that completely; farmers now have forage

option such as:

Production

Estimated PA 1 Production

Green Feed Maize (3x crops) 30,000 kg WM 35,000 kg DM/Yr

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PA= per year 2WM= wet matter kg/ha: 3DM=drymatter

These new forage options are revolutionising animal husbandry in tropical areas

The biggest area of concern now is training farmers to manage the forages and

maximise quality and utilisation over the wet season and conserve feed for the dry

season; including understanding that maximising yield does not provide a quality diet

for animals

5 Lack of High Quality Conserved Feed for Winter:

The traditional conservation method for forages and bi-product in the past has been

drying rice straw, corn stover Hay from wild grass has been the main source of

conserved forage The quality of these feeds has been extremely low, providing little

more than other high fibre sources

The project has introduced silage technologies to the farmers The up take of this technology has been varied; however, the best farmers have seen the tremendous benefits The best combinations of silage are:

1 Napier grass 70% cassava leaf 30%

2 green maize stove 60% cassava leaf and top 40%

3 sugar cane top 70% cassava leaf and top 30%

4 Napier grass with additives

All four options increase nutrient levels of conserved feed well above any traditional methods These conservation options also reduce fibre and increase intake The cost of these options is all low (i.e 500-600 dong/kg DM

6 Lack of Capital:

Lack of capital and low returns from beef cattle has been and still is a barrier to technology uptake

Only time, a stable market and confidence in the technologies will change the availability of capital Farmers are reporting 1.5million – 3 million dong profit (after labour) from each mature breeding cow

7 Cattle Ownership:

Farmers approach to beef cattle production systems is very different to a western

“commercial” model Vietnamese farmers see cattle rearing as a “family bank” and a method of accumulating wealth for important events (e.g weddings and funerals) or for investment

Examples within the project to-date are:

(1) Sale of 60% cattle to build a new house

(2) Sale of 40% cattle to build a small shop

(3) Sale of 50% cattle to invest in a petrol station

(4) Sale of 50% cattle so son could get married

(5) Sale of 100% of cattle to set son up in a transport business due to ill health of father

Eight of the 9 key farmers all want to continue with beef production and increase the numbers of cattle over time All have the confidence to continue and there is strong support from the Village leaders

8 Lack of Extension Infrastructure:

There is a lack of qualified animal husbandry extension workers in the Nghia Dan District There is an office in the Hoa Township 20km away, however, this office can only service the township farmers and can provide little support to the project area There are farmer association leaders in each village, however, there focus is mainly

on horticulture, policy and there is little depth of understanding in animal husbandry Village leaders are supportive of the project but are not qualified animal husbandry technicians The best (at present only) extension activity is that provided by the key project farmers and the project team members There has not been a pool of extension workers to become TOT’s This is the biggest weakness of the project

The project has only trained four technicians as ToTs (Mr Toan and Mr Ly & Mr Dzoney and Mr Lu)

9 Lack of Stable Market:

The beef cattle market is poorly developed in the area with all farmers selling their cattle to a small local slaughter or middle man Very few cattle are reared to a full slaughter weight Most sales are at around 100-180kg In the project area there is

no farmers specialising in cattle fattening and growing cattle to high quality (full slaughter) liveweight

There is definitely opportunity to form farmer cooperatives to improve supply chain returns to the local farmers The project is looking at the supply chain and the possible formation of a farmer cooperative for beef farmers

10 Disease Risk:

There is a high disease risk from mainly “foot & mouth” in the area Vaccination is undertaken by the district technicians, however, small isolated villages are sometimes missed, which destabilises the market

Other diseases are likely to be an issue as well such as:

¾ Anthrax

¾ T.B

¾ Brucellosis

¾ Toxoplasmosis

¾ Leptospirosis

¾ Liver Fluke

¾ Internal parasites

¾ External parasites

¾ Heat stress

Predicted Changes in Beef production systems

Changes in Nutrition levels 2000 - 2008

The project undertook an evaluation of the nutrient values of forage rations in the second year of the project Farmers were asked to nominate a typical cattle ration for a breeding cow (non lactating) Each farmer was asked for a typical diet for pre

2000, pre project (2005) and post project (early winter - late winter) in 2008

Information was provided in kg of wet matter per cow/day The diets from each farmer were put into a nutrient model (see appendix 1) to estimate kg DM, grams of protein, KJ ME, grams CF The model took estimated values from standard feed tables Figure 1 compares the results and percentage of change from pre 2000 and the change pre project (2005) and post project (2008) The post project ratio comparison compares early and late winter (dry season) feeding levels

Figure 1.Estimated feeding levels to breeding cow ( Live Weight 280kg)

Winter feeding

Kg/Wet Matter/day

Kg DM/Day

Protein intake KJ ME

Crude Fibre (g/day) Traditional Feed pre 2000 12.7 3.5 448 33 912

Traditional Feed pre-project 14.7 4.5 581 43 1236

Feeding post project early winter 23.6 4.7 895 47 852

Feeding post project late winter 20.2 4.4 823 47 934

% Change from pre 2000

Traditional Feed pre-project (2005) 16% 28% 30% 27% 36%

Feeding post project early winter

Feeding post project late winter

Feeding post project early winter 60% 4% 54% 11% -31%

Feeding post project late winter 37% -1% 42% 11% -24%

This model showed that there was some change from traditional feed pre 2000 to pre–project 2005; this change was significant However, there has been considerable change also between pre and post project The most important change

is the increase in protein intake and the reduction in fibre intake This change is already driving up growth rates in the project cattle with the best project farmers achieving calf growth rates of 0.68kg/day; this is double traditional growth rates

The change in nutrient supply to beef animals is essential to support not only increased growth rates and production, but also to support the high body weight and mature size of the beef cattle in the future

The Effects of Genetic Improvement:

The genetic improvement programme undertaken pre and post project will mean that cow mature LWT will most likely increased from approximately 300kg – 400kg over a

20 year period This LWT increased will result in an approximately 32% increase in

feed demand (see figure II)

Figure II. Vietnamese Beef Cattle estimate change in Mature Live weight (kg) of

local cattle over 20 years

Mature Female LWT 295 330 354 378 405 37%

KJ ME Required

Average ME 10.2 10.4 10.6 10.8 11.0 8%

Peak Milk Production 11 12 13 14 15 37%

KJ ME Required Milk 55 61 65 70 75 37%

KJ ME Required total 95 105 111 118 125 32%

Figure II models the likely increase in mature LWT over the next 20-years as genetic

and nutritional change takes place The model assumes an increase in the ME

levels of the forage fed and genetic improvement will increased milk production of the

beef cows It is important that these changes flow through into increase efficiency of

production The above genetic and nutritional change is likely to flow through in calf

growth rates and ME demand as well

Figure III Estimated mean calf live weight at 6 months age

6 month LWT (kg) 70 90 120 125 130 86%

ADG (kg/day) 0.30 0.41 0.58 0.61 0.63 111%

KJ ME Required

Average ME 10.2 10.4 10.6 10.8 11.0 8%

KJ ME Required growth 10 14 19 20 21 111%

KJ ME Required total 33 40 50 51 53 58%

Figure III models the likely change in 6-month LWT of calves over the next 20-years

and there ME demand A 58% increase in ME supply is required to sustain this

scenario Again it is essential that these changes flow through into productivity,

efficiency and increased profit

Weeks and feed required to produced 280 LWT calf for sale

Weeks to sale 280Kg) 133 97 69 66 63 -53%

Feed KJME to sale 31189 27247 24006 23654 23327 -25%

Feed Requirement Cow+Calf/yr

KJME Required per yr 46900 52948 58734 61776 64965 39%

Kg LWT Produced/yr 130 170 231 241 251 94%

Efficiency

Grams of LWT /KJME 2.7612 3.2117 3.9311 3.9017 3.8662 40%

Figure IV model looks at efficiency in two ways; firstly in the number of weeks to sale

for a 280kg calf and secondly as grams of LWT produced per kgME The model

predicts a 53% decrease in weeks to sale and a 40% increase in efficiency a

measured by grams LWT/kgME

These models are only an estimate of change; but do highlight some of the issues that farmers will face over this period, as well as the importance of improving nutrient supply and balance, if international standards of beef production are to be achieved

by small farmers in Nghe An Province

The big question is how these changes flow through into increased profit for local farmers

Potential for increased production and improved profitably

Estimating the cost of feed and the effect on profit is extremely difficult as farmers do not value their time or most of the forages (including meal) which is home grown One guide is the difference in the value of corn meal (kg & ME) compared to the cost

of bi-product or pasture silage 230d/kgME vs 130d/kgME

In the 3 project villages there is an estimated 4270 hectares of horticultural land with 660ha maize grown, 413 hectares of cassava as a source of bi-product Very high yields of bio-mass were recorded from Napier grass and other tropical pasture (see Figure V) The combinations of new pasture, and bi-product conservation provides small farmers (with 5,000m2 land) the ability to move from raising 2-3 cattle to 6-8 cattle with post-project nutrient levels 30-50% higher and growth rates 50-100% faster

Figure V Base data for project site

Village

Nghia Son

Nghia Lum

Nghia Yen Total Horticultural land (ha) 1177 1808 1283 4268

Village population 3980 7558 5786 17324

Total No Labour units 1405 1605 2000 5010

Average ha/small holder 1.3 1.2 1.1 1.2

Average no labour/small holder 1.6 1.0 1.7 1.4

No Smallholders raising

Total area maize/village (ha) 205 250 205 660

Total area cassave/village (ha) N/A 108 305 413

Total area sugar cane/village (ha) 89 459 880 1428

Total area oranges/village (ha) 264 94 41 399

Total area other crop/village (ha) 437 357 345 1139

Total area Pasture/village (ha) 16 N/A 1.5 17.5

Total area forestry (ha) 376 497 886 1759

The combination of technologies has the potential to increase productivity of small holders by 100% to 200% without dramatic increases in forage cost; ie from 1555 to over 3000 cattle A more in-depth economic evaluation will be undertaken at the end

of the project; however, early indications are that beef production is profitable

Use of a “Village Bull System”:

The three Red Sindi cross (75% B and 25% yellow cattle) village bulls were delivered to the project by Mr Toan on the 7 June 2008 They were all similar in age (19 to 20 months old); weight (340 to 350 kg LW), and colour (red-brown) (see photo’s below) All three bulls were in excellent condition Project farmers will get their cows mated free, while non-project farmers pay VD 50,000 per mating (compared to VD 70,000 that is the rate charged in nearby Thai Hoa township) Toan has provided the three farmers with a recording book and written manual that includes feeding guides, based around fresh grass (or fresh hay) and a concentrate mix By the 25 June several matings had occurred; e.g Mr Heip’s bull had mated two cows In visiting non-project farmers near Thai Hoa, 12 km from 19th May we met a farmer who had been given a Red Sindi bull to use as a village bull that was mating

45 village cows a month

1 Bull at Nghia Som (Heip’s family)

2 Bull at Mr Ming’s

3 Bull at Nghia Yen (Tu’s family)

The project introduced AI equipment and semen into the project in 2007 The project employed a highly skilled AI technician to train another technician in the area and provided 30 days training to the technician While the highly skilled project technician was on site AI was successful but was mainly limited to a few project cattle The AI system collapsed after 3-months once the quality technician left the area there was not the in-depth support or infrastructure in the area at this time Without a strong cattle breeding station, good support, the use of AI is limited

The project switched to a “village bull” system; purchasing three Red Sindi bulls and contracted them out to farmers to raise and feed This system has been successful with some 50 cattle mated over the first 4-months of the scheme The farmers are becoming more confident in the system and more farmers are bringing their cows to

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