Wade Contractors Field Day

Agenda Introduction welcome – Kevin Wade Contracting and communication developments – Klinton Wade Goat conversion – rationale and economics – Kerry Ryan Dairy Goat Cooperative Ltd – Keith Arnold Dairy Goat Tour – Gary Wade Hospitality

The Contracting Operation Farmer to farmer expertise means better appreciation of client needs. Business built on relationships, integrity and practical application of proven techniques. Focus on collaboration – working with capable specialists to maximise expertise and achieve cost efficiency.

The Contracting Operation Owner operator business culture through staff trained and competent in machinery operation. Intimate knowledge of local conditions, soil types, climate and environment. Relationship with suppliers, aligned contractors and experts to ensure quality and cost control

Communication and accessibility Internet-based client services and communication Mobile enabled website Online newsletter Competition - $200 Countdown Voucher

Goat conversion -- rationale Business size and separate economic unit Milking facilities and environmental “footprint” Diversification Capital efficiency & returns

Comparison of EFS and return on capital - Dairy Total Capital Cost - Dairy$ Land ,200,000 Development0 2,200,000 Coop Shares ,000 Stock* ,000 Total2,875,000 Capital / ha71,875 *Includes replacements

Comparison of EFS and return on capital - Dairy Kg MS Cost / kg MSHa Dairy Cows56000$ Milk Price$6.25$6.50$6.75$7.00$7.25$7.50 Stock Revenue$0.35 $6.60$6.85$7.10$7.35$7.60$7.85 EFS / ha2,9403,2903,6403,9904,3404,690 Return on Capital4.1%4.6%5.1%5.6%6.0%6.5%

Comparison of EFS and return on capital - Goats Total Capital Cost - Goats$ Land4055,0002,200,000 Development1,241,867 3,441,867 Coop Shares23000$231,449,000 Working Capital Yr 1*301,000 Stock320,124 Total5,511,991 Capital / ha137,800 *Funding for loss year 1

Comparison of EFS and return on capital Kg MSCostsHa Dairy Goats63000$ Milk Price$12.00$13.00$14.00$15.00$16.00$17.00 EFS / ha7,0888,66310,23811,81313,38814,963 Return on Capital9.9%12.1%14.2%16.4%18.6%20.8%

Wade Contractors Field Day