Economic Comparison of Breeding Dairy Cows Artificially Versus Naturally

Abstract

Systems analysis was used to study costs and returns of breeding dairy cows artificially or naturally. In the analysis were costs of semen, detection of estrus for artificial insemination, days open, and maintaining bulls. Also included were genetic abilities of sires, discount rates on expected returns, and probability of a female offspring reaching lactation. Transmission of genetic superiority of sires used artificially over sires used naturally to both daughter and grand-daughter was considered. Daughters of sires used artificially were superior to daughters of natural service sires by 227, 454, or 682kg (mature equivalent) milk. Breeding was started 60 days into lactation and continued for 15 cycles (21 days each) or until 90% of the cows would be expected to have conceived. Conception rate from artificial service was decreased by 5% of its rate for each subsequent breeding. For comparing artificial insemination and natural service, an initial conception rate for artificial insemination of 50%, cost of keeping a bull of $15 per cow per yr, semen cost of $8 per unit, costs for detection of estrus of $10 per cow per yr, discount rate of 10%, a 40% chance of obtaining a lactating heifer replacement per conception, a cost of an additional day open of $1.50, and income over feed costs of $.099 per kg were applied. Calving interval was 365 days for breeding by natural service. Each increase in genetic superiority of bulls used artificially over natural service bulls of 227 kg meant that the calving interval from artificial insemination could be 10 days longer with the same expected returns. Other factors in the analysis had less effect on the comparison of artificial insemination with natural service than the genetic abilities of sires. Investment in herd health (reproductive) programs to increase breeding efficiency appeared economically sound.