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What Is the Maximum Worth of a Dairy Heifer?

Albert de Vries and, Russ Giesy (January, 2015)

Summary

This fact sheet discusses the factors that determine the maximum price a dairy producer can afford to pay now for dairy heifers when the dairy facility is not operating at full capacity. The approach outlined in this fact sheet is not directly appropriate for making decisions about replacing a cow with a heifer. However, the approach is appropriate when dairy facilities have expanded but are still vacant. Tax implications are ignored and not discussed.