New technical resources released by ISU Extension and Outreach create ‘Career Bridges’ for dairy farmers
The Iowa State University Extension and Outreach Dairy Team has released four new technical resources designed to facilitate partnership-based dairy operations that benefit both beginning and retiring farmers. The publications are available for download at no cost from the ISU Extension Store.
High capital requirements, land costs and volatile milk prices often create significant barriers for new producers attempting to enter the dairy industry. These resources advocate for moving beyond traditional “straight cash rent” agreements to Dairy Share Agreements, a model that allows individuals to share land, labor and capital to achieve economic goals that might be unattainable on their own.
A comprehensive toolkit for dairy transitions
The new series provides a roadmap for various stages of a farming career, from initial apprenticeships to full farm ownership or retirement:
• “Dairy Share Agreements”: This publication explores entry-level options such as Milk Income Share Agreements, which use milk production and quality parameters to provide incentives for employees or apprentices.
• “Net Farm Income, Cash Flow, and Profitability”: This resource clarifies financial distinctions, helping producers avoid a “cash flow mindset” that can distract from long-term sustainability.
• “Sharemilking in the U.S.”: Based on successful models from New Zealand and Australia, this guide describes sharemilking as a “vital cog” for the industry.
• “Sharemilking Contract”: Serving as a practical educational tool, this publication provides a comprehensive contract template. It includes example provisions for property descriptions, labor responsibilities and mandatory dispute arbitration to help parties prevent misunderstandings and solidify their commitments.
“We are seeing optimism with young producers wanting to get into the dairy industry or work their way into the family farm,” said Larry Tranel, dairy field specialist with ISU Extension and Outreach. “These resources can be valuable tools to consider various proven options for both those entering dairy as well as those wanting to transition to the next generation.”
For more information, contact Tranel at 563-583-6496 or tranel@iastate.edu.
