LIC puts faith in herd-test systems firm

Livestock Improvement Corporation (LIC) has purchased a company that creates systems for daily in-shed herd testing.

Hamilton company Dairy Automation Limited (DAL) will continue to operate as a wholly-owned subsidiary from March 1. LIC chief executive Wayne McNee said DAL will continue to operate with the same staff, and LIC expects the company to grow in size over time.

‘‘It’s a small but very innovative company . . . with some really good IP [intellectual property] and technology,’’ he said. ‘‘We think the business has international potential.’’

McNee says international development is part of the LIC strategy.

The technology gives dairy farmers raw data on the contents of milk on a daily basis, including fat, protein and somatic cell count.

McNee says the raw data is ‘‘not that useful’’ to all farmers, but collaboration between DAL and LIC can turn this data into useful information for them.

‘‘There’s still more work to do, but we can see the promise in it, which is why we bought the company.’’

Depending on the size of the milking shed, and the quantity of sensors required, a DAL system can cost between $60,000 and $100,000.

McNee says around 14 per cent of rotary sheds and a small number of herringbone sheds in New Zealand are already using the technology.