Entering the year with optimism, fifth-generation Virginia dairy farmer, Ben Smith, is pleased with the financial foothold his dairy farm has achieved. Reflecting on 2024, Smith notes the favorable financial conditions propelled by declining feed prices, which have been instrumental in improving farm margins.
“We had a great year in 2024,” says the young farmer from Fauquier County, noting that lower feed prices definitely helped increase their margin. “I don’t foresee milk price being quite as good as it was in 2024 this year, but we’re a whole lot better off than we were in 2023. That was a tough year for us.”
Expanding Horizons
Smith’s farm, Cool Lawn, LLC, is home to 850 cows and spans 2,000 acres. Amid expansion efforts to build a new dry-cow facility, he shares the common farmer’s challenge: stretched budgets.
“It seems like once construction starts; money just starts to disappear,” Smith says humorously.
Yet, his overall sentiment remains optimistic, especially with a respectful first quarter in 2025 for his dairy operation.
While many farmers are integrating beef-on-dairy techniques, Smith, the 2023 Milk Business Young Producer Award recipient remains focused on refining his Holstein herd. He emphasizes the use of high-quality sexed Holstein replacements, contributing to the farm’s continual growth. Despite construction delays on his dry-cow barn, he views this as an opportunity, pointing to the considerable revenue from selling fresh cows.
“While most of the industry is going the beef-on-dairy route, we’ve focused on selling high quality sexed Holstein semen,” Smith says. “That said, construction always takes longer than you think it would. We’re probably a year and a half behind on starting on another freestall barn, which has opened up other doors.”
Strategic Focus
The doors that Smith is referring to is the revenue generated from selling 350 fresh cows in 2024.
“So far in 2025, we’ve sold 200-plus dairy,” he says. “That has really helped us out on first quarter financials.”
Smith reiterates what has been reported across the U.S. — high demand for high-quality genetics, fresh, first-lactation cows.
“It might almost be a blessing that our construction and expansion has gotten pushed out due to permitting, as there’s been no shortage of dairy sales,” he says.
Smith usually sells to larger, growing dairies in New York, as well as a few smaller Mennonite herds that are adding 10 to 20 cows or even those producers who have exclusively gone the beef-on-dairy route and are now in need of fresh dairy cows.
“I smile when I think what is 35 cows to a guy milking 4,000 cows in New York,” he says. “But it was important for him to replace older cows with better, younger cows.”
Smith relies on genomic testing to determine which cows to sell for dairy replacements. He says some buyers want springers, while others want a mix of first- and second-lactation cows.
“All the cows we sell look good and average over 90 lb.,” he says, noting that he allows the buyers to look at a larger group, so they can hand pick the ones they want.
The tumultuous year of 2023 seems more manageable now for Smith due to the buoyancy provided by the surplus income from dairy replacement sales. This financial lift has allowed the young, enthusiastic farmer to revisit and reinvest in projects placed on hold before.
“When it comes to improving the genetics of my herd, I get excited,” Smith says.
The Virginia dairy farmer’s journey over the past couple of years underscores the essential optimism and strategic adjustment required to thrive in the ever-evolving dairy industry, demonstrating that even within the unpredictable nature of farming, opportunities for growth and success abound.
Your Next Read:
Growing Pains and Big Gains: A Wisconsin Dairy’s Fast-Paced Journey From 70 Cows to 700
