Sharemilking, a form of

sharefarming Sharefarming is a system of farming in which sharefarmers make use of agricultural assets they do not own in return for some percentage of the profits. Sometimes the sharefarmer will receive a wage from the owner instead, although such a person is ...

, operates in the

dairy industry A dairy is a business enterprise established for the harvesting or processing (or both) of animal milk – mostly from cows or buffaloes, but also from goats, sheep, horses, or camels – for human consumption. A dairy is typically located on ...

. The application of this model of

agriculture Agriculture or farming is the practice of cultivating plants and livestock. Agriculture was the key development in the rise of sedentary human civilization, whereby farming of domesticated species created food surpluses that enabled people t ...

occurs particularly commonly in

New Zealand New Zealand ( mi, Aotearoa ) is an island country in the southwestern Pacific Ocean. It consists of two main landmasses—the North Island () and the South Island ()—and over 700 smaller islands. It is the sixth-largest island count ...

. The most common arrangement is ''herd-owning sharemilking'' or ''50:50 sharemilking''. Sharemilkers own their own herd and equipment, and are responsible for employing workers and the day-to-day operations of the farm. In return, herd-owning sharemilkers receive a percentage of the milk income, normally 50%. In ''variable order sharemilking,'' sharemilkers do not own their own herd, and receive a lower percentage of the milk income. C''ontract milking'' is similar to variable order sharemilking, except the sharemilkers are paid a fixed price per kilogram of milk solids. Sharemilking contracts typically run from 1 June to 31 May; when sharemilkers take up new contracts, the herd is often shifted on what is known as "Gypsy Day". The model is not exploitative, and over time, sharemilkers often slowly buy out the landholder, or alternatively use the system as a method to save for their own property. This practice helps dairy farmers anywhere who do not wish the burdens of owning their own land, as it allows them to focus their investment in

livestock Livestock are the domesticated animals raised in an agricultural setting to provide labor and produce diversified products for consumption such as meat, eggs, milk, fur, leather, and wool. The term is sometimes used to refer solely to animal ...

and equipment. Sharemilking also profits former dairy farmers who have given up their herds, by providing them with an income from rental of fields, pastures and barns.

References

{{Agri-stub Dairy farming Dairy farming in New Zealand

See also

References