After 15 years' dairy farming in the Central North Island Nick and Bec Simmonds are used to doing the hard yards.
But with the forecast low dairy payout, together with low production from a dry summer, and costs moving onto their own farm the couple are drawing on all their resourcefulness to smooth the volatile few years ahead.
The couple moved from Cornwall, England in 2000 with the sole purpose of owning their own farm in New Zealand.
The goal was achieved last year after they moved up through the ranks from herd managers to contract milkers and sharemilkers, most recently on a forestry conversion property near Tokoroa milking up to 950 cows.
The former Dairy Industry Central Plateau Sharemilkers of the Year winners are upbeat as they move into their second season milking 314 cows on their 110ha dairy farm, near Ngakuru, off State Highway 30.
They helped kick off DairyNZ's Tight Tactics For Tight Times national promotion for a group of 40 farmers and industry representatives at the farm last month.
The 18-month promotion will be hosted on 29 farms throughout the country to help support dairy farmers with planning and management strategies to remain productive and profitable during the lean times, says DairyNZ consultant Kevin McKinley.
"The Simmonds were chosen to present the promotion in the local area because they are respected in the industry and have a good reputation," he says.
The move to the new farm was a big challenge for the couple.
"Working on the forestry conversion was a great learning curve for us and it gave us a good leg up to buy this farm," says Nick.
But due to 60 per cent of the milking herd being really small heifers, and the remainder being rejects, production has been low on the new farm, while high feed costs and farm expenses have added to the budget, he says.
"We work on running a financially sustainable farming business, maximising profitable production, during any payout," he says.
The key to doing this was not to lose sight of the bigger picture, plan ahead and readjust if necessary.
"We like to bounce ideas off each other, and be motivated by mixing with positive people," says Bec. "It's no good keeping your head in the sand."
Animal welfare is one area they will not compromise on in spite of facing a large cash deficit next season in excess of $170,000.
Instead they aim to increase production from 112,500 kg/MS to 140,000 kg/MS, upping the herd from 314 to 355, with a stocking rate of 3.2 cows/ha.
"We expected the deficit but it is still gut wrenching for us. We haven't been in overdraft for quite a few years," says Bec.
Cost savings will include questioning all outgoings, less fertiliser on the farm, pre-pay for grazing, doing more repair and maintenance themselves, and less going out.
"We will cut to the bare bones and keep positive, if anything this will make us even more efficient farmers," says Bec.