Farming
June 24, 2025

Improving dairy sustainability without sacrificing productivity

Sustainable dairy farming reduces greenhouse gas emissions using technology and best practices to ensure nutrition security.

As sustainability becomes a central focus in agriculture, dairy farming is no exception. The dairy industry is under increasing pressure to reduce its environmental footprint while maintaining productivity.

However, the good news is that sustainable practices don’t just benefit the planet—they can also boost your bottom line. By making small, strategic changes, you can increase both productivity and environmental responsibility. Thus ensuring your farm remains competitive and efficient.

Why does sustainability matter in dairy farming

Dairy farmers face increasing pressure to adopt sustainable practices, and for good reason. Consumers now demand products with smaller environmental footprints. And regulations around emissions and resource use continue to tighten. But sustainability isn't just about meeting external demands—it makes economic sense, too.

Farms that implement sustainable practices often see reduced input costs. For example, a large-scale study in the Netherlands found that more sustainable dairy farms often experience lower production costs—up to $2.72 less per 220.46 pounds of milk—and can enjoy higher returns, with up to $3.50 more per 220.46 pounds of milk, partly due to premium prices for sustainable products.

One approach gaining traction is carbon insetting which is reducing emissions directly within your farm operations. This differs from offsetting, which involves compensating for your farm’s emissions elsewhere. Insetting creates direct benefits: lower energy costs, improved soil health, and possible new revenue from carbon markets. For instance, Dairy Farmers of America recently bought its first verified carbon credits from a livestock carbon insetting marketplace, showing the financial potential.

So, let’s talk about three practical ways you can implement insetting strategies on your dairy farm.

3 practices for more sustainable dairy farming

The path to sustainability doesn't have to mean radical change. Strategic improvements across three areas can reduce your environmental impact while maintaining or even boosting productivity and profits.

Data-driven precision feeding

Feed efficiency stands at the heart of both sustainable and profitable dairy farming. Because the more efficiently your cows convert feed into milk, the lower your costs and carbon footprint.

The first step toward precision feeding is understanding exactly how feed changes affect your herd. For example, many farms are testing methane inhibitors and additives like 3-NOP and seaweed-based supplements in their feed rations. Such additives can reduce enteric methane emissions.

But their impact varies across different herds and feeding systems. So when implementing these supplements, it’s important to monitor milk production, components, dry matter intake, and rumination patterns to detect any negative effects early on. Because some additives affect palatability or digestion. So tracking these metrics protects both production and your investment in these often premium-priced supplements.

Using real-time animal data to adjust feed rations is also part of dynamic ration formulation. Instead of using fixed feed formulas, precision feeding allows for adjustments based on ongoing data. For example, if milk component tests show a changing fat-to-protein ratio, you can quickly adjust fiber levels. If rumination monitoring shows less ruminating time, you might change the feed’s particle size. These adjustments keep the rumen healthy and prevent overfeeding and waste.

And the economic impact of this can be big. Dairy farms using precision feeding can save 5-8% on feed costs by tailoring herd or cow diets. In addition, precision feeding strategies, such as nutritional grouping, can increase income over feed costs by $31 per cow annually.

To make these data-driven decisions, you need strong monitoring systems. Connecterra's Impact Tracker helps farmers and advisors measure the impact of decisions across key indicators and data sources. The platform tracks changes over time, providing you with insights as to how ration adjustments affect your herd. And by integrating data from various systems, in addition to manual or automated data input, Connecterra can help you optimize feed efficiency. This enables you to make data-driven decisions to improve milk yield and overall farm performance.

Reducing feed refusals

Managing feed refusals is another key part of sustainable and cost-effective feeding, as the uneaten portion of the ration represents both wasted resources and avoidable costs. A typical goal for feed refusals is 2 to 5 percent, with some farms aiming for zero. Even a seemingly small amount of uneaten feed adds up significantly over time. For instance, feeding for a 3 percent refusal results in an extra 1.5 to 1.8 pounds of dry matter per cow daily, costing 15 to 18 cents per head. For a 100-cow herd, this amounts to roughly $6,000 per year.

Beyond the economic impact, minimizing refusals also reduces your environmental footprint. Since feed production accounts for a significant share of your farm's carbon emissions, cutting waste directly lowers environmental impact from feed cultivation, transportation, and processing. 

It’s worth noting that weather and environmental conditions can also influence refusal rates. If a farm doesn't account for the added weight of precipitation when adjusting feed rates, cows could receive too little dry matter, reducing intake and production. Conversely, overadjusting for moisture can lead to excess refusals, while cows may avoid spoiled or muddy feed scooped up during rainy conditions.

By tracking refusals alongside eating behavior, rumination patterns, and weather data, farmers can fine-tune rations and feeding schedules to minimize waste while maintaining optimal performance.

Farm-wide efficiency through data-based insights

The most successful sustainability efforts look beyond individual practices to understand how everything on your farm is connected. Using data to measure and improve efficiency across all operations amplifies the benefits of each specific practice.

If you’re looking to make your farm more efficient, start by measuring what matters most. For example, track your water use per pound of milk produced, electricity consumption by major equipment, feed efficiency by group, and other key indicators. These measurements establish your baseline and help identify your greatest opportunities for improvement. 

Why do this? Because most farms discover that relatively small areas account for a disproportionate share of resource use.

With this information, you can make targeted improvements where they'll have the greatest impact. For instance, data might show that the gap feed efficiency between high-production and low-production groups is narrowing, indicating that a review is necessary to optimize nutrient utilization. Addressing these inefficiencies through precision feeding could yield substantial benefits. 

Connecterra can help you identify these connections by collecting data across various parameters, helping you visualize patterns and trends that may not be obvious without automated tracking. This means you can move beyond guesswork and pinpoint the specific activities that positively (or negatively) affect your farm’s milk yield and profitability.

Sustainability in dairy farming goes hand in hand

Sustainability isn't a distant goal—it's built through the practical decisions you make today.

By adopting practices like precision feeding, waste-to-resource conversion, and farm-wide efficiency through data, you can reduce costs, improve productivity. All while meeting the growing consumer and regulatory demands. 

And you can measure the impact of every change you make using Connecterra. Try our platform free for 60 days to see how your changes impact your farm in real time.