Breakeven milk price

It is a useful indicator of business performance that highlights the ability of your business to cope with volatile milk prices. In general, farm businesses with a low BEMP have more money to invest and grow. The aim should not be just to breakeven, but to have a low enough BEMP that there is surplus cash available for debt reduction and/or investment.

Download the calculator below to work out your farm BEMP. You can calculate previous seasons BEMP by looking at your farm accounts or a benchmarking report such as DairyBase. Use your budget to calculate a forecast BEMP. Remember, BEMP is just one of a number of useful KPIs and should not be used in isolation.

To use the calculator:

• Enter your farm information in the white boxes in the sheet starting with Milksolids (kg) (type over the example numbers currently there).
• The figures in the green boxes will automatically calculate for you.