The objective of this review paper was to summarise the latest findings in dairy cattle reproductive economics with an emphasis on high yielding, confined total mixed ration systems. The economic gain increases as the reproductive efficiency improves. These increments follow the law of diminishing returns, but are still positive even at high reproductive performance. Reproductive improvement results in higher milk productivity and, therefore, higher milk income over feed cost, more calf sales and lower culling and breeding expenses. Most high-yielding herds in the United States use a combination of timed artificial insemination (TAI) and oestrous detection (OD) reproductive programme. The ratio of achievable pregnancies between OD and TAI determines the economic value difference between both and their combinations. Nonetheless, complex interactions between reproductive programme, herd relative milk yield, and type of reproductive programme are reported. For example, higher herd relative milk yield would favour programme relying more on TAI. In addition, improved reproductive efficiency produces extra replacements. The availability of additional replacements could allow more aggressive culling policies (e.g. less services for non-pregnant cows) to balance on-farm supply and demand of replacements. Balancing heifer replacement availability in an efficient reproductive programme brings additional economic benefits. New technologies such as the use of earlier chemical tests for pregnancy diagnosis could be economically effective depending on the goals and characteristics of the farm. Opportunities for individual cow reproductive management within defined reproductive programme exist. These decisions would be based on economic metrics derived from the value of a cow such as the value of a new pregnancy, the cost of a pregnancy loss, or the cost of an extra day open.

There are significant costs associated with reproductive inefficiency in pasture-based dairy herds. This study has quantified the economic effect of a number of key variables associated with reproductive inefficiency in a dairy herd and related them to 6-week calving rate for both cows and heifers. These variables include: increased culling costs, the effects of sub optimum calving dates, increased labour costs and increased artificial insemination (AI) and intervention costs. The Moorepark Dairy Systems Model which is a stochastic budgetary simulation model was used to simulate the overall economic effect at farm level. The effect of change in each of the components was simulated in the model and the costs associated with each component was quantified. An analysis of national data across a 4-year period using the Irish Cattle Breeding Federation database was used to quantify the relationship between the 6-week calving rate of a herd with survivability (%), calving interval (days) and the level of AI usage. The costs associated with increased culling (%), calving date slippage (day), increased AI and intervention costs (0.1 additional inseminations), as well as, increased labour costs (10%) were quantified as €13.68, €3.86, €4.56 and €29.6/cow per year. There was a statistically significant association between the 6-week calving rate and survivability, calving interval and AI usage at farm level. A 1% change in 6-week calving rate was associated with €9.26/cow per annum for cows and €3.51/heifer per annum for heifers. This study does not include the indirect costs such as reduced potential for expansion, increased costs associated with failing to maintain a closed herd as well as the unrealised potential within the herd.