Bio-economic evaluation of the use of sexed semen at different conception rates and herd sizes in Holstein populations

A stochastic bio-economic model was used to determine the effects of applying artificial insemination (AI) with conventional or sexed semen at different conception rates and herd sizes on the genetic progress of productive trait and net profit over a 15-year period. The genetic means of the cattle population was predicted to increase over the years and the rate of genetic progress in the population program using sexed semen was significantly greater than the rate of progress in the population using conventional semen. The theoretical genetic gain was greater than the realized genetic gain for milk yield for all the AI scenarios. In addition, the genetic means for milk yield in the expanding herds were greater than in the fixed sized herds. The trend in net profit generated by using AI strategies with conventional semen over the time horizon was greater when herds were expanding (P < 0.01). The trend in net profit for fixed sized herds was generally negative, however, expanding herds experienced positive net profits over the years. Also, the net profit of using AI strategies with sexed semen was greater when dairy herds were expanding. On the other hand, the net profit of using AI with sexed semen was greater than that of AI with conventional semen at the end of the time horizon. The results of sensitivity analyses indicated that a 20% increase or decrease in milk sales income and feed costs have significantly modified the net profit of AI strategies using either sexed or conventional semen.