Transforming Dairy Operations: Tony Lopes' Beef-on-Dairy Model

Tony Lopes has successfully transformed his family's fourth-generation dairy farm in California over the past seven years, focusing on a beef-on-dairy model that has significantly diversified revenue streams and improved herd economics. Currently milking 5,000 cows and producing 3,800 beef-on-dairy crossbred calves annually, Lopes' operation also procures over 12,000 head from external sources. This strategic shift began during a period of expansion when Lopes identified an opportunity to utilize surplus heifers by breeding them with beef genetics.

Dairy Herd Management

The decision to adopt Angus genetics was primarily driven by market demand, as buyers expressed a preference for Angus calves. Lopes emphasizes that genetic decisions are based on economic factors rather than tradition. "We’re big believers in making genetic decisions based on dollars and cents as opposed to just a biased opinion or tradition," he states. By sourcing elite Angus bulls, Lopes has been able to enhance the quality of his beef-on-dairy calves, ensuring that the operation remains profitable.

Dairy Herd Management

Lopes employs rigorous data collection and economic modeling to guide breeding decisions, focusing on maximizing profitability. His approach evaluates various traits, balancing the need for weight gain against quality metrics such as marbling and yield grade. "A 1% gain in feed conversion versus a 1% increase in Prime percentage delivers very different financial outcomes," Lopes explains. By linking carcass data to individual animals, he can isolate genetic influences from management factors, leading to more informed decisions.

Dairy Herd Management

Looking ahead, Lopes is optimistic about the future of the beef-on-dairy industry. He believes that producers can increase calf production through optimized breeding techniques, including the use of sexed semen. Lopes anticipates that beef-on-dairy will continue to be a transformative force in the industry, enhancing genetic progress and herd efficiency. "I think beef-on-dairy will remain a mainstay in the industry," he asserts.

Dairy Herd Management

Despite Lopes' confidence, he acknowledges that the market remains uncertain, with varying demand for heifers across different regions. He notes that while some dairies have fewer heifers than in the past, others still have excess. "I know I’m in the minority, but I think there’s still an overabundance relative to actual demand," Lopes remarks. This perspective highlights the complexities of market dynamics in the beef-on-dairy sector.

Dairy Herd Management

Lopes plans to expand his operation further in 2026, aiming to increase the number of calves produced while collaborating with strong operators across the western United States. He remains committed to the beef-on-dairy model, confident in its value despite market fluctuations. "We’re confident there’s still value in beef-on-dairy calves, and we intend to continue growing," he states.

Dairy Herd Management

• “Beef-on-dairy was becoming the trendy thing to do, and it coincided with us going through an expansion,” — Tony Lopes, Dairy Farmer

Dairy Herd Management

• “We’re financially incentivized not just for pounds but for quality.” — Tony Lopes, Dairy Farmer

Dairy Herd Management

• “I would say there’s a lot of people who think we can’t make any more beef-on-dairy calves than we are now. I don’t share that opinion,” — Tony Lopes, Dairy Farmer

Dairy Herd Management

• “We’re looking to expand the number of calves we bring in and work with strong operators across the western United States,” — Tony Lopes, Dairy Farmer

Dairy Herd Management