
Mt Lyall Dairies invests in greenfield dairy technology as four-generation operation expands to 2,000 acres.
Mt Lyall Dairies has completed a transformative $5 million investment in a state-of-the-art 100-bail rotary dairy on a greenfield site, representing the culmination of four generations of innovation and expansion across South Gippsland, Victoria. The Lancey family operation, spanning from Nyora to Loch, demonstrates how strategic risk-taking and continuous reinvestment have enabled growth from a modest 400-acre property to a 2,000-acre enterprise milking over 1,200 cows with annual production averaging 8,000 liters per cow through carefully managed genetics and operational efficiency.
Chris Lancey’s decision to build entirely new infrastructure rather than retrofitting existing facilities reflects his commitment to providing the next generation with cutting-edge technology and platforms for continued growth. The new 100-bail rotary features advanced automation including auto-drafting systems, posi-arms for cup positioning, and integration with cow collar technology for heat detection, enabling the operation to expand the milking herd by approximately 100 cows while significantly improving both operator and animal welfare through reduced labor intensity and enhanced cow flow management.
The family’s growth trajectory showcases systematic expansion from Patricia and Graeme Lancey’s 1968 start at Poowong North through multiple dairy upgrades, progressing from a 5-a-side herringbone to an 11-a-side system, then to 42-bail and 70-bail rotaries as herd sizes increased from 130 to over 1,200 cows. Strategic land acquisitions and infrastructure investments, including extensive shed construction using deconstructed buildings like the former Warragul saleyards, have created a largely self-sufficient operation producing 1,000-1,200 acres of bulk silage and 1,000 round bales annually.
Innovative infrastructure development extends beyond the milking facility to include an 8,000-square-meter covered loafing barn providing winter shelter and summer cooling, enabling 60-day pasture rotations during wet conditions while maintaining milk production efficiency. The operation employs 15 workers across multiple nationalities, with Chris personally sponsoring Philippine workers for Australian residency, while managing two separate dairy sites to diversify risk and provide asset flexibility for future cash flow requirements or succession planning scenarios.
Multi-generational succession planning remains central to the operation’s long-term strategy, with three generations currently active including Graeme’s continued involvement in breeding decisions, Chris and Leanne’s operational leadership, and son Callum plus son-in-law David Lewis preparing for future management responsibilities. The family’s morning kitchen meetings for daily planning and decision-making, combined with strategic debt utilization for growth rather than debt-free conservation, exemplifies their forward-thinking approach to building sustainable dairy enterprises that can adapt to changing market conditions while maintaining family ownership through successive generations.
Source: Dairy News Australia – Always looking to the future
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