Gallagher helps Chilean dairy farmers thrive

When Gallagher launched in Chile in 2009 it started out operating from small premises in Orsorno. Thirteen years on it has built a sales team, eight territory managers, and a network of reseller chains.

Gallagher’s animal management team is also now partnering with other leading New Zealand agribusiness brands, including Giltraps, Skellerup and Numedic, to help them launch into the market and offer Chilean farmers a total farming system.

Gallagher General Manager New Zealand & Chile Darrell Jones, says the company’s growth in the South American market can be charted alongside the growth in the dairying sector in Chile.

The dairying boom was driven, in part, by groups of New Zealand farmers who began establishing large operations in Chile in the mid-2000s. They were instrumental in shifting the industry from small scale mum and dad operations to larger corporate farms.

As operations have grown so has the demand for better technology and modern equipment, which is driving much of Gallagher’s growth in Chile.

“Over time we’ve seen Chilean farmers moving away from traditional farming methods and introduce more technology to their businesses,” says Darrell. “Some of the operations are quite large now and the need for modern equipment is growing to drive both productivity and profitability.” 

With that in mind Gallagher has partnered with livestock feeding solutions company Giltrap along with Skellerup, which produces a suite of dairy rubber products and cowshed hoses. It also works alongside Numedic to offer Chilean farmers effluent systems.

Alongside these partners’ products, Gallagher is helping deliver a total farming system to the Chilean dairy industry.

“With Giltrap you’re putting feed out onto the farm for livestock that’s being used to drive milk production and grow protein. Numedic and Skellerup are helping manage the day-to-day farm system, and Gallagher’s equipment is demonstrating the growth and returns farmers are getting from all of that. It’s a completely complimentary package,” says Darrell.

Advancements in new technology for farming systems are also helping drive demand for innovative solutions, including Gallagher’s weighing and EID equipment.

Chile now requires all cattle to have EID tags, which opened up an opportunity for Gallagher to educate farmers about the benefits of weighing and animal tracking and introduce them to its full suite of weighing and EID equipment.

“With the ability to track individual animals it becomes easier to introduce the technology to farmers. We can show them how to monitor animal growth’ growth rates, feed efficiency and how to harness the profitability of selling animals at the target weights,” says Darrell.

Gallagher’s team of territory managers has been key to helping Chilean farmers understand how the different solutions can help drive productivity and profitability. That process has come with its own challenges. 

“The retail market in Chile is structured entirely differently to New Zealand. The products are not on show in store because of security issues so farmers have to know which specific products to ask for. If the salesperson doesn’t have any knowledge of the product, we send one of our territory managers out to speak with the farmers,” says Darrell.

It is a model that Darrell believes is not scalable. It has led to Gallagher working on a retail execution programme to help them bring products over to the customer’s side of the counter. They are also launching an e-commerce initiative, selling its products on Mercado Libre – an online marketplace platform. 

“This work is still in its early stages, but once it’s up and running it will significantly change the dynamics of farmers’ shopping behaviour in Chile and give them better access to the products they need,” says Darrell.

He says after 13 years in the Chilean market Gallagher was now a recognised and trusted brand. 

“We have worked hard to build our knowledge of the market and develop relationships based on a partnership approach, which has been key to our success,” says Darrell. “Over time we are proud to have become a trusted advisor for farmers. 

“Now we’re in the position of not only educating the market but accelerating the adoption of new dairy farming technology in the region to help farmers protect what matters most.”

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