Dream start in Australia for Lakeside

After a thorough search early this year, the Lily & Dong Cattle Stud Pty Ltd - which has been breeding Simmentals in China for the past decade - bought most of the Waterfront herd from the Hodge family.

The couple are excited about their new venture, breeding bulls and females under their Lakeside Simmental stud prefix for Australian clients at their 476-hectare property in Robe.

They also see a huge opportunity to export stud heifers to China.

Four double loads - comprising 140 stud cows plus their calves - arrived in late February from Waterfront stud's base Oriental Park, Tintinara.

The Hodge family have retained a few cows and the Waterfront prefix and are pleased to see more than 25 years of breeding remain together.

Lily & Dong also bought about 40 females at the Callendale, Naracoorte, stud dispersal in February.

As members of the China Animal Agriculture Association, the couple - who run 500 stud females in China - have travelled extensively in Australia and Europe.

Their first Australian trip was to Beef 2009 at Rockhampton, Qld, but it was the 2010 World Simmental Congress where they first dreamt of breeding Simmentals in Australia.

They were impressed by the quality of stud females in SA on a tour of studs, including Waterfront.

They also recognised the good work of the Australian Simmental Breeders Association in exchanging genetics and technical information among breeders.

Four years on, their dream is a reality, after acquiring skilled business visas from the state government in 2013, and then buying the farm in May last year.

They have made infrastructure upgrades to the farm, on the edge of Lake Hawdon, re-fencing it into 12 rather than six paddocks, and installing a new watering system.

The couple are dividing their time between the SE and the Tongliao area in north-eastern China where they run the Man-Gen Agriculture Company.

It has been a steep learning curve for them because they do not have a farming background.

Both were born in Beijing and graduated from the Renmin University of China with Bachelor degrees in economics.

Despite this they have successfully set up an agricultural business in Inner Mongolia, acquiring 500ha of wilderness from the government in 2001 under a 50-year lease, turning it into a highly productive farm.

In the past 14 years they have planted trees, drilled 24 bores, and developed electricity facilities and an irrigation system.

The Inner Mongolian farm 800 kilometres north east of Beijing comprises 300ha of grazing, 100ha of agroforestry and 80ha of cropping. They also have a feedlot which can supply 800 cattle to the local market each year.

In Australia, they are committed to continue participating in the annual bull sale at the Naringa sale complex at Naracoorte next February, and are also keen to take part in field days and shows to showcase their breeding program.

"We are very proud to be able to breed quality Simmental cattle in Australia and want to keep supplying cattle to existing Waterfront clients," Mrs Xu said. "We have been very lucky to start with some of the best and do it on a farm of our own."

They were full of praise for Southern Australian Livestock general manager Laryn Gogel, who negotiated the deal.

"Without his professional advice and his patience, we would not have been brave enough to make our decision to start our business here with the complicated management work of stud breeding."

Mr Gogel said Mr Zhu and Mrs Xu had seen a big opportunity to complement their stud operations in Inner Mongolia.

"Since the purchase they have been back home and had a bull sale over there,'' he said. "It is now that they have really come to realise what they have in the paddock here and just how far in front Simmentals are in Australia compared with the rest of the world."

He sees the new venture as a coup for all Simmental breeders.

"It will be hard work but there are definitely opportunities for exporting heifers and the odd young bull by leveraging on their business in China to set up relationships for not just Waterfront clients but other Simmental breeders too," Mr Gogel said.