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Western Oregon | I started doing this in oregon and ran into several problems right away.
1. Regulations
In my state you have to have a license, you have to have a label with the feed analysis, and you have to follow your label. This makes it difficult to make and sell a balanced ration based on what products are available at the best cost.
2. Insurance is very expensive
3. People will report you if you start of advertise on craigslist.
4. There is plenty of overpriced organic feed already. (but then again, I live in Oregon.
I think I am legal as I am only selling the grain and I mix and grind it as a service. I don't sell by the pound, I sell by volume. I do not put any mineral or vitamin supplements in myself. The customer weighs and pours in his own supplement and I just turn on the mixer.
I do not sell organic. Organic grain is too expensive. I had no room to make any money on the feed resale.
I went with the local and sustainable concept and I played up the whole grumpy farmer just trying to provide wholesome, fresh made, quality feed for hungry pigs and chickens kind of thing.
The first year I used a lot of screenings and bought part truckloads of grain or that last combine tank that wouldn't fit in the truck. The screenings didn't work so well as it is hard to make a consistent product.
The last two years I've been growing my own for the most part. Ten acres of Oats and peas and fifteen acres of barley will make a lot of feed. Because adding supplements to the feed puts me square into the licensed feedmill category I supplement with as much green hay as I can. Alfalfa hay grinds up nicely. This year I scored small truck load of clover screenings which had a lot of leaves and stems. That has worked very well.
Does it pay?
I started with a flatbelt powered hammer mill and a MM Z tractor, both of pre WWII vintage. Now I'm running an old NH mixer grinder powered by an 806 IH or sometimes a White 2-135, I bought a digital scales kit on ebay, and I traded for a very old forklift. I'm spending very little money on equipment and I'm doing ok. But, it also fits in with my hay sales and straw sales and I'm not buying raw materials.
With small equipment, making feed is pretty time consuming. I do not have a pellet mill.
There seems to be a very good market for fresh made feed. Animals like it better and people like to interact with the guy who makes the feed. I also got together with a customer and figured out the maximum price I could charge him for feed and he could still make money. I don't go beyond that price point regardless of the feed price at the local big feed store.
I also don't advertise. I use word of mouth only.
I have no idea if this information applies to you. This is what I am doing. | |
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starting a feed business
