|
Lisbon, OH | Thank you for all the comments. To answer some of the questions:
Last price I had on lime from the coop was $38/ton and $12-15/acre for application.
4x5 bales are about as big as you see here if you are moving them any distance. Narrow roads make it tough for wide loads. I just moved a semi load last week, and was ditch to ditch on a township road. Hay here is sold by the bale, not ton. Guys don't realize how much more hay is in a 5x5 or 5x6, so you're not going to get paid for more hay in a bigger bale.
The farthest I haul hay from the field to pasture is about 40 miles. I load anywhere from 23-26 bales on a semi. Round trip takes about 3-4 hours for travel, loading and unloading. 25 bales x $5/bale hauling is only $125. If I had to hire it done a semi would cost me $75/hour at least.
A lot of the ground here is reclaimed strip mine ground. This particular field is not. Even though we usually get plenty of rain, this year a cold May/June and dry July cut yields 25-35%. We're in 135-145 bu corn ground, so production isn't really as good as you would think.
My cost of production for junk hay is $12/bale, which sells for $20-25. Good hay sells for $40-50. I feed most of my hay, so I can still produce it for less than I can buy it for. I'm looking ahead to possibly making more hay and selling some. I wouldn't contribute to the cheap market. If it doesn't sell I will feed it.
I haven't proposed any numbers to the owner yet. I have just shown some interest in it. Trying to get all my ducks lined up and have some solid facts before I do. Will be pulling soil samples regardless soon. I can't do anything without that to get a baseline. I like a per bale charge for this property, as I won't be taking such a risk up front without having production history.
Changing out the crop on this ground would probably not be an option. Getting sudan dry here is tough, so would probably have to wrap. We individual wrap, but even that market is pretty slim here.
The main reason I am considering this field is I already have pasture rented beside it. If I decide to winter cows there hay would be close to the cows. It would also be a chance to make a little better quality hay. I'm just trying to see what kind of profit guys are seeing on top of their costs, and if my production and input numbers are in line. I may also have a chance to rent the barn to store small square bales in. That is a good market here.
This post really is showing how different farming is in different areas. I appreciate all of the feedback. | |
|
Rental rates and fertilizer/lime on hayfields
