March 2002
2002 Guidelines for Estimating
Cereal (Barley) Silage
Production Costs
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This guide is designed to provide you with planning information and a format for
calculating the cost of producing cereal silage.
The major advantage of silage is that the crop can be harvested when it is ready in
almost all weather conditions. Since there are fewer harvesting losses, more
nutrients are harvested per acre compared with most other systems. Ensiling permits
the use of a wider range of crops including grasses, legumes, grains, corn and
miscellaneous salvage crops that have suffered weather damage or weed infestation.
The major disadvantages of silage compared with hay is that it requires more capital
investment and labour. Also silage has limited market potential, because trucking
costs limit distance to market, it must be produced near the location where it will be
fed.
This budget is based on ensiling 1500 acres. Machinery and labour requirements
for silage can be met by sharing with neighbours to reduce unit costs. This budget
can also be used to compare your costs with custom rate charges.
Producers are encouraged to calculate their own costs of production. Each farm
has a different set of costs and yields due to varying soil types, climatic conditions and
agronomic practices.
Disclaimer: This budget is only a guide and is not
intended as an in-depth study of the cost of production of this industry. Interpretation
and utilization of this information is the responsibility of the user. No liability for
decisions based on this publication is assumed. If you require assistance with developing
your individual budget, please contact your local MAF Farm Management Specialist or the
Farm Management Section in Winnipeg at (204) 945-4937.
Cereal (Barley) Silage - Cost of
Production Summary 2002
|
| A. |
Operating Costs |
Cost/Acre |
Cost/Ton Wet |
Cost/Ton DM |
Your Cost |
|
1.01 |
Seed |
$8.75 |
$1.59 |
$4.55 |
________ |
|
1.02 |
Fertilizer |
$24.19 |
$4.40 |
$12.56 |
________ |
|
1.03 |
Chemicals |
$12.00 |
$2.18 |
$6.23 |
________ |
|
1.04 |
Field Fuel Costs |
$8.75 |
$1.59 |
$4.55 |
________ |
|
1.05 |
Moving Fuel Costs |
$0.86 |
$0.16 |
$0.45 |
________ |
|
1.06 |
Packing Fuel Costs |
$0.84 |
$0.15 |
$0.44 |
________ |
|
1.07 |
Repair & Maintenance |
$5.00 |
$0.91 |
$2.60 |
________ |
|
1.08 |
Insurance |
$4.00 |
$0.73 |
$2.08 |
________ |
|
1.09 |
Miscellaneous |
$8.00 |
$1.45 |
$4.16 |
________ |
|
1.10 |
Land Taxes |
$6.50 |
$1.18 |
$3.38 |
________ |
|
Subtotal Operating |
$78.89 |
$14.34 |
$4.98 |
________ |
|
1.11 |
Interest on Operating |
$2.56 |
$0.47 |
$1.33 |
________ |
| Total Operating Costs |
$81.45 |
$14.81 |
$42.31 |
________ |
| |
| B. |
Fixed Costs |
|
|
|
|
| |
| 2. |
Depreciation |
|
|
|
|
|
2.01 |
Cropping Equipment |
$11.25 |
$2.05 |
$5.84 |
________ |
|
2.02 |
Silage Equipment |
$10.50 |
$1.91 |
$5.45 |
________ |
|
2.03 |
Bunker Storage |
$1.00 |
$0.18 |
$0.52 |
________ |
| |
| 3. |
Investment |
|
|
|
|
|
3.01 |
Land |
$17.50 |
$3.18 |
$9.09 |
________ |
|
3.02 |
Cropping Equipment |
$4.81 |
$0.88 |
$2.50 |
________ |
|
3.03 |
Silage Equipment |
$2.25 |
$0.41 |
$1.17 |
________ |
|
3.04 |
Bunker Storage |
$0.18 |
$0.03 |
$0.09 |
________ |
| Total Fixed Costs |
$47.48 |
$8.63 |
$24.67 |
________ |
| |
| C. |
Labour |
|
|
|
|
|
4.01 |
Cropping |
$8.75 |
$1.59 |
$4.55 |
________ |
|
4.02 |
Swathing |
$1.25 |
$0.23 |
$0.65 |
________ |
|
4.03 |
Harvesting |
$1.33 |
$0.24 |
$0.69 |
________ |
|
4.04 |
Bunker |
$1.33 |
$0.24 |
$0.69 |
________ |
| Total Labour Costs |
$12.66 |
$2.30 |
$6.58 |
________ |
| |
| Total Cost of Production |
$167.59 |
$25.75 |
$73.56 |
________ |
| |
| Estimated yield per acre |
|
|
|
|
|
|
Wet ton |
|
5.5 |
|
|
|
|
Dry ton |
|
|
1.9 |
|
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Click here for Detailed Cereal (Barley) Silage Production Cost
Worksheet.
Assumptions
- This budget outlines the cost of production for barley silage.
- Assumes use of bunker silo.
For further iInformation contact your local Manitoba Agriculture, Food and Rural
Initiatives Office
| Budget Prepared By The Following Specialists: |
Peter Blawat
Farm Management Specialist |
Keith Kyle
Farm Management Specialist |
John Corbey
Farm Management Specialist |
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