Par for the course, I believe he is glossing over the real costs and just stating his seed and chemical costs. Add on land costs (typical cash rent), machinery expense to put the crop in and chopping, hauling and packing costs, as well as feeding costs, and I agree, corn silage is probably one of the most expensive feeds to put into beef animals. Although 10 ton silage is a pretty low grain corn yield, turning that grain into cash and grazing or baling the corn stalks seems to be the best opportunity for beef and if protein or energy is needed, haul the feed back in as wet distillers feed. If shrink and spoilage can be contained to 10% in a bale bunker, you'll be doing real good. I suspect none of this matters, as BRG's enterprise is seedstock beef animals, and his main concern is feeding and multiplying them. He has to keep them fed and this looks like a pretty good way to make it happen. I'm a mixed grain/beef operation, so likely think a lot differently, but I doubt BRG is interested in messing with combines and hauling grain. How does 3.5 ton DM yield on silage compare to what alfalfa would do as dry hay?
eatbeef said:
Wow, production costs must be cheap in south dakota. $222 per acre? I would have that in just seed, fertilizer, chemicals, and machine costs. And with $7.00 corn that makes corn silage absolutely outrageous!
Plant, Spray, Harvest Costs per acre= 60
Seed= 60
Fertilizer= 120
Chemicals= 35
Total = 275
Plus insurance if you have it, and land costs.
100 to 150 bushel corn @ $7 a bushel = 700 to 1050 per acre
Unless running a custom feedlot and somebody else paying the bills, i dont understood how corn silage is cheap feed??????[/code]