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March, 2007
Reference: MAFRI, Policy Analysis Knowledge Centre
This guide is designed to provide you with planning information and a format for calculating the cost of producing barley & corn 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.
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 this industry. Interpretation and utilization of this information is the responsibility of the user. If you require assistance with developing your individual budget, please contact your local MAFRI Farm Management Specialist or Regional Forage Specialist.
Barley & Corn Silage Cost Summary – March, 2007
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Barley Silage
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Corn Silage
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Cost/
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Cost/
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Cost/
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Cost/
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A. Operating Costs
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Acre
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Ton Wet
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Acre
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Ton Wet
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Your Cost
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1.01 Seed
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$11.81
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$1.97
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$52.50
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$4.20
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_________
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1.02 Fertilizer
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$49.19
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$8.20
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$75.82
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$6.07
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_________
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1.03 Chemicals
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$5.00
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$0.83
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$29.50
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$2.36
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_________
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1.04 Field Fuel Costs
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$13.78
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$2.30
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$22.68
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$1.81
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_________
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1.05 Moving Fuel Costs
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$1.66
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$0.28
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$3.45
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$0.28
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_________
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1.06 Packing Fuel Costs
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$1.62
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$0.27
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$3.38
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$0.27
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_________
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1.07 Repair & Maintenance
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$13.73
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$2.29
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$13.47
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$1.08
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_________
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1.08 Insurance
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$7.38
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$1.23
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$10.66
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$0.85
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_________
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1.09 Miscellaneous
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$7.50
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$1.25
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$8.50
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$0.68
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_________
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1.10 Land Taxes
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$5.25
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$0.88
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$7.00
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$0.56
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_________
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Subtotal Operating
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$116.92
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$19.49
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$226.95
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$18.16
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_________
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1.11 Interest on Operating
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$3.51
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$0.58
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$6.81
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$0.54
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_________
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Total Operating Costs
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$120.43
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$20.07
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$233.76
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18.7
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_________
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B. Fixed Costs
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2. Depreciation
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2.01 Cropping Equipment
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$18.00
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$3.00
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$16.50
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$1.32
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_________
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2.02 Silage Equipment
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$12.00
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$2.00
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$12.00
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$0.96
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_________
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2.03 Bunker Storage
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$1.00
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$0.17
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$2.00
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$0.16
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_________
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3. Investment
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3.01 Land
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$24.00
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$4.00
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$34.00
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$2.72
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_________
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3.02 Cropping Equipment
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$4.40
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$0.73
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$4.03
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$0.32
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_________
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3.03 Silage Equipment
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$2.93
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$0.49
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$2.93
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$0.23
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_________
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3.04 Bunker Storage
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$0.20
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$0.03
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$0.40
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$0.03
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_________
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Total Fixed Costs
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$62.53
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$10.42
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$71.87
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$5.75
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_________
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C. Labour
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4.01 Cropping
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$10.06
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$1.68
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$13.01
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$1.04
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_________
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4.02 Swathing
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$1.44
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$0.24
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$0.00
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$0.00
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_________
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4.03 Harvesting
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$1.53
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$0.25
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$2.30
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$0.18
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_________
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4.04 Trucking
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$3.06
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$0.51
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$7.36
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$0.59
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_________
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4.05 Bunker
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$1.53
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$0.25
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$3.68
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$0.29
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_________
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Total Labour Costs
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$17.62
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$2.94
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$26.35
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$2.11
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Total Cost of Production
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$200.58
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$33.43
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$331.97
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$26.56
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_________
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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.
For further information contact your local Manitoba Agriculture,Food and Rural Initiatives office.
Prepared by: Peter Blawat -Policy Analyst, Glenn Friesen – Forage Specialist, Keith Kyle – Business Development Specialist
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