Like sileage in a silo or pit, if you cut the air off to cellulose materials, and the process works right, spoilage bacteria will start to work and burn up the oxygen in the material. Then, an amazing thing starts to happen. Another bacteria, also present, starts to multiply and causes the material to start to break down and release sugars in the material and ferment. The spoilage bacteria dies in the newer acid envirionment without oxygen, and the fermentation process preserves the material in a new form as it literally cooks itself slowly at somewhere around 150 degrees or so. It seems that the cows like it, and will eat it like candy. Plus, it's high tonnage and quick to put up. Mine goes into a big bunk silo, and while I might lose a bit on the top where the air can still get to it, the little bit that does spoil gets mixed with the rest of it and the cows eat all of it. McHale just started doing it to hay in bags, which is rather labor intensive, but it sure saves a lot of hay which otherwise would have been tossed out into a fencerow or woods.
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