Posted by donjr on May 24, 2013 at 17:39:10 from (72.71.178.69):
In Reply to: hay prices? posted by Fordfarmer on May 24, 2013 at 06:46:43:
I know I'm gonna catch hail about this, but let me inject my take on this. While I have to float some with the market, I generally set a floor price that I can live with. It's usually about $4 for straw, $6 for hay in idiot cubes, and about $50 for a 700# (+/-) round bale. Or about $150 a ton, or more according to the market. I can wear out tractors, discbines, tedders, and balers, pay rent, fertilzer, twine and fuel bills and feel comfortable.
With the cost of everything today, if you sell hay for less, you are only cutting your own throat. If you lose a part of a cutting to rain, or have a major breakdown, there has to be money there to fix it. Money for the next load of fuel, or more twine. Green for the downpayment on replacing the baler, or new rubber on the tractor. All of these inputs have risen dramatically over the past few years. I don't care if one of the horsey set says , "It's 'dusty'". Someone else wants it, and I, for one, won't dicker too much about price. If they want to feed a horse or two, fine. Don't expect me to feed it. And I have to make a profit, just like them, or I'm out of business. The insurance man and the feed mill expect to be paid- so do I.
So, to stay in business, I charge for what I produce and sell. Don't ask me to take less. I have over $100,000 tied up in hay machinery- That's a lot of iron to pay for at a few bucks a bale.....
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