Fertilizer and Profit

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novatech

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Soils: January 2008
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by Jeff Ball


Have you ever stopped to think what your annual nitrogen (N) fertilizer cost is per cow? I am certain that you are aware that fertilizer prices are at a historic high, and, with the amount of corn acres predicted in 2008, the outlook is that prices will climb even higher next spring. So, at what N fertilizer price is it no longer economical to fertilize bermudagrass in a cow/calf enterprise?

First, I will use urea (46-0-0) as the N fertilizer source at a price of $475 per ton or 52¢ per pound N (2,000 lbs. x .46 = 920 lbs. N/ton; $475/920 lbs. N/ton).

Second, it takes 9,490 pounds of dry matter forage to support a 1,000-pound cow for one year, but who has 1,000-pound cows? An average cow weighs closer to 1,200 pounds. As a result, 11,388 pounds of dry matter forage will be needed to support a 1,200 pound cow for one year (9,490 lbs. dry matter forage x 1.2 animal unit equivalent).

Third, adjust for grazing efficiency. Under very good grazing management, a cow will consume 70 percent of the bermudagrass forage grown. A total of 16,270 pounds of forage (11,388 lbs. dry matter forage/70 percent) is needed annually to support one cow.

Fourth, the "natural" forage production (without any N fertilizer applied) on an average upland soil will produce 2,000 pounds dry matter forage per acre. Under somewhat normal weather conditions, 30 pounds of additional forage can be produced for each pound of N fertilizer applied. Assuming a stocking rate of one cow per 4 acres, a total of 275 pounds N fertilizer is required to produce 16,270 pounds of forage [(2,000 lbs. natural production x 4 acres) + (275 lbs. N x 30 lbs. dry matter forage/lb. N applied)].

Fifth, now we can calculate the N fertilizer cost per cow by multiplying the cost per pound N (52¢) by the amount of actual N to be applied (275 pounds). The cost per cow is $143.

During 2003-2006, the Standardized Performance Analysis (SPA), a national cow database that records cow economics and performance, marginal input costs to maintain one breeding female averaged $175. When additional marginal costs and N fertilizer costs are added together, the total is $318. If the producer is profitable with their current production system, then they can justify the application of N fertilizer as long as calf revenue per cow is higher than $318. Due to the variability of land and other input costs, each producer should figure their individual production costs for their cow/calf enterprise.

It is important to remember that this article only discussed N fertilizer cost. It does not include any costs associated with other fertilizer inputs, such as phosphorus, potassium and/or lime. This is why it is critical to always soil test to determine what nutrients may be deficient and those which may already be at acceptable levels.
 
Interesting article Novatech. I'm kinda confused on one thing though. When they refer to "natural forage", do they mean naturally occuring grasses or are they talking about improved grasses growing naturally without fertilization?
 
Does it really take 275 lb of actual N to grow high yield bermudagrass? None of my forages require that much N to produce 2.5 ton or better on a first cutting. 100 lb would be extravagant. There is no yield response you can afford above 100 lb N/acre on my fescue, wheat, orchard grass, etc. My applications are going to be way below 100 lb--more like 30-50 lb. actual N.
We don't grow that up here, so I'm just curious.
 
I think they are basing everything on some type of hybrid bermudagrass. I have herd of people applying 300 lbs. actual N per acre. With enough water they get protein content in the 20's.
 
novatech":2ptqxgi7 said:
I think they are basing everything on some type of hybrid bermudagrass. I have herd of people applying 300 lbs. actual N per acre. With enough water they get protein content in the 20's.

This is a good post. After thinking on this for the last hour or so, I think I'm getting the gist of what they are saying. I'm just surprised that the yearly yield of a bermuda grass patch would only yield 2000 lbs if left unfertilized. But after applying my hay field figures to what they are saying, I'm right there with them on the amount of N I apply each year. Probably put more if I got the rainfall to warrant it.

Check your pm.
 
Grass response to N fertilizer depends on the soil, the weather, the time of year, how much you rest the stand, and the type of forage...

You get the biggest bang for your N buck in the spring. For me this is the only time of year it pays to fertilize unimproved pasture. The problem you then have after spring fertilization is a huge spring forage production peak.
 
Stocker Steve":3bc5yc0z said:
Grass response to N fertilizer depends on the soil, the weather, the time of year, how much you rest the stand, and the type of forage...

You get the biggest bang for your N buck in the spring. For me this is the only time of year it pays to fertilize unimproved pasture. The problem you then have after spring fertilization is a huge spring forage production peak.



Not a bad problem, as problems go.
 
Angus/Brangus":bgwxvdad said:
And I'm kind wondering if the study accounts for the return of nutrients back to the soil through cow manure.

My hay is drawing about 50 lbs of Nitrogen per acre plus other additives.
I do not have a clue weather or not he included refertilization of soil through manure. I have read that in a cow calf operation cattle remove about 20% of the nutrition from what they eat and the rest goes back into the soil. If this is true then it would seem that after the initial fertilization one could reduce the amount by 80% per year. This is the reason I feed hay on the poorest ground in the pasture.
 
Angus/Brangus":1mx761c6 said:
john250":1mx761c6 said:
Stocker Steve":1mx761c6 said:
Grass response to N fertilizer depends on the soil, the weather, the time of year, how much you rest the stand, and the type of forage...

You get the biggest bang for your N buck in the spring. For me this is the only time of year it pays to fertilize unimproved pasture. The problem you then have after spring fertilization is a huge spring forage production peak.



Not a bad problem, as problems go.

I don't understand the "problem". Why fertilize? To get the forage to grow and provide the nutrients? -------> for grazing, hay? So if the cattle graze it or it's baled at the proper time, where is the problem?
If its grazed, fertilizing would be a huge problem. I'm talking on native pasture. Fertilizing causes the grass to have a sharp peak in production followed immediately by a rapid falloff in production. Basically you get similar net production but instead of having a full grazing season, the grass grows well for only a short period of that grazing season. Around here fertilizing is done on improved pastures as they are only grazing in the spring and the fertilization puts most of the grass production in the proper timeframe. Hayland would be another good use of fertilization as the hay is pulled off earlier in the summer. I just can't see justification for fertilizing a native pasture for any reason, unless things work differently then they do up north.
 
novatech":2ak4csie said:
Angus/Brangus":2ak4csie said:
And I'm kind wondering if the study accounts for the return of nutrients back to the soil through cow manure.

My hay is drawing about 50 lbs of Nitrogen per acre plus other additives.
I do not have a clue weather or not he included refertilization of soil through manure. I have read that in a cow calf operation cattle remove about 20% of the nutrition from what they eat and the rest goes back into the soil. If this is true then it would seem that after the initial fertilization one could reduce the amount by 80% per year. This is the reason I feed hay on the poorest ground in the pasture.

Seems you could also draw some similarities between this and methods used in organic gardening. By importing nutrients to the site via hay, manure or leaf mulch - in the case of gardening - you are building the soil and its fertility especially if the hay is brought in from another site. I have one field I have grazed as many as 5 pair per acre for six weeks and haven't applied fertilizer on the field in eight years - it simply does not need it.
 
It is a forage chain thing...

I fertilize native pasture to get it going early in the spring and handle 800 to 1,000# per acre. Then I shift (mostly) to improved pastures with alfalfa and red clover in them. Then I used to shift (mostly) to summer annuals, but I may not to able to afford that anymore with the price of fuel and fertilizer.

The "problem" depends on how much of your forage chain is N fortified native grass and how much iron you can think you should own. I minimize hay making, and currently hire out the baling when I have to do it.

I am a sucker for cheap equipment projects purchased at farm auctions but there is only so much rebuilding I can to do each winter (and still make a profit).
 
Jogeephus":2nt5m4eh said:
Seems you could also draw some similarities between this and methods used in organic gardening. By importing nutrients to the site via hay, manure or leaf mulch - in the case of gardening - you are building the soil and its fertility especially if the hay is brought in from another site. I have one field I have grazed as many as 5 pair per acre for six weeks and haven't applied fertilizer on the field in eight years - it simply does not need it.
If I had my choice I would use a lot more organics as they put a lot more back into the soil. The fact is that they are just not available. The egg, and chicken farms around here all have their own hay fields and do a big business with it. The city charges $55 per 10 yd. load for sludge and it is not very high in N. I do not believe that plants care where they get nutrients from. So I am sticking with commercial fert. for when the grass requires it.
I let clover be my best source for N. If stocked properly it is usually the only source of N necessary.
 
I like chicken litter. Stinks to high heavens but it seems to give the grass a fuller body and color than does conventional fertilizer. I just learned this week that the fella I normally get it from will be using all his this year and I won't be able to buy any of his. Though I do like it, I don't think you should use it at evey fertilization since this can cause an unhealthy amount of some minor nutrients that could hurt you as well. I normally alternated its application with coventional.

I have a friend in South Carolina who uses another by-product. It is some kind of sludge from a chemical plant. It is cheaper for the chemical plant to spread this on pastures than it is for them to run it thru a treatment plant. For the use of his pastures, they pay to lime his fields - ph must be above 6 for the EPD to allow them to spread it. Then they spray his pastures and hay fields at no cost to him. The stuff paints the grass black but once it rains the grass turns dark green and grows extremely well. I can only imagine what my bottom line would look like if I got free fertilizer.
 
Jogeephus":20rshlqy said:
I like chicken litter. Stinks to high heavens but it seems to give the grass a fuller body and color than does conventional fertilizer. I just learned this week that the fella I normally get it from will be using all his this year and I won't be able to buy any of his. Though I do like it, I don't think you should use it at evey fertilization since this can cause an unhealthy amount of some minor nutrients that could hurt you as well. I normally alternated its application with coventional.

I have a friend in South Carolina who uses another by-product. It is some kind of sludge from a chemical plant. It is cheaper for the chemical plant to spread this on pastures than it is for them to run it thru a treatment plant. For the use of his pastures, they pay to lime his fields - ph must be above 6 for the EPD to allow them to spread it. Then they spray his pastures and hay fields at no cost to him. The stuff paints the grass black but once it rains the grass turns dark green and grows extremely well. I can only imagine what my bottom line would look like if I got free fertilizer.

Local ranch was using that around here, then got sued by local landowners. Was forced to stop using. What they were using was the sludge remains from a local water treatment facility. Funny thing is it smelled like a chemical - not like what you'd think it would :shock: Locals were afraid of runoff exposure to their land. Perfectly fine to use chicken poop though - go figure...
 
First of all your numbers are incorrect for hybrid bermuda grass pertaining to a cows consumption
Second- Nitrogen is a quick greenup and doesn't represent your yeild ( Lime/Potassium Does) (K)
Third - If you cut hay on land you do not apply K on you will pay dearly for it the following year.
Fourth - If your pH gets low your grass will not be able to take up the available soil nutrients.
Fifth - 1. Lime your pastures for yeild; 2. Apply K at 200 lbs per acre per year; 3. Apply P at 60 lbs per acre per year
4. Nitrogen as discussed above is a quick greenup only and the biggest limiting factor for production is your lime index.

Hybrid Bermuda will yeild 10,000 lbs per acre per year doing this, because I have been doing it for 25 years.
One more idea------ there is no permanent pasture that can out compete Tiff Leaf 3 Pearl Millet on ADG or Cost of production per acre. For 10 years we have been using Tiff leaf 3 on our forage bull test where bulls had an ADG of 0ver 2.5 lbs per day.
For cow calf pairs we normally run 8 pair per acre----- what permanent pasture can do that? NONE!

Simangus
 
simangus23":2z2u9k5p said:
First of all your numbers are incorrect for hybrid bermuda grass pertaining to a cows consumption
Second- Nitrogen is a quick greenup and doesn't represent your yeild ( Lime/Potassium Does) (K)
Third - If you cut hay on land you do not apply K on you will pay dearly for it the following year.
Fourth - If your pH gets low your grass will not be able to take up the available soil nutrients.
Fifth - 1. Lime your pastures for yeild; 2. Apply K at 200 lbs per acre per year; 3. Apply P at 60 lbs per acre per year
4. Nitrogen as discussed above is a quick greenup only and the biggest limiting factor for production is your lime index.

Hybrid Bermuda will yeild 10,000 lbs per acre per year doing this, because I have been doing it for 25 years.
One more idea------ there is no permanent pasture that can out compete Tiff Leaf 3 Pearl Millet on ADG or Cost of production per acre. For 10 years we have been using Tiff leaf 3 on our forage bull test where bulls had an ADG of 0ver 2.5 lbs per day.
For cow calf pairs we normally run 8 pair per acre----- what permanent pasture can do that? NONE!

Simangus
Could you please tell me were you gained this information I would like to learn more.
 
simangus23":3ajxubx2 said:
Fifth - 1. Lime your pastures for yeild; 2. Apply K at 200 lbs per acre per year;
Simangus

The lime you are buying probably comes from the lime plant about 5 miles away as the crow flies. We have surplus lime in our soil.

Send soil tests out to anyone and they come back telling me 95-0-0 and no trace minerals whatsoever.

No need to go telling folks what you need on your property and thinking it will be what everyone else needs.
 
Year in and year out just about all soil samples for pasture land as in East Texas will recommend 2000 lbs. of lime per acre as well as the blended fertilizer.
 
TexasBred":bjmgjhn4 said:
Year in and year out just about all soil samples for pasture land as in East Texas will recommend 2000 lbs. of lime per acre as well as the blended fertilizer.

Oh I am not doubting that. My land in Marshall will grow grass like crazy but there is no nutrition in it. Most everyone there in the family has converted their land to timber. One uncle still pastures his and gardens.
 
Backhoe, I use to know several dairymen over in East Texas. Seems no matter what you did to the ground fertilizer wise, the only thing fertilizer did was help you grow more hay. The nutrient profile on the hay changed very little. You could put up 8% hay unfertilized and 8/5% if you fertilized it. Have a dairymen over in Central Texas who fertilizes with chicken litter and consistently grows hay that is 13-14% crude protein. He's located right on the Brazos River and you can almost dig a post hole and hit water.
 

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