Hay Profits

[Soggy Bottom]

I have been running some rough numbers on the possible profits of a small hay business. I know this is a very loaded question and hard to answer but is there any rough numbers hay growers shoot for to profit of an acre per year? The numbers I have come up with for a good coastal field is around $100 for round bales and $300 for square bales of profit for acre. These are the numbers I am using.

5000lb per of hay per acre
$60 fertilizer per acre
$8 an acre weed spray
$60 round bales
$6 square bales
$25 round baler charge
$1 square baler charge
$1 square bale stack

 

[1982vett]

Ya need to quantify what a round bale is....quite the range between a 4x5, 4x6, 5x5.5, 6x6....guess squares too as I stopped baling 70 lb squares 12 years ago.....about the time it went to $1.10 to get it hauled.

 

[Stocker Steve]

Need to back calculate from your goal, or else just compare to other crop options.
I set a per acre profit goal based on paying the family living expense.
or
Your extension or Finpak people will have some (often incomplete) but local numbers.

 

[Caustic Burno]

I have been running some rough numbers on the possible profits of a small hay business. I know this is a very loaded question and hard to answer but is there any rough numbers hay growers shoot for to profit of an acre per year? The numbers I have come up with for a good coastal field is around $100 for round bales and $300 for square bales of profit for acre. These are the numbers I am using.

5000lb per of hay per acre
$60 fertilizer per acre
$8 an acre weed spray
$60 round bales
$6 square bales
$25 round baler charge
$1 square baler charge
$1 square bale stack

IMO harvest tonnage is higher than I would figure. You go from drought to it won't stop raining. Doesn't matter how much grass is in the field if you can't optimize your harvest. Lot of difference in one year you get four cuttings and the next, one cause of drought.
I had 36 dollars a bale in 4x5's over ten years ago when I quit and sold my equipment.
:2cents:

 

[Soggy Bottom]

Thanks for the info. I know it was a very open ended question with many variables. I guess am looking at it as "is it worth the investment". I am trying to figure if I can pay my taxes on my place from the hay profits made.

 

[HDRider]

This guy looks like he makes money from hay here in my area. It is not government land.

http://hillhayfarms.com/

 

[Caustic Burno]

There is money in hay for sure it has tremendous inputs as well.
My hay man bales roughly 7k 4x5's a year and sells for 50 a roll. Sounds great that's 350k in hay sales now comes the inputs 2 100HP John Deere tractors 2 10' Krone cutters 2 Vermeer commercial balers along with hydraulics V takes and tedder.
Haven't even got to maintenance, fuel, trucks and trailers to move all this stuff.

 

[Stocker Steve]

This guy looks like he makes money from hay here in my area. It is not government land.

http://hillhayfarms.com/

Has a JI Case tractor so you know he is a top producer. :nod:

 

[DCA farm]

There is money in hay for sure it has tremendous inputs as well.
My hay man bales roughly 7k 4x5's a year and sells for 50 a roll. Sounds great that's 350k in hay sales now comes the inputs 2 100HP John Deere tractors 2 10' Krone cutters 2 Vermeer commercial balers along with hydraulics V takes and tedder.
Haven't even got to maintenance, fuel, trucks and trailers to move all this stuff.

all that big fancy equipment is nice but it can be done with out all them notes my hay man runs older equipment he just does good maintaince and doesn't treat it like it's price of rent equipment sells his hay for $30 a roll and he must be doing ok he keeps doing it every year

 

[Caustic Burno]

There is money in hay for sure it has tremendous inputs as well.
My hay man bales roughly 7k 4x5's a year and sells for 50 a roll. Sounds great that's 350k in hay sales now comes the inputs 2 100HP John Deere tractors 2 10' Krone cutters 2 Vermeer commercial balers along with hydraulics V takes and tedder.
Haven't even got to maintenance, fuel, trucks and trailers to move all this stuff.

all that big fancy equipment is nice but it can be done with out all them notes my hay man runs older equipment he just does good maintaince and doesn't treat it like it's price of rent equipment sells his hay for $30 a roll and he must be doing ok he keeps doing it every year

You can't produce hay for 30 bucks a roll on today's inputs with paid off equipment. You might if your not taking a penny out for yourself. As I stated earlier I had over that in a roll ten years ago with 180 dollar a ton fertilizer, that same ton today is 450.
And that fancy equipment you spoke of is all paid off.
Lot of difference in making some hay and being in the hay business.
When you have semi's coming in every week for orders product has to be available or your customers will go elsewhere.

 

[Bigfoot]

I had the best hay year of my life. I should get through winter on what I was able to put up (normally end up buying some). Averaged 9.5 4'x5' rolls on my grass hay and 6 on my sorghum/sudan. All said and done, I have about $35 a roll in it. I would gladly buy hay, but it's just not available in the quantity I need, nor is the quality of what's available comparable to what I can put up. If my yield had been less, the price per roll would go up. I personally see no way to make money on selling rolls, not here anyway. A quality square bale goes for $6, but it's seldom available. A man could make some money on square bales here.

 

[kenny thomas]

Off topic a little bit but I had a guy call last night wanting 1000 rolls or big square bales to go to Wisconsin. If anyone has any extra and can load a tractor trailer PM me and I will give you his name and number.

 

[Caustic Burno]

I had the best hay year of my life. I should get through winter on what I was able to put up (normally end up buying some). Averaged 9.5 4'x5' rolls on my grass hay and 6 on my sorghum/sudan. All said and done, I have about $35 a roll in it. I would gladly buy hay, but it's just not available in the quantity I need, nor is the quality of what's available comparable to what I can put up. If my yield had been less, the price per roll would go up. I personally see no way to make money on selling rolls, not here anyway. A quality square bale goes for $6, but it's seldom available. A man could make some money on square bales here.

Sounds like good numbers to me.
I have come to the conclusion the majority of people making hay or selling cattle have no clue their inputs.
Most are subsidizing the packers.

 

[callmefence]

There is money in hay for sure it has tremendous inputs as well.
My hay man bales roughly 7k 4x5's a year and sells for 50 a roll. Sounds great that's 350k in hay sales now comes the inputs 2 100HP John Deere tractors 2 10' Krone cutters 2 Vermeer commercial balers along with hydraulics V takes and tedder.
Haven't even got to maintenance, fuel, trucks and trailers to move all this stuff.

In a previous discussion you talked of 12 percent hay at 100.00 a ton. Are you sure them 4x5 s weigh 1000 pounds.??

 

[DCA farm]

Off topic a little bit but I had a guy call last night wanting 1000 rolls or big square bales to go to Wisconsin. If anyone has any extra and can load a tractor trailer PM me and I will give you his name and number.

It's in Louisiana but gut says he has 7500 4x5 net wrapped barn kept 45 a roll

 

[kenny thomas]

Off topic a little bit but I had a guy call last night wanting 1000 rolls or big square bales to go to Wisconsin. If anyone has any extra and can load a tractor trailer PM me and I will give you his name and number.

It's in Louisiana but gut says he has 7500 4x5 net wrapped barn kept 45 a roll

That adds to the trucking but thanks I will send it to him.

 

[sstterry]

I have a guy close to me (Greene County) that has 600 stored in the dry. If you want his number, I can send it to you.

 

[kenny thomas]

I have a guy close to me (Greene County) that has 600. If you want his number, I can send it to you.

If it's inside yes send me the number.

 

[BFE]

I had the best hay year of my life. I should get through winter on what I was able to put up (normally end up buying some). Averaged 9.5 4'x5' rolls on my grass hay and 6 on my sorghum/sudan. All said and done, I have about $35 a roll in it. I would gladly buy hay, but it's just not available in the quantity I need, nor is the quality of what's available comparable to what I can put up. If my yield had been less, the price per roll would go up. I personally see no way to make money on selling rolls, not here anyway. A quality square bale goes for $6, but it's seldom available. A man could make some money on square bales here.

That's the way it is here. Big round bales will fetch just about enough to cover costs in a normal year. Small squares can make some money, there's very few available and lots of weekend cowboys that don't have a tractor that provide a steady market.

 

[polledbull]

4x5 roll will not weigh 1000lb, we bale over 1500 per year, bermuda grass 4x5 roll will weigh about 850lb if it is baled tight , we sale high quality hay for $40 per roll, we sell about 5000 square bales per year out of the feild for $4 and you load it ,