New haying equipment

[Hill Farmer]

Your gonna have to roll a lot of $11 bales to pay for equipment and fuel, much less turn a profit. We paid $20 a bale this year. Last year another guy baled it on the halves. With the drought that turned out to be $30-$35 a bale. Who knows what this years hay will bring. Been plenty of rain so far, so probably not much.

 

[Tx Jim]

Your gonna have to roll a lot of $11 bales to pay for equipment and fuel, much less turn a profit.

It amount's to more than equipment payments & fuel. The equipment warranty only lasts a brief short period of time then it will be the need to buy expensive parts also. In the end there's a lot of expensive's to squeeze out of that $11 per bale fee. Netwrap costs me $1 per bale

 

[corey9212]

here most custom balers are charging $25 to $27 to cut rake an bale for 4 by 6s.we paid 12 a bale for cutting an raking.to run a baling operation you really need 3 tractors.1 for the cutter 1 for rge rake an 1 for the baler.that way your not constantly hooking an unhooking equipment.we use a jx80 to pull the 567 baler.

The government has a website that tells what the rates are for the year (based on surveys done) and it recommends a price range based on the surveys.) I would love to have 3 tractors running, as I pay off this equipment and if the haying continues to go well over the years I will invest in a couple tractors for each job.

I can't imagine hoping to pay for that much dollar investment in equipment "before it's completely worn out" by only collecting $11 per bale for cutting,raking & baling. Not me Vern. I suppose the yield per acre is much greater than down here in Texas but I'd still be out. As I previously stated GOOD LUCK. When I stated $40K for rd baler I was referring to a NEW baler.

I'm hoping next year the rates in this area will go up especially seeing what you guys are making per bale. Thank you, I will need it. Ah, ok, my misunderstanding.

 

[corey9212]

Your gonna have to roll a lot of $11 bales to pay for equipment and fuel, much less turn a profit. We paid $20 a bale this year. Last year another guy baled it on the halves. With the drought that turned out to be $30-$35 a bale. Who knows what this years hay will bring. Been plenty of rain so far, so probably not much.

The profit margins are very thin this time around, mostly cause I am so new to this (inefficient) and the going rates around here. So far the bales that I have produced have covered the fuel costs so now it's just a matter of how much to put down on equipment and how much will be towards my time.

 

[Tx Jim]

corey9212
Curiosity killed the CAT so I must ask?? How many rd bales do you plan on custom baling per year??

 

[corey9212]

corey9212
Curiosity killed the CAT so I must ask?? How many rd bales do you plan on custom baling per year??

So far I've put out a total of 500 bales this year (first cut) so this year I will probably get 1000 bales in but next year I should double it easily providing the weather decides to cooperate. This is just what I have for my pasture and my contracts so far, got a few more people I'm in the process of talking to and sealing a deal.

 

[Tx Jim]

Back when I started custom baling hay I struggled to make equipment payments utilizing used tractors and new hay equipment. I averaged baling 5000-6000 bales a year. Back then equipment,parts & fuel weren't nearly as high in comparison to the charge per rd bale as they are now. I'm glad I'm not the one trying to pay for your high $$$$$$$$ equipment baling only a 2000 bales per year. I'm disabled and I still bale over 2000 bales a year. Good luck on your endeavor.