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0608 FG: In your own words... Will hay production remain profitable?

Published on 09 December 2008

Will hay production remain profitable against current input prices?

“At least for now, it has gone hand in hand.

We have seen our margins narrow some, but we are sustaining some level of profitability. For me, finding the right markets and producing hay the right way has helped keep our business on top of the current market.”

Luke Schuldt
Bremer, Iowa

“Inputs are best brought under control with the use of technology. Seed companies need to be producing varieties that have smaller stems for faster drying time.

Producers need to be using the best technology available to get the best quality they can. Without these, inputs will be devastating over time.”

Robert Farnham
Lockport, New York

“Producing hay might not be as much fun with the rising cost of inputs, but forages have typically been a good way to keep your head above water in farming, and I predict it will remain that way.

For now, costs have been passed on to the buyers, but there will be a breaking point reached somewhere down the line.”

Jay Crisp
La Porte City, Iowa

“I feel that this year has been ok, but next year really scares me. At some point, the price of hay is going to have to go down, and there will really be a lot of people who will not be happy when that happens.

If production prices don’t moderate soon, some people will be forced out of agriculture.”

Todd Gehres,
Decatur, Indiana

FG

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