By Blake Jackson
Wisconsin is a leading state in corn silage production, harvesting about 800,000 acres annually. Corn silage helps maximize milk production, providing high Milk Per Acre (MPA), which is calculated by multiplying dry matter yield by Milk Per Ton (MPT). While corn silage is a vital part of Wisconsin's forage economy, its pricing is influenced by multiple factors, and determining the value can be complex.
The price of corn silage is primarily affected by grain prices. As of mid-August, Wisconsin’s local cash corn price is around $3.75 per bushel. While this price is a good starting point, other factors like expected yield, forage market prices, and nutrient content must be considered when estimating the value of silage.
To assist farmers in determining the fair price, the UW-Madison Division of Extension has developed a Corn Silage Pricing Decision Spreadsheet. This tool helps farmers input values like corn grain price, yield, local forage market prices, and harvest costs. The spreadsheet provides estimates from both the buyer's and seller's perspectives, making negotiations easier.
In addition to the corn price, factors like disease or pest pressure, such as tar spot, must be considered. In northeastern and east-central Wisconsin, reports show no significant tar spot development, but conditions can vary by region.
For a simpler approach, Dr. Joe Lauer, former UW-Madison Corn Agronomist, developed a chart to estimate corn grain equivalents per ton of silage, based on factors like grain yield and starch content.
A common method for estimating corn silage value involves multiplying the grain equivalents by the local corn price. For example, with an average yield of 174 bushels per acre, the estimated price per ton of silage would be approximately $30.38. Additionally, nutrient removal costs, including phosphorus (P) and potassium (K), should also be factored into the price to ensure fairness.
Photo Credit: gettyimages-yasonya
Categories: Wisconsin, Crops, Corn, Harvesting