Looking For A "Good Buy" On Feeds?

Dairy Pipeline: June 2008

Bob James, Extension Dairy Scientist, Dairy Nutrition
(540) 231-4770; jamesre@vt.edu

Increases in the price of corn and soybean meal have changed how we view feeding the dairy herd. High prices are likely to continue for the foreseeable future which increases the value of sound economic decisions regarding feeding programs for the dairy herd.

However, price is only one part of the decision. The following factors need to be considered before purchasing a commodity.

• How long will the product retain its value in storage? Substantial storage losses add to the cost of a feed. For instance. If wet brewer grains cost $55/ton, but 20% is lost to spoilage, the true cost is really $66/ton.
• What is the variability in dry matter and nutrient content? Wetter feeds are worth less/ton and their price should reflect this. If trailer loads of commodities are being considered, purchase them with a guaranteed minimum protein and energy content on a dry matter basis. Analyze all loads of commodities delivered to the dairy, with the exception of whole cottonseed which is difficult to sample and analyze.
• How palatable is the feed? If it reduces intake and consequently milk production, it might not be worth it.
• Is the supply dependable? Wet brewers grains is an example of a feed which has seasonal supply fluctuations. There’s more available during the summer beer drinking season and less during cooler months. Long time users of the product rarely experience supply interruptions. However, failure to receive the product when promised causes changes in the ration and drops in milk production.
• How is the commodity handled? Will it flow through gravity flow bins or does it require a commodity shed? Can it be stored in bags?

Alternatives to corn and soybean meal involve more than evaluating cost/ton. Perform some fundamental price comparisons and then consider the more practical considerations discussed above.

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