Purchasing High Moisture Corn
Snyder, Darwin P.
1. The price per ton a dairyman pays for purchased HMC should be dependent on the following factors: (a) Moisture and cob content (b) Current dry shelled corn prices (c) Nutrient cost for alternative rations 2. When equal feed value is purchased HMSC is more profitable than HMEC regardless of type of storage. 3. The cost per ton of HMC should include trucking, handling, storage, etc. in addition to the price paid to the producer for the corn itself. 4. Purchased HMC can be profitable for dairymen but the margin is likely to be significantly lower than for HMC grown by dairymen with good yields. 5. Other alternatives for providing concentrate nutrients to the herd may be more profitable than purchased HMC. Before buying high moisture corn the dairyman would be wise to try to estimate his handling cost per ton as in Table 2. Then this figure should be used along with the cost of HMC and other ingredients to estimate the cost of nutrients, as in Tables 3 and 4. Comparing this with the cost of nutrients from other sources should provide him with a sound basis for making a decision.
Charles H. Dyson School of Applied Economics and Management, Cornell University