As corn grain prices sky-rocket, corn silage prices have shot up as well.
To better estimate fair market value, Ryan Sterry, a Polk County, Wis., ag agent, and colleagues have developed an easy-to-use spread sheet that estimates the value of corn silage for both sellers and buyers.
The spread sheet allows users to input a host of variables, including yield, grain price, harvest cost and storage losses.
With $4/bu. corn, a 150 bu./a grain yield and 20 tons/acre total yield, the spreadsheet estimates the value of standing corn at $30/acre. When corn goes to $5/bu. at those same yields, the value of the standing crop jumps to $36/ton. And when corn climbs to $6/a, the value of the silage goes to $42/ton.
"These values give a benchmark for both buyers and sellers that can get the discussion started on what's fair to both parties,” says Sterry.
For the spreadsheet, click here.