Shannon Dill, Agriculture Extension Educator, University of Maryland Extension, Talbot County
The University of Maryland Extension has updated www.extension.umd.edu/grainmarketing site with new input data for 2018 crop budgets. Also posted is the 2017 Maryland Custom Rate Survey.
Crop Budgets
Cost of production is very important when making decisions related to your farm enterprise and grain marketing. Enterprise budgets provide valuable information regarding individual enterprises on the farm. This tool enables farm managers to make decisions regarding enterprises and plan for the coming production year. An enterprise budget uses farm revenue, variable cost, fixed cost and net income to provide a clear picture of the financial health of each farm enterprise.
The 2018 Maryland enterprise budgets were developed using average yields and estimated input cost based upon producer and farm supplier data. The figures presented are averages and vary greatly from one farm and region to the other. It is therefore crucial to input actual farm data when completing enterprise budgets for your farm.
How to Use University Enterprise Budgets:
The enterprise budgets can be used as a baseline for your operation. Make changes to these budgets to include your production techniques, inputs and overall management.
The budgets are available electronically in PDF or Excel online at www.extension.umd.edu/grainmarketing. Use this document as a start or reference to create your crop budgets. If you have problems downloading any of these budgets contact information is located on the website.
2017 Custom Rate Survey Now Available
Financial and economic considerations such as limited capital, untimely cash flow, insufficient labor, small acreage or other reasons require farmers to hire custom service for field operations.
Custom work charges are determined by demand and supply and are negotiated between farmers and custom operators. The purpose of the publication is to provide information on custom work charges in Maryland and to provide data to assist in decision making regarding purchasing equipment.
Custom Work Charges
A mail survey was conducted in the fall of 2016 to determine custom works charges in Maryland. Rates were collected from 40 custom operators and farmers, and summarized for the state. Participants indicated the rates they charge for various field operations. The charges reported in this publication may serve as a guide in determining an acceptable rate for a particular job where little other information is available. The charges can also be compared with costs and returns and may be used as a basis for working out more equitable charges for both the custom operator and customer. These are available online at www.extension.umd.edu/grainmarketing or contact your local Extension Office.