Starting something new sometimes makes your footsteps heavy and your mind complicated. Many calculations must be detailed including the cost of expenditure. Those who work in the agriculture site must also take into account the bale wrapping cost. The cost of wrapping silage may be a new thing for some agricultural and livestock entrepreneurs. Their newly started business could have been discovered by accident.
They initially might buy bales for cattle feed as these are easier for the cows to digest. Silage that comes from wrapped bales is slightly easier to digest due to the lack of oxygen from the plastic wrap which breaks down the lactic bacteria and then converts the hay into energy for livestock.
Soon they were producing their bales relying on wrapper machines such as in line which has a rotary table and a single wrapping machine. And gradually this became a fairly promising business.
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Bale Wrapping Cost Means Investing in Plastic Film
The first thing you should think about when making a bale wrapping cost breakdown is the use of plastic film wrapping. You may already know the field to work on to get fresh forage and how to bring it to the silage processing site. So, you must already know exactly how much it will cost you to spend at that point.
Meanwhile, plastic film wrapping is another thing that needs your full attention. With quality film plastic wrapping from a trusted company, you will be able to improve the quality of bales that will be sold.
We look at the average price of plastic wrap at $80 per roll. When you buy two rolls of plastic, you will be able to wrap 70 bales with the typical use of 5 to 6 layers of plastic. Then, there is a plastic cap which will be placed at the end of the row of wrapped bales. Plastic and end caps cost about $2.43 per bal.
Number of Bales Produced Per Hour
With the wrapping machine you have you can produce so many bales per hour. Maybe you have a single bale wrapping machine on your farm that will wrap about one bale per minute. Then in one hour, you will be able to produce as much as 50 to 60 bales.
Wrapping bales using this machine will cost you around $4 to $5 per bale on plastic wrap. While one bale requires at least 6 layers of plastic for a total of 21 turns. The total amount of bale wrapping cost for one hour of rotation of this machine is about $1200.
If you use an inline wrapper with a rotating table, then you will be able to make about 80 to 120 bales per hour. This wrapping can cost about $3 to $4 per bale in the plastic used. With 6 to 8 plastic layers used to wrap one bale, you would be spending $1440 in bale wrapping cost.
Reasonable Selling Price
A two- to two-and-a-half times profit in a sales pitch is always reasonable. By selling for $75 to $90 per bale, you can cover production costs. This includes the cost of plastic film, electricity, distribution, worker’s salaries, and much more. You should always remember that the bale wrapping cost also covers everything down to workers’ breakfast and lunch.
Your profit may not be visible in the first year you start this business. But as repeat orders become more frequent and your marketing reach expands, you will be able to enjoy the results of the struggle to start this business.