Maybe Clive could just PM Chafcutter his drying costs?!
Maybe Clive could just PM Chafcutter his drying costs?!
We looked at the ops question very closely this year.....to get back on topic.
Installing a newer cont flow dryer is going to be circa £250K.
Buying some capacity at a local store with drying facility will cost you £9/t using the above figures.
At those rates I would need to dry over 27,000tonne to make my money back on my own dryer. Now that doesn't take into account lots of other factors including higher moisture's but as a guide it will do. Producing about 3000t/year and say drying 20% of that (600t) that 45years...
Which ever way you look at it its a lot of money and a long payback period...TBH i think there are other things that will make us money that we can spend that capital on for now. And lets not frget harvest wheat is near on £100/t!
Ok i admit it it as me who killed the deputy so please make this torture stop
I end up drying circa 50% of the crop! Being close to the South coast & grossly undercombined doesn't help. A 25 t/hr drier doesn't cope with a 35 - 60 t/hr combine as it is.
There is never enough intake capacity, but all you do is end up moving your bottleneck around the store; pits, intake bins, driers, conveyors.
Not being able to work 24/7 through harvest would cripple our efficiency.
I have a grain store shed here that was built in 1965 at a cost of £860, its 30' x 90' with fan and above floor laterals, it still works fine, within the limitations of the laterals and height, even at todays scrap prices it would be worth more than its cost, so where is the depreciation?
At least double the £860 if scrap is £40/tonne, but the building will last another 40 years without any problems that i can see.How much do you think you could get for the scrap?
At least double the £860 if scrap is £40/tonne, but the building will last another 40 years without any problems that i can see.
And if in another 40 years the scrap price is still £40/t and you could sell the scap for at least £1600, you'd say at that point then that the building had still not depreciated at all?
oh dear !
So your answer would be?
can we just accept that he grain shed was a bloody good decision all those years ago and it really hasn't cost him bugger all
but yes...........had he had a crystal ball and bought £860 of apple shares at start up he would indeed be a billionaire now
if you know the future price of scrap or can predict inflation / deflation / interest rates etc I reckon your wasted farming, go get a job in the city or in government etc
And if in another 40 years the scrap price is still £40/t and you could sell the scap for at least £1600, you'd say at that point then that the building had still not depreciated at all?
So, just to be crystal clear, your answer to this question is yes:
my answer is I really don't care - it cost what it cost and enabled the man to carry out his business, it was significantly cheaper than CS and remains an asset for him today
it was an excellent decision to invest that £860 50 years ago
There is never enough intake capacity, but all you do is end up moving your bottleneck around the store; pits, intake bins, driers, conveyors.
Not being able to work 24/7 through harvest would cripple our efficiency.
my answer is I really don't care - it cost what it cost and enabled the man to carry out his business, it was significantly cheaper than CS and remains an asset for him today
it was an excellent decision to invest that £860 50 years ago
Been there done that. You start off thinking now changing that conveyor will help but it just moves the problem on down the line.