Custom machine work rate 2013 estimates available
Cost of farm machine rates rise to cover increases in costs – part of the 2013 Farm Machine work rates summary.
Farmers continue to utilize the practice of exchanging machine work between farms which has and will continue be a useful management tool. The “Farm Machine Work Rate for 2012 – 2013” summary report is now posted on Michigan State University Extension educator Dennis Stein’s website. The tool provides Mid-Michigan farms a reference in establishing a value for machine work being exchanged between farms. This report is not any one farms real cost, but is a summary of custom rate values taken from several sources. The report has been compiled and published to be a starting point for farms to use in identifying their own farms numbers. For farms looking back to 2012, a copy of the 2012 Farm Machine Work Rate report is also available.
As farms work to develop their farm business plan for 2013, it may be helpful to utilize information like this for building cost estimations and comparisons of various farm production systems. When farm crops mix or tillage programs change, the overall cost of operations can also change. Having a set of reference numbers may be helpful in doing a paper evaluation before implementation is undertaken. Changes can often be expensive. A farm may find it more practical in the short term or long term to use the available services that a neighboring farm may be able and willing to provide rather than purchase an expensive piece of equipment.