Make Hay, Make Money

Like any pursuit, hay growing is a fruitless endeavor if no profit is turned. And growing hay is expensive, so making good money isn’t a guarantee. Even though making a hay operation financially successful is no walk in the park, there are certain methods farmers can use to make sure that they don’t go belly up.

First off, hay farmers must examine each of their hay bales on an individual basis. Bales are often composed of different materials, and, based on their composition, they will fit different markets better than others. Being sure to sell hay to the correct market is imperative. It will go for a better price there. The demand will be better.

Speaking of markets, it’s important that farmers are aware of the markets they will be selling to. Knowing the price that hay will go for in a specific market allows them to fine-tune their production and transportation methods to make turning a profit attainable. And though hay price is dependent on hay quality, market variables can cause prices to fluctuate, so understanding what hay is going for in a certain market will make farmers better informed. And being informed can allow them to produce the hay that will generate the best returns and sell this hay to the market where buyers will pay the most.

Next, it is important that producers make sure to only push their best out their highest quality hay. The disastrous effects of selling moldy, dusty or just poorly made hay will be a PR nightmare. For example, if a purchaser’s horses were to eat bad hay and contract an illness or die, not only would that individual almost certainly not buy anymore hay from that particular source, but word would be likely to spread. And in a market where hay production is expensive, losing prospective buyers through negligence is simply unacceptable.

Lastly, it is of the utmost importance that farmers keep track of their inventory and costs—especially in regard to shipping and production. It is key that farmers make sure that every expense is accounted for, or else it is impossible to actually identify profitability. And if this isn’t possible, it’s impossible to adjust on the fly to make money.

It is expensive to produce and ship hay, but it is not impossible to make good money from it. In order to do this, farmers should understand the various markets at their disposable, decide which will allow them to make the most money, keep their hay quality high and, most importantly, keep track of expenditures and returns.