Feed Manufacturing Costs and Capital Requirements

Vosloh, Carl J.,

No 307581, Agricultural Economic Reports from United States Department of Agriculture, Economic Research Service

Abstract: Costs were synthesized for 99 model feed plants producing between 6 and 50 tons per hour of size of operation and specialization on feed manufacturing costs. These costs were analyzed to show the effect on costs of such factors as: pelleting, packaging, warehousing and utilization of plants' capacity. Plant investment ranged from $368,440 for a 6-ton per hour plant to $1,839,380 for a 50-ton plant, with equipment counting for 35 to 55 percent of the total. Operating costs ranged from $15.16 to $4.80 per ton. Lowest costs were in plants which neither pelleted nor packaged feed. Fixed costs per ton were reduced between 12 and 20 percent for 16 hours of operation rather than 8 hours.

Keywords: Livestock Production/Industries; Production Economics; Productivity Analysis; Research Methods/Statistical Methods (search for similar items in EconPapers)
Pages: 91
Date: 1976-05
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Persistent link: https://EconPapers.repec.org/RePEc:ags:uerser:307581

DOI: 10.22004/ag.econ.307581

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