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Demand for on-farm grain storage remains strong

A dealer for grain storage and drying systems says farmers need to plan far in advance of building new facilities.

Chad Droessler with Schultz’s Interstate Ag in Monroe, Wisconsin says, “Right now, things are looking a year, a year plus out.”

Droessler tells Brownfield more and more farmers want to have their grain stored at home because of rising prices at the cooperatives and commercial elevators. “If you look at what you’re paying in storage costs to haul it over to the elevator and bring that money home in the check, it will in five to seven or ten years pay back in money that’s already yours. You’re just bringing it back home and putting it in the bin.”

Droessler says grain producers are in a good position to take the money they’re losing to the elevators and invest in their own operations. “Sit down and go through the financials of how many bushels you’re running, what you’re getting charged at the elevator, and what you’re able to bring back and save. A lot of times, the money is already there. You’re just not getting it in your check.”

And, Droessler says projects can be built in phases.  He says Farm Service Agency also has very favorable storage loans available at low interest rates.

Brownfield interviewed Droessler during the recent WPS Farm Show in Oshkosh, Wisconsin. Schultz’s Interstate Ag is a Sukup products dealer.