Using the previously mentioned information and average yields of 37 Gal / Acre
200 acres
Oil- 7,400 gals
@ $2.50/gal= $18,500 (or $92.5 / Acre)-
@ $3.00/gal= $22,200 (or $111.11 / Acre)
Farmer receives 3,700 Gallons of Fuel for the Land Use: $9,200.00 at $2.50/gal
1000 Acres
Oil- 37,000 Gallons
@ $2.50/gal= $92,500 ( or $92.5 / Acre)
@ $3.00/gal=$111,000 (or $111 / Acre)
Seed Cake Production and Sales
By Product of the biodiesel production is what I call the Seed Cake or Cake. The seed pressers compresses the seeds- Oil is produced as well as Cake see Pictures (x) that can then be fed to Livestock as a high protein supplement/feedstock. If the Farmer does not have a use for the Cake, the company can either buy the cake from the farmer, or sell the cake for the Farmer.
average yield is between 600 to 800 lbs per acre Hemp Seeds are 30% Oil = 420-560= 490 lbs/acre
490 @ $1.00/lb= $490.00
490 @ $.50/lb=$245.00
I place a value on this cake at: $X / lb (note see how much alfalfa, soy, etc cake costs for a comparison)
http://www1.agric.gov.ab.ca/$department/deptdocs.nsf/all/econ9631 Production is estimated using information on yield and acres harvested. Industrial hemp yield (grain or fibre) varies with variety, plant population, soil conditions, timing of harvest, and annual climatic conditions. The highest seed yield recorded to date in Canada has topped 2,000 lbs per acre; an average yield is between 600 to 800 lbs per acre, but rising (Canadian Hemp Trade Alliance). An acre will also produce an average of 5,300 lbs of straw, which can be transformed into about 1,300 lbs of fibre.
In Manitoba, hemp grain yields range from 100 to 1,200 lbs per acre while yield for crops grown and managed solely as fibre crops, range from 1 to 6 tonnes per acre (Manitoba Agriculture, Food and Rural Initiatives online report). The link to the report is as follows:http://www.gov.mb.ca/agriculture/crops/hemp/bko02s00.html). Typical grain yields in Saskatchewan vary from 660 to 1,071 lbs per acre (740 to 1,200 kg per hectare2). In Alberta, hemp grain yield from research plots have been found to vary from 196 lbs per acre (220 kg per hectare), to about 1,607 lbs per acre (1,800 kg per hectare)3. The expected yield would likely average nearly 759 lbs per acre (850 kg per hectare). Hemp straw yield under dryland conditions have an average of between 2.4 to 4.8 tonnes per acre (6 to 12 tonnes per hectare) for the higher yielding varieties like Crag (Alberta Agricultural Research Institute, 2008).
Detailed market information for hemp seed is not directly available. Based on discussion with some producers in Alberta, the cash sales price of hemp seed in 2011 was approximately 90 cents to $1.00. As shown in Table 3, Canada had 38,828 licensed acres in 2011. Over 80 percent of this was for seed production. Even though average yield vary, a reasonable yield estimate is approximately 1,100 lbs per acre (500 kg per acre). Based on this price and yield estimate, Canadian hemp seed production is estimated at approximately 15,513 tonnes assuming all acres cultivated to seed were harvested. This translates to estimated gross revenue of between $30.75 million to $34.17 million ($990 to $1,100 per acre)
It is important to understand, therefore, that the quality of modern hemp seed for human consumption far exceeds anything produced historically. This seed meal should be distinguished from the protein-rich, oil-poor seed cake remaining after oil has been expressed, that is used for livestock feed. The seed cake is also referred to as “seed meal,” and has proven to be excellent for animals (Mustafa et al. 1999).
Food:
Hemp seed can be pressed into a nutritious oil, which contains the highest amount of fatty acids in the plant kingdom. Essential oils are responsible for our immune system responses, and clear the arteries of cholesterol and plaque.2
The byproduct of pressing the oil from hemp seed is high quality protein seed cake. It can be sprouted (malted) or ground and baked into cakes, breads, and casseroles. Hemp seed protein is one of mankind's finest, most complete and available-to-the-body vegetable proteins. 2 http://www.hempcar.org/hempfacts.shtml
Hemp seed was the world's number one wild and domestic bird seed until the 1937 Marijuana prohibition law. Four million pounds of hemp seed for songbirds were sold at retail in the U.S. in 1937. Birds will pick hemp seeds out and eat them first from a pile of mixed seed. Birds in the wild live longer and breed more with hemp seed in their diet, using the oil for the feathers and their overall health. 2
1 acre produces 715 lbs seed cake https://books.google.com/books?id=w0qvkVGO0sgC&pg=PA30&lpg=PA30&dq=hemp+production+cake+per+acre&source=bl&ots=DoXfUKGONA&sig=SWcUMI49BQN7ZaFW71futs0Dw5g&hl=en&sa=X&ei=-qcQVeS-EIi9ggTryYLgDw&ved=0CB8Q6AEwATgK#v=onepage&q=hemp%20production%20cake%20per%20acre&f=false
Oil Crops Outlook Economic Research Service ERS
http://usda.mannlib.cornell.edu/usda/current/OCS/OCS-03-12-2015.pdf
Description:Examines supply, use, prices, and trade for oil crops (primarily soybeans and products), including supply and demand prospects in major importing and exporting countries. Includes information on cottonseed, peanuts, sunflowerseed, tropical oils, corn oil, and animal fats.Publication Coverage: Jan 13, 1995 to Mar 12, 2015
Latest Releases: Oil Crops Outlook, 03.12.2015
Year
Soybeans Cottonseed Sunflowerseed Canola Peanuts Flaxseed
$/bushel $/short ton $/cwt. $/cwt.Cents/pound $/bushel
2009/10
9.59 158.00 15.10 16.20 21.70 8.15
2010/11
11.30 161.00 23.30 19.30 22.50 12.20
2011/12
12.50 260.00 29.10 24.00 31.80 13.90
2012/13
14.40 252.00 25.40 26.50 30.10 13.80
2013/14
13.00 246.00 21.40 20.60 24.90 13.80
Farm Crop Income Comparisons
University of Missouri Crop Resource Guide-5 year average annual value of Missouri corn production between 2010 and 2014 $2,028,491,200.00 http://crops.missouri.edu/audit/corn.htm#budget
2015 Corn Crop Budgetc
Dryland Corn
(after beans)
Irrigated Corn
Yield/ac.
135 bu.
185 bu.
Market Price/Bu.
$3.70
$3.70
Estimated Income/Acre
Grain Sales (yield x price/bushel)
$499.50
$684.50
Estimated Total Income/Acre
$499.50
$684.50
Estimated Operating Costs/Acre
Seed
$101.25
$108.00
Fertilizer and soil amendments
118.80
153.00
Crop protection chemicals
58.00
58.00
Crop supplies, testing
1.00
1.00
Crop insurance
21.00
21.00
Custom application
6.00
6.00
Energy: machinery fuel, drying, irrigation
42.07
91.88
Machinery repairs and maintenance
16.78
50.27
Value of operator and hired labor
15.73
22.61
Operating interest @ 6% x ½ year
11.42
15.35
Total Operating Costs/Acre
$392.05
$527.11
Estimated Ownership Costs/Acre
Farm business overhead
$4.53
$4.80
Machinery overhead
25.70
47.77
Machinery depreciation
29.50
51.46
Real estate charge
160.00
200.00
Total Ownership Costs/Acre
$219.78
$304.03
Estimated Total Costs/Acre
$611.78
$831.15
Income over Operating Costs/Acre
$107.45
$157.39
Income over Total Costs/Acre
-$112.28
-$146.65
Operating costs/bushel
$2.90
$2.85
Ownership costs/bushel
$1.63
$1.64
Total costs/bushel
$4.53
$4.49
Missouri Soybean Facts
Five-year average annual value of Missouri soybean production between 2010 and 2014a $2,476,185,600 http://crops.missouri.edu/audit/soybean.htm
One Bushel of Soybean Produces:
1.5 gallons of soy oil AND
48 pounds of soybean meal, which supplies 21 pounds of protein animal feed.
Industrial uses of soybean are inks, plastics, solvents and biodiesel.
2015 Soybean Crop Budget
Soybeans
Yield/ac. 45 bu.
Market Price/Bu. $9.00
Estimated Income/Acre
Crop income(yield x price/bushel) $405.00
Estimated Total Income/Acre $405.00
Estimated Operating Costs/Acre
Seed $68.00
Fertilizer and soil amendments 55.10
Crop chemicals 51.00
Crop supplies, testing 1.00
Crop insurance 12.00
Custom application 6.00
Machinery fuel 16.22
Machinery repairs and maintenance 12.30
Value of operator and hired labor 13.47
Operating interest @ 6% for ½ year 7.05
Total Operating Costs/Acre $242.13
Estimated Ownership Costs/ Acre
Farm business overhead $5.10
Machinery overhead 18.35
Machinery depreciation 23.33
Real estate charge 160.00
Total Ownership Costs/Acre $206.78
Estimated Total Costs/Acre $448.92
Income over Operating Cost/Acre $162.87
Income over Total Costs/Acre -$43.92
Operating costs/bushel $5.38
Ownership costs/bushel $4.60
Total costs/bushel $9.98
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