|
Whiskey, Tango, Foxtrot | Yes, there was an article in the WSJ about that a while back. I could dig up a link if your interested. Article stated it costs about $25/ton from port of Long Beach to China. Now keep in mind that most of that hay is going to come from Imperial Valley, which is probably at least a $25 haul to the port. Shows you how cheap ocean freight is when it costs more to truck it 100 miles to the port than the boat ride halfway around the world.
Long Beach is cheaper than most of the ports we ship out of. Hay from here either goes south and out of Oakland or Stockton, or north and out of Portland or Tacoma. Either way, it is at least a $45 haul by truck from here to the press where it is compressed and loaded into the containers. Even with those ports being higher, I know it doesn't costs $45 to get to a Pacific Rim country. Most of our hay goes to the Pacific Rim, but Saudi, UAE and Yemen are all becoming pretty big players for high end alfalfa.
My grass hay doesn't go export though, I've heard of some being exported but I only have one small field. Been sending the orchardgrass to a feedstore supplier in San Diego. Which in my mind makes as much sense as sending it to China. Heck, it might be cheaper there. Hay, $250 ton FOB my stack. +$100 freight, +commission to the broker+markup at the retail end... it is about $400 ton there. Or about $20 per bale, and they are light 100lb bales for that deal. Another reason I don't like raising grass, making and handling those light bales. Much prefer doing alfalfa and it is a little stronger market as well. | |
|
Why do you always get the call...
