News

Trucking wheat straw for dairy farms gaining popularity

Wheat straw from western states has become more popular with Midwest Dairy farmers.

Tom and Stephanie Borgen from North Dakota supply straw for Pacific Ag.  They say long-term price stability, availability, quality, and reasonable shipping costs make wheat straw very attractive to dairy producers.

Tom Borgen tells Brownfield freight has changed dramatically in the last five to 10 years.  They can ship from North Dakota to Wisconsin, about 800 miles, and keep it cost-effective for producers.  “When you look at logistics, if we have a dedicated lane from a specific trucking company, we can do better.  If we use dry vans, which there are more dry vans on the road today than flatbed trailers, we can significantly reduce the cost of freight.”  Borgen says for some large dairy producers, it’s in the best interest for both the buyer and seller, even if he supplies the loading dock.

Stephanie Borgen says their business model includes storage sheds in different parts of the country, and the ability for buyers to lock-in a price.  “They can lock in a favorable price, and we’re going to honor that as long as they want us to, and that really resonates with other dairy farms, where they are closely watching their expenses and they don’t want to be at the mercy of market fluctuation.”

The Borgen’s say wheat straw is being used for both dairy rations and bedding, but many producers can’t grow enough of their own.  The couple works with local growers to put up about 60-thousand bales at their North Dakota supply shed.

The Borgen’s spoke with Brownfield’s Larry Lee at the 2016 World Dairy Expo in Madison, WI.