Cornhusker Economics July 8, 2020
2020 Nebraska Agricultural Custom Rates with Statewide Survey Summary

With the large investment cost of agricultural machinery and equipment, and often with the uncertainty of labor availability, many Nebraska farms and ranches utilize and pay for custom services. There is generally great interest in the biennial University of Nebraska-Lincoln Custom Rates Survey report from those that perform services and those that pay for services. The recently completed 2020 Nebraska Custom Rates Survey and accompanying report summarize current rates charged for specific machinery operations and custom services across the state.

The survey is distributed both by mail and electronically to Nebraska farm and ranch managers and agricultural service companies that have indicated that they have provided some type of custom machine, equipment rental, or service in the state and have charged for such services. Surveys include options for participants to report rates on 152 machine operations and custom services or rentals. There were 217 survey responses received and tabulated in the 2020 report. Rates were included in the full report when at least three or more survey respondents provided their current rates charged for machine hire operations or services. Rates include the cost of the machine, power unit, fuel, and labor unless otherwise stated. Custom contract farming, planting, fertilizer, and chemical application rates do not include material or input expenses. For baling, however, supplies such as wire or twine are included in the rates charged.

There is variability in the rates reported from across the state. Several factors contribute to rate differences reported, including field and job sizes, soil conditions, and the number of responses for the various operations. Some operators may charge lower than market rate prices to friends and relatives. Rates may change from year to year due to expense differences and local market forces.

Determining appropriate charges for custom machine hire and agricultural services may include consideration of various elements including current market rates as reported in the custom rates survey report, market demand in the area for specific types of custom work, and availability of services. In addition, machine owners and custom operators should consider their machine ownership and operating costs to adequately price custom rate services.

Determining appropriate charges for custom machine hire and agricultural services may include consideration of various elements including current market rates as reported in the custom rates survey report, market demand in the area for specific types of custom work, and availability of services. In addition, machine owners and custom operators should consider their machine ownership and operating costs to adequately price custom rate services.

Table 1 provides a summary of Nebraska averages, the most common reported rate, and the range of rates charged in Nebraska for the most popular machinery operations or those where rates were most reported on. The state summary includes rates where at least six or more responses were provided for the custom operation or service.

Custom rates change over time. As one might expect, in comparing a few popular custom hire rates from the survey report prepared in 2018, the 2020 rates are higher. Except for one tillage operation noted on the state summary, tillage operation rates were up from 7% to 13%. Planting and drilling rates appear to have increased approximately 7% to 10%, and harvesting rates range from 3% to 25% higher in 2020 from 2018. Rates for baling large round bales were higher, although only slightly from the 2018 rates.

Full summaries from the survey, including regional rates for the eight Nebraska Statistics Districts and the overall state, are published as a University of Nebraska-Lincoln Extension Circular (EC) 823 and available online at: farm.unl.edu/customrates. The information presented in the state summary and full report should be used only as a guide when figuring what to charge or pay for custom operations.

State Averages

Table 1

LAND TILLAGE OPERATIONS	Average Rate	Most Common	Range	Number Reporting
Disk Harrowing, Primary (heavy), rate per acre	16.33	15.00	8.00-35.00	68
Disk Harrowing, Finishing (light), rate per acre	14.82	15.00	8.00-33.00	64
Moldboard Plow, rate per acre	21.33	20.00	15.00-30.00	9
Harrowing, Spike or Spring Tooth, rate per acre	10.50	15.00	6.00-15.00	9
Chisel Plow for Primary Tillage, rate per acre	16.20	15.00	8.00-25.00	15
Deep Chisel, rate per acre	17.92	15.00	8.00-28.00	19
Subsoil or Rip, rate per acre	21.26	25.00	10.00-35.00	27
Field Cultivator, rate per acre	14.00	12.00	7.00-22.00	45
Vertical or Turbo Tillage, rate per acre	14.64	15.00	5.00-28.00	28
Combination Tillage Operations, Primary, rate per acre	18.43	15.00	8.00-40.00	14
Combination Tillage Operations, Finishing, rate per acre	15.92	15.00	8.50-30.00	19
Strip Tilling, rate per acre	19.00	15.00	12.00-33.00	15
Strip Tilling with Fertilizer Application, rate per acre	22.05	18.00	13.00-35.00	21
Stalk Shredder PTO Driven, rate per acre	13.21	12.00	8.00-20.00	14
Rolling Stalk Chopper Not PTO Driven, rate per acre	10.50	8.00	7.50-16.00	14

PLANTING AND POST PLANTING OPERATIONS	Average Rate	Most Common	Range	Number Reporting
DRILLING
Small Grains, conventional drill, rate per acre	14.58	15.00	7.50-22.00	25
Small Grains, no-till drill, rate per acre	18.86	18.00	12.00-35.00	60
Soybeans, conventional drill, rate per acre	18.50	18.00	15.00-23.00	12
Soybeans, no-till drill, rate per acre	19.78	20.00	12.00-35.00	53
PLANTING ROW CROPS
No coulters, with band applicator, rate per acre	20.54	18.00	12.50-34.00	34
No coulters, without band applicator, rate per acre	18.90	20.00	10.00-30.00	31
Coulters, with band applicator, rate per acre	21.12	20.00	12.00-34.00	40
Coulters, without band   applicator, rate per acre	20.03	20.00	12.00-40.00	32
Ridge planting, with band applicator, rate per acre	21.98	20.00	12.00-35.00	42
Ridge planting, without band applicator, rate per acre	20.05	20.00	14.00-43.00	33
Planting Dry Edible Beans, rate per acre	23.92	-	16.00-38.00	6
Seeding Grass   Seed, rate per acre	18.00	18.00	5.00-32.00	12
Seeding   Legumes, rate per acre	18.76	18.00	12.00-29.00	17
Seeding CRP   Ground, rate per acre	21.81	25.00	11.00-35.00	16
Planting Cover   Crops Drill, rate per acre	18.51	18.00	12.00-35.00	42
Planting Cover   Crops Broadcast, rate per acre	9.32	12.00	5.00-16.00	11
Cultivation Tillage, Rotary Hoe, rate per acre	9.46	10.00	5.00-25.00	13
Cultivation Tillage, conventional, rate per acre	13.31	12.00	7.50-25.00	21
Cultivation Tillage, handling residue, rate per acre	13.90	15.00	7.00-25.00	24
Cultivation Tillage, hill or ditch, rate per acre	13.18	10.00	6.50-25.00	24

HAYING AND BALING	Average Rate	Most Common	Range	Number Reporting
Mowing, rate per acre	14.29	15.00	10.00-20.00	24
Raking, per acre	6.93	5.00	2.00-15.00	41
Mowing and Raking when one rate quoted, rate per acre	19.41	20.00	5.00-29.00	17
Swathing with Crushing/Crimping, rate per hour	106.05	125.00	12-160	21
Swathing with Crushing/Crimping, rate per acre	15.69	15.00	5.00-35.00	54
Swathing without Crushing/Crimping, rate per acre	17.70	15.00	14.00-35.00	10
Raking Cornstalks, rate per acre	8.71	10.00	3.00-16.00	19
BALING
-Small Square Bales with Twine Tie, rate per bale	0.94	1.00	0.50-1.25	19
-Small Square Bales With Wire Tie, rate per bale	1.50	-	0.50-4.00	6
-Large Square Bales, rate per bale	14.38	16.00	10.00-16.00	8
-Large Round Bales Without Net Wrap, rate per bale	13.65	12.00	10.00-18.00	27
-Large Round Bales With Net Wrap, rate per bale	14.57	15.00	10.00-25.00	65
-Cornstalks Large Round   Bales with Net Wrap, rate per bale	16.37	15.00	11.00-20.00	26

SMALL GRAIN HARVEST	Average Rate	Most Common	Range	Number Reporting
Windrowing Grain Crops, per acre	12.17	-	10.00-15.00	6
Combining Small Grains, flat charge, no hauling, rate per acre	34.38	35.00	22.00-55.00	37
Hauling Small Grain to Local Storage, cents per bushel	0.13	0.15	0.05-0.24	29

APPLICATION OF FERTILIZER	Average Rate	Most Common	Range	Number Reporting
Dry Fertilizer Solid Broadcast, inc. labor applicator, rate per acre	6.66	7.50	3.00-10.00	25
Dry Fertilizer Solid Broadcast, applicator rent only, rate per acre	6.33	6.00	4.50-8.00	6
Dry Fertilizer Variable Rate, rate per acre	8.18	6.50	5.00-15.00	21
Liquid Fertilizer Solid, labor & applicator, rate per acre	8.74	7.00	3.00-22.00	32
Liquid Fertilizer Solid, applicator rent only, rate per acre	7.08	-	2.50-11.50	6
Liquid Fertilizer Variable, labor & applicator, rate per acre	10.65	10.00	5.00-20.00	21
Liquid Fertilizer Variable, applicator rent only, rate per acre	8.25	8.00	2.50-12.00	6
Anhydrous Ammonia, knife with coulters, rate per acre	16.16	15.00	7.50-25.00	38
Anhydrous Ammonia, applicator only, rate per acre	12.17	16.00	6.00-16.00	6

INSECT, DISEASE, AND WEED CONTROL	Average Rate	Most Common	Range	Number Reporting
Spraying Weed Control, boom or recirculating, rate per acre	7.03	8.00	5.00-8.00	17
Spraying Weed Control, self-propelled sprayer, rate per acre	7.53	7.00	4.00-16.00	55
Crop Spraying by Aircraft, rate per acre	8.72	9.00	2.50-15.00	10

HARVESTING GRAINS & SOYBEANS	Average Rate	Most Common	Range	Number Reporting
Combining Irrigated Corn, flat rate per acre	39.34	35.00	23.00-66.00	86
Combining   Irrigated Corn, flat rate per bushel	0.32	0.30	0.15-0.55	15
Combining   Dryland Corn, flat rate per acre	36.62	35.00	24.00-72.00	105
Combining Dryland Corn, flat rate per bushel	0.30	0.30	0.13-0.44	10
Combining High Moisture Corn, flat rate per acre	42.72	55.00	27.50-65.00	29
Combining Soybeans, flat rate per acre	37.29	35.00	22.00-70.00	114

HAULING OPERATIONS	Average Rate	Most Common	Range	Number Reporting
HAULING GRAIN
-From Combine with Tractor and Grain Cart, rate per acre	5.75	5.00	2.35-10.00	20
-From Combine with Tractor and Grain Cart, rate per bushel	0.09	0.06	0.01-0.24	7
-Grain Truck to Storage or Elevator, flat rate per bushel	0.12	0.12	0.05-0.25	57
-Grain (above 16 miles), additional charge per bushel	0.08	0.10	0.01-0.22	32
-Dry Edible Beans to Storage or Elevator, rate per bushel	0.10	0.15	0.05-0.15	10
HAULING HAY
Hauling Large Round Bales of Hay or Cornstalks (avg load 16.7   Tons), rate per load	90.83	-	35-200	6
Hauling Large Round Bales of Hay or Cornstalks (avg load 15.8   Tons), rate per loaded mile	5.00	4.00	1.00-10.00	11
Loading and Moving Large Rounds with Tractor, rate per bale	4.57	5.00	1.00-10.00	15
HAULING SILAGE
Hauling Silage from Field to Silo by Truck, rate per hour	92.14	100.00	45-100	7
Hauling Silage from Field to Silo by Truck, rate per ton	3.07	3.50	1.50-4.50	7
HAULING LIVESTOCK
Hauling Cattle by Semi-trailer Truck (avg load 52,143 lbs), rate per loaded mile	3.80	4.00	1.35-6.94	11
Hauling Cattle by Goose-Necked Trailer (avg load 15,250 lbs), rate per loaded mile	2.81	2.00	2.00-5.00	8

MAKING SILAGE AND EARLAGE	Average Rate	Most Common	Range	Number Reporting
Corn   Silage (field chopping, hauling, filling, packing), flat rate per ton	25.67	10.00	10-100	6
Corn Silage (field chopping and hauling), flat rate per ton	8.96	8.00	8.00-10.00	6

OTHER CUSTOM SERVICES	Average Rate	Most Common	Range	Number Reporting
Grain Bin Storage, no air or electric charge included, monthly rate per bushel	0.04	0.04	0.01-0.10	22
Grain Bin Storage, with air or electric charge included, monthly rate per bushel	0.04	0.02	0.01-0.10	23
Drying Grain, per point of moisture removed, rate per bushel	0.04	0.03	0.03-0.05	7
Elevating Grain (on farm), rate per bushel	0.05	0.05	0.02-0.12	11
Treating Soybean Seed Grain (inc. cost of chemical treatment, rate per bushel	12.21	11.00	10.00-15.00	6
Checking Pivots During Irrigation Season, rate per hour	23.33	-	10.00-40.00	6
Checking Pivots During Irrigation Season, rate per acre	10.13	10.00	2.00-20.00	16
Closing Pivot   Tracks, rate per hour	65.82	50.00	9-125	11
Closing Pivot Tracks, rate per pivot	171.36	100.00	60-500	11
Mowing Grass Pasture or CRP, rate per acre	27.17	25.00	8.00-75.00	6
Skid Steer Loader Rent, rate per hour	59.00	55.00	35.00-85.00	10
Clearing Cedar Trees, rate per metered hour	94.69	100.00	20-200	16
Trenching, rate per foot	1.80	2.00	0.80-3.00	6
Loading and Spreading Solid Manure, rate per hour	150.00	-	50-250	6

The 2020 Nebraska Custom Rates Report EC823 with additional rate details for each Nebraska Agricultural Statistics District, may be downloaded at: farm.unl.edu/customrates.