Retail Products

Ohio Co-Op Uses Fleet Tracking to Manage Fuel Prices, Customer Expectations And Efficiency

Wed, 18 May 2022 19:41:07 GMT

Centerra Co-op, based in Ashland, Ohio, will use DispatchTrack to optimize route planning and truck usage and provide customers with more visibility into their order deliveries. This is DispatchTrack’s first agricultural customer, but as Satish Natarajan, DispatchTrack co-founder and CEO, explains, his team sees a lot of potential growth in this sector.

“Centerra Co-op initially contacted DispatchTrack to help optimize their truckloads which were running inefficiently based on the total volume of feed Centerra was delivering versus the total capacity of trucks,” he says. “The challenge Centerra was facing was two-fold: some trucks were going out with empty bins while in other cases, Centerra was having to rent trucks for deliveries. DispatchTrack was able to optimize truck usage by addressing these loading and volume issues ensuring that Centerra could maximize each truckload which eliminates the need to rent trucks or send out trucks at half capacity.”

The first use of the software will be for feed and fuel trucks with the additional sectors (grain and agronomy) coming online with the software later.

“For propane, Centerra was sending trucks to refill when the propane tanks were only half empty and they were looking for new efficiencies that would help reduce refill trips. DispatchTrack was able to help Centerra plan routes that allowed tanks to refill when they were two-thirds empty, resulting in fewer trips and real cost savings,” Natarajan says.

He adds full visibility into fleet tracking helps manage fuel costs, customer expectations, and sustainability.

“With fuel prices at an all-time high, fleets, particularly those with heavy trucks, must consider optimizing their capacity to minimize fuel costs. Customer expectations for real-time visibility and communication about deliveries are also at an all-time high,” Natarajan says.

Farm-style Shark Tank Pitches Five Agriculture Technologies

Thu, 14 Apr 2022 19:25:17 GMT

In hot-box style, five diverse farm technologies associated with AgLaunch —Salin 247, Susterre, Phinite, BovIQ, and Holganix—took center stage at Top Producer Summit in Nashville, Tenn., on Feb. 15.

Salin 247

Specializing in electric, lightweight farm machinery, Salin 247 , introduced a 4-row (30”) autonomous planter prototype. Dave Krog , CEO of Salin 247, says the company is building a comprehensive platform of crop production machines, and will expand to 6- and 8-row versions, capable of accommodating a boom or tank.

“These machines are small and cause no soil compaction at a weight of 1,400 lb.,” Krog describes. He says the electric machinery is capable of 24-7 field activity and offers a massive reduction in overall costs when multiple units feature on the same operation.

Susterre

In 2021, Susterre released an upgrade kit that adds ultra-high pressure water jet tech to no-till and traditional planters to cut through crop residue.

“It only uses about 10 gallons of water per acre and reduces planting costs by 10%...resulting in payback in two planting seasons,” says Michael Cully , CEO and cofounder of Susterre.

Overall, according to Cully, the ultra-high pressure water system offers a reduction in farming costs, expanded planting window, earlier germination, lower cost transition to no-till, and a solution for hairpinning.

Phinite

Regenerative fertilizer from animal waste is the domain of Phinite . Animal farms have nutrients and crops farms need nutrients: “Fertilizer is a $20 billion market in the U.S., and animal farms are capable of producing $5 billion worth of fertilizer per year,” says Phinite founder and CEO Jordan Phasey .

Phinite takes animal waste from lagoons puts the material into its heavily automated drying facilities, which transform the waste into a phosphorus-based, no-odor fertilizer that can be used by farmers.

“One application equals five years of regenerative practices,” Phasey contends.

BovIQ

Sixth-generation producer Christian Nielson introduced BovIQ, an app that keeps track of individual calf records and tells a precise story of how a calf was raised. Essentially, BovIQ provides direct evidence of the essential points of a calf’s history.

The app can provide $300 per cow-calf pair, Nielson says. “It tells a production story and makes your cattle and your land more valuable, through a grazing plan that matches supply and demand. The key benefits are healthier calves, higher prices, reduced risk of loss, and lower cost of hay.”

Holganix

Holganix manufactures and distributes microbial products intended to drive soil health, nutrient efficiency, and yield. “In 2020, we spent 18.6 billion on fertilizer—60% of that expenditure went to corn, soy, and wheat…50% of every dollar spent on fertilizer is not going to the plant,” says Barrett Ersek , CEO of Holganix.

The solution is Holganix , according to Ersek: “We have 800 species of soil microbes all working together in a systems approach. The result for a farmer is typically a 2x to 10x investment in the first year they use our product with a single application close to planting.”

Shelf stable for four weeks outside of refrigeration, Ersek says current Holganix use in corn and soybeans is expanding to cotton and rice. “The microbial technology hitting the market today, and the innovations around it are like the internet in 1999. There are really big things getting ready to happen.”

Read more coverage of the Top Producer Summit .

Your Path to Smart Farm Technology Investments

Mon, 03 May 2021 18:15:11 GMT

With higher commodity prices, you may be in the market to make an upgrade or new investment on your farm. Whether that’s iron, software, genetics, buildings, fertility or land, the first step is to calculate the payback. Will that expense offer you return on your investment?

“Many times, when farmers talk about making a change, emotions tend to take over the discussion,” says Shay Foulk, farm business consultant with Ag View Solutions and Illinois farmer. “However, there are ways you can put numbers to these decisions.”

Listen in as Foulk discusses technology investments with Andrew McCrea on the “ Farming the Countryside ” podcast:

Foulk suggests taking these steps as you evaluate technology investments:

1. Know your cost of production to the bushel.

“You can’t improve what you don’t measure,” Foulk says. “Knowing your cost of production is a very important decision-making tool.”

Dial in your cost of production down to pennies per each bushel you produce.

2. Ask key questions about the potential investment.

While you need to read the promotional information and research done by the companies providing the service or product you’re considering, do so with a realistic frame of mind, Foulk says. Your goal is to pinpoint the minimum benefit your farm needs to see to cover the costs and your time for the investment.

You want to avoid phrases such as, “I know this is going to add 5 bu. to our bottom line,” or “I think this product is going to give us an agronomic advantage.”

Foulk suggests evaluating these factors:

Grain Price: Projected price for the commodity you will be using to evaluate your margin enhancement.
Investment Cost Per Acre: How much will it cost to make this enhancement or upgrade?
Yield Improvement Per Acre: This is your best educated guess for yield improvement.
Acres: Across how many acres will you use this margin enhancement on?
Years of Use: How many years do you plan to use this margin enhancement?

3. Run scenarios to evaluate the ROI.

Once you have a handle on the potential benefits of an investment, run a few scenarios changing certain factors. For example, a fungicide application boasts a 4-bu.-per-acre yield jump. What if you only see half of that yield improvement? Is the investment still worth it?

Foulk uses an Ag View Solutions “Margin Enhancement Calculator” to help tweak variables and determine the bushels needed to cover a cost. See an example here.

To get a copy of this spreadsheet or to discuss this topic more, email Foulk at agronguy@gmail.com.

4. Evaluate the intangible benefits.

Of course, investments often provide benefits beyond yield or price. Maybe you can finish harvest faster with a certain investment. Or, by outsourcing spraying on your farm, you can focus on another important element of running your business. These intangible benefits are more difficult to manage.

“But I encourage you to attempt to put numbers to the question to make an informed decision,” Foulk says. “Being able to have number-oriented conversation with your team and family is really powerful.”

Real More
How Quick Is The Payback For A $150,000 Planter Expense?

Eli Lilly Attracts Interest for Animal Health Division

Fri, 20 Nov 2020 05:11:38 GMT

(Bloomberg) -- Eli Lilly & Co. has attracted interest from private equity firms including Bain Capital and Advent International Corp. for its animal-health business, as the pharmaceutical giant considers options for the ailing unit, people with knowledge of the matter said.

Carlyle Group LP may also consider bidding for Elanco, as the unit is known, said the people, who asked not to be identified as the matter isn’t public. Considerations are at an early stage and Lilly may choose to keep the business or pursue a spinoff, they said. Elanco could be valued at $14 billion to $16 billion, according to JPMorgan Chase & Co. estimates from December, when Lilly said it was weighing an initial public offering, sale or merger of the unit.

“We do not comment on market rumors or deal speculation,” said Mark Taylor, a spokesman for Indianapolis-based Lilly. “We are still reviewing strategic alternatives for our Elanco Animal Health business and expect to provide an update mid-year in connection with our Q2 financial results announcement.”

Representatives for Bain, Advent and Carlyle declined to comment.

Several health-care companies are examining options for their animal-health business as they seek to replicate the success of Zoetis Inc., whose shares have almost tripled in value since it separated from Pfizer Inc. in 2013. Henry Schein Inc., a Melville, New York-based medical supplier for doctors and dentists, said Monday that it will spin off its animal unit after combining it with closely held Vets First Choice.

On Tuesday, Lilly said that first-quarter sales at Elanco fell 1 percent year-over-year to $761 million, hit mainly by a decrease in sales to the livestock industry. The company’s products, including drugs that help cattle gain weight and dairy cows produce more milk, have been increasingly at odds with a U.S. consumer focus on organic and unaltered food.

The “clean food movement hit us,” Elanco President Jeff Simmons said in January.

Lilly has grown Elanco rapidly in recent years, striking at least 10 deals since 2007, including the $5.4 billion acquisition of Novartis AG’s animal-health unit in 2014.

In an interview with Bloomberg TV Tuesday, Lilly Chief Executive Officer Dave Ricks said the company is more focused on building its own pipeline through bolt-on acquisitions and partnerships than pursuing large-scale dealmaking.

“I wouldn’t be surprised to hear about more types of those combinations, that’s just not where we’re focused today,” Ricks said, discussing Takeda Pharmaceutical Co.’s potential $64 billion deal to buy Shire Plc.

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