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Pinpointing storage costs

Publication Date: 
19 April 2016

Pinpointing storage costs

Want to compare what your crops cost you off-field compared to ex-store; to model storage costs for future investments; or to assess the impact of grant funding and renewable energy? Then the AHDB Storage Cost Calculator  the tool for you.

“One of the benefits of the Storage Cost Calculator, is being able to understand the potentially hidden costs of storage, such as the increase in losses (weight loss and out-grades) due to longer term storage,” says Nick Blake of Andersons East.   

“The calculator provides this in a useful graphical form which allows growers to account for this in their overall analysis of storage cost." 

Optimum timing of sale

“Combining this with the other key variable costs, such as electricity, growers can analyse the optimum timing of sale, rather than rely on industry data. This has motivated a number of growers to measure their own losses and electricity usage store by store." 

Individual store performance

“Costs vary enormously between stores. The benefit has been even more apparent where performance from similar stores is compared, highlighting potential faults,” adds Nick.

“The simple to use, new, Excel-based Storage Cost Calculator enables you to assess your costs, either against comparative industry costs or by manually uploading your own specific costs,” says Phil Bradshaw, AHDB Potatoes, Knowledge Exchange Manager. "The model allows for different store and control configurations."

 - Box & Bulk
 - Ambient & Refrigerated
 - Short term v. long term

“For stored free-buy stocks you can evaluate the current ex-farm price against the price you need to achieve to cover storage costs if  opting to deliver later in the season,” adds Phil.

 

“A key feature is to be able to model graphically the build-up of cost from intake to delivery, growers can evaluate how their forecast selling price will compare against their storage cost structure. The model highlights the impact of weight and grade-out losses,” says Phil.

 

 

 

 

For further information about the Storage Cost Calculator contact Phil Bradshaw: phil.bradshaw@ahdb.org.uk 07778492274

AHDB Sutton Bridge Crop Storage Research [potatoes.ahdb.org.uk/storage] offers advice on all Potato Storage issues and investments; Call the Storage Advice Line on our free phone number 0800  0282 111

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