Costs drive up silage wrap prices
Published 01/06/2010 | 05:00
Prices for silage wrap have risen by €3-4 per roll since last year on the back of higher raw material costs.
Quotes for silage wrap range from €73 to €79 per roll this year, with many manufacturers predicting pressure on supplies from mid-June onwards.
Prices for raw material polymer on the international market have risen by approximately €6-10/roll since the 2009 silage harvest, with most of this increase happening since February.
However, the cost of silage wrap to the farmer has not increased by the same level due to the year-round manufacturing processes.
A roll of 750mm black Silotite plastic from Irish Polythene Industries is expected to retail at €77 per roll this year, including VAT and the IFFPG levy for disposal.
This is €3 per roll higher than the same time last year, but there will be discounts available for cash and large volume customers, according to Sean O'Connor of Irish Polythene Industries.
The company's most popular silage cover, 60ft x 120ft, will retail at €135. Mr O'Connor warned that stocks of plastic were lower than usual at all levels from manufacturer to distributor and retailer.
"We are getting orders for 2-3 pallets from customers who would normally keep stocks of 20-30 pallets," he said. "Everyone is keeping tighter control on stock supplies because of the credit situation."