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Offering nutrient management services requires a fair amount of investment — whether it be in additional staff, training, specific software or simply more time per customer. But more ag retailers are finding their nutrient management investments are paying off in the form of greater customer loyalty and early knowledge of nutrient systems that may be mandated by state or federal government in the future.
In 2008, for example, all parties that are responsible for applying nutrients in the state of Wisconsin are expected to have nutrient management plans in place, says Don Schmidt, agronomy production specialist, agronomy compliance and regulations contact, AgVentures LLC, Coleman, WI.
AgVentures was formed four years ago, when Mid-County Cooperative and BayLakes LLC merged their agronomic divisions. In addition to the Coleman locations, AgVentures has dealerships in Oconto Falls and Shawano, WI, and a total of 20 employees.
Offering nutrient management planning is just one of the full-service dealership's many services to growers in an eight-county area of northeast Wisconsin. AgVentures also provides services to one county in the Upper Peninsula of Michigan.
AgVentures uses a nutrient management planning program that was created by the University of Wisconsin Extension Service. It takes into account the area's dairy and crop farming focus. About 90% of the dealership's customers raise dairy cattle in addition to growing crops, including corn, alfalfa and soybeans.
Cost-sharing program
Many of the dealership's customers have taken advantage of a cost-sharing program offered by the USDA Natural Resources Conservation Service (NRCS) and the state. To be eligible for cost sharing of manure storage facilities, a farmer must meet certain performance standards. All cropped fields, for example, must meet the tolerable soil erosion rate for those fields. Wisconsin's Department of Natural Resources (DNR) reports that soil loss is estimated according to the Revised Universal Soil Loss Equation II or an appropriate wind loss equation.
In addition, all new, substantially altered or abandoned manure storage facilities must be constructed, maintained or abandoned in accordance with accepted standards.
Runoff from fields and buildings must be diverted away from contacting feedlots, manure storage areas and barnyards located within 300 ft. of a stream, 1,000 ft. of a lake, areas susceptible to groundwater contamination or areas above private wells.
Finally, parties responsible for applying nutrients to agricultural fields are to do so in accordance with a nutrient management plan.
With the cost-sharing program, participating farmers receive a certain amount per acre, which generally covers their soil sampling costs and part of the nutrient management plan, Schmidt says.
AgVentures offers intensive soil sampling (samples are taken every five acres to get a good determination of the field's needs) and manure sampling. It has invested in mapping software and laptops for all of its agronomists so that they can more easily show customers variability within each field and how fertilizer applications (whether they are manure-based or commercial fertilizer-based) can be fine-tuned according to each field's needs.
Many customers also take advantage of AgVentures' record-keeping system, which helps them know exactly what is being applied to the field.
“We've invested a lot of time in getting to know the rules, training our people and educating growers,” says Schmidt, adding that every state's rules regarding runoff pollution will be different. His staff has communicated more with agency personnel (from the NRCS and DNR, for example).
Schmidt suggests that the investment in time is worth the return in customer loyalty. “The more you're invested with customers — helping them make the right management decisions — the less likely you're going to lose them to price shopping,” he says. “You also learn more about their fields and this makes it easier to make recommendations.”
Schmidt notes that these customers are likely to buy other products (for example, fertilizer, seed, crop protection) from his company. He also points out that when commodity prices are down and input prices are up, nutrient management services can help maintain some margin.
The nutrient management service has benefited the dealership in another way. Schmidt notes that the company has hired a couple of extra people in the winter to help write the nutrient management plans and can continue to keep them working into the spring busy season.
Software developers and suppliers 2005
AGRIS Corporation 800/795-7995; Fax: 770/238-5205 E-mail: info@agris.com; sales@agris.com Web site: www.agris.com What's new: AgroGuide is an agronomy
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