A combination of poor harvests, low world stocks and increasing demand from developing countries has put the issue of feed costs high on the agenda for beef producers.

Delivered prices of feed wheat are 97% higher than a year ago, while feed barley is up 77%. So what can farmers do to counteract those rises?

1. Buying

The first thing is to buy well. It is always worthwhile shopping around to find the most competitive prices for feed. Not only will producers be able to identify the range of prices on offer in the market, but it can also help with negotiations involving a preferred supplier.

Compounds and blends often have different nutritional compositions from different suppliers, so it can be difficult to make direct comparisons. However, some simple calculations will help to make a good decision. It is a false economy to buy cheap feed of poorer nutritional quality than required, as performance and overall margins will suffer.

2. Nutrition

Work out what requirements are needed for the class of stock on the farm and buy feed to suit. Energy is the main nutrient finishers should be looking for - an energy level of 12MJ/kgDM or higher and a minimum of 12%CP in the diet is required to ensure the energy is used efficiently.

Store or growing cattle need a medium energy supply of about 10.5MJ/kgDM and 14-16%CP. This will promote skeletal growth to provide a good frame for putting meat on during the finishing period. Failure to grow cattle on a steady plane of nutrition will inevitably result in loss of finished deadweight.

Suckler cows, depending on breed and size, have an energy requirement of 65-95MJ/ME a day for maintenance. Additional energy will be required if they are in calf or milking. Ideally, a minimum of 10-12%CP should be offered to ensure energy is used efficiently and dung does not get too stiff. If in doubt, seek a nutritionist's advice.

3. Cost comparison

The best way to ensure value for money is to look at feed costs in terms of the relative values of energy and protein they supply, such as comparing two or more feeds by dividing the dry-matter cost by the amount of energy supplied or the protein content (see table).

Looking at comparisons in the table, biscuit meal works out to provide the cheapest supply of energy in pence a megajoule and is also good value for protein. The nutritional analysis of feeds and their price may be different to those in this table, so always check before purchase.

4. Additional charges

Look at feed prices carefully to make sure additional charges for delivery or buying small quantities are taken into account. Buying in bags, for example, compared to buying in bulk can increase costs by £25-35/t. Consider teaming up with neighbours or local farmers to buy large quantities.

5. Buying in advance

Buying stock forward, where storage facilities and cash flow allow, can ensure there is room for price negotiation when it comes to replenishing stock. Buying at the last minute limits the producer's options and will inevitably increase the overall feeding cost for animals. If forward buying is too late for this year, put it in place for next year, watch market trends to get the best value for money.