In the second of two articles, potato storage specialist Adrian Cunnington of Potato Storage Insight (PSI) homes in on how to compile an accurate cost estimate. This follows on from identification of the wide range of factors that can affect storage costs and efficiency that he outlined in an earlier article.
Ultimately all of those things are dependent on the basic cost of running a storage set-up, Adrian says, and it is important to have a really good grasp of what those costs are.
“There is perhaps no time in the history of modern potato storage as we know it when costs have been so pressurised,” he says.
Adrian points out that costs for even a modest processing store could now be exceeding £50 (GBP) per tonne per season.
“So there needs to be clarity and transparency for all in the supply chain; there are no prizes for burying heads in the sand. Here we give you some guidance on what to take account of when it comes to accurately costing your storage…”
Running costs – Electricity
This is the big cost, Adrian says.
“It always has been, but now – for many people – it has just doubled. This probably warrants a complete re-think on how the store is operated but, for the time being, it is important to first focus on the basics.”
‘The basics’ means getting a dedicated meter fitted to each store. Then it is possible to know if you’re using 0.2 kWh/tonne/day or 0.5 kWh/t/d. This is a typical range of use for a refrigerated store. But, on a rate of £0.40 per kilowatt hour in a 1000 tonne store, that’s a difference of £120 per day, £840 per week or potentially over £25,000 per season…
Read more of this article by Adrian Cunnington by subscribing to Synopsis at www.potatostorageinsight.com
Source: Potato Storage Insight (PSI)
Photo: Credit and courtesy Adrian Cunnington / WLS