By Greg Booth
The fresh summer smell of alfalfa may become sweeter
and greener to Midwest growers if a production, processing and marketing
plan takes root.
The Alfalfa New Products Initiative, or ANPI, a
five-state group of farmers, university ag departments and AURI, is studying both market
feasibility and processing technology for alfalfa products.
Traditionally grown as feed for dairy cows and other
livestock, alfalfa has wide-ranging market potential as electricity-generating fuel, paper
fiber, food supplements and as a source of enzymes for manufacturing plastics.
Three ANPI states rank in the nations top ten
producers, including Minnesota, which ranks seventh in total hay production. In 1997,
Minnesota produced 4.9 million tons, estimated to be worth nearly $492 million.
First check: markets
Minnesota, North Dakota and Michigan have provided
funding for an initial market study, and the project is seeking more, from federal as well
as state sources, to complete the study by summer.
For all the alfalfa grown in the five-state area,
relatively little is now processed beyond the hay stage. Alfalfa growers constantly battle
problems such as rain, a short harvest window and plummeting feed values. Technology
some of it as much as 30 years old would solve some of these problems, but
most processes require substantial investments in machinery or processing facilities.
Rudy Radke of the North Dakota State University
Extension Service believes thats where set-ups such as grower cooperatives and joint
ventures can step in. An ANPI board member, Radke says the marketing study will determine
if grower groups could expand high-value cropping in the Upper Midwest, including building
a processing plant. We feel that probably a facility can be utilized in more than
one state. Processing might even lead to joint ventures between growers and feed
companies, he suggests.
Quality is key
Alfalfa hasnt been known to be a
high-quality operation in Minnesota and North Dakota, Radke says. Right now,
theres kind of a glut of alfalfa production on hand, so the price is
low.
The way to turn that around, he says, is to
concentrate on quality. One (ANPI) board member shoots for high quality hay. He
treats it as a cash crop. He targets his harvest. He (sells) right now at $75 to $85 a ton
across the board, even when hay prices are low. (Buyers) like his quality, uniformity and
dependability ... It gets to be a thought pattern.
Radke says that thought pattern focusing on and
marketing consistent, quality alfalfa is the idea behind the five-state initiative.
The biggest part of the story is that were looking at a premium product, not
run-of-the-mill pelleting or haying.
We need to find out if the dairyman is
interested in a product that would give him one bale or 10 truckloads of bales at the same
quality. We think thats worth something. But were talking about the product
itself being very uniform, regardless of the grower ... If the economics dont agree
with that for the buyer, then its not a project.
Consistent product can be accomplished through
cooperatives, Radke says. Working much like custom harvesters of other cash crops,
cooperatives can harvest large acreages in a short time, lessening worry about the
weather. A French cooperative ANPI has investigated harvests all member-growers
crops in a green chop before the alfalfa bloom stage, even during a rain.
Thats a plus in the Midwest, Radke says, where rain, cash crop
priorities and livestock demands often put haying at the bottom of the farmers
priority list.
Other developing technologies might allow growers to
do some alfalfa drying in the field. Conrad Fingerson and Donald Eickhoff, owners of
Heartland Forage Inc. in Wykoff, Minn., are waiting for a patent on an in-field dryer.
Its a major development as far as forage projects are concerned, says
Fingerson. Hopefully, well solve our rotting crops problem.
One eye on France
There is also technology available for doing some
first stages of wet fractionation in the field, Radke says. That would add shelf life to
the forage portion of the crop, while at the same time saving on transportation costs
because of the decrease in bulk.
The markets are pretty wide, adds Radke,
for the myriad of products that can be squeezed from alfalfa. He cites the French
cooperative, which offers some 30 products, including dry alfalfa bales, granular
products, powder, pellets, cubes and liquids.
The market study will also show if our markets
will entertain the wet fractionation process. Wet fractionation, used successfully
in France, squeezes the juice from freshly cut alfalfa. Rich in proteins, vitamins,
minerals and enzymes, the juice can be marketed as feed or food-grade supplements.
Radke says grower groups could have market information
they need by the end of the summer. If its a positive return, we could be
looking at doing something next fall, possibly with a joint venture with the French.
Some Midwest cooperatives are already marketing
alfalfa in alternative ways. Minnesota Valley Alfalfa Producers in Granite Falls, for
example, produces pelleted alfalfa meal and is developing a market for alfalfa as an
electricity-generating fuel.

see also: Making hay pay