Record-high manure prices drive up Dutch farmers' costs

Dutch dairy and pig farmers have seen their manure disposal costs rise significantly in recent months. The weekly liquid manure collection fees, compiled by DCA Market Intelligence for the past 14 years, have recently reached record levels. As a result, pig farmers alone are paying an average of 70% to 75% more this year to dispose of manure compared to 2022. The manure disposal costs for dairy farms have more than doubled (+101%) compared to the 2022 average.

DCA Market Intelligence, as a Price Reporting Agency (PRA), provides the food and agribusiness sectors with independent benchmark prices, market data, and market information. DCA has been reporting manure collection fees for cow, pig, and chicken manure since 2010. These fees are the amounts that pig and dairy farmers must pay to have their manure collected by buyers, such as arable farms, biogas plants, processors, and exporters. For pig and dairy farmers, these costs have risen sharply since the summer of 2023. 

As of week 40 this year, the DCA collection fee for pig farms averages €32.99 per cubic meter of manure, compared to the 2022 average of €19.13 per cubic meter. For cattle manure, the DCA fee for week 40 stands at €30.55 per cubic meter, compared to €15.07 in 2022. For a typical pig and dairy farm in the Netherlands (approximately 2,200 pigs and 100 dairy cows) without sufficient manure application space, this translates to total costs of €70,000 to €80,000 per year. Many dairy farms, however, incur lower costs as they can apply manure on their own or leased grassland.

Due to revised European manure regulations (with the derogation being phased out), manure application space in The Netherlands is more limited this year than last, as nitrogen limits on grassland have been lowered and buffer zones around fields have been expanded. Heavy rainfall in the spring further exacerbated pressure on the manure market, as less manure could be applied to grassland or arable land than usual. This backlog has only been partially addressed. 

Manure regulations are expected to tighten further next year, reducing application space even more. In a debate in the Dutch Parliament this week, NSC MP Harm Holman indicated that from 2025, farmers may struggle to dispose of 600,000 truckloads of manure annually. Assuming a truck capacity of 35 cubic meters and an average manure price of €31.67 per cubic meter for pig and cattle slurry, this amounts to manure worth over €665 million. 

Statistically, DCA’s prices for pig and cattle manure tend to rise slightly in the fall, meaning collection fees may increase further. Given the unusual price trends this year, it is hard for DCA Market Intelligence to make specific forecasts. 

DCA Market Intelligence also tracks chicken manure collection fees. In contrast, chicken manure collection fees have decreased in recent years, with DCA prices ranging from €4 to €6.50 per cubic meter in week 40 of this year. This is partly due to the unique composition of chicken manure and the fact that much of the poultry sector processes its manure into renewable energy or converts it into products such as fertilizer pellets.