Income & Cost Budgets / 2017/2018 / Soybean Maize Sunflower / Icb 2017 Kwazulu Natal Dryland

2017/2018 Income and Cost Budgets

KwaZulu-Natal – dryland

Income and cost budgets for maize and soybeans for KwaZulu-Natal (Bloedrivier region)
KwaZulu-Natal: Bloedrivier
Crop Maize Soybeans
Production system Dryland

1. Income

Yield: deterministic Ton/ha 6.50 2.25
SAFEX simulated price: 2018 R/ton 2 208 5 221
Total deductions R/ton 369 59
– Transport differential R/ton 309
– Grade differential R/ton
– Marketing and handling R/ton 60 59
Price premiums R/ton
Net farm gate price R/ton 1 839 5 162
Gross income R/ha R11 954 R11 614

2. Variable expenditures

Contracting R/ha
Crop insurance R/ha 454 1 417
Fertilizer R/ha 3 556 1 833
Lime R/ha 425
Seed R/ha 2 668 1 142
Fuel R/ha 770 431
Herbicide R/ha 916 771
Insecticide R/ha 38 225
Fungicides R/ha 560
Marketing costs R/ha
Repairs and maintenance R/ha 639 419
Casual labour R/ha 231
Aerial spray R/ha
Other expenditure R/ha
Total variable expenditure R/ha R10 256 R6 237
Total variable expenditure R/ton R1 578 R2 772
3.1 Gross margin R/ha R1 698 R5 377
3.2 Gross margin R/ton R261 R2 390
Source: BFAP, GSA and individual farmers – 2017.
Gross margin comparison – baseline: KwaZulu-Natal (Bloedrivier region)
Gross margin comparison baseline: KwaZulu-Natal (Bloedrivier)

Gross margin per hectare: KwaZulu-Natal (Bloedrivier)

Soybeans sensitivity analysis
Yield (t/ha)
Producers price 1.50 1.75 2.00 2.25 2.50 2.75 3.00
R4 250 138 1 200 2 263 3 325 4 388 5 450 6 513
R4 500 513 1 638 2 763 3 888 5 013 6 138 7 263
R4 750 888 2 075 3 263 4 450 5 638 6 825 8 013
R5 000 1 263 2 513 3 763 5 013 6 263 7 513 8 763
R5 162 1 506 2 796 4 087 5 377 6 668 7 958 9 249
R5 500 2 013 3 388 4 763 6 138 7 513 8 888 10 263
R5 750 2 388 3 825 5 263 6 700 8 138 9 575 11 013
R6 000 2 763 4 263 5 763 7 263 8 763 10 263 11 763
R6 250 3 138 4 700 6 263 7 825 9 388 10 950 12 513
Soybeans margin above/below maize
Yield Price (R/ton)
R4 500 R4 750 R5 000 R5 162 R5 500 R5 750 R6 000
1.25 -2 310 -1 998 -1 685 -1 483 -1 060 -748 -435
1.50 -1 185 -810 -435 -192 315 690 1 065
1.75 -60 377 815 1 098 1 690 2 127 2 565
2.00 1 065 1 565 2 065 2 389 3 065 3 565 4 065
2.25 2 190 2 752 3 315 3 679 4 440 5 002 5 565
2.50 3 315 3 940 4 565 4 970 5 815 6 440 7 065
2.75 4 440 5 127 5 815 6 260 7 190 7 877 8 565
3.00 5 565 6 315 7 065 7 551 8 565 9 315 10 065
3.25 6 690 7 502 8 315 8 841 9 940 10 752 11 565

Notes

  • The cost items reflect the input allocation based on the target yield for the respective crops.
  • Although some expenditure items are zero, it is reflected in the budgets to allow for individual inclusion.
  • The cost of fuel includes pre-harvest and harvesting costs with the assumption that own machinery is used.
  • The cost for soybean seed reflects a combination of own and purchased seed.
  • There will be large fluctuations for insurance cost (hail) based on the associated risk in respective areas. It is advised that producers adjust this cost based on their individual premiums.
  • It is important to note that overhead costs are not included and should be accounted for.
Subscribe: receive ICBs via e-mail