2024/2025 ICB: Dryland soybean and maize in Eastern Free State

2024/2025 SUMMER CROPS  //  Income and Cost Budgets

Eastern Free State – dryland

Income and cost budgets for maize, soybeans, sunflower and dry beans for Eastern Free State
Crop Maize Soybeans Sunflower Dry beans
Production system Dryland

1. Income

Yield: deterministic Ton/ha 5.50 2.00 1.80 1.50
SAFEX simulated price / producer price: 2025 R/ton 3 798 7 520 8 180 22 693
Total deductions R/ton 488 333 400 564
– Transport differential R/ton 403 204 298
– Grade differential R/ton 19
– Handling and commission R/ton 66 69 102 564
– Seed breeding and technology levy R/ton 60
Price premiums R/ton
Net farm gate price R/ton 3 310 7 187 7 781 22 128
Gross income R/ha R18 207 R14 373 R14 005 R33 192

2. Variable expenditures

Contracting R/ha 1 410
Crop insurance R/ha 655 1 610 602 2 323
Fertilizer R/ha 3 848 1 590 1 545 3 073
Lime R/ha 741 630
Seed R/ha 2 248 1 700 930 4 839
Fuel R/ha 1 461 1 154 1 105 940
Herbicide R/ha 1 118 1 127 985 825
Insecticide / Fungicides R/ha 718 250 345 2 798
Marketing costs R/ha
Repairs and maintenance R/ha 1 081 850 864 815
Casual labour R/ha 263 2 200
Aerial spray R/ha
Other expenditure R/ha 125
Total variable expenditure R/ha R12 135 R8 281 R6 377 R19 979
Total variable expenditure R/ton R2 206 R4 141 R3 543 R13 319
3.1 Gross margin R/ha R6 072 R6 092 R7 629 R13 214
3.2 Gross margin R/ton R1 104 R3 046 R4 238 R8 809
Break-even yield T/ha 3.67 1.15 0.82 0.90
Break-even price R/ton R2 206 R4 141 R3 543 R13 319
Source: BFAP, GSA, VKB and individual farmers – 2024.
Gross margin comparison – baseline: Eastern Free State
Figure 2.3: Gross margin comparison – Baseline: Eastern Free State

Gross margin per hectare: Eastern Free State

Maize sensitivity analysis
Yield (t/ha)
Producers price 4.00 4.50 5.00 5.50 6.00 6.50 7.00
R2 910 -493 962 2 417 3 872 5 328 6 783 8 238
R3 010 -93 1 412 2 917 4 422 5 928 7 433 8 938
R3 110 307 1 862 3 417 4 972 6 528 8 083 9 638
R3 210 707 2 312 3 917 5 522 7 128 8 733 10 338
R3 310 1 107 2 762 4 417 6 072 7 728 9 383 11 038
R3 410 1 507 3 212 4 917 6 622 8 328 10 033 11 738
R3 510 1 907 3 662 5 417 7 172 8 928 10 683 12 438
R3 610 2 307 4 112 5 917 7 722 9 528 11 333 13 138
R3 710 2 707 4 562 6 417 8 272 10 128 11 983 13 838
Soybeans sensitivity analysis
Yield (t/ha)
Producers price 1.25 1.50 1.75 2.00 2.25 2.50 2.75
R6 787 202 1 899 3 595 5 292 6 989 8 685 10 382
R6 887 327 2 049 3 770 5 492 7 214 8 935 10 657
R6 987 452 2 199 3 945 5 692 7 439 9 185 10 932
R7 087 577 2 349 4 120 5 892 7 664 9 435 11 207
R7 187 702 2 499 4 295 6 092 7 889 9 685 11 482
R7 287 827 2 649 4 470 6 292 8 114 9 935 11 757
R7 387 952 2 799 4 645 6 492 8 339 10 185 12 032
R7 487 1 077 2 949 4 820 6 692 8 564 10 435 12 307
R7 587 1 202 3 099 4 995 6 892 8 789 10 685 12 582
Sunflower sensitivity analysis
Yield (t/ha)
Producers price 1.00 1.25 1.50 1.80 2.00 2.25 2.50
R7 381 1 004 2 849 4 694 6 909 8 385 10 230 12 075
R7 481 1 104 2 974 4 844 7 089 8 585 10 455 12 325
R7 581 1 204 3 099 4 995 7 269 8 785 10 680 12 575
R7 681 1 304 3 224 5 144 7 449 8 985 10 905 12 825
R7 781 1 404 3 349 5 294 7 629 9 185 11 130 13 075
R7 881 1 504 3 474 5 444 7 809 9 385 11 355 13 325
R7 981 1 604 3 599 5 594 7 989 9 585 11 580 13 575
R8 081 1 704 3 724 5 744 8 169 9 875 11 805 13 825
R8 181 1 804 3 849 5 894 8 349 9 985 12 030 14 075
Soybeans margin above/below maize
Yield Price (R/ton)
R6 887 R6 987 R7 087 R7 187 R7 287 R7 387 R7 487
1.00 -7 467 -7 367 -7 267 -7 167 -7 067 -6 967 -6 867
1.25 -5 745 -5 620 -5 495 -5 370 -5 245 -5 120 -4 995
1.50 -4 024 -3 874 -3 724 -3 574 -3 424 -3 274 -3 124
1.75 -2 302 -2 127 -1 952 -1 777 -1 602 -1 427 -1 252
2.00 -580 -380 -180 20 220 420 620
2.25 1 141 1 366 1 591 1 816 2 041 2 266 2 491
2.50 2 863 3 113 3 363 3 613 3 863 4 113 4 363
2.75 4 584 4 859 5 134 5 409 5 684 5 959 6 234
3.00 6 309 6 606 6 906 7 206 7 506 7 806 8 106

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.
  • Other macro- and microelements such as calcium, magnesium and zinc are included in the fertiliser costs.
  • 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