2024/2025 ICB: Dryland soybean and maize in Mpumalanga
2024/2025 SUMMER CROPS  //  Income and Cost Budgets

Mpumalanga – dryland

Income and cost budgets for maize, soybeans and grain sorghum for Mpumalanga
Middelburg / Trichardt Ermelo
Crop Maize Soybeans Grain sorghum Maize Soybeans
Production system Dryland

1. Income
Yield: deterministic Ton/ha 6.50 2.50 4.50 6.00 2.00
SAFEX simulated price / producer price: 2025 R/ton 3 798 7 520 5 324 3 798 7 520
Total deductions R/ton 417 192 69 482 278
– Transport differential R/ton 332 67 – 397 153
– Grade differential R/ton 19 – – 19 –
– Handling and commission R/ton 66 65 69 66 65
– Seed breeding and technology levy R/ton – 60 – – 60
Price premiums R/ton – – – – –
Net farm gate price R/ton 3 381 7 328 5 255 3 316 7 242
Gross income R/ha R21 979 R18 320 R23 646 R19 898 R14 484

2. Variable expenditures
Contracting R/ha – – – – –
Crop insurance R/ha 835 1 502 709 756 1 188
Fertilizer R/ha 4 753 1 532 2 827 4 532 1 389
Lime R/ha 786 – 786 786 –
Seed R/ha 3 614 1 700 906 3 212 1 579
Fuel R/ha 1 400 862 1 331 1 378 835
Herbicide R/ha 987 1 279 1 537 987 1 236
Insecticide / Fungicides R/ha 703 811 595 703 811
Marketing costs R/ha – – – – –
Repairs and maintenance R/ha 960 733 760 862 731
Casual labour R/ha 311 – 107 287 –
Aerial spray R/ha – – – – –
Other expenditure R/ha – – – – –
Total variable expenditure R/ha R14 350 R8 419 R9 560 R13 503 R7 768
Total variable expenditure R/ton R2 208 R3 367 R2 124 R2 251 R3 884
3.1 Gross margin R/ha R7 629 R9 901 R14 087 R6 395 R6 716
3.2 Gross margin R/ton R1 174 R3 960 R3 130 R1 066 R3 358
Break-even yield T/ha 4.24 1.15 1.82 4.07 1.07
Break-even price R/ton R2 208 R3 367 R2 124 R2 251 R3 884
Source: BFAP, GSA and individual farmers – 2024.
Gross margin comparison – baseline: Mpumalanga
Gross margin comparison - Baseline: Mpumalanga

Gross margin per hectare: Mpumalanga

Maize sensitivity analysis: Middelburg / Trichardt
Yield (t/ha)
Producers price 5.00 5.50 6.00 6.50 7.00 7.50 8.00
R2 981 557 2 047 3 538 5 029 6 519 8 010 9 501
R3 081 1 057 2 597 4 138 5 679 7 219 8 760 10 301
R3 181 1 557 3 147 4 738 6 329 7 919 9 510 11 101
R3 281 2 057 3 697 5 338 6 979 8 619 10 260 11 901
R3 381 2 557 4 247 5 938 7 629 9 319 11 010 12 701
R3 481 3 057 4 797 6 538 8 279 10 019 11 760 13 501
R3 581 3 557 5 347 7 138 8 929 10 719 12 510 14 301
R3 681 4 057 5 897 7 738 9 579 11 419 13 260 15 101
R3 781 4 557 6 447 8 338 10 229 12 119 14 010 15 901
Soybeans sensitivity analysis: Middelburg / Trichardt
Yield (t/ha)
Producers price 1.75 2.00 2.25 2.50 2.75 3.00 3.25
R6 928 3 705 5 437 7 169 8 901 10 633 12 365 14 097
R7 028 3 880 5 637 7 394 9 151 10 908 12 665 14 422
R7 128 4 055 5 837 7 619 9 401 11 183 12 965 14 747
R7 228 4 230 6 037 7 844 9 651 11 458 13 265 15 072
R7 328 4 405 6 237 8 069 9 901 11 733 13 565 15 397
R7 428 4 580 6 437 8 294 10 151 12 008 13 865 15 722
R7 528 4 755 6 637 8 519 10 401 12 283 14 165 16 047
R7 628 4 930 6 837 8 744 10 651 12 558 14 465 16 372
R7 728 5 105 7 037 8 969 10 901 12 833 14 765 16 697
Maize sensitivity analysis: Ermelo
Yield (t/ha)
Producers price 4.50 5.00 5.50 6.00 6.50 7.00 7.50
R2 916 -380 1 079 2 537 3 995 5 453 6 911 8 369
R3 016 70 1 576 3 087 4 595 6 103 7 611 9 119
R3 116 520 2 079 3 637 5 195 6 753 8 311 9 869
R3 216 970 2 579 4 187 5 795 7 403 9 011 10 619
R3 316 1 420 3 079 4 737 6 395 8 053 9 711 11 369
R3 416 1 870 3 579 5 287 6 995 8 703 10 411 12 119
R3 516 2 320 4 079 5 837 7 595 9 353 11 111 12 869
R3 616 2 770 4 579 6 387 8 195 10 003 11 811 13 619
R3 716 3 220 5 079 6 937 8 795 10 653 12 511 14 369
Soybeans sensitivity analysis: Ermelo
Yield (t/ha)
Producers price 1.25 1.50 1.75 2.00 2.25 2.50 2.75
R6 842 784 2 495 4 205 5 916 7 626 9 337 11 047
R6 942 909 2 645 4 380 6 116 7 851 9 587 11 322
R7 042 1 034 2 795 4 555 6 316 8 076 9 837 11 597
R7 142 1 159 2 945 4 730 6 516 8 301 10 087 11 872
R7 242 1 284 3 095 4 905 6 716 8 526 10 337 12 147
R7 342 1 409 3 245 5 080 6 916 8 751 10 587 12 422
R7 442 1 534 3 395 5 255 7 116 8 976 10 837 12 697
R7 542 1 659 3 545 5 430 7 316 9 201 11 087 12 972
R7 642 1 784 3 695 5 605 7 516 9 426 11 337 13 247
Soybeans margin above/below maize: Middelburg / Trichardt
Yield Price (R/ton)
R7 028 R7 128 R7 228 R7 328 R7 428 R7 528 R7 628
1.50 -5 506 -5 356 -5 206 -5 056 -4 906 -4 756 -4 606
1.75 -3 749 -3 574 -3 399 -3 224 -3 049 -2 874 -2 699
2.00 -1 992 -1 792 -1 592 -1 392 -1 192 -992 -792
2.25 -235 -10 215 440 665 890 1 115
2.50 1 522 1 772 2 022 2 272 2 522 2 772 3 022
2.75 3 279 3 554 3 829 4 104 4 379 4 654 4 929
3.00 5 036 5 336 5 636 5 936 6 236 6 536 6 836
3.25 6 793 7 118 7 443 7 768 8 093 8 418 8 743
3.50 8 550 8 900 9 250 9 600 9 950 10 300 10 650
Soybeans margin above/below maize: Ermelo
Yield Price (R/ton)
R6 942 R7 042 R7 142 R7 242 R7 342 R7 442 R7 542
1.00 -7 221 -7 121 -7 021 -6 921 -6 821 -6 721 -6 621
1.25 -5 485 -5 360 -5 235 -5 110 -4 985 -4 860 -4 735
1.50 -3 750 -3 600 -3 450 -3 300 -3 150 -3 000 -2 850
1.75 -2 014 -1 839 -1 664 -1 489 -1 314 -1 139 -964
2.00 -279 -79 121 321 521 721 921
2.25 1 456 1 681 1 906 2 131 2 356 2 581 2 806
2.50 3 192 3 442 3 692 3 942 4 192 4 442 4 692
2.75 4 927 5 202 5 477 5 752 6 027 6 302 6 577
3.00 6 663 6 963 7 263 7 563 7 863 8 163 8 463

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.
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