OPDT   OIL & PROTEIN SEEDS DEVELOPMENT TRUST
OAC   OILSEEDS ADVISORY COMMITTEE

OPDT
OIL & PROTEIN SEEDS DEVELOPMENT TRUST

OAC
OILSEEDS ADVISORY COMMITTEE

2022/2023 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: 2023 R/ton 4 442 8 836 4 986 4 442 8 836
Total deductions R/ton 357 252 63 412 279
– Transport differential R/ton 279 138 – 334 165
– Grade differential R/ton 18 – – 18 –
– Handling and commission R/ton 60 59 63 60 59
– Seed breeding and technology levy R/ton – 55 – – 55
Price premiums R/ton – – – – –
Net farm gate price R/ton 4 086 8 584 4 923 4 031 8 557
Gross income R/ha R26 559 R21 460 R22 154 R24 186 R17 114

2. Variable expenditures
Contracting R/ha – – – – –
Crop insurance R/ha 1 009 1 760 665 919 1 403
Fertilizer R/ha 7 157 2 335 4 208 6 827 2 114
Lime R/ha 655 – 655 655 –
Seed R/ha 2 918 1 204 700 2 594 1 103
Fuel R/ha 1 568 836 1 290 1 335 809
Herbicide R/ha 1 462 1 610 1 326 1 567 1 562
Insecticide / Fungicides R/ha 1 011 443 716 1 011 421
Marketing costs R/ha – – – – –
Repairs and maintenance R/ha 777 660 723 773 654
Casual labour R/ha 287 – 102 265 –
Aerial spray R/ha – – – – –
Other expenditure R/ha – – – – –
Total variable expenditure R/ha R16 843 R8 846 R10 384 R15 946 R8 067
Total variable expenditure R/ton R2 591 R3 538 R2 308 R2 658 R4 034
3.1 Gross margin R/ha R9 715 R12 614 R11 770 R8 240 R9 047
3.2 Gross margin R/ton R1 495 R5 045 R2 616 R1 373 R4 523
Break-even yield T/ha 4.12 1.03 2.11 3.96 0.94
Break-even price R/ton R2 591 R3 538 R2 308 R2 658 R4 034
Source: BFAP, GSA and individual farmers – 2022.
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
R3 686 1 586 3 429 5 272 7 115 8 958 10 801 12 644
R3 786 2 086 3 979 5 872 7 765 9 658 11 551 13 444
R3 886 2 586 4 529 6 472 8 415 10 358 12 301 14 244
R3 986 3 086 5 079 7 072 9 065 11 058 13 051 15 044
R4 086 3 586 5 629 7 672 9 715 11 758 13 801 15 844
R4 186 4 086 6 179 8 272 10 365 12 458 14 551 16 644
R4 286 4 586 6 729 8 872 11 015 13 158 15 301 17 444
R4 386 5 086 7 279 9 472 11 665 13 858 16 051 18 244
R4 486 5 586 7 829 10 072 12 315 14 558 16 801 19 044
Soybeans sensitivity analysis: Middelburg / Trichardt
Yield (t/ha)
Producers price 1.75 2.00 2.25 2.50 2.75 3.00 3.25
R8 184 5 476 7 522 9 568 11 614 13 660 15 706 17 751
R8 284 5 651 7 722 9 793 11 864 13 935 16 006 18 076
R8 384 5 826 7 922 10 018 12 114 14 210 16 306 18 401
R8 484 6 001 8 122 10 243 12 364 14 485 16 606 18 726
R8 584 6 176 8 322 10 468 12 614 14 760 16 906 19 051
R8 684 6 351 8 522 10 693 12 864 15 035 17 206 19 376
R8 784 6 526 8 722 10 918 13 114 15 310 17 506 19 701
R8 884 6 701 8 922 11 143 13 364 15 585 17 806 20 026
R8 984 6 876 9 122 11 368 13 614 15 860 18 106 20 351
Maize sensitivity analysis: Ermelo
Yield (t/ha)
Producers price 4.50 5.00 5.50 6.00 6.50 7.00 7.50
R3 631 393 2 209 4 024 5 840 7 655 9 471 11 286
R3 731 843 2 709 4 574 6 440 8 305 10 171 12 036
R3 831 1 293 3 209 5 124 7 040 8 955 10 871 12 786
R3 931 1 743 3 709 5 674 7 640 9 605 11 571 13 536
R4 031 2 193 4 209 6 224 8 240 10 255 12 271 14 286
R4 131 2 643 4 709 6 774 8 840 10 905 12 971 15 036
R4 231 3 093 5 209 7 324 9 440 11 555 13 671 15 786
R4 331 3 543 5 709 7 874 10 040 12 205 14 371 16 536
R4 431 3 993 6 209 8 424 10 640 12 855 15 071 17 286
Soybeans sensitivity analysis: Ermelo
Yield (t/ha)
Producers price 1.25 1.50 1.75 2.00 2.25 2.50 2.75
R8 157 2 129 4 168 6 207 8 247 10 286 12 325 14 364
R8 257 2 254 4 318 6 382 8 447 10 511 12 575 14 639
R8 357 2 379 4 468 6 557 8 647 10 736 12 825 14 914
R8 457 2 504 4 618 6 732 8 847 10 961 13 075 15 189
R8 557 2 629 4 768 6 907 9 047 11 186 13 325 15 464
R8 657 2 754 4 918 7 082 9 247 11 411 13 575 15 739
R8 757 2 879 5 068 7 257 9 447 11 636 13 825 16 014
R8 857 3 004 5 218 7 432 9 647 11 861 14 075 16 289
R8 957 3 129 5 368 7 607 9 847 12 086 14 325 16 564
Soybeans margin above/below maize: Middelburg / Trichardt
Yield Price (R/ton)
R8 284 R8 384 R8 484 R8 584 R8 684 R8 784 R8 884
1.50 -6 136 -5 986 -5 836 -5 686 -5 536 -5 386 -5 236
1.75 -4 065 -3 890 -3 715 -3 540 -3 365 -3 190 -3 015
2.00 -1 994 -1 794 -1 594 -1 394 -1 194 -994 -794
2.25 77 302 527 752 977 1 202 1 427
2.50 2 148 2 398 2 648 2 898 3 148 3 398 3 648
2.75 4 219 4 494 4 769 5 044 5 319 5 594 5 869
3.00 6 290 6 590 6 890 7 190 7 490 7 790 8 090
3.25 8 361 8 686 9 011 9 336 9 661 9 986 10 311
3.50 10 432 10 782 11 132 11 482 11 832 12 182 12 532
Soybeans margin above/below maize: Ermelo
Yield Price (R/ton)
R8 257 R8 357 R8 457 R8 557 R8 657 R8 757 R8 857
1.00 -8 050 -7 950 -7 850 -7 750 -7 650 -7 550 -7 450
1.25 -5 986 -5 861 -5 736 -5 611 -5 486 -5 361 -5 236
1.50 -3 922 -3 772 -3 622 -3 472 -3 322 -3 172 -3 022
1.75 -1 857 -1 682 -1 507 -1 332 -1 157 -982 -807
2.00 207 407 607 807 1 007 1 207 1 407
2.25 2 271 2 496 2 721 2 946 3 171 3 396 3 621
2.50 4 335 4 585 4 835 5 085 5 335 5 585 5 835
2.75 6 400 6 675 6 950 7 225 7 500 7 775 8 050
3.00 8 464 8 764 9 064 9 364 9 664 9 964 10 264

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.
  • Fertiliser assumptions (kg/ha): Maize (Middelburg/Trichard) N:P:K – 120:21:30. Soybeans (Middelburg/Trichard) N:P:K – 10:14:20. Grain sorghum N:P:K – 85:10:11. Maize (Ermelo) N:P:K – 111:21:30. Soybeans (Ermelo) N:P:K – 10:12:18.
  • 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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