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This report provides detailed cost estimates and margin forecasts for corn and soybeans for the year 2012, based on various yield scenarios. The information includes break-even prices, cost per bushel, labor, machinery, land, and crop input costs for both crops when following corn or soybeans. This analysis helps farmers and agricultural economists evaluate the profitability and financial management of crop production in Iowa.
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2012 Cost Estimates: Corn following Corn Low Yield Medium Yield High Yield $888 $816 $738 Break Even $5.10 / bu. $4.94 / bu. $4.80 / bu. Source: Duffy, ISU Extension Economics, Dec. 2011
2012 Cost Estimates: Corn following Soybeans Low Yield Medium Yield High Yield $834 $762 $686 Break Even $4.29 / bu. $4.23 / bu. $4.17 / bu. Source: Duffy, ISU Extension Economics, Dec. 2011
2012 Cost Estimates: Soybeans following Corn Low Yield Medium Yield High Yield $592 $546 $498 Break Even $11.07 / bu. $10.92 / bu. $10.77 / bu. Source: Duffy, ISU Extension Economics, Dec. 2011
2012 Margin Estimate: Corn following Corn $889 $816 Labor $33 Machinery $108 Crop Value $866 = 165 bu/A X $5.25/bu Land $258 Inputs $417 $73 Direct Pmt. $23 Average Yield 165 bu/A Cost per bushel $4.94 / bu Source: Duffy & Hart ISU Extension Economics, Dec. 2011
2012 Margin Estimate: Corn following Soybeans $968 $762 Labor $30 Crop Value $945 = 180 bu/A X $5.25/bu Machinery $101 Land $258 $206 Inputs $373 Direct Pmt. $23 Average Yield 180 bu/A Cost per bushel $4.23 / bu Source: Duffy & Hart ISU Extension Economics, Dec. 2011
2012 Margin Estimate: Soybeans following Corn $573 $546 Labor $26 Machinery $81 Crop Value $550 = 50 bu/A X $11/bu Land $258 Inputs $181 $27 Direct Pmt. $23 Average Yield 50 bu/A Cost per bushel $10.92 / bu Source: Duffy & Hart ISU Extension Economics, Dec. 2011
Corn - Return to Land & Management Trends $613 $438 $400 $327 $159 * - Estimated Source: ISU Ext. Econ. Costs, Iowa Yields, & WASDE Nat’l Prices, Dec. 2011
2012 Margin Forecast: Corn following Corn $889 Crop Value $866 = 165 X $5.25/bu $558 Labor $33 Machinery $108 $331 Crop Inputs $417 Direct Pmt. $23 Source: Duffy & Hart ISU Extension Economics, Dec. 2011
2012 Margin Forecast: Corn following Soybeans $968 Crop Value $945 = 180 bu/A X $5.25/bu $504 $464 Labor $30 Machinery $101 Crop Inputs $373 Direct Pmt. $23 Source: Duffy & Hart ISU Extension Economics, Dec. 2011
Soybeans - Return to Land & Management Trends $343 $337 $333 $257 $203 * - Estimated Source: ISU Ext. Econ. Costs, Iowa Yields, & WASDE Nat’l Prices, Dec. 2011
2012 Margin Forecast: Soybeans following Corn $573 Crop Value $550 = 50 bu/A X $11/bu $290 $283 Labor $29 Machinery $80 Crop Inputs $181 Direct Pmt. $23 Source: Duffy & Hart ISU Extension Economics, Dec. 2011
Iowa Land Value & Cash Rental Rate Trends Source: Duffy & Edwards ISU Extension Economics, Dec 2011