In the current low-price environment, it is becoming increasingly important for farmers to take steps to ensure they are profitable this growing season and in the years ahead. Gary Schnitkey, Ph.D., professor and farm management specialist at the University of Illinois, discusses where growers need to cut costs in their operations and describes the differences between more and less profitable farms.
During the past few years soybeans have been more profitable than corn for a few reasons:
Costs went up more for corn than for soybeans
Prices came down, and lower relative prices favor soybeans more than corn
Projections for this year:
Soybeans will be more profitable compared to corn in Northern and Southern Illinois
Corn will be slightly more profitable over soybeans in central Illinois
The most profitable farms have lower costs and higher yields
Given the current markets and prices, farmers need to decrease costs to make a profit
1 CEU in Crop Management is available for this webinar. Visit the Certified Crop Adviser website to self-report your credit after viewing the webinar recording.
The Illinois Soybean Association (ISA) checkoff and membership programs represent more than 43,000 soybean farmers in Illinois. The checkoff funds market development and utilization efforts while the membership program supports the government relations interests of Illinois soybean farmers at the local, state, and national level, through the Illinois Soybean Growers (ISG). ISA upholds the interests of Illinois soybean producers through promotion, advocacy, and education with the vision of becoming a market leader in sustainable soybean production and profitability.