Comparing Direct Costs of Soybean Production in the United States and Brazil
The direct costs of soybean production in the Brazilian State of Mato Grosso have increased at a similar rate to those in Illinois since 2016. Direct input costs in Brazil reached record levels for the 2022/2023 crop season and are projected to decline for the 2023/2024 crop season. Overall, the direct costs to produce soybeans have been higher in Mato Grosso than in Illinois. Today’s article compares trends in the direct costs of soybean production in major production regions of Brazil and the United States, the world’s largest soybean producers and exporters.
The Rising Costs of Soybean Production in Illinois
Since 2000, the direct costs associated with soybean production in central Illinois have increased at an average annual rate of 5.4%. The costs associated with primary inputs have grown at average annual rates slightly above the total direct cost average, while other direct costs have increased at average annual rates slightly below the direct cost average.
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