Publication 60—Organic - Grain Corn and Soybeans*

Organic - Grain Corn and Soybeans*

Operating Expenses
(costs based on projected yield of 2.67 tonne/acre (105 bu/acre) Grain Corn; 0.82 tonne/acre (30 bu/acre) Soybeans)		 Grain Corn
Sample Costs/Acre		 Soybeans
Sample Costs/Acre		 Your Farm Budget

Seed - Grain corn - 30,000 kernels, certified, organic;

Soybeans - 180,000 seeds/acre certified, organic in 21-30 in. rows
75.45
63.35
  
Seed Inoculant
 
2.00
  
Fertilizer - Manure, compost**
100.00
 
  
Herbicide
   
  
  
Insecticide
  
  
  
Fungicide
      
Soil maintenance (cover crop, fallow etc.)**
50.00
50.00
  
Tractor and Machine Expenses - Fuel (28 L corn, 26 L soybeans) and lubricants
33.65
30.40
  
Tractor and Machine Expenses - Repairs and Maintenance
20.15
24.70
  
Marketing fees ($0.40/tonnne(corn), $1.10/tonne (soybeans))
1.05
.90
  
Certification fees
3.00
3.00
  
Crop insurance
16.45
20.45
  
Custom work
       
Added expense for handling organic crops
      
Trucking ($9.06/tonne corn, $8.35/tonne soybeans)
24.25
7.45
  
Drying ($19.73/tonne corn, $11.17/tonne soybeans)
52.65
9.10
  
Storage ($2.06/tonne/month x 4 months)
22.00
6.75
  
Land rent
 
 
  
Operator labour (self or hired)
20.75
19.65
  
Labour - hand weed
40.00
60.00
  
Interest on operating
9.20
5.95
  
Total Operating Expenses
468.60
303.70
  

Revenue Your Farm Budget
Expected yield _______________
  
Expected price _______________
  
Total Market Revenue (Yield x Price)
 
Program payment
 
Total Revenue
  
Gross Margin (Revenue - Operating Expenses)
  

Overhead Expenses Grain Corn
Sample Costs/Acre

Soybeans
Sample Costa/Acre

 Your Farm Budget
Machinery - Depreciation
36.45
46.10
  
Machinery - Interest on investment
17.60
23.75
  
Land
     
Other overhead
11.80
17.85
  
Total Expenses
534.45
391.40
  
Breakeven price on your farm is: (total expenses/expected yield)
  

*Organic budget estimates do not include transition period costs.
** Manure, compost and cover crop estimates are highly variable depending on individual farm situations.


For more information:
Toll Free: 1-877-424-1300
Local: (519) 826-4047
E-mail: ag.info.omafra@ontario.ca
Author: John Molenhuis - Business Analysis and Cost of Production Program Lead/OMAFRA
Creation Date: 14 December 2010
Last Reviewed: 12 December 2012