With corn planting already underway in much of the country and the core region, grain prices remain very low. At the same time, the cost in quintals per hectare of crops has increased, despite the drop in the price of inputs. The margins in the core region show a worrying scenario for all crops and in particular for premium soybeans.
“In leased fields, which represent close to 70% of production, in prime soybeans, at least 35 qq/ha are needed to cover costs and up to more than 40 qq/ha for higher rental values,” warns Martín Principiano, agricultural engineer with recognized experience in Pergamino and the area.
Faced with this reality, producers adjust as much as possible to what was planned and advisors juggle to respect that logical decision but, at the same time, achieve management that does not harm crop performance.
Red numbers
“Within a total cost of implementation and protection in first class soybeans of 300 USD/ha for average management in the region, the cost of herbicides alone represents on average values of 110 to 130 USD/ha, to which we must add the cost of spraying, with which an investment of between 4 and 5 qq/ha of soybeans would have to be calculated,” describes the professional.
And the issue is even more complicated with the cultivation of corn, given that the cost of implantation and protection of early corn is 550 to 600 USD/ha in average terms for the region, which is equivalent to 55/60 qq/ha in own field and 85/90 in rented field.
How do you arrive at these values? Principiano explains that “in addition to the cost of herbicides, which can represent 6 to 8 qq: in corn, there are two very important costs, one is the seed, which can vary from 130 to 230 USD/there is the other, fertilization, which represents a cost of 200 at 220 USD/ha”,
Turning to wheat, according to Principiano “in round numbers the producer requires 33 to 35 qq/ha in his own field and 43 qq/ha in rented fields to cover costs, while fertilization represents 10 to 12 qq/ha. Finally , in second-grade soybeans, “in own fields 11 to 12 qq/ha are necessary while in rented fields it rises from 18 to 23 qq/ha.
Strong annual drop
Compared to a year ago, the drop in the profitability of premium soybeans in their own fields is 150 u$s/ha. In rented fields, the drop is smaller, the loss is 30 u$s/ha. This collapse is mainly due to the negative evolution of the price of the oilseed in recent months, reflected in the price at harvest (May 2025), which stands at 279 u$s/tn, compared to 332 u$s/tn. from a year ago. Corn in own fields also falls: the difference between the margins (today vs. a year ago) is 30 u$s/tn. Cereal is also quoted for April 2025 at 170 u$s/tn while a year ago it was at 180 u$s/tn.
From the analysis it is clear that the low margins force management and strategies to be adjusted, even more so in obviously rented fields, which makes the number even more risky, given that the rental market has been fully defined for several months now and there is no way to go back, even though the context has changed.
As can be seen, the results will not depend only on agronomic management, but also on how prices move until the 2025 harvest and fundamentally on what happens in climate matters.
