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Brazilian Soybean price…how is it determined?
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Kooiker
Posted 11/19/2025 11:08 (#11439933 - in reply to #11439814)
Subject: RE: Brazilian Soybean price…how is it determined?



w1891 - 11/19/2025 09:24  Everyone wants to point to regulation or seed cost. Its not direct production costs that make them more competitive https://farmdocdaily.illinois.edu/2023/11/comparing-direct-costs-of-... It's the big budget items and how efficiently they are used. Imagine if your land payment or rent cost was cut in half, how much of a lower selling price would make you profitable. Also imagine you were able to run 50% more acres with similar equipment you currently have just due to field size efficiency and weather.



I've been saying this for years to the crowd that thinks seed tech fee is why they can produce beans cheaper.   The ~$20/acre tech fee DOESN'T MATTER in the grand scheme.       That's only ~$.35/bushel.       Their big advantage is their land cost is much much less than ours.    That is the problem.


Its also the 1 thing that farmers collectively have some control over but collectively choose to keep digging our own graves by always wanting to farm MORE ACRES regardless of profitability.     Then piss and moan begging the govt for a hand out to bail us (again speaking collectively) out of our own bad decisions.



Also, who on earth is spending $80/acre on soybean seed and WHY????     There's a lot of meat and fat on that bone to trim off.

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