is part of the Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

  • American Agriculturist
  • Beef Producer
  • Corn and Soybean Digest
  • Dakota Farmer
  • Delta Farm Press
  • Farm Futures
  • Farm Industry news
  • Indiana Prairie Farmer
  • Kansas Farmer
  • Michigan Farmer
  • Missouri Ruralist
  • Nebraska Farmer
  • Ohio Farmer
  • Prairie Farmer
  • Southeast Farm Press
  • Southwest Farm Press
  • The Farmer
  • Wallaces Farmer
  • Western Farm Press
  • Western Farmer Stockman
  • Wisconsin Agriculturist
Corn+Soybean Digest

Energy's Only Part Of Rising Costs

Rising grain production costs are attributable to more than what goes into your tractor's gas tank, says Gary Schnitkey, University of Illinois Extension farm management specialist.

Of the $50 increase in per-acre costs between 2003 and 2005, less than half are directly attributable to rising energy prices, he says, based on a recent study.

For northern Illinois grain farms, per-acre financial costs have increased from $349/acre in 2003 to $399/acre in 2005, an increase of $50/acre.

“Of the $50 increase, energy-related items account for $22/acre, or 44%, of the cost increase. Fertilizer is the leading cost increase category, with a $16/acre increase between 2003 and 2005. Fuel and oil costs increased by $6/acre during that time,” says Schnitkey.

Schnitkey co-authored the study with colleague Dale Lattz called “Cost Increases: It's Not Just Energy.” You can access the full report at www.farmdoc.uiuc.edu/manage/newsletters/fefo06_11/fefo06_11.html.

Hide comments

Comments

  • Allowed HTML tags: <em> <strong> <blockquote> <br> <p>

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.
Publish