Cost survey by FecoAgro/RS estimates that rising prices will encourage an increase in area for cultivation in Rio Grande do Sul.
With the increase in the price of wheat at 21.7%, the producer may have an option for income from the crop in this harvest in Rio Grande do Sul. The assessment is from the Federation of Agricultural Cooperatives of the State of Rio Grande do Sul (FecoAgro/RS) . The entity released the first survey of farming costs for the period, conducted by economist Tarcísio Minetto. With this projection, the production required to cover the cost will be 14.4% lower compared to the previous period.
The total cost of wheat in Rio Grande do Sul should reach R$ 3,282.38 per hectare. Therefore, the producer will need to harvest 65 bags to cover the total cost under these conditions. The disbursement or variable cost was R$ 2,408.64, with a projection of 48.17 bags to cover costs. This means a slight increase in the total cost of wheat of 4.19% and 3.71% in disbursement, compared to the last study of the 2019 harvest. Without remuneration for the land factor, the cost is R$ 2,944.32 per hectare.
In the study's assessment, this is considered a much better cost ratio than recent harvests. “The data shows that we clearly have a favorable and favorable time for wheat planting. If we look at the history of the last 20 years, we have one of the best moments for planting, mainly based on the rise in the dollar, which influenced the price and the inputs, even with the increase, did not all rise in the same proportion”, highlights the president of FecoAgro /RS, Paulo Pires.
According to the director, this refers to a significant increase in the wheat area, which could reach more than 20%. “We will have the possibility of profitability in addition to the fact that the producer is aware that he needs a winter crop to protect the soil and also have the possibility of income since there was no such income in soybeans”, he observes.
Source: agrolink
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