Infocampo According to them, fertilize soy and corn costs up to 25% more expensive during the 2018-2019 campaign

In its agronomic report, the Córdoba cereal bag (BCCBA) he said that Fertilization of soybeans and corn has become 25% more expensive during the 2018/20 season because of the increase in the input / output ratio, despite the strengthening of the purchasing power of the main agricultural products compared to the previous year.

The study badyzed the quote for the available market in Rosario over the last year and observed that the prices of the main grains decreased from May due to a scenario of increased global supply, the trade war between the United States and China and the rise in the US interest rate, which reinforces the dollar and depresses agricultural prices.

"In this way, in the last six months, the price of soybeans and corn lost about 50 dollars and wheat, 75 USD. Relative to November 2017, declines are more moderate: soybeans lost $ 9 per tonne; corn, US $ 5 and sorghum, US $ 6. Wheat is the only crop whose price has increased by 20 USD over one year", Stressed the BCCBA.

In the case of wheat harvest, which is in full swing, the survey considers that the input / output ratio allows "to badyze the convenience of adapt a portion of production through the purchase of inputs, thus fixing part of the production costs and making it possible to trace the new campaign to obtain better economic results"

In this sense, he argued that the cereal was the most beneficial increase on average by 12% the purchasing power of inputs thanks to the increase in its price compared to the same date in 2017 and the decrease in marketing costs due to the rise in the exchange rate.

Meanwhile, the soy and the sorghum had a medium improvement in their purchasing power 4% and 5% respectively, while maize has benefited the least, with a 2.5% increase.

"Although the ratio of product inflows has decreased for all cereals, fertilizer (urea and phosphate), seeds and herbicides increased from 4% to 25% for all crops, partly offsetting the improvement in purchasing power. In particular, for maize and sorghum crops, up to 25% several quintals to acquire the same amount of diammonium phosphate and up to 10% more for urea. In soybean, the input-output ratio has increased almost 15% for phosphorus fertilizers, "detailed the Cordoba Stock Exchange.

Given this scenario, he pointed out that the situation "makes the decision more difficult in terms of fertilizer volumes to be applied to the 2018/19 summer crops", as inputs represent "direct costs". , which are expressed in dollars and whose price is it was little affected by changes in the exchange rate, causing agricultural producers have not directly benefited from the current level of the dollar"

"The net decrease in the input / output ratio is mainly due to a lower marketing costs, which are mainly valued in pesos and dollarizing their price, there is a decrease compared to the same period of the previous year ", adds the report.

He also referred to the recent imposition of Export rights and stated that the producer was in a "disadvantaged situation", he then badured "as the marketing costs are discounted, the product's entry ratio will start to deteriorate"

In short, for the BCCBA, producers who make a good crop of wheat are able to take advantage of the benefits which can delay the marketing of other products over time.