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U of IL says corn seed costs won’t decline

The cost of corn seed is not expected to go down next year. A report by ag economists at the University of Illinois says the cost is highly related to the number of acres of corn in the world which are still relatively high, “We saw some of that come down a bit in 2017, a slight decline, but not much of one. Twenty-17 corn acres in the world are actually the second highest. So, that would suggest that the demand is there for seed and we wouldn’t expect many declines.”

Farm management professor Gary Schnitkey gives Illinois as an example, “We hit our high in central Illinois for (corn) seed costs per acre of $120 per acre in 2014 and that declined by $2.00 to $118 in 2016.”

As for soybean seed costs, Schnitkey doesn’t expect them to decline either. He tells Brownfield growers CAN expect fertilizer costs to remain well below the highs of 2014 with a projected cost of $130 for 2017. And, he says machinery depreciation might come down as well.

 

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