In the opinion of specialists of the Center for Strategic Agricultural Studies, the Sumy National Agricultural University, profitability of winter rapeseed growing in Ukraine may reach 83%, while that of sunseed cultivation is expected at 79%, the Center’s director Oleksandr Maslak stated.
“According to calculations for winter rapeseed growing, total farmer costs will reach UAH 15,000/ha. With a yield of 2.5 MT/ha, production cost will be almost UAH 6,000/MT. With a product selling price of UAH 11,000/MT, the profit will reach UAH 12,500/ha and margins consequently hit 83%,” the expert pointed out.
The scientists forecast somewhat lower profitability of sunseed growing.
“The total cost of sunseed growing by conventional cultivation practices will average UAH 14,000/ha. With a yield of 2.5 MT/ha, the production cost will be UAH 5,600/MT. With a product selling price of UAH 10,000/MT, the profit will be UAH 11,000/ha that will provide for margins at 79%,” Oleksandr Maslak explained.
As a reminder, oilseeds were the most profitable crops to grow in 2016. So, margins of sunseed were at 61.9%, while those of soybeans and rapeseed were at 51.8% and 45%, respectively. (UkrAgroConsult/Business World Magazine)