Is it still worth planting soybeans in Brazil? 

This is one of the world's top export products, but is it still worth it? planting soybeans in Brazil?

We constantly hear about the impacts caused by this type of planting on the soil, in addition to criticism related to the low sales value of the bags produced.

For this reason, today we will talk about soybeans, in order to understand whether it is worth investing in this type of production here in the country. To find out, continue reading!

What are the costs of planting soybeans in Brazil?

Especially for those who are starting out in the agricultural sector, it is common for doubts to arise about production.

This is because the choice of seeds to be planted directly impacts production and sales costs, that is, the producer's profit.

Speaking specifically about soybeans, many consider this grain easy to produce, although it requires specific care with the soil.

In any case, soybean seeds cost approximately R$200 per hectare, but this may vary depending on the maturity and quality of the seed.

In addition, the producer will have to worry about the costs of pesticides and antifungals, since soybean plants often suffer from attacks, and this cost is around R$1,800 per hectare.

Finally, the labor force in production varies greatly, but is around R$ 350 per hectare per production cycle of the plant.

For this reason, The basic costs of planting soybeans in Brazil are around R$1,350 per hectare. 

Remembering that in this calculation we are not considering land, irrigation, machinery or other inputs that make costs higher.

Read also: Soil water retention: increase productivity (agropecnews.com.br).

Discover soybean export data

When it comes to investment compensation, it is important to evaluate the return brought by planting a particular seed.

This is because, considering the return and investment, it is possible to have an idea of the profit, and thus define whether it is still worth planting soybeans in Brazil.

Below we will consider the values referring to one (1) hectare of soybeans produced here in the country, which produces between 3 kg and 5 kg of soybeans in 1 year. 

This weight results in approximately 60 bags, which are exported for values ranging from R$ 90 to R$ 125 per bag.

Therefore, considering the production of 1 hectare, it is possible to obtain between R$ 5,400 and R$ 7,500 with the export of bags in 1 year.

That said, if we remove the basic production cost of R$ 1,350, we arrive at a profit of R$ 4,050 to R$ 6,150 per hectare of soybeans produced and sold.

It is worth mentioning that most soybean plantations are larger than 1 hectare, so depending on the terrain, this revenue can double, triple or even increase a hundredfold. 

Furthermore, with larger productions it is possible to invest in cost reduction strategies, which increases sales profits.

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For small producers: is it still worth planting soybeans in Brazil?

Determining whether it is worth planting a certain type of seed is not so simple, after all, everything depends on the production potential of a given piece of land, in addition to local and financial conditions.

Therefore, for an agricultural company that produces 200 hectares of soybeans per year, it can be worth it, since the profit is around R$1.2 million (considering the values presented in the previous topics, which are only approximate to reality).

Furthermore, large productions find it easy to negotiate good prices for export, as purchasing countries have high demand.

For this reason, small producers must evaluate this issue carefully, especially if they produce few hectares and need to sell their production within the country.

It is worth mentioning that the demand for soybeans in Brazil is high, as it is used for food, industry and the production of feed for livestock.

That said, knowing how to take advantage of the market, a small producer obtains good returns from planting soybeans.

However, before making this decision, it is very important that you analyze the market and the costs of this type of planting, in order to decide whether this is the best seed for your business.

After all, is it still worth planting soybeans in Brazil?

Soybeans are one of the main products in Brazil's export sector, with around 80 million tons sold to other countries each year.

This generates a return of 38 million to the Brazilian GDP, which is a lot when compared to other agricultural products.

Therefore, it is certainly worth planting soybeans in Brazil, especially if you produce on a large scale and have strategies to reduce production costs.

Furthermore, for this sector to be profitable, it is crucial to gain a good market share, this way it will be easier to attract customers to buy your production regularly.

It is worth mentioning that soybeans are a grain that requires careful soil preparation, so consider this issue to decide whether this idea is advantageous for your reality.

Finally, if you are looking for agricultural production with good potential for return, especially for export, it is certainly worth planting soybeans in Brazil.

FAQ

1. What are the basic costs of planting soybeans in Brazil?

The basic costs of planting soybeans in Brazil are mainly composed of the following factors:

• Seeds: Approximately R$ 200 per hectare, varying with maturity and quality.
• Pesticides and antifungals: About R$ 800 per hectare to protect against pest and disease attacks.
• Labor: Approximately R$ 350 per hectare per production cycle.

In total, the basic costs amount to around R$1,350 per hectare, not including land, irrigation, machinery or other inputs.

2. How much profit can be made from exporting soybeans?

For 1 hectare of soybeans, a production of between 3 kg and 5 kg per year is expected, resulting in approximately 60 bags. These bags are exported for values ranging from R$ 90 to R$ 125 each. Therefore, the financial return can vary between R$ 5,400 and R$ 7,500 per hectare per year. Subtracting the production costs (R$ 1,350), the profit can be between R$ 4,050 and R$ 6,150 per hectare.

3. Is it still worth planting soybeans in Brazil for small producers?

For smallholders, the decision to plant soybeans should be carefully considered. Although domestic demand is high due to its use in food and feed production, significant profits are more common in large-scale production due to the greater ease of negotiating good export prices. Assessing the market and costs is essential to deciding whether soybean cultivation is viable.

4. What are the challenges of soybean cultivation in Brazil?

Soybean cultivation requires special attention to soil preparation, as well as dealing with pests and diseases. Producers must be aware of the costs and the need for effective marketing strategies to ensure positive returns.

5. What is the impact of soy on the Brazilian economy?

Soybeans are one of Brazil's main export products, contributing significantly to the country's GDP with around 80 million tons sold abroad annually, generating a return of 38 million to the Brazilian GDP.

6. What do large producers do to increase profits in soybean production?

Large producers can implement cost-cutting strategies and take advantage of economies of scale. In addition, they have an easier time negotiating export prices due to high international demand.

7. What are the recommendations for those who are thinking about starting to plant soybeans?

It is essential to analyze the market and production costs to decide whether planting soybeans is a good option for your business. Considering the size of the production, soil quality, and market opportunities can help determine the viability of the crop.

This may interest you: Water Stress in Plants: What It Is and How to Avoid It (agropecnews.com.br).