AGRONOMY
Effective Input Decisions for 2025
Dylan Barth, Agronomy Sales Manager
Yield Impact of Cutting Imputs When market pressures tempt growers to cut input costs, it’s essential to think carefully about the potential impact on yields. We’re once again seeing, based on this year's results, how crucial it is to invest in crops and adopt a systems- based approach. Those who continued to prioritize key practices—such as side-dressing, applying fungicides, following precise fertilizer prescriptions, and incorporating micronutrients—are seeing significant returns. Even in tighter market conditions, a well-thought-out system can often mean the difference between success and stagnation. Before considering cuts, it’s important to analyze the long-term implications of reducing investments in critical crop management practices. A s we look ahead to the 2025 crop season, many growers are beginning to focus on the commodity markets, which don’t appear as promising as they have in the past couple of years. After relatively strong prices, this shift in market conditions has naturally led to important discussions around managing input costs. Growers are increasingly seeking ways to protect their bottom lines while aiming for optimal yields. In these conversations, we always emphasize three critical factors that should be considered when determining input strategies:
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Input Value in Terms of Bushels Another vital consideration is evaluating the value of inputs to the bushels they help produce. A useful metric for this is calculating how many bushels it costs to purchase a given input and comparing that to historical trends. For example, when looking at potash, the current price per ton represents the third-best value within the last six years. This makes it an appealing input to invest in despite the broader market downturn. Additionally, it’s important to calculate break-even points for yield-enhancing inputs such as fungicides and micronutrients. Even with compressed commodity prices, these inputs are showing positive returns on investment. Understanding the value of inputs through this lens can help growers make more informed decisions in any commodity market 3 Impact of Added Bushels on Farm Finances It’s always important to ask, "If I produced an extra 20 bushels of corn or 10 bushels of soybeans, how would that affect my farm's overall cash flow?" Row crop farming remains a high fixed-cost operation, and one of the simplest ways to spread these fixed costs is by increasing production. By producing more bushels, growers can improve their cash flow and create a financial cushion, even when market prices are under pressure. Investing in the crop, rather than cutting back on crucial inputs, can help to navigate through a lower commodity cycle more effectively. More bushels mean more revenue to cover fixed costs, making each acre more profitable. As growers consider their input strategies for the 2025 crop, we fully understand the pressure to manage costs. However, it’s crucial to make these decisions based on data and a solid understanding of the financial and agronomic implications. We encourage you to consult your CFS agronomist and carefully assess the data before finalizing any input-related decisions. By working together, we can help you grow a profitable crop not only in 2025 but for many years to come. We appreciate the opportunity to support you and your farming operation and are committed to your continued success. Moving Forward with the 2025 Crop
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