Gross margin comparison of summer pulses, Liverpool Plains 2013–14

Abstract

Key findings • A trial was conducted to evaluate the gross margin of the summer pulses; soybean and mungbean; compared with sorghum and sunflower in a dryland cropping system on the Liverpool Plains. Based on a grain yield of 8.03 t/h and a price of $265.00/t sorghum achieved the highest gross margin ($1600/ ha) of the four summer crop types evaluated in this trial during the 2013–2014 season. Sorghum also had the highest input costs at $527/ha. The next highest gross margins were $1573 for mungbean (yield of 2.05 t/ ha and premium grade grain price of $1000/t) and $1500/ha for the highest yielding soybean variety (yield of 2.91 t/ha and grain price of $650/t). • Results illustrated the variation in yield that can be obtained across different soybean cultivars and the yield penalty that can result in planting a variety later than recommended. Soybean growers need to follow agronomic best practice guidelines to ensure that yield potential is reached. • Mungbean was the only crop that required grading costs ($105/t) to achieve a premium grade price. • Soybean could be viewed as a lower risk option when compared to sorghum and sunflower due to lower crop establishment costs. In the event of a total crop failure, losses would be $143/ha less for the soybean crop compared with the sorghum crop based on input costs. This analysis does not take into account the dollar value of residual nitrogen from the soybean or mungbean crops, the disease resistance status of different varieties or the value of rotation crops in providing disease breaks.