The University of Maryland Extension has updated www.extension.umd.edu/grainmarketing website with new input data and spray programs for the 2021 field crop budgets. This site also has the new custom rate survey and 2020 cash rental rates.
Cost of production is very important when making decisions related to your farm enterprise and grain marketing. Enterprise budgets provide valuable information regarding individual enterprises on the farm. This tool enables farm managers to make decisions regarding enterprises and plan for the coming production year. An enterprise budget uses farm revenue, variable cost, fixed cost and net income to provide a clear picture of the financial health of each farm enterprise.
The 2021 Maryland enterprise budgets were developed using average yields and estimated input cost based upon producer and farm supplier data. The figures presented are averages and vary greatly from one farm and region to the other. It is therefore crucial to input actual farm data when completing enterprise budgets for your farm.
The budgets are available electronically in PDF or Excel online at https://extension.umd.edu/grainmarketing/crop-budgets. Use this document as a start or reference to create your crop budgets. If you have problems downloading any of these budgets, contact information is located on the website.
Custom Rate Survey for 2021
A mail survey was conducted in the fall of 2020 to determine custom works charges in Maryland. Rates were received from 55 custom operators and farmers, and summarized for the state. Respondents indicated the rates they charge for various field operations. The charges reported in this publication may serve as a guide in determining an acceptable rate for a particular job where other information is unavailable. Reported rates include charges for machines, power, fuel, lube and the labor/operator. These rates do not include the costs of chemicals, seeds, and other materials with the exception of hay baling materials and where noted (i.e. spreading lime). Visit https://extension.umd.edu/grainmarketing/custom-rates-0 for more information.
Cash Rental Rates for 2020
Cash rent lease agreements are the most popular type of lease agreement in Maryland. Cash rent is a fixed amount on a per acre basis. In this agreement the owner is relieved of operating and marketing decisions and income is known year to year. The tenant has the risk and returns from the crop and can make crop and livestock decisions.
The USDA, National Agriculture Statistics Service (NASS) provides the county data in response to requests from customers as well as a requirement of the Farm Bill. Estimates of average cash rental rates per acre for irrigated cropland, non-irrigated cropland and pastureland are published at the County, District and State level where possible. This is based on responses to annual farm level surveys. More information available at: https://extension.umd.edu/grainmarketing/lease-agreements.