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Variable Cost Increases for Corn and Soybeans in Historical Perspective

Gary Schnitkey and, Dale Lattz (September, 2005)

Summary

Corn variable costs were relatively stable between 1981 through 1992, averaging $135 per acre. Between 1993 and 1997, variable costs steadily increased an average of $7 per year. Corn costs were again relatively stable between 1998 and 2002, averaging $166 per acre. Per acre corn costs are projected to increase $13.75 per year from 2002 to 2006, reaching a high of $221 per acre in 2006. This recent $13.75 yearly increase compares to an average yearly increase of $1.20 per acre from 1981 through 2002.