Agricultural input prices have strong fluctuations throughout the year, says research

The impact of inputs on the total cost of agricultural production has been rising in recent years, mainly due to the increase in the use of fertilizers and phytosanitary products. Pecege survey Projects considered prices of four inputs – corrective, fertilizer, herbicide and insecticide – in the State of São Paulo to indicate months with higher probability of high or low in the products. Data is based on monthly surveys of distributors.

“Identifying the best moment of purchase of inputs is of paramount importance to the health of the business, mainly because they suffer great price oscillations throughout the year,” says João Moraes, researcher at Pecege Projetos.

In the case of fertilizers, the analysis contemplated urea, which is used in its simple form or in formulations in the most diverse cultures. The product suffers strong oscillation throughout the year, with peak between July and October, and low in the months of June, December and February.

Already with limestone, mainly used as soil corrective, prices tend to rise between October and February – months of higher rainfall and when the input is usually more used. The lowest values ​​are observed between April and August.

Among the herbicides, the survey mapped the price behavior of glyphosate – a relatively cheap and widely used product in many crops. The variations are small throughout the year, however, prices tend to be higher between June and November and lower from December to March.

Used for insect control, fipronil has more pronounced price oscillation, with high from September to February and low between March and August.

Impact on production costs

The impact of general inputs on total sugarcane production costs has risen 34% in the last ten years, according to Pecege Projetos’ surveys. The index jumped from 22.7% to 30.5% in the period analyzed, according to research conducted with independent producers in the Center-South region.

This text was translated by machine from Brazilian Portuguese.