Southern Cape – dryland

Income and cost budgets for wheat, barley, canola, oats and lupins for Southern Cape (Bredasdorp region)

Area		Southern Cape: Bredasdorp
Crop		Wheat	Barley	Canola	Oats	Lupins
Production system		Dryland
1. Income
Yield: deterministic	Ton/ha	3.00	3.00	1.75	2.40	1.40
SAFEX simulated / derived price: 2025	R/ton	6 327	6 327	7 637	6 327	5 440
Total deductions	R/ton	1 090	1 119	29	924	194
– Transport differential	R/ton	800	800	–	800	94
– Grade differential	R/ton	168	286	–	–	–
– Marketing, handling and statutory levies	R/ton	123	33	29	124	100
Price premiums / Canola back-payment (10% of contracted price)	R/ton	–	74	764	–	–
Net farm gate price	R/ton	5 237	5 387	8 371	5 403	5 246
Gross income	R/ha	R15 711	R16 161	R14 650	R12 968	R7 344
2. Variable expenditures
Contracting	R/ha	–	–	–	–	–
Crop insurance	R/ha	45	46	42	37	–
Fertilizer	R/ha	3 024	2 894	3 104	2 415	1 054
Lime	R/ha	262	262	262	220	220
Seed	R/ha	825	719	1 551	1 185	942
Fuel	R/ha	750	767	743	734	667
Herbicide	R/ha	1 613	1 016	1 118	897	1 061
Insecticide	R/ha	311	104	531	122	108
Fungicides	R/ha	716	1 083	544	474	644
Marketing costs	R/ha	108	99	19	–	–
Repairs and maintenance	R/ha	890	804	916	858	492
Casual labour	R/ha	17	24	22	15	7
Aerial spray	R/ha	–	–	–	–	–
Other expenditure	R/ha	36	165	153	123	123
Total variable expenditure	R/ha	R8 598	R7 984	R9 004	R7 079	R5 319
Total variable expenditure	R/ton	R2 866	R2 661	R5 145	R2 950	R3 799
3.1 Gross margin	R/ha	R7 113	R8 177	R5 645	R5 889	R2 025
3.2 Gross margin	R/ton	R2 371	R2 726	R3 226	R2 454	R1 446
Break-even yield	T/ha	1.64	1.48	1.08	1.31	1.01
Break-even price	R/ton	R2 866	R2 661	R5 145	R2 950	R3 799

Source: Overberg Agri, GSA and BFAP, updated April 2025.

Gross margin per hectare: Southern Cape – Overberg, Bredasdorp

Please refer to Methodology, Approach and Definitions for in-depth interpretation of enterprise budgets.
The canola back-payment assumes 10% of contracted price.
The cost items reflect the input allocation based on the target yield for the respective crops.
Although some expenditure items are zero, it is reflected in the budgets to allow for individual inclusion.
The cost of fuel includes pre-harvest and harvesting costs with the assumption that own machinery is used.
The costs for wheat, barley and oats seeds reflect a combination of own and purchased seed.
It is important to note that overhead costs are not included and should be accounted for. Overhead costs such as interest on production loans, labour, management and administration will vary to a large extent from producer to producer. Producers will therefore have to deduct the farm business' overhead cost from the gross margins as stipulated in the tables and figures to calculate the net income per crop.