Soybeans “are projected to be more profitable than corn in 2014,” a reversal from most years, but a situation that is likely to prove true again in the new year, says economist Gary Schnitkey of U-Illinois. At farmdoc daily, Schnitkey says the advantage for soybeans is larger outside of central Illinois. “Hence, economic incentives to switch acres outside of Illinois likely will be larger than those for central Illinois,” he said. Illinois and Iowa are the two largest soybean states, estimated to grow 27 percent of this year’s record-setting crop. The two states also lead the nation in corn.
Schnitkey said corn was likely to show returns of $210 an acre and soybeans of $328 an acre in central Illinois before accounting for land costs and operator income. With land rental rates of around $300 an acres, growers are more likely to see more revenue from soybeans than corn, he said.