Soybean Production Cost and Economic Performance: a Comparative Analysis of Four Farmers in Arroio Grande, RS, in a Case Report

Soybean cultivation is a key agricultural activity in the municipality of Arroio Grande, Rio Grande do Sul, playing a significant role in generating income for rural producers. However, revenue from this activity is typically concentrated during the marketing period—specifically March and April—making it crucial to understand production costs and economic outcomes for farm-level financial planning and decision-making. This study aimed to collect data to organize costs and determine soybean producers' profit margins in Arroio Grande, RS. The study interviewed four producers and analyzed their specific situations to identify maximum and minimum costs and losses, as well as the interest and taxes associated with loans obtained from banking institutions. The study analyzed expenses, credits, and debits through monthly cash flow statements covering eleven months, aligned with the producers' agricultural year. Analysis of each interviewee's data yielded projections indicating that a producer farming 18 hectares would earn a profit of less than one minimum wage. Soybean cultivation is economically vital, and understanding production costs and realized profits is essential for producers to remain in the agricultural sector.