Ukraine's Wheat Yield Threshold: A Boon or a Bane for Farmers?
The Ukrainian National Scientific Center's Institute of Agrarian Economics has published a crucial number for farmers to gauge their wheat yields. As reported by AgroPortal.ua, the threshold of profitability for winter wheat is approximately 500 kg per hectare at a market price of 9,000 hryvnias (around 176 euros) per ton.
This means that if a farmer's yield falls below 5 tons per hectare, they will not be able to cover their costs. The institute estimates the cost of growing a hectare of wheat this year at about 45,000 hryvnias, which is approximately 88 euros per decare.
The calculation behind this number takes into account the increasing fuel costs, with diesel prices approaching 90 hryvnias per liter (around 1.76 euros/liter). Fuel and lubricants account for 12-15% of production costs, second only to mineral fertilizers.