Source: Oleoscope (Russia)
Spring sowing in Serbia is taking place amidst high financial instability and climate concerns. Furthermore, Serbian farmers sunflower crop expansion comes after last year’s catastrophic drought. The drought caused colossal damage to the corn harvest. Consequently, farmers have begun a large-scale revision of their cropping patterns in favor of more resilient oilseed crops.
Serbian Farmers Sunflower Shift: Moving Away from Corn
The main change this season was the shift away from corn. Additionally, agricultural associations report that corn area is being reduced. Farmers are instead favoring sunflowers and rapeseed.
Last season, oilseed crops showed minimal losses. Meanwhile, corn suffered severe setbacks. According to local farmers, corn “set the industry back five years.” This season, a number of large farms have reduced corn sowing by 50%.
Rising Costs and Falling Prices
As the publication notes, the cost of spring fieldwork has increased by an average of 15% compared to last year. Moreover, the situation is further complicated by falling prices for finished products. According to farmers, the price of mineral fertilizers has reached 70 dinars per kg. At this price, the breakeven price for wheat should be at least 25 dinars per kg. However, processors are offering only 19.5–20 dinars.
As a result, approximately 10% of farms have reduced or completely abandoned land leases. Furthermore, there is an oversupply of agricultural machinery for sale. Meanwhile, buyers are completely lacking.