Calculator: Where Should I Sell My Soybeans?

Should I sell my soybeans to the local elevator or the more distant market offering a premium price? At what point is it no longer worth selling to the more distant location?

After all, selling at the higher price is not always the most profitable option. Farmers must not only be mindful of the price received, but also the costs associated with transporting their soybeans, or other commodities, to market. In a few quick steps, the below calculator assists farmers in measuring not only how much money will be received, but also how much will be spent.

What is the total bushel capacity of the semi or truck used for transporting your soybeans or other commodity?		A value is required.Invalid format.
Cost of Labor/Value of Time (per hour):		$ A value is required.Invalid format. Whether you hire someone to deliver your soybeans or deliver them yourself, time is money. Insert the hourly wage you pay to deliver your soybeans or the value of your time per hour (should at least be comparable to the prevailing hourly wage).
Cost of fuel per mile.		$ A value is required.Invalid format. Diesel price per gallon divided by mileage efficiency per gallon of the delivery vehicle. For amounts less than $1.00, enter a leading zero (e.g., 0.80).
Maintenance cost per mile for the delivery vehicle.		$ A value is required.Invalid format. Suggested amount: 20% of fuel cost entered above. For amounts less than $1.00, enter a leading zero (e.g., 0.20).

Local		Distant
Mileage to Local Delivery Point Option	A value is required.Invalid format. Note: Calculator will automatically double the mileage to account for the return trip to your farm.	Mileage to Distant Delivery Point Option	A value is required.Invalid format. Note: Calculator will automatically double the mileage to account for the return trip to your farm.
Time (including wait time upon arrival) required to make a single, round trip delivery to the local delivery point	A value is required. Note: Enter in hours (e.g., 1.5)	Time (including wait time upon arrival) required to make a single, round trip delivery to the distant delivery point	A value is required. Note: Enter in hours (e.g., 3.5)
Spot price for soybeans or other commodity at local delivery point	$ A value is required.Invalid format.	Spot price for soybeans or other commodity at distant delivery point	$ A value is required.Invalid format.

Profit per full load (local):	$0.00	Profit per full load (distant):	$0.00
Additional dollars per full load of selling locally:	$	Additional dollars per full load of selling to the distant market:	$

How was it calculated?

Step 1: Variable costs per load were determined by multiplying the cost of labor per hour by the time required for each delivery option; multiplying the fuel cost per mile by the number of miles to each delivery option; and multiplying the maintenance cost per mile by the number of miles to each delivery option. Labor, fuel, and maintenance costs were added together.

Step 2: Prices at the local and distant location are each multiplied by the bushel capacity of the delivery vehicle to determine the revenue per load.