The operating expense ratio is a tool that farmers can utilize to determine the financial efficiency of their grain farms. Gerald Mashange, an agricultural economist at the University of Illinois, explains how the operating expense ratio is calculated.
Mashange says that after compiling and analyzing 20 years’ worth of data, clear trends begin to emerge.
He also defines what is considered a healthy operating expense ratio.
According to Mashange 2025 will bring many notable challenges, particularly regarding fertilizer costs.
