Understanding the true value of your crop starts with knowing your full cost of production. Driven by the Northern South Island Arable Research Group (NSI ARG), FAR has developed a simple overhead cost calculator to help growers work out their farm’s overhead costs per hectare.
This easy-to-use spreadsheet complements FAR’s gross margin tool and draws on work first developed by the Federated Farmers Herbage Seed Subsection in 2022. By combining both in-paddock and overhead costs, growers and industry can build a clearer picture of total production costs to support informed marketing and pricing decisions.
Designed with grower feedback in mind, the calculator uses readily available financial information from your farm accounts. Most growers who have trialled the tool report it takes just 10–15 minutes to complete, providing an accurate $/ha overhead cost figure. Once set up, it only needs updating annually—unless your fixed costs change significantly.
Whether you’re preparing budgets, or making marketing decisions, this practical tool offers a quick and reliable way to put real numbers behind your costs.