Financial Considerations for Double Cropping

Double cropping is when two crops are grown on the same land in one year, one after the other. Double cropping after small grains (e.g., rye, wheat, barley, triticale, or oats) can be a smart way to boost farm income and improve land use efficiency, but it can also bring a unique set of budgetary considerations. The economic benefit of double cropping is highly dependent on keeping the production costs of the second crop low enough to ensure a positive return.

Timing and Field Preparation

There are several factors to consider when developing a budget for a double crop system. The harvest date of the small grain is critical. If the small grain is harvested late, this limits the planting time for the second crop.  The second crop should be planted within 5-10 days of the first harvest and should be an early-maturing or drought-tolerant variety. Full maturity of the second crop is key to maximizing economic returns. Late planting of the second crop usually means lower yields.

Later harvests can miss peak market pricing or be subject to price drops. Make sure to track both gross income and net return for each crop individually and combined. It is also important to run multiple scenarios (best case, average, and worst case) in your budget.

Another budgetary consideration is residue management. There could be additional costs associated with mowing, baling, or incorporating residue. Additional passes or specialized equipment, as well as increased labor, might be necessary for rapid crop turnaround. 

A double-cropping system after small grains requires careful consideration of nutrient management. By accurately assessing residual nutrients, particularly nitrogen and phosphorus from previous applications, and understanding the potential for both nutrient depletion and accumulation, farmers can make informed decisions about fertilizer applications.  A soil test should be taken to determine if there is adequate fertility for the second crop.

Crop Selection and Input Costs of Second Crops

Some common second crops after small grains might include: soybeans, sorghum sudangrass, sunflowers, millet, or cover crops with grazing potential. When choosing a second crop, you must consider crop maturity time and the remaining growing season.

Variable Costs:

Seed Costs: Seed costs can vary for a second crop due to shorter season or specialty varieties.  Inoculants or seed treatment costs must also be calculated when you are determining your overall seed costs.

Fertilizer: Consider residual nutrients or depletions from the small grain.  A soil test can help reduce unnecessary applications.

Pesticides: There is potential for increased herbicide costs due to narrower planting windows and more weed pressure. Also consider herbicide compatibility with residue from the first crop.

Fuel and Maintenance: More trips across the field can increase fuel usage. More machinery usage means more depreciation and maintenance.

Equipment Availability: Determine if you have the capacity to plant and harvest two crops within a narrow window.

Labor Costs: There will be a need for more intensive scheduling, especially during overlapping harvest/planting times. Consider custom spraying, harvesting, or drilling costs if you cannot harvest quickly enough yourself.

Market Plan

You need to consider your market availability and the local demand or contracts that you have available.   Developing a clear marketing plan for the double crop is crucial even before planting. Knowing how and where the second crop will be sold, and at what price, is essential to ensure that the increased production translates into maximized returns and overall profitability for the farm. 

Risk Management

• Crop Insurance: There is limited or no coverage for the second crop in many programs.
• Weather Risk: The second crop is vulnerable to early frost, drought, or heavy rains.
• Carryover Risk: There is potential herbicide, pest, and disease carryover from the first crop.

Soil Health

It is essential in a double cropping system to evaluate long-term soil health and rotation benefits, not just short-term profit. Double cropping can have significant benefits on soil health by reducing soil erosion, improving soil structure through mixed root systems, increasing soil organic matter, increasing biodiversity and microbial activity, and improving water retention capacity. These indirect benefits should be considered in the broader financial assessment.