Establishment and Production Costs for Tender Fruit in Ontario - 2006 Economic Report
Fresh Market Peach - Second Year

Back to Establishment and Production Costs for Tender Fruit in Ontario - 2006 Economic Report

Second Year - Variable and Fixed Costs

Variable Costs

Cost per acre ($)
Actual

Cost per acre ($)
Budget

Labour: hand 18 hrs  
180

Labour: machine operator, 15.1 hrs

 

211

Trees (2% replacement)

 

64

Fertilizer: 34-0-0, 25 kg

 

18

Fertilizer: 0-0-60, 25 kg  
17
Insecticides  
51
Fungicides  
17
Herbicides  
29

Cover Crop Seed

 

8

Machine repair, maintenance

 

93

Fuel

 

144

Consulting Fees

 

25

Miscellaneous (leaf analysis)  
40

Interest on operating capital

 

474

Land rental

 

Total Variable Costs

 

1371

Fixed Costs

Cost per acre ($)
Actual

Cost per acre ($)
Budget

Machine: depreciation

 

110

Machine: Interest on investment

 

54

Other overhead

 

480

Land ownership

 

Measurable Fixed Costs

 

645

Total Measurable "Second Year" Costs

 

2015

 

Operation Costs

Hand Labour

Labour
(hours)

Labour
Costs

Machine
Costs*

Fixed
Costs

Total
Costs

Pruning
10
100
 
 
100

De-fruiting

8

80

 

 

80

Total Hand Labour

18

180

 

 

180

Machine Operator

Labour
(hours)

Labour
Costs

Machine
Costs*

Fixed
Costs

Total
Costs

Re-planting trees
2.0
28
28
21
77

Discing (1x)

0.7

10

15

15

40

Cultivating (2x)

1.4

20

20

14

53

Seeding cover crop (1x)

0.7

10

12

12

34

Fertilizing (2x)

1.4

20

19

12

50

Mowing (4x)

2.8

39

46

28

113
Weed spraying (2x)
1.4
20
20
12
51
Pesticide spraying (5x)
2.0
28
41
31
100
Sub-soiling/aerating (1x)
0.7
10
10
6
26
Orchard maintenance
2.0
28
27
13
68

Total Machine Operator

15.1

211

236

165

612

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For more information:
Toll Free: 1-877-424-1300
Local: (519) 826-4047
E-mail: ag.info.omafra@ontario.ca
Author: Ken Slingerland - Tender Fruit & Grape Specialist/OMAFRA; John Molenhuis - Business Analysis & Cost of Production Lead/OMAFRA
Creation Date: 01 March 2007
Last Reviewed: 01 March 2007