Establishment
and Production Costs for Tender Fruit in Ontario - 2006 Economic Report
|
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|
Variable Costs |
Cost per acre ($) |
Cost per acre ($) |
|---|---|---|
| Labour: hand 157 hrs |
1570
|
|
|
Labour: machine operator, 27.1 hrs |
|
379 |
|
Ammonium nitrate, 150 kg |
|
56 |
| Muriate of potash, 150 kg |
54
|
|
| Insecticides |
363
|
|
| Fungicides |
216
|
|
| Herbicides |
80
|
|
|
Cover Crop Seed |
|
0 |
|
Machine repair, maintenance |
|
204 |
|
Fuel |
|
272 |
|
Interest on operating capital |
|
245 |
| Bird control |
0
|
|
|
Consulting Fees |
|
25 |
| Irrigation |
78
|
|
| Miscellaneous (1 bee hive, leaf analysis, mulch) |
200
|
|
|
Land rental |
|
|
|
Total Variable Costs |
|
3742 |
|
Fixed Costs |
Cost per acre ($) |
Cost per acre ($) |
|---|---|---|
|
Machine: depreciation |
|
153 |
|
Machine: Interest on investment |
|
71 |
| Cold storage and packing equipment |
240
|
|
|
Other overhead |
|
480 |
|
Land ownership |
|
|
|
Measurable Fixed Costs |
|
944 |
|
Total Measurable Costs |
|
4686 |
|
Contribution Margin |
Cost per acre |
Cost per acre |
|---|---|---|
|
Gross Income (8 ton x $952 per ton) |
|
7616 |
|
Total Variable Costs |
|
3742 |
|
Contribution margin (no land costs) |
|
3874 |
|
Hand Labour |
Labour |
Labour |
Machine |
Fixed |
Total |
|---|---|---|---|---|---|
| Pruning |
50
|
500
|
|
|
500
|
| Thinning |
25
|
250
|
|
|
250
|
| Harvest |
50
|
500
|
|
|
500
|
| Grading and packing |
32
|
320
|
|
|
320
|
|
Total Hand Labour |
157 |
1570 |
|
|
1570 |
|
Machine Operator |
Labour |
Labour |
Machine |
Fixed |
Total |
|---|---|---|---|---|---|
| Brush removal |
1.5
|
21
|
19
|
8
|
48
|
| Cultivating |
0
|
0
|
0
|
0
|
0
|
|
Fertilizing (2x) |
1.4 |
20 |
18 |
12 |
50 |
| Seeding cover crop |
0
|
0
|
0
|
0
|
0
|
|
Mowing (4x) |
2.8 |
39 |
45 |
27 |
111
|
| Weed spraying (3x) |
1.8
|
25
|
24
|
13
|
63
|
| Pesticide spraying (9x) |
3.6
|
50
|
60
|
39
|
150
|
| Distribute & collect containers |
11.0
|
154
|
134
|
56
|
344
|
| Delivery |
3.0
|
42
|
149
|
57
|
248
|
| Sub-soiling/aerating |
0
|
0
|
0
|
0
|
0
|
| Orchard maintenance |
2.0
|
28
|
26
|
12
|
66
|
|
Total Machine Operator |
27.1 |
379 |
476 |
224 |
1079 |
Related Links
- Other Tender Fruit - Annual Cost
Back to Establishment and Production Costs for Tender Fruit in Ontario - 2006 Economic Report
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 |