In This Section |
Establishment
and Production Costs for Tender Fruit in Ontario - 2006 Economic Report
|
| 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 |
Back to Establishment and Production Costs for Tender Fruit in Ontario - 2006 Economic Report
|
Variable Costs |
Cost per acre ($) |
Cost per acre ($) |
|---|---|---|
| Labour: hand 149 hrs |
1490
|
|
|
Labour: machine operator, 26.3 hrs |
|
368 |
|
Ammonium nitrate, 125 kg |
|
45 |
| Muriate of potash, 125 kg |
44
|
|
| Insecticides |
166
|
|
| Fungicides |
178
|
|
| Herbicides |
80
|
|
|
Cover Crop Seed |
|
14 |
|
Machine repair, maintenance |
|
211 |
|
Fuel |
|
265 |
|
Interest on operating capital |
|
214 |
| Bird control |
0
|
|
|
Consulting Fees |
|
25 |
| Irrigation |
129
|
|
| Miscellaneous (leaf analysis) |
40
|
|
|
Land rental |
|
|
|
Total Variable Costs |
|
3268 |
|
Fixed Costs |
Cost per acre ($) |
Cost per acre ($) |
|---|---|---|
|
Machine: depreciation |
|
163 |
|
Machine: Interest on investment |
|
78 |
| Cold storage and packing equipment |
0
|
|
|
Other overhead |
|
120 |
|
Land ownership |
|
|
|
Measurable Fixed Costs |
|
361 |
|
Total Measurable Costs |
|
3629 |
|
Contribution Margin |
Cost per acre |
Cost per acre |
|---|---|---|
|
Gross Income (11 ton x $523 per ton) |
|
5753 |
|
Total Variable Costs |
|
3268 |
|
Contribution margin (no land costs) |
|
2485 |
|
Hand Labour |
Labour |
Labour |
Machine |
Fixed |
Total |
|---|---|---|---|---|---|
| Pruning |
45
|
450
|
|
|
450
|
| Thinning |
40
|
400
|
|
|
400
|
| Harvest |
64
|
640
|
|
|
640
|
|
Total Hand Labour |
149 |
1490 |
|
|
1490 |
|
Machine Operator |
Labour |
Labour |
Machine |
Fixed |
Total |
|---|---|---|---|---|---|
| Brush removal |
1.5
|
21
|
19
|
9
|
48
|
| Cultivating (3x) |
2.1
|
29
|
28
|
17
|
74
|
|
Fertilizing (2x) |
1.4 |
20 |
18 |
12 |
50 |
| Seeding cover crop (1x) |
0.7
|
10
|
12
|
12
|
34
|
|
Mowing (5x) |
3.5 |
49 |
54 |
31 |
134
|
| Weed spraying (3x) |
1.8
|
25
|
24
|
14
|
63
|
| Pesticide spraying (9x) |
3.6
|
50
|
61
|
40
|
151
|
| Distribute & collect bins |
6.0
|
94
|
74
|
32
|
189
|
| Delivery |
3.0
|
42
|
149
|
57
|
248
|
| Sub-soiling/aerating (1x) |
0.7
|
10
|
10
|
6
|
26
|
| Orchard maintenance |
2.0
|
28
|
27
|
12
|
67
|
|
Total Machine Operator |
26.3 |
368 |
475 |
241 |
1084 |
Back to Establishment and Production Costs for Tender Fruit in Ontario - 2006 Economic Report
| Top of Page |
For more information:
This site is maintained
by the Government of Ontario
Queen's Printer for Ontario
Last Modified:
