Publication 60

Publication 60—Flax

Author:	John Molenhuis - Business Analysis and Cost of Production Program Lead/OMAFRA
Creation Date:	11 December 2008
Last Reviewed:	09 April 2009

Operating Expenses (costs based on projected yield of 0.71 tonne/ac)	Sample Costs/Acre	Your Farm Budget
Seed - 37.5 lb/acre certified treated	21.15
Fertilizer - 45 kg/ac N	41.10
Fertilizer - 20 kg/ac P	14.60
Fertilizer - 20 kg/ac K	12.95
Herbicide - broadleaf weed control	6.55
Herbicide - grass weed control, if required	9.05
Herbicide - dessicant	9.00
Fungicide
Tractor and Machine Expenses - Fuel (12 L) and lubricants)	11.50
Tractor and Machine Expenses - Repairs and maintenance	16.15
Crop insurance
Custom work (fertilizer application, mixing & delivery)	9.05
Custom work (2 pesticide applications)	18.05
Custom work (other)
Trucking ($7.05/tonne)	5.00
Storage
Land rent
Operator labour (self or hired)	9.60
Interest on operating	4.60
Total Operating Expenses - Grain	188.35

Expenses for Straw	Sample Costs/Acre	Your Farm Budget
Tractor and Machine Expenses - Fuel	2.65
Tractor and Machine Expenses - Repairs and maintenance	3.25
Twine	2.75
Other	10.50
Total Operating Expenses - Straw	19.15
Total Operating Expenses	207.50

Revenue	Your Farm Budget
Expected flax yield _______________
Expected flax price _______________
Total Market Revenue (Yield x Price)
Program Payment
Total Flax Revenue

Overhead Expenses	Sample Costs/Acre		Your Farm Budget
Overhead Expenses	Flax Only	Flax & Straw	Your Farm Budget
Machinery - Depreciation	26.30	30.30
Machinery - Interest on investment	19.10	22.60
Land
Other overhead	4.35	5.35
Total Expenses	238.10	265.75
Breakeven price on your farm is: (total expenses/expected yield)

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