Establishment and Production Costs for Peach Orchards in Florida: Enterprise Budget and Profitability Analysis
The article summarizes the establishment and production costs, as well as the potential profitability of a peach orchard in Florida. Our findings show the initial investment required for a peach operation in Florida to be $6,457 per acre; the expense in land preparation and planting alone in year 1...
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| Main Authors: | , , |
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| Format: | Article |
| Language: | English |
| Published: |
The University of Florida George A. Smathers Libraries
2017-07-01
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| Series: | EDIS |
| Subjects: | |
| Online Access: | https://journals.flvc.org/edis/article/view/90813 |
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| Summary: | The article summarizes the establishment and production costs, as well as the potential profitability of a peach orchard in Florida. Our findings show the initial investment required for a peach operation in Florida to be $6,457 per acre; the expense in land preparation and planting alone in year 1 is $2,541 per acre. Variable and fixed costs in years 2 through 15 average $5,680 per acre. As an example of profitability, when using a 10% discount rate, an operation yielding 6,525 (7,254) pounds of marketable fruit per acre during its most productive years obtains a positive NPV when the average price is $2.38 ($2.13) per pound.
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| ISSN: | 2576-0009 |