5
1999 STRAWBERRY PRODUCTION BUDGET 1
Irrigated - Per Acre Harvested
  ITEM     EXPLANATION PRICE PER   PICKING   YOUR
UNIT HIRED YOUR OWN BUDGET
                           
RECEIPTS
Strawberries 2 7000 lb. $1.00  $ 0.75 /lb. $7,000 $5,250  
VARIABLE  COSTS
Preplant Fumigation 3 Custom Hired 1700 425 425  
Plants (prorated over 4 years) 5500 85.00 /1000 117 117  
Fertilizer  
N 40 lb. 0.31 /lb. 12 12  
P2O5 50 lb. 0.28 /lb. 14 14  
K2O 50 lb. 0.13 /lb. 7 7  
Lime 4 1500 lb. 14 /ton 3 3  
Pesticides 5 411 411  
Straw Mulch 3 tons 60 /ton 180 180  
Fuel, Oil, Grease 42 42  
Repairs 83 83  
Marketing Costs 150 100  
Containers and Miscellaneous 500 500  
Hired Labor (hours) 450 50 6.50 7.50 /hr. 2925 375  
Int. on Oper. Cap. 6 6 mo. 9.0% 68 66    
TOTAL VARIABLE COSTS -Per Acre 4937 2334  
-Per Pound 0.71 0.33  
FIXED COSTS
Operator Labor Charge 75 hours 7.50 /hr. 563 563  
Mach. And Equip. Charge 47 47  
Irrigation System 7 750 750  
Land Charge Rent 85 85  
Management Charge 5% of gross revenue   350 263    
TOTAL FIXED COSTS 1795 1707  
TOTAL COSTS -Per Acre 6731 4041  
-Per Pound 0.96 0.58  
RETURN ABOVE VARIABLE COSTS 2063 2916  
RETURN ABOVE TOTAL COSTS 269 1209  
ADDITIONAL PRE-PRODUCTION COSTS 8 550 550  
(Prorated over 4 years)
TOTAL COSTS FOR 4 YEAR ROTATION 22394 14325
                           
1 Based on years 2-4 of a four year rotation.  Year 1 is used for establishment of crop with no return. 
2 Strawberries sold at or near place of production.
3 Fumigation in establishment year, prorated over four years.
4 Lime applied only in establishment year and prorated over 4 years.
5 Refer to Bulletin 506 "Commercial Small Fruit & Grape Spray Guide" for pesticide recommendations
6 Interest on operating capital calculated at 9.0% interest for 6 months.
7 Irrigation costs= $15,000 irrigation system x 20% ownership costs /4 year crop cycle
($15,000 x 20%) / 4 = $750
8 Expenses that are incurred in establishment year and are not included in above expenses.  These items are:
fumigation (prorated)- $275; plants (prorated)- $96; fertilizer- $30; herbicides- $311; fuel, oil, and grease- $60; 
straw- $200; machinery and equipment charges- $47; 100 hours labor- $750, land charge- $85; interest- $62;
repairs and maintenance- $30.  Interest on costs charged at 9% for 1.5 years.