Thanks Jerry. I sort of knew there are a lot of variables which would make it hard for a one-sized-fits all guideline for purchasing land. Still, it's always good to hear feedback from someone already doing it, and I appreciate yours.
Thanks for all you've done (do) for the fruit industry. Mark ----- Original Message ----- From: Jerome Frecon To: 'Apple-crop discussion list' Sent: Thursday, March 24, 2011 8:49 AM Subject: Re: [apple-crop] Peach orchard Not really the figures I quoted you is based on 30 year of experience with growers telling me what they can afford to pay for peach land. I have factored in inflation. There are so many variables. Wholesale peach price are quite variable from .37 to .52 per pound FOB for US No#1 Extra fruit. At least 50- 60 % of that price is needed to cover harvesting, handling, storage, and other marketing costs. What is left cover is supposed to cover your investment and production costs. I could write a lot more about this but I don't want to make the message too long. If you can grow and market your entire crop without the influence of the government, competition and better control the cost of marketing and distribution you may be able to set a price(think high) that may cover your investment and the cost of production. Good luck. Jerome L. "Jerry" Frecon Agricultural Agent I (Professor 1) Gloucester County Extension Department Head Cooperative Extension, Gloucester County 1200 North Delsea Drive, Clayton, N.J. 08312 Phone 856 307-6450 Ext 1 Fax 856 307-6476 http://gloucester.njaes.rutgers.edu From: [email protected] [mailto:[email protected]] On Behalf Of Mark Angermayer Sent: Wednesday, March 23, 2011 4:13 PM To: Apple-crop discussion list Subject: Re: [apple-crop] Peach orchard Thanks for the feedback gentlemen, Jerry, based upon the link, I'm not understanding how you came up w/ $8000/acre. Can you elaborate? It seems like revenue/bu is wildly variable throughout the country. Here, wholesale prices for local peaches run about $25/lug. Retail at farmer's markets run about $12 for 1/2 peck. Comments? Mark ----- Original Message ----- From: maurice tougas To: Apple-crop discussion list Sent: Wednesday, March 23, 2011 12:29 PM Subject: Re: [apple-crop] Peach orchard The most important factor in determining the profitability of an orchard is the price received for the fruit. This was take home message at IFTA meeting in Pasco,WA a couple of weeks ago, and one that I've always maintained. It's simple. Do your budgets with $10 bushel price vs $50 bushel and see what happens! Mo Tougas Tougas Family Farm On Wed, Mar 23, 2011 at 2:22 PM, Jerome Frecon <[email protected]> wrote: This pdf on the crop alternatives site may help you with a small orchard. ON our state you cannot have a profitable peach orchard if you buying land for more than $8,000 per acre. http://agalternatives.aers.psu.edu/Publications/peachprod.pdf Jerome L. "Jerry" Frecon Agricultural Agent I (Professor 1) Gloucester County Extension Department Head Cooperative Extension, Gloucester County 1200 North Delsea Drive, Clayton, N.J. 08312 Phone 856 307-6450 Ext 1 Fax 856 307-6476 http://gloucester.njaes.rutgers.edu -----Original Message----- From: [email protected] [mailto:[email protected]] On Behalf Of Mark Angermayer Sent: Monday, March 21, 2011 11:02 PM To: [email protected] Subject: [apple-crop] Peach orchard We currently have what I call a micro orchard of mostly peaches. The planting is on basically 3/4 of an acre. I sell part time to a farmers market and at roadside. Demand is excellent in this area for local peaches. Farmer's markets do a brisk volume and there is only one other peach grower of any significance in the immediate area. We've been looking for some land to start a "real" orchard. We've found some land for sale that we are considering making an offer on and have some questions before we do anything. Here are a few for starters. In terms of the economics, what is a reasonable price/acre to pay for land and make a reasonable return selling most the crop retail? The land is 7 miles away from my home. Is this too far? Are there others out there who successfully manage orchards off their home site? What are some of the problems associated with having an orchard several miles away? I'd appreciate any comments in this regard. Thanks, Mark Angermayer Tubby Fruits _______________________________________________ apple-crop mailing list [email protected] http://virtualorchard.net/mailman/listinfo/apple-crop _______________________________________________ apple-crop mailing list [email protected] http://virtualorchard.net/mailman/listinfo/apple-crop -- Maurice Tougas Tougas Family Farm Northborough,MA 01532 508-450-0844 ---------------------------------------------------------------------------- _______________________________________________ apple-crop mailing list [email protected] http://virtualorchard.net/mailman/listinfo/apple-crop ------------------------------------------------------------------------------ _______________________________________________ apple-crop mailing list [email protected] http://virtualorchard.net/mailman/listinfo/apple-crop
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