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 Front Cover
 Abstract
 Acknowledgements
 List of Tables
 Main
 Reference
 Addenda














Budgeting costs and returns
ALL VOLUMES CITATION SEARCH THUMBNAILS PAGE IMAGE ZOOMABLE
Full Citation
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Permanent Link: http://ufdc.ufl.edu/UF00026157/00013
 Material Information
Title: Budgeting costs and returns
Series Title: Economic information report
Portion of title: Budgeting costs and returns for Central Florida citrus production
Budgeting costs and returns for for <sic> Central Florida citrus production
Physical Description: v. : ; 27 cm.
Language: English
Creator: University of Florida -- Food and Resource Economics Dept
Publisher: Food and Resource Economics Dept., Agricultural Experiment Stations and Cooperative Extension Service, Institute of Food and Agricultural Sciences, University of Florida
Place of Publication: Gainesville
Creation Date: 1987
Frequency: annual
regular
 Subjects
Subjects / Keywords: Citrus fruit industry -- Economic aspects -- Periodicals -- Florida   ( lcsh )
Citrus fruits -- Marketing -- Periodicals -- Florida   ( lcsh )
Genre: governmental publication   ( marcgt )
serial   ( sobekcm )
 Notes
General Note: Title varies slightly: <1992-93>- Budgeting costs and returns for Central Florida Citrus Production.
General Note: Description based on: 1978-79; cover title.
 Record Information
Source Institution: University of Florida
Rights Management: All rights reserved by the source institution and holding location.
Resource Identifier: aleph - 000313320
oclc - 08042638
notis - ABU0053
lccn - sn 82000631 /g
System ID: UF00026157:00013

Table of Contents
    Front Cover
        Front cover
    Abstract
        Page i
    Acknowledgements
        Page i
    List of Tables
        Page iii
    Main
        Page 1
        Page 2
        Page 3
        Page 4
        Page 5
        Page 6
        Page 7
        Page 8
    Reference
        Page 9
    Addenda
        Page 10
        Page 11
        Page 12
        Page 13
        Page 14
        Page 15
        Page 16
        Page 17
        Page 18
        Page 19
        Page 20
        Page 21
        Page 22
        Page 23
        Page 24
        Page 25
        Page 26
        Page 27
Full Text













ABSTRACT


Estimated costs and returns of growing round oranges in the Central
Florida citrus area are presented for the fourteenth consecutive year.
The Central Florida citrus area is defined as those counties having
experienced limited citrus tree damage or loss, generally the area from
Polk County south. The format presented may be used by individual
growers to budget costs and returns, utilizing individual data on
specific groves.

Key words: citrus, Central Florida, budgeting, costs and returns.






NOTE: Central Florida production area refers to Polk and Highlands
counties. However, the costs presented in this report are
applicable to other counties such as Hardee, Hillsborough, and
Lake-Orange counties.

The budget cost items have been revised to reflect current grove
practices being used by growers-e.g., chemical mowing, different
spray materials, higher rates of fertilization, microsprinkler
irrigation, more reset trees, etc. Therefore, the revised costs
shown are higher than previously reported.

The budget costs in this report represent a custom managed
operation. Therefore, all equipment costs are based upon the
average custom rate costs and a 10 percent handling and super-
vision charge is added to the material cost.




ACKNOWLEDGEMENTS


Appreciation is extended to Mrs. Jane Wilson for typing the final
draft of this manuscript.

Appreciation is also extended to the citrus growers and production
managers of the Central Florida citrus production area who provided
suggestions for the revision of this manuscript.














ABSTRACT


Estimated costs and returns of growing round oranges in the Central
Florida citrus area are presented for the fourteenth consecutive year.
The Central Florida citrus area is defined as those counties having
experienced limited citrus tree damage or loss, generally the area from
Polk County south. The format presented may be used by individual
growers to budget costs and returns, utilizing individual data on
specific groves.

Key words: citrus, Central Florida, budgeting, costs and returns.






NOTE: Central Florida production area refers to Polk and Highlands
counties. However, the costs presented in this report are
applicable to other counties such as Hardee, Hillsborough, and
Lake-Orange counties.

The budget cost items have been revised to reflect current grove
practices being used by growers-e.g., chemical mowing, different
spray materials, higher rates of fertilization, microsprinkler
irrigation, more reset trees, etc. Therefore, the revised costs
shown are higher than previously reported.

The budget costs in this report represent a custom managed
operation. Therefore, all equipment costs are based upon the
average custom rate costs and a 10 percent handling and super-
vision charge is added to the material cost.




ACKNOWLEDGEMENTS


Appreciation is extended to Mrs. Jane Wilson for typing the final
draft of this manuscript.

Appreciation is also extended to the citrus growers and production
managers of the Central Florida citrus production area who provided
suggestions for the revision of this manuscript.













LIST OF TABLES


Table

1 Schedule of production practices for a Central Florida
citrus grove, 1987-88 . . . ...... 3

2 Calculation of normal production per tree, 1987-88. 5

3 Estimated annual per acre costs and returns for a mature,
'Valencia' orange citrus grove producing for the
processed market, Central Florida area, 1987-88 . 6

4 Estimated annual per acre costs and returns for 5-year
average costs and returns for a mature, Valencia orange
grove producing citrus for processing in Central Florida
area, 1983-84-1987-88. . . . . 8

5 Estimated annual per acre costs and returns and 5-year
average costs and returns (inflated to 1988 dollars) for
a mature, Valencia orange grove producing citrus for
processing in Central Florida area, 1983-84--1987-88. 8


iii








BUDGETING COSTS AND RETURNS:
CENTRAL FLORIDA CITRUS PRODUCTION, 1987-88


Ronald P. Muraro, George T. Hurner and Thomas W. Oswalt


INTRODUCTION


Budget analysis provides the basis for many grower decisions.
Budget analysis can be used to calculate potential profits from an
operation, to determine cash requirements for an operation, and to
determine break-even prices. This paper presents a budget constructed
from current data and serves as a format for growers to analyze costs and
returns from their individual records.
In order to assist with decision making, production budgets may be
constructed by developing a list of production practices and their costs.
Budget analysis provides the basis for many grower decisions. For
example, budget analysis can be used to calculate potential profits from
an operation, to determine cash requirements for an operation, and to
determine break-even prices. These data can then be used as a basis for
management decision making.
Due to the December 1983 and January 1985 freezes, the character of
the Central Florida citrus production area has changed. Thus, Central
Florida in this report refers to those counties having experienced
limited citrus tree damage or loss; generally the area from Polk County
south. Budgets for rehabilitating or replanting citrus groves where
extensive tree damage or loss has occurred are presented and discussed in
a separate report.


METHOD OF DATA COLLECTION


The data presented here were developed by surveying custom opera-
tors, input suppliers, growers, and colleagues at the Citrus Research


RONALD P. MURARO is associate professor of food and resource
economics and extension farm management economist. He is stationed at
the Citrus Research and Education Center, Lake Alfred. GEORGE T. HURNER
is county extension director in Highlands County, Sebring. THOMAS W.
OSWALT is extension agent, citrus in Polk County, Bartow.








and Education Center in Lake Alfred. The survey is conducted annually
in February and March.


COSTS AND INPUTS


Costs for various production inputs are those collected from citrus
growers as well as the average of the data obtained from annual custom
rate and chemical and fertilizer surveys. The costs used in the budget
report are shown in the ADDENDA, Tables 1-A through '8-A. The custom
rate costs are shown in Table 9-A and the various chemical and
fertilizer costs are shown in Table 10-A in the ADDENDA. The budget
costs represent a custom managed operation. Therefore, all equipment
costs are based upon the average custom rate costs and a 10 percent
handling and supervision charge is added to the material cost.
Although brand names are used in many of the tables in the ADDENDA,
this does not imply endorsement by the University of Florida. It is
merely an attempt to depict typical production practices.
All tables have a column reserved for the individual growers to
insert data from a particular grove. This will allow a comparison of
the grower's costs with those presented.


THE GROVE SITUATION


Shown in Table 1 are production practices for a Central Florida
round orange grove and times during the year when they would likely be
performed. There are two benefits to developing such a table for an
individual grove. First, it shows what work is needed and when, so that
operations can be planned well in advance. Second, it can be helpful if
an annual cash flow analysis is developed to plan financing. The
individual grower can achieve benefits by developing a plan for a
particular grove.
Specific production practices vary from grove to grove making it
difficult to define a "typical" grove. Many combinations of practices
and various tree combinations accomplish production of acceptable yields
and returns. Although the example represents a Valencia orange grove,
the cost and return data is designed to be applicable to most grove
situations. A grower, realtor, or land appraiser can substitute















Table 1.-Schedule of production practices and budget items for a Central Florida citrus grove, 1987-88a


Month Annual
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec total


50%
Total revenue: 202 Partial Final
deposit payment payment
Less: Pick & haul cost X
DOC advertisement tax X
Adjusted revenue

Grove expenses:
Disc X X
Chop X X
Mow
Labor, general grove
work, pull vinesX X
Herbicide (1/2 grove acre
equivalent) X X
Spray: Post bloom/nutritional X
Summer oil/greasy spot X
Fall miticlde X
Supplemental miticide
Dust
Fertilizer 700 N/A 70 HN/A Dolomite 700 N/A
Hedging and topping Hedge
Brush removal/chop brush Chop brush
Tree removal X
Young tree care X X X X X
Irrigation (times/month) 2 3 3 2 11
Miscellaneous
Grove taxes including water management X
Interest expense X
Annual principal payment on mortgage X
Total grove expenses

Net returns (loss)

Cumulative net returns

aThis is a suggested schedule of practices. Actual practices would not necessarily be done on the exact schedule shown here.


-- --









individual grove costs and expected returns into the budget format and
develop a budget for a particular grove. A "your cost" column is
provided for this purpose.
In the following budget, above average management and cultural
practices are assumed. Beyond this general assumption, the following
specifics are assumed.


1. A 20+ year-old irrigated grove;
2. Variety is Valencia round orange;
3. Tree loss is 3 percent annually;
4. Trees are pulled and replaced when production falls
below 50 percent of expected yield;
5. Production is for processed use;
6. Tree density is 78 trees per acre; and
7. Custom-caretaker providing grove management.



As a result of tree losses and replacement, the tree ages will
vary. The budget reflects the following age distribution:


Situation Boxes/tree

3% pulled and reset 0.0
3% 1 year old 0.0
3% 2 years old 0.0
35 3 years old 0.6
3% 4 years old 0.9
45% 5-19 years old 4.6
3% producing 50% of expected yield 4.0
37% mature producing 8.0


Calculation of normal production per tree is shown in Table 2.
Note that the proportion of trees by age column only adds to 91 percent
since 9 percent of the trees are non-bearing.







Table 2.-Calculation of normal production per acre, 1987-88

Boxes Total
Age of Tree Trees /tree boxes

Total no. Proportion No. ea.
all ages ea. agea age ---- No.----
3 years 78 x 0.03 = 2.3 x 0.6 = 1.38
4 years 78 x 0.03 = 2.3 x 0.9 = 2.07
5-19 years 78 x 0.45 = 35.1 x 4.6 = 161.46
Prod. 50% of
exp. yield 78 x 0.03 = 2.3 x 4.0 = 9.20
20 years 78 x 0.37 = 28.9 x 8.0 = 231.20
Total boxes = 405.31
proportion adds up to 0.91 (91 percent) as 9 percent of the trees
were non-bearing (pulled and reset, 1 and 2 year old trees; see page 4).


BUDGET COSTS AND RETURNS


The estimated budget costs and returns for the Central Florida grove
situation is shown in Table 3. The budgeted costs represent one possible
citrus production program and were selected from the costs shown in the
ADDENDA tables. The gross revenue estimates are based on the projected
yields in Table 3 and estimated preliminary on-tree prices for the
1987-88 season. Historical on-tree prices for selected Florida citrus
varieties are shown in Table 11-A of the Addenda.
As shown in Table 3, the total revenue for processed market Valencia
oranges is estimated to be $2,976.75 per acre. Total specified costs are
$813.05 and are comprised of grove care costs of $664.21, plus management
cost of $148.84. Return to land and trees of $2,163.70 and represents
net return above fixed costs. The break-even price for Valencia oranges
ranged from $2.58 to $1.70 per box on-tree and $0.65 to $0.56 per pound
solids for eliminations at 300 and 550 boxes per acre, respectively.
In addition to the management cost, ad valorem taxes, and overhead
and administrative costs--such as water drainage/district taxes, crop
insurance, and other grower assessments can add up to 12 percent of the
total grove care costs. These costs vary from grove to grove depending
on age, location, and time of purchase or establishment. However, as a
guideline, ad valorem taxes in the Central Florida citrus area average











Table 3.-Estimated annual per acre costs and returns for a mature, 'Valencia' orange citrus grove producing for the processed market,
Central Florida area, 1987-88

Item Description Amount Your cost
------------------Dollars---------


I. Revenue 405 boxes 8 7.35a 2,976.75
b
II. Expenses
Weed control
Discing 2 times per year 17.62
Mow middles 2 times per year 19.52
General grove work/sprouting (2 labor hours per acre) 15.06
Herbicide (Table 2-A, Program 01) 57.37 109.57
Spray program (Table 1-A, Programs #3, 09 & #14) 167.41
Fertilizer (Table 3-A, Program 12) 132.31
Dolomite (Table 7-A, Program #1) 9.62
Pruning (maintenance)
Topping ($185.00/hr. 4 6.0 A/hr.) + 3 yrs. 10.28
Hedging ($225.17/hr. 4 10.0 A/hr.) 2 yrs. 11.26
Remove brush from trees 1.70
Mow brush 9.48 32.72
Tree replacement and care (1 through 4 years)
Remove trees 3 trees per acre 14.20
Prepare sites and plant resets Including 3 trees per acre 23.20
Water resets (Average 5 waterings) 10.26
Fertilizer Including application 24.16
Tree wraps, sprouting, Ridomil/Aliette 15.43 87.25
Overhead irrigation (Table 8-A, Program 11) 125.33
Total grove care expenses 664.21
III. Management 5% of gross sales 148.84
IV. Total specified costs 813.05 .
V. Return to land and trees 2,163.70
VI. Break-even price for total specified costs.

Boxes per acre Boxes per acre

300 350 400 450 500 300 350 400 450 500

$ On-tree price per box $ Delivered-in price per pound solide

2.58 2.27 2.03 1.84 1.70 0.71 0.65 0.61 0.58 0.56

a0n-tree price per box is preliminary; assumes price for processed oranges only.
bAssumes material custom applied; therefore, a 10 percent handling and supervision charge is added to material cost.
cOther methods to estimate a management cost--e.g., $3.00 per acre per month or 10% of total grove care costs--are used in the
industry. Other selected methods will give a different return to land and trees than reported here.
other cost items which are not included in the budget are ad valorem taxes, and interest on grove investment. In addition to
these cost items, overhead and administrative costs, such as water drainage/district taxes, crop insurance, and other grower
assessments, can add up to 12 percent to the total grove care costs. These costs vary from grove to grove depending on age, location,
and time of purchase or establishment.
eAssumes 5.5 pound solids per box and $1.65 pick and haul cost per box.







$40 to $50 per acre. Average annual debt payment may approach $400 per
acre ($3,000 average debt per acre @ 12 percent interest over 20 years).
These costs should be considered in arriving at a net return to land and
trees (total return minus costs).


HISTORICAL COST TRENDS

Annual budgets of costs and returns for mature, processed Valencia
oranges in the Central Florida area have been developed and published
the past four years. Estimated cost and return histories for 1983-84
through 1986-87 along with 1987-88, and a five-year average are
presented in Table 4. The affects of recent freezes on Florida's annual
orange supply has resulted in a fluctuating on-tree price per box.
However, even with increasing operating costs, annual net return to land
and trees has increased over the five-year period. To allow comparisons
in current values, these same costs and returns, inflated to 1988
dollars, are presented in Table 5.







Table 4.-Estimated annual per acre costs and returns and 5-year average
costs and returns for a mature, Valencia orange grove producing
citrus for processing in Central Florida area, 1983-84--1987-88

On-tree Total Net return
price Gross specified to land
Year /boxa Yield revenue costs and trees

... Dol ars--------------
1983-84 $6.55 324c 2,122.20 687.57 1,434.63
1984-85 6.75 324c 2,187.00 726.16 1,460.84
1985-86 3.98 405 1,611.90 682.41 929.49
1986-87 5.59 405 2,263.95 736.20 1,527.75
1987-88 7.35b 405 2,976.75 813.05 2,163.70

5-yr. avg. 6.04 373 2,252.92 729.08 1,523.84

a0n-tree prices for all sales methods as reported by the Florida
Agricultural Statistics Service (Table 11-A in the Addenda).
preliminary estimate by author at time of printing and is not a
published price.
cYield reduced due to December 1983 and January 1985 freezes.
d
Fixed costs such as taxes, debt service, and crop insurance are
not included. A management cost of 5% of gross revenue is included.


Table 5.-Estimated annual per acre costs and returns and 5-year average
costs and returns (inflated to 1988 dollars) for a mature,
Valencia orange grove producing citrus for processing in
Central Florida area, 1983-84-1987-88

Inflation On-tree Total Net return
factor price Gross specified to land
Year index /box Yield revenue costs and trees

-----------Dollars---------
1983-84 113.2 $7.41 324 2,400.84 778.33 1,622.51
1984-85 109.3 7.38 324 2,391.12 793.69 1,597.43
1985-86 107.3 4.27 405 1,729.35 732.23 997.12
1986-87 103.5 5.79 405 2,344.95 761.97 1,582.98
1987-88 100.0 7.35 405 2,976.75 813.05 2,163.70

5-yr. avg. 6.44 373 2,402.12 775.85 1,626.27

aConsumer price index for each year inflated to 1988 prices (1988
100), with 1988 consumer price index estimated to be 352.3. Consumer
price index for other years are: 1984 = 311.2; 1985 = 322.2; 1986
328.4 and 1987 = 340.4.








REFERENCES


Citrus Summary 1986-87. Florida Agricultural Statistics Service.
Florida Agricultural Statistics. Jan. 1988.

DuCharme, E. P. "Tree Loss in Relation to Young Tree Decline and Sand
Hill Decline of Citrus in Florida," Proc. Fla. State Hort. Soc. 84
(1971), pp. 48-52.

Florida Citrus Spray Guide 1988. Univ. of Fla. Coop. Ext. Svc. Cir.
393-N. Gainesville: Jan. 1988.

Harrison, D. S. and R. C. J. Koo. Sprinkler Irrigation Systems for
Citrus. Univ. of Fla. Agr. Ext. Rpt. AE 73-15 (Rev.). Gainesville:
Aug. 1974.

Koo, R. C. J., editor. Recommended Fertilizers and Nutritional Sprays
for Citrus. Univ. of Fla. Agr. Exp. Sta. Bull. 536D. Gainesville:
March 1984.

Muraro, Ronald P. "Comparative Citrus Budgets." Lake Alfred Citrus
Research and Education Center (CREC) Report. Lake Alfred, FL:
Apr. 1988.

"Cost for Establishing, Planting, and Maintaining a Citrus
Grove through Four Years of Age." Lake Alfred CREC Report. Lake
Alfred, FL: Nov. 1985.

"Cost of Planting and Maintaining Reset Citrus Trees through
Four Years." Lake Alfred CREC Report. Lake Alfred, FL: Aug.
1985.

"Summary Custom Rate Survey for Forty Interior Citrus
Caretakers." Lake Alfred CREC Report. Lake Alfred, FL: Apr.
1988.

"Using Mortgage Repayment Capacity to Determine the Maximum
Price to Pay for a Citrus Grove," The Citrus Industry Magazine,
September 1985, Volume 66, No. 9, pp. 15, 17.

and John L. Jackson. Ten-year Analysis for Rehabilitation of
Freeze Damaged Citrus Groves. Univ. of Fla., Food and Resource
Econ. Staff Paper 270. Jan. 1985.

and J. Fred Kurras. "Estimating the Damage to Citrus Trees and
Resulting Value Loss Due to the January, 1982 Freeze," Florida Food
and Resource Economics No. 39 (Mar.-Apr. 1982). University of
Florida: Gainesville.

Savage, Zach. Citrus Yields Per Tree Age. Agr. Ext. Ser. 60-8. Univ.
of Fla., Gainesville. 1960.










ADDENDA: Listing of Grove Care Programs for Central Florida Citrus
Production


Table 1-A.


Table

Table

Table

Table

Table

Table

Table


2-A.

3-A.

4-A.

5-A.

6-A.

7-A.

8-A.


Spray programs. . .

Post bloom spray. . .
Summer spray. . .
Fall spray. . .
Dormant spray . .

Herbicide . . .

Dry fertilizer. . .

Liquid fertilizer . .

Fertigation . .

Nematicides . .

Soil amendment. . .

Irrigation--annual cost per

Permanent Overhead. .
Microsprinkler . .
Volume gun (traveling). .


. . .


. C . . .


. . . C


. . . .


acre.

* .
* .


Table 9-A.



Table 10-A.


Table

Table


11-A.

12-A.


Table 13-A.


A listing of 1988 custom rates reported by forty
Ridge citrus caretakers . . . .

Summary of average fertilizer and chemical price
estimates, 1987-88. .. . . ..

Historic prices for selected citrus varieties .

Debt which can be supported per $1,000.00 annual
payment capacity. . . . ..

Amount that can be paid for a grove based on yield
per acre and on-tree price per box. . . .


B =Boron
Cu = Copper
Fe = Iron


Mg = Magnesium
Mn = Manganese
Zn = Zinc


The costs in the ADDENDA represent a custom managed operation.
Therefore, all equipment costs are based upon the average custom rate
costs and a 10 percent handling and supervision charge is added to the
material cost.


Page

11

11
12
13
14

15

16

17

18

18

19

20

20
20
20


r







. . .


. .


* .














. . . .










Table 1-A.-Spray programs


POST BLOOM SPRAY


Spray Program 11


Materials/
Ingredients


Amount/
Acre Cost/Acre


Ethion
Cu
Zn
Mn
B
Sticker
Ground
Application

Total


Spray Program #2


Materials/
Ingredients


Cu
Zn
Mn
B
Kelthane
Sticker
Ground
Application


Total


Spray Program #3


Materials/
Ingredients


Ethion
Zn
Mn
B
Sticker


Ground
Application


Total


Your
Cost/Acre


5 pts
7 Ibs
15 lbs
15 Ibs
2.5 lbs
1 pt


500 gals


$17.10
8.08
9.57
4.13
1.54
1.32

32.38

$74.12


Cost/Acre


Your
Cost/Acre


Amount/
Acre

7 lbs
15 Ibs
15 lbs
2.5 lbs
2.5 pts
1 pt


500 gals


$ 8.09
9.57
4.13
1.54
12.32
1.32

32.38

$57.03


Your
Cost/Acre


Amount/
Acre

5 pts
15 Ibs
15 lbs
2.5 lbs
1 pt


500 gals


Cost/Acre

$17.10
9.57
4.13
1.54
1.32


32.38

$66.04


___________~ _________________ _____~~


---------------------------------- --------------- -


__________________________I_____________









Table 1-A.-POST BLOOM SPRAY (cont'd.)

Materials/
Spray Program #4 Ingredients

Zn, Mn, Fe Nitrates
Cu
Lead Arsenic
Sticker
Ground
Application

Total


Spray Program #5











Spray Program #6


SUMMER SPRAY

Spray Program #7


Materials/
Ingredients

Vendex 4L
Sticker
Ground
Application

Total


Materials/
Ingredients

Lorsban
Cu
Sticker
Ground
Application

Total


Materials/
Ingredients

Oil
Cu
Ethion
Ground
Application

Total


Amount/
Acre

1 pt
7 lbs
4.5 lbs
1 pt


500 gals


Amount/
Acre

1.25 Ibs
1 pt


500 gals


Amount/
Acre

5 pts
10 lbs
1 pts


500 gals


Amount/
Acre

5 gals
3.75 lbs
7.5 pts

250 gals


Cost/Acre

$ 0.89
10.23
14.49
1.32


32.38

$59.31


Your
Cost/Acre












Your
Cost/Acre










Your
Cost/Acre












Your
Cost/Acre


Cost/Acre

$22.75
1.32

32.38

$56.45


Cost/Acre

$24.05
11.55
1.32


32.38

$69.30


Cost/Acre

$11.00
4.33
25.66

22.74

$63.73


______U___ _____ ___I ___ ____ __


- ---------------------_______ _


------- ------ ------- -- - ------- -------









Table 1-A.-SUMMER SPRAY (cont'd.)
Materials/
Spray Program #8 Ingredients


Amount/
Acre Cost/Acre


Spray Program #9


Spray Program #10


Table 1-A.-FALL SPRAY


Spray Program #11


Oil
Cu
Ethion
Ground
Application

Total

Materials/
Ingredients

Oil
Vendex
Cu
Ground
Application

Total

Materials/
Ingredients

Kelthane
Cu
Oil
Ground
Application

Total


Materials/
Ingredients

Kelthane
Sticker
Ground
Application

Total


Your
Cost/Acre


$11.00
8.08
25.66


32.38

$77.12


5 gals
7.0 lbs
7.5 pts

500 gals


Amount/
Acre

2.5 pts
2 Ibs
7 lbs

500 gals


Amount/
Acre

5 pts
7 Ibs
5 gals


500 gals


Amount/
Acre

5 pts
1 pt


500 gals


Your
Cost/Acre










Your
Cost/Acre


Your
Cost/Acre


Cost/Acre

$ 5.50
36.39
8.09

32.38

$82.36


Cost/Acre

$24.65
8.09
11.00


32.38

$76.12


Cost/Acre

$24.65
1.32


32.38

$58.35


--~- ~-~--~----- ~-


---


-----I---------------------


-----UI----'


- -- -------- --- ---------- --- -----~---









Table 1-A.--FALL SPRAY (cont'd.)

Materials/
Spray Program #12 Ingredients

Vendex
Sticker
Ground
Application

Total


Spray Program #13


Materials/
Ingredients

Ethion
Sticker
Aerial
Application

Total


Materials/
Spray Program #14 Ingredients

Sulfur (Dust)
Ground
Application

Total


Table 1-A.--DORMANT SPRAY
Materials/
Spray Program #15 Ingredients

Difolatan
Sticker
Ground
Application

Total


Amount/
Acre

1.25 Ibs
1 pt

250 gals


Amount/
Acre

5 pts
1 pt

500 gals


Amount/
Acre

70 lbs








Amount/
Acre

6.5 Ibs
1 pt

125 gals


Cost/Acre

$22.75
1.32

22.74

$46.81


Your
Cost/Acre










Your
Cost/Acre










Your
Cost/Acre











Your
Cost/Acre


Cost/Acre

$17.10
1.32

32.38

$50.80


Cost/Acre

$11.82

7.19

$19.01





Cost/Acre

$39.20
1.32

18.51

$59.03


_U_ __ ______ I_ I


_ _____________U________ ~__~__ __


_ __________U_~~ __










Table 2-A.--Herbicide


Herbicide Program #1

(Strip/band)


Herbicide Program #2

(Strip/band)


Herbicide Program #3

(Strip/band)


Herbicide Program #4

(Strip/band)


Herbicide Program #5

(Spot herbicide
for grass/brush
regrowth under
trees.)


Materials/
Ingredients

Krovar II
Ground Application
(2 times)
Total


Materials/
Ingredients

Roundup
Ground Application
(1 time)
Total


Materials/
Ingredients

Krovar II
Ground Application
(3 times)
Total


Materials/
Ingredients

Round-up
Princep
Ground Application
(1 time)
Total


Materials! Amount!----


Materials/
Ingredients

Round-up


Ground Application
(1 time)
Total


Amount/
Acre

4 Ibs


80 gals


Amount/
Acre

2 qts

20 gals


Amount/
Acre

12 Ibs


33 gals


Amount/
Acre

1 qt
4 lbs


50 gals


Amount/
Acre

1 pt


Your
Cost/Acre


Your
Cost/Acre


Your
Cost/Acre


Your
Cost/Acre


Your
Cost/Acre


Cost/Acre

$37.49

19.88
$57.37


Cost/Acre

$35.84

9.94
$45.78


Cost/Acre

$.84.72

29.82
$114.54


Cost/Acre

$17.92
11.44

9.94
$39.30


Cost/Acre

$ 8.96


3.28
$12.24


_~___ ______________ ________ ___


---------- ------- ---- --- --- --- ---- ---


- ---- -- ---- ---- ----- -- ----- ----- -- _


- - - - - - - - - - - - -








Table 2-A.-Herbicide

Herbicide Program #6

(Trunk-to-trunk)


(cont'd.)
Materials/
Ingredients

Krovar II
Ground Application
(2 times)
Total


Table 3-A.-Dry fertilizer


Program #1


Analysis/Material
Applied

17-0-17-3 MgO


Application

Total


Program #2









Program #3









Program #4


Analysis/Material Amount/
Applied Acre Cost/Acre

16-0-16 MgO 1325 Ibs $106.00

Application 3 times 26.31

Total $132.31

Analysis/Material Amount/
Applied Acre Cost/Acre

16-4-16-3 MgO 1500 lbs $130.35

Application 2 times 17.54

Total $147.89

Analysis/Material Amount/
Applied Acre Cost/Acre

15-4-15-2.4 MgO 1500 lbs $132.00

Application 3 times 26.31

Total $158.31


Amount/
Acre

12.0 lbs


Your
Cost/Acre


Cost/Acre

$ 84.72

22.50
$107.22


Amount/
Acre

1600 lbs

3 times


Your
Cost/Acre


Cost/Acre

$140.80

26.31

$167.11


Your
Cost/Acre


Your
Cost/Acre


Your
Cost/Acre









Table 3-A.-Dry fertilizer (cont'd.)
Analysis/Material
Program #5 Applied

12-2-15-2.4 MgO


Application

Total


Program #6

(Young Trees-
Solid Set)


Analysis/Material
Applied

8-4-8-.25 Cu-.25 Mn

Application


Total


Program #7

(Young Trees-
Solid Set)


Analysis/Material
Applied

8-4-8-.25 Cu-.25 Mn

Application


Total


Amount/
Acre

1500 Ibs

3 times


Your
Cost/Acre


Cost/Acre

$115.50

26.31

$141.81


Amount/
Acre

475 Ibs

1 time


Cost/Acre

$35.34


Your
Cost/Acre


4.03

$39.37


---- --- ---- --- ---- --- ---- --- --ount-


Amount/
Acre

302 Ibs

1 time


Cost/Acre

$21.69


Your
Cost/Acre


4.03

$25.72


U__ __ ___ __________ __~~_L~____ ___









Table 4-A.-Liquid fertilizer (Boom application)


Program f#


Analysis/Material
Applied

12-0-12

Boom Application

Total


Program #2


Analysis/Material
Applied

12-0-12
Krovar II

Boom Application

Total


Table 5-A.-Fertigation


Program #1

(Supplemental)


Analysis/Material
Applied

10-0-10


Application

Total


Program #2

(Supplemental)


_Aalsi/M teia Amoun___U ___ __ __ t/


Analysis/Material
Applied

8-4-8


Application

Total


Program #3

(Exclusive)


Anlsi/atra Amount/_ _


Analysis/Material
Applied

8-0-8


Application


Total


Amount/
Acre

1500 Ibs

3 times


Your
Cost/Acre


Cost/Acre

$114.75

25.50

$140.25


Amount/
Acre

1500 Ibs
4 Ibs

3 times


Your
Cost/Acre


Cost/Acre

$114.75
37.49

25.50

$177.74


Amount/
Acre

400 lbs


Cost/Acre

$29.93


Your
Cost/Acre


2.41

$32.34


Amount/
Acre

750 lbs


Cost/Acre

$44.90


Your
Cost/Acre


4.30

$49.20


Amount/
Acre

2000 lbs


Your
Cost/Acre


Cost/Acre

$115.50

12.00

$127.50


___ ___ ___ ___ _~__ ___










Table 6-A.-Nematicides


Program #1


Analysis/Material
Applied

Temik 15 G


Application

Total


Program #2


AnlssMtra Amount! _


Analysis/Material
Applied

Nemacur 15 G


Application

Total


Table 7-A.-Soil amendment


Program #1

(Every 3 years)


Analysis/Material
Applied

Dolomite (Delivered)
Application

Total
(Average 1/3 Ton


Amount/
Acre

1 ton
1 time


Applied/Yr)


Program #2

(Every year)


Analysis/Material
Applied

Dolomite (Delivered)
Application


Total


Amount/
Acre

33 lbs


Your
Cost/Acre


Cost/Acre

$116.16

12.08

$128.21


Amount/
Acre

67 Ibs


Your
Cost/Acre


Cost/Acre

$198.25

12.08

$210.33


Your
Cost/Acre


Cost/Acre

$22.03
6.84

$28.87
$ 9.62


_ __ U_~__ Amount!


Amount/
Acre

1000 lbs


Your
Cost/Acre


Cost/Acre

$11.02
6.84

$17.86









Table 8-A.-Irrigation--annual cost per acre


PERMANENT OVERHEAD


Operating


Maintenance of System

Total Cost


Program #1

$102.00
(Electric)

23.33

$125.33


Your
Cost/Acre


Program #2

$ 76.50
(Diesel)

29.16

$105.66


MICROSPRINKLER


Operating


Maintenance of System

Total Cost


Program #3

$59.02
(Electric)

36.12

$95.14


Your
Cost/Acre


Program #4

$40.13
(Diesel)

41.54

$81.67


VOLUME GUN (TRAVELING)


Program #5

$176.73
(Diesel)

14.99

$191.72


Maintenance of System

Total Cost


Your
Cost/Acre


Your
Cost/Acre


Operating


Your
Cost/Acre


________________ _______ __












Table 9-A.-A listing of 1988 custom rates reported by forty Ridge citrus caretakers

Range of Rate Avera|e
Grove Practice Unit Reported Rate Comeents


CULTIVATION:


Hand Hoe/Hand Labor
Machine Hoe
Rotovate
Disc 7'
Disc 7'
Disc 9'-10'
Disc 9'-10'
Chop
Chop
How 5'-7'
How 11-15'
Herbicide (Strip/Band)
Herbicide (Strip/Band)
Herbicide (Trunk-to-Trunk)
Herbicide (Trunk-to-Trunk)
Herbicide (Chemical Mow)
Temik/Nemacurz
Plow
Deviner
Root Rake
Machine Bank

SPRAYING:z


* 6.25-$ 10.00
19.00- 25.00
20.00- 32.00
17.50- 25.00
5.00- 7.00
19.50- 28.00
8.00- 12.00
17.50- 28.00
8.00- 12.00
17.50- 25.00
26.70- 31.00
18.00- 28.00
8.50- 13.00
19.20- 30.00
9.00- 14.00
5.00- 10.00
10.00- 14.00
17.25- 25.00


22.70- 30.00


$ 7.53 Plus transportation; One renting transportation
22.19 One reporting $35.00 per scre \charge: # 50//mile
25.02 \and $1.00/day
20.20 Two-way discing
6.00 One-way discing; Avg. $9.00/acre two ways
21.89 Two-way discing
8.81 Avg. $7.50/acre one-way discing
21.8 Two ways; Avg. 6.94/acre one-way chopping
9.11
23.34 Avg. $10.00/scre
29.29 Offset mower-Avg. $23.33/hour
21.91 Plus materials
9.94 Plus materials; One reporting 36/gallon plus
23.63 Plus materials \materials
11.25 Plus materials; One reporting 30D/lallon plus
7.38 Plus materials; Avg. 21.80/Hr \materials
12.08 Plus materials; Young tree Temik avg. $6.50/acre
21.06
21.55
23.75
26.35


Hand Sprayer Hour $ 30.00-$ 36.00 5 32.81
Hand Sprayer Hour 35.00- 50.00 43.30
Boom Sprayer Tank 55.00
Dilute, 500 gal. tank Tank 15.00- 19.80 16.66
2X, 500 gal. tank Tank 30.00- 40.00 32.28
3X, 500 gal. tank Tank 30.00- 48.00 36.30
4X, 500 gal. tank Tank 48.00- 64.00 54.88
6X, 500 gal. tank Tank 60.00- 96.00 76.07
Average Per Acre Charge: 500 gallons/acre a $21.33; 250 gallons/acre s $22.83;
Aerial: Fixed Wing Acre 3.50
Fixed Wing Acre 6.60- 10.00 7.87
Helicopter-$10.00/acre 0 10 GPA

DUSTING:z


Tractor, sprayer and 2 workers
Tractor, sprayer and 3 workers

One reportingj31.70/hour for speed sprayer and
\$38.70/hour for Tree-See-Sprayer

Avg. $11.00/acre

100 gallons/acre a 120.00
5 gallons per acre
10 gallons/acre; One reporting cost plus 55


Ground Application
Ground Application
Aerial Application

FERTILIZING:z

Liquid Boom Application
Dry (Bulk)
Dry (Bulk)
Dry (Bulk)
Lime or Dolomite
Lime or Dolomite
Lime or Dolomite
Fertilize Young Trees:z
Hand Spread
Fert. Spreader
Fert. Spreader
Inject Liquid into Irrigation System

IRRIGATION:


$ 21.20-$ 32.75
5.00- 10.00


$ 26.98
7.19
6.00


One reporting cost plus 51


SB.50/acre; t25/Hr
Hour $ 22.00-$ 28.00 $ 24.94
Ton 10.00- 15.00 11.80 Avg. $22.00/ton for hauling and spreading
Acre 5.00- 8.50 8.77 One reporting $4.00/acre for truck spreader
Hour 22.00- 30.00 25.34
Ton 5.00- 10.00 7.40
Acre 5.00- 8.40 6.84
Liquid Mixed and Liquid Nitrogen: $9.00/acre
Hour 6.25- 10.00 7.53 Labor; transportation
Hour 18.70- 29.90 22.82
Acre 5.50- 8.25 6.75 Solid-set plantings
$20.00/Hr; $20.00/Trip; $10.00/Acre Labor plus 50O/mile


Hicrosprinkler
Permanent Overhead
Permanent Overhead
Microsprinkler
3-Vheel ATC
Water/Supply Truck
Ring Young Trees:
Hand Labor
Mechanical

IDEOVING TREES:

Tractor
Front End Loader
Bulldozer


Acre
Acre
Per run/Trip
Per run/Trip
Hour
Hour

Hour
Hour


3 2.25-$ 2.50
2.25- 3.00
8.50- 16.75
8.50- 16.75
10.00- 16.50
15.50- 25.00

6.25- 10.00
20.00- 30.00



$ 15.70-$ 25.00
32.50- 55.00
35.00- 50.00


$ 2.42
2.69
11.31
12.05
13.00
19.74

7.53
23.75


Start and supervision
Start and supervision
Start and supervision; One reporting $30.00/day
Start and supervision; One reporting labor plus
Check microaprinkler irrigation system \50t/mile


Labor plus equipment


) 21.14 Tractor and driver only; 3 to 7 trees removed/Hr
42.60 Trees removed: Low 9 trees/Hr; High 23 trees/Hr
36.70 Trees removed: Low 12 trees/Hr; High 25 trees/Hr










Table 9-A.-A listing of 1988 custom rates reported by forty Ridge citrus caretakers (oont'd.)


Unit


Range of Rate AveraI e
Reported Rate


PRUNING:

Power Saw with Operator
Power Saw without Operator
Hedging:
Single Side (Tractor Pulled)
Single Side (Self Propelled)
Double Side (Tractor Pulled)
Double Side (Self Propelled)
Double Side (Self Propelled)
Topping (Tractor Pulled)
Double Boom Topper (Self Propelled)
Topper (Self Propelled)
Removing Brush:
Haul Brush out of Grove
Front-end Loader (Push Brush)
Chop Brush
Brush Shredder (Self Propelled)

FIRE GROVE:

Stand-by
Firing

BANK AND UNBANK TREES:

Hand Labor
Mechanical
Mechanical (With Ant Control)
Poly Wraps

OTHER CUSTOM RATES:

Pick-up Truck with Driver
Truck with Driver
Tractor with Driver
Plant Resets
Solid Set Planting
Mechanic Labor
Grove Management Charge/Month
Marketing Charge



Total Reported Acreage Provided
Grove Service to: (62,699 acres)


Hour
Hour

Hour
Hour
Hour
Hour
Hour
Hour
Hour
Hour

Hour
Hour
Hour
Hour



Night
Night



Hour
Hour
Hour
Per wrap



Hour
Hour
Hour
Per tree
Per tree
Hour
Acre
Box




Acre


* 10.00-S 15.80
4.00- 8.00

35.00- 40.00
55.00- 75.00
50.00- 65.00

200.00- 260.00
73.10- 90.00

150.00- 220.00

15.00- 22.50

19.70- 32.00




$ -S




$ 6.25-$ 10.00
15.50- 25.00
30.00- 35.00
0.20- 0.31



$ 10.50-$ 15.00
17.50- 28.00
17.00- 25.00
3.60- 5.00
0.90- 1.40
15.00- 23.50
1.00- 2.75
0.05- 0.25


$ 13.72
5.45

38.00
65.00
59.74
90.00
225.17
81.70
400.00
185.00

18.48
45.00
23.12
290.00



$ 18.00
26.00



$ 7.53
20.46
32.50
0.26



$ 12.99
17.97
19.92
1.30
1.18
18.58
2.02
0.15


100- 9,800 1,844


Plus transportation and equipment
$25/day; (15/one-half day

Cover 2-4 acres/hour
Cover 2-5 ares/hour
Cover 2-7 acres/hour
Cover 3-9 acres/hour
Cover 5-20 acres/hour depending on density of
Cover 1-3 acres/hour \growth
Cover 2-10 acres/hour
Cover 5-10 acres/hour

Tractor/truck and driver

3-6 acres/hour
Cover 3-25 acres/hour



One caretaker reporting actual costs plus 50%




Labor plus transportation


Labor plus cost of wrap; Cost plus 101-151



One reporting 4Di/mile plus labor
Avg. 556/mile



One reporting labor plus 50C/mile
Several caretakers reported a yearly management

costs; 10-201 handling spray and fertilizer
materials; management charge is for super-
ising grove care operation. One reporting a
% cash discount for oavment within 10 days.


ZPlus materials. Caretakers reporting


rates include labor, tractor and sprayer; supply truck included by most caretakers.


YCalculated by dividing the total number of caretakers reporting a grove practice rate into the sum reported. Unless otherwise
stated, labor included with all charges.


Source: Ronald P. Muraro, Extension Far HManagement Economist, Lake Alfred CREC, April 1988.


Grove Practice


Comments





23



Table 10-A.-Sumary of average* fertilizer and wieal price estimates


lange of Price Average
Ite Unit Reported Price


CHEMICALS


Allette 80VP
Benlate
Borates
Carzol SP
Chlorobenzilate
Comite
Copper
Cygon
Diazinon IE
Dioofol iMF
Ethion
Guthion
Kelthane MF
Lorsban 4EC
Lorsban 150
Malathion
Manganese
Methobromide 98/2
Mocap EC
Mocap 1DG
Neascur 3EC
Nemacur 15G
Oil (Soluble)
Ridomil 2E
Ridomil 50
Sticker
Sulphur 6F
Sulphur Dust
Supracide
Temik 150
Vapas
Vendex 50W
Vorlex
Vorlex 201
Zinc
Zineb
Herbicide: DeVin


Fusilade 2000
Gramoone (Paraquat)
Hyvar L
Hyvar X
KarIex
Direx
Krovar I
Krovar II
Princep
Round-up (1 gal)
Round-up (2 gal)
Sim-Trol (Simazine 4(
Solicam
Treflan


00)


lb.
lb.
lb.
lb.
gal.
gal.
lb.
gal.
gal.
gal.
gal.
I1.
gal.
gal.
gal.
lb.
gal.
lb.
lb.
gal
lb.
gal.
lb.
gal.
gal.
lb.
gal.
gal.
ton
gal.
lb.
gal.
lb.
gal.
gal.
lb.
lb.
gal.
Ial.
gal.
gal.
lb.
lb.
gal.
lb.
lb.
lb.
gal.
gal.
gal.
lb.
gal.


$ 10.65-$
12.75-
0.55-
25.00-
35.00-
51.00-
0.92-
25.00-
23.90-
36.10-
23.00-

33.95-
32.50-
1.52-
14.15-
0.20-
1.45-


49.65-
2.64-
1.70-
125.00-
7.25-
8.50-
I.00-
278.00-
34.00-
3.15-
5.50-
15.85-
16.10-

0.51-
2.45-

88.00-
38.00-
11.55-
10.40-
3.25-
16.00-
6.70-
7.95-
2.47-
72.30-
64.50-
10.50-
10.50-
29.87-


12.30
14.75
0.57
25.95
36.00
61.00
1.16
33.35
39.55
40.80
28.10

37.00
41.05
1.60
17.95
0.30
1.70


57.33
2.85
2.10
142.00
7.65
10.50
4.50
340.00
38.65
3.47
8.25
18.40
18.00

0.68
2.77

97.50
44.00
50.00
12.51
3.50
17.35
8.10
9.66
3.20
88.80
66.55
11.10
13.61
33.50


$ 11.33
13.34
0.56
25.32
35.30
55.17
1.05
30.81
29.72
37.49
24.89
25.00
35.86
31.95
1.55
15.86
0.25
1.58
52.50
0.95
52.78
2.69
2.00
131.31
7.38
9.61
4.25
313.37
36.31
3.20
7.08
16.54
16.55
17.00
0.58
2.60
64.00
91.45
40.57
44.16
11.18
3.42
16.62
7.06
8.52
2.60
79.02
65.17
10.73
11.38
30.84


e





24

Table 10-A.--Sumary or average fertilizer and oheical price estimates (cont'd.)


Range of Price Average
Ite Unit Reported Price


FERTILIZER (FOB Price ( Plant)

Dry Nix
16-0-16
16-4O-IMgO0
15-4-15-2.4
12-2-15-2.4Mg0
8-8-8
-8--8 W/ainors
8-2-8
6-2-8-2 u/minors
6-6-6 v/minors

Liquid Mix
6-0-12
8-0-8
8-2-8
8-4-8
9-3-9
9-4-9
10-0-10
10-2-10
12-0-6
12-3-6

Slow Release (Young Tree)

Formulation Analysis
8-4-10 (255 organic)
IBDU
8-4-8
10-3-7
14-3-3 (Briquette)
Omiocote
17-6-9 plus minors
aO Scott
8-4-8 (bagged)

Other Fertilizer Materials
Amonium Nitrate (215 Liquid)
mmonii Nitrate (Dry)
mmonium Sulfate
Calciumm Nitrate
Dolomite (at mine)
High Cal Lime (at aine)
Nuriate of Potash
Super Phosphate
Triple Superphosphate
Average Delivery Cost


$127.27-$165.00
144.47- 168.50


130.12-
104.95-
122.30-
90.00-
106.60-
110.00-


165.00
145.00
142.00
133.00
137.92
129.00


$2000.00-42120.00


$ 90.00-$105.00
150.00- 165.00
86.00- 110.00
162.00- 180.00
9.10- 11.25
8.20- 8.50
155.00- 178.00
115.00- 132.00
180.00- 192.50
6.00- 10.00


$142.92
155.95
151.27
148.01
124.78
131.36
114.66
126.88
122.12


$ 95.00
105.00
99.25
107.00
128.00
131.00
111.00
120.00
107.28
118.00


$148.50


246.00
332.00
2100.00


$2060.00


450.00


S 97.50
154.50
94.20
166.60
10.03
8.35
164.73
125.00
184.91
8.25


Lake Alfred,


SOURCE: Ronald P. Muraro, Extension Farm Management Economist, CREC.
Florida, April 1988.







Table 11-A.-Historic pricesa for selected citrus varieties
Variety

Crop Earlyb and mid-c Late season Temple Tan- Tan- Seedy e Seedless grapefruitt
year season oranges oranges oranges gerines gelos grapefruit (white) (pink)

1957-58 $1.57 $3.17 $2.33 $2.40 $3.75 $0.74 $1.11 $1.30
1958-59 2.65 3.12 2.87 1.62 3.55 0.83 1.11 1.44
1959-60 1.82 2.07 2.41 2.59 4.29 0.91 1.16 1.05
1960-61 2.86 3.08 3.43 1.51 4.91 0.84 1.05 0.99
1961-62 1.93 1.81 2.17 2.04 3.36 0.51 0.68 0.86
1962-63 2.17 3.50 3.09 3.02 4.66 0.74 1.29 1.81
1963-64 4.43 4.45 4.45 3.18 4.83 1.91 2.24 2.54
1964-65 2.57 2.28 2.77 2.68 4.00 1.13 1.51 1.82
1965-66 1.44 1.79 1.80 2.14 2.85 1.09 1.39 1.64
1966-67 0.81 1.08 0.88 1.06 1.64 0.60 0.73 0.94
1967-68 1.86 2.28 2.79 4.29 3.22 1.48 2.05 2.48
1968-69 1.56 1.83 2.22 2.55 2.47 0.81 0.98 1.15
1969-70 1.15 1.13 1.47 2.23 1.13 1.42 1.72 1.92
1970-71 1.10 1.91 1.91 1.88 1.04 1.68 1.89 2.15
1971-72 1.98 2.11 1.95 2.97 1.69 2.01 2.27 2.69
1972-73 1.43 1.71 1.95 2.37 1.39 1.63 2.06 2.53
1973-74 1.38 1.59 1.64 2.82 1.25 1.31 1.58 2.12
1974-75 1.46 1.82 1.68 3.05 1.45 0.87 1.55 2.59
1975-76 1.69 1.88 1.79 3.02 1.42 0.85 1.29 2.23
1976-77 1.89 2.63 2.16 3.29 1.42 1.20 1.49 2.04
1977-78 3.90 4.40 3.92 4.79 3.29 1.45 1.47 2.09
1978-79 4.44 4.95 4.89 4.99 3.90 1.84 2.21 3.13
1979-80 3.59 3.89 2.89 4.25 2.87 3.04 3.12 3.80
1980-81 3.67 4.63 4.21 5.45 3.92 2.92 3.46 4.22
1981-82 4.27 4.29 4.01 6.23 3.58 1.13 1.92 2.80
1982-83 4.88 5.41 3.99 7.57 4.37 0.70 1.51 3.20
1983-84 5.09 6.72 5.34 5.93 4.28 2.01 2.08 4.05
1984-85 7.30 6.88 5.59 15.91 7.08 2.58 3.02 4.84
1985-86 3.92 3.97 3.01 12.69 4.06 3.27 3.56 4.98
1986-87 4.12 5.64 3.45 11.96 3.64 4.25 4.43 5.77


a
On-tree average price per box (1-3/5 bushel
box equivalents) for all methods of sale
minus pick and haul charges.
Source: Florida Agricultural Statistics Service.


Navel and Hamlin
CParson Brown and Pineapple
Valencia


fDunc an
Marsh (white) or pink










Table 12-A.-Debt which can be supported per $1,000.00 annual payment capacity

Rate

Years 9.0% 9.5% 10.0% 10.5% 11.0% 11.5% 12.0% 12.5% 13.01 13.5% 14.0% 14.5% 15.0%


1 917 913 909 905 901 897 893 889 885 881 877 873 870
2 1,759 1,747 1,754 1,724 1,713 1,701 1,690 1,679 1,668 1,657 1,647 1,636 1,626
3 2,531 2,509 2,487 2,465 2,444 2,423 2,402 2,381 2,361 2,341 2,322 2,302 2,283
4 3,240 3,204 3,170 3,136 3,102 3,070 3,037 3,006 2,974 2,944 2,914 2,884 2,855
5 3,890 3,840 3,791 3,743 3,696 3,650 3,605 3,561 3,517 3,475 3,433 3,392 3,352
6 4,486 4,420 4,355 4,292 4,230 4,170 4,111 4,054 3,998 3,942 3,889 3,836 3,784
7 5,033 4,950 4,868 4,789 4,712 4,640 4,564 4,492 4,423 4,355 4,288 4,224 4,160
8 5,535 5,433 5,335 5,239 5,146 5,056 4,968 4,882 4,799 4,718 4,639 4,562 4,487
9 5,995 5,875 5,759 5,646 5,537 5,431 5,328 5,228 5,132 5,038 4,946 4,858 4,772
10 6,418 6,279 6,145 6,015 5,889 5,768 5,650 5,536 5,426 5,319 5,216 5,116 5,019
11 6,805 6,647 6,495 6,348 6,207 6,070 5,938 5,810 5,687 5,568 5,453 5,341 5,234
12 7,161 6,984 6,814 6,650 6,492 6,341 6,194 6,054 5,918 5,787 5,660 5,538 5,421
13 7,487 7,291 7,103 6,923 6,750 6,583 6,424 6,270 6,122 5,979 5,842 5,710 5,583
14 7,786 7,572 7,367 7,170 6,982 6,801 6,628 6,462 6,302 6,149 6,002 5,861 5,724
15 8,061 7,828 7,606 7,394 7,191 627a 6,811 6,633 6,462 6,299 6,142 5,992 5,847
16 8,313 8,062 7,824 7,596 7,379 7,172 6,974 6,785 6,604 6,431 6,265 6,106 5,954
17 8,543 8,276 8,022 7,779 7,549 7,329 7,119 6,920 6,729 6,547 6,373 6,207 6,048
18 8,756 8,471 8,201 7,945 7,702 7,470 7,250 7,040 6,840 6,649 6,467 6,294 6,128
19 8,950 8,650 8,365 8,095 7,839 7,596 7,366 7,146 6,938 6,739 6,551 6,370 6,198
20 9,129 8,812 8,514 8,231 7,963 7,710 7,469 7,241 7,025 6,819 6,623 6,437 6,259
25 9,823 9,438 9,077 8,739 8,422 8,123 7,843 7,579 7,330 7,095 6,873 6,663 6,464
30 10,274 9,835 9,427 9,047 8,868 8,364 8,055 7,766 7,496 7,242 7,003 6,778 6,566
35 10,567 10,087 9,644 9,234 8,855 8,503 8,175 7,870 7,586 7,320 7,070 6,836 6,617
40 10,757 10,247 9,779 9,348 8,951 8,587 8,244 7,928 7,634 7,361 7,105 6,866 6,642


aExample.


Assumes a $10,000 after tax income at 11.5% interest rate and a 15-year term mortgage, the total


debt which can be supported is $69,970 ($6,997 x 10). At 11.5% interest rate and a 20-year term mortgage, the
total debt which can be supported is $77,100 ($7,710 x 10).


_ _


--









Table 13-A.-Amount that can be paid for a grove based upon on-tree price per box, yield per acre and
mortgage repayment capacity


On-tree price per boxb
Boxes
/Acre $3.50 $4.00 $4.50 $5.00 $5.50 $6.00 $6.50 $7.00 $7.50 $8.00


-------------- -----------------Dollarsperacre-----------------------------------

250 837 1,674 2,511 3,349C 4,186 5,023 5,860 6,697 7,534 8,371
275 1,423 2,344 3,265 4,186 5,107 6,027 6,948 7,869 8,790 9,711
300 2,009 3,014 4,018 5,023 6,027 7,032 8,037 9,041 10,046 11,050
325 2,595 3,683 4,772 5,860 6,948 8,037 9,125 10,213 11,301 12,390
350 3,181 4,353 5,525 6,697 7,869 9,041 10,213 11,385 12,557 13,729
375 3,767 5,023 6,279 7,534 8,790 10,046 11,301 12,557 13,813 15,069
400 4,353 5,693 7,032 8,371 9,711 11,050 12,390 13,729 15,069 16,408
425 4,939 6,362 7,785 9,209 10,632 12,055 13,478 14,901 16,324 17,747
450 5,525 7,032 8,539 10,046 11,553 13,059 14,566 16,073 17,580 19,087
475 6,111 7,702 9,292 10,883 12,473 14,064 15,655 17,245 18,836 20,426
500 6,697 8,371 10,046 11,720 13,394 15,069 16,743 18,417 20,091 21,766
525 7,283 9,041 10,799 12,557 14,315 16,073 17,831 19,589 21,347 23,105
550 7,869 9,711 11,553 13,394 15,236 17,078 18,919 20,761 22,603 24,445
575 8,455 10,381 12,306 14,231 16,157 18,082 20,008 21,933 23,859 25,784
600 9,041 11,050 13,059 15,069 17,078 19,087 21,096 23,105 25,114 27,123
625 9,627 11,720 13,813 15,906 17,999 20,091 22,184 24,277 26,370 28,463
650 10,213 12,390 14,566 16,743 18,919 21,096 23,273 25,449 27,626 29,802
675 10,799 13,059 15,320 17,580 19,840 22,101 24,361 26,621 28,881 31,142
700 11,385 13,729 16,073 18,417 20,761 23,105 25,449 27,793 30,137 32,481
725 11,971 14,399 16,827 19,254 21,682 24,110 26,537 28,965 31,393 33,820
750 12,557 15,069 17,580 20,091 22,603 25,114 27,626 30,137 32,649 35,160

Assumes a constant on-tree price per box over the analysis period; grove care cost of $750 per acre;
income tax rate of 33%; 15-year mortgage at 11.5% (APR) interest rate; and 30% of the purchase price as a
down payment. Due to the different tax depreciation options available to citrus grove purchasers, a
depreciation expense allowance was not included in estimating the tax liability.
The on-tree price represents the constant fruit price over the analysis period.

CExample. At $5.00 constant on-tree price per box, a buyer could pay $3,349 per acre for a grove
averaging 250 boxes per acre and could pay $11,720 per acre for a grove averaging 500 boxes per acre.