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Group Title: AE series - Agricultural extension service, University of Florida - 51-6
Title: Eighteen years of citrus costs and returns in Orange County Florida, 1931-1949
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Permanent Link: http://ufdc.ufl.edu/UF00071963/00001
 Material Information
Title: Eighteen years of citrus costs and returns in Orange County Florida, 1931-1949
Physical Description: 12 p. : ; .. cm.
Language: English
Creator: Savage, Z
Publisher: s.n.
Place of Publication: Gainesville
Publication Date: 1951
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Genre: non-fiction   ( marcgt )
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Statement of Responsibility: by Z. Savage.
Funding: AE series - Agricultural extension service, University of Florida ; 51-6
 Record Information
Bibliographic ID: UF00071963
Volume ID: VID00001
Source Institution: Marston Science Library, George A. Smathers Libraries, University of Florida
Holding Location: Florida Agricultural Experiment Station, Florida Cooperative Extension Service, Florida Department of Agriculture and Consumer Services, and the Engineering and Industrial Experiment Station; Institute for Food and Agricultural Services (IFAS), University of Florida
Rights Management: All rights reserved by the source institution and holding location.
Resource Identifier: oclc - 67698055
clc - 000446479

Table of Contents
    Copyright
        Copyright
    Front Cover
        Front Cover
    Main
        Page 1
        Page 2
        Page 3
        Page 4
        Page 5
        Page 6
        Page 7
        Page 8
        Page 9
        Page 10
        Page 11
        Page 12
Full Text





HISTORIC NOTE


The publications in this collection do
not reflect current scientific knowledge
or recommendations. These texts
represent the historic publishing
record of the Institute for Food and
Agricultural Sciences and should be
used only to trace the historic work of
the Institute and its staff. Current IFAS
research may be found on the
Electronic Data Information Source
(EDIS)

site maintained by the Florida
Cooperative Extension Service.






Copyright 2005, Board of Trustees, University
of Florida




february 1951

February 1951


Bureau of Economic
and Business Research
University of Florida
AL Series No. 51-6


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tarston Science
Library
OCT 10 19


University of Florida
", uCTJ )r


By Zach Savage, Associate Agricultural Economist


Issued by
Agricultural Extension Service, University of Florida
Gainesville, Florida
In Cooperation with the Orange County Agricultural Agent


"


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EIGHTEEN YEARS OF CITRUS COSTS AND RETUPIMS
in
ORANGE COUNTY FLORIDA, 1931-49





By Zach Savage, Associate Agricultural Economist
Florida Agricultural Experiment Station



Through the cooperation of interested citrus growers, the Florida
Agricultural Extension Service, which includes the Orange County Agricultural
Agent, has conducted a citrus costs and returns study since 1931 in Orange
County. Figure 1. The study has included an average of 30 groves each season
for 18 seasons, 1931-49. Each of these groves averaged over 10 years of age
as of the season of the record,

Averages of data from these groves are by no means taken to represent
averages for Orange County. Groves included in these records are those of
cooperators who were sufficiently interested in citrus grove record work to
S supply their records. It is thought that the average of the growers who will
cooperate in supplying copies of their grove records is above the average of
all growers. Consequently it seems plausible to assume that the average grove
of these records was a better grove than the average for the county as a whole.
Therefore, data from these groves are expected to show more favorable results,
in most cases, than comparable data for all groves of the county. However, it
is believed that trends in the averages for these groves are similar to trends
in averages of all groves within the county of corresponding ages.

Age of tree from time of setting in the grove is the easiest and most
convenient method of delineating groves in making sorts and comparing data.
Many groves included in this study had mixed ages of trees. In such cases the
average age is used. This average is weighted by the number of tiees of each
age. This procedure often results in soue individual groves showing rather
high yields at young ages as well as higher figures for other items for groves
of the quoted age than would. ordinarily be expected in groves with all the
trees actually of that age.

The number of groves of these records over 10 years of age varied
from 19 to-We per season and averaged 30 (Table 1, pages 3-5). The acreage
varied from 258.6 in 1931-32 to 903.2 in 1940-41. The acreage in 1948-49 was
533.2 acres which was 1.35 percent of the total citrus acreage within the
county of these ages.

The acreage per grove varied somewhat from season to season due to
the shifts in groves included in the records. These shifts were brought about





Orange County
Eighteen Years of Citrus Costs and Returns


Page 2


Figure 1. -- FLORIDA
SHOWING LOCATION OF ORANGE COUNTY


by different causes but were due chiefly to transfers of grove ownership. The
average acreage per grove was 20 acres for the 18 seasons. Seasonal averages
varied from 12 to 25 acres per grove.

The average age of groves from time of setting the nursery stock
varied from 18 to 22 years and averaged 19 years for the 18-year period. This
variation in average age should be kept in mind when comparing seasonal data.

The number of trees set per acre varied somewhat by seasons but not
materially. The average for the period was 64 trees per acre,

The percent of trees grapefruit is another important consideration
when comparing the amount of fruit harvested, costs, returns, net returns, and
other items for different seasons or groups of groves. Grapefruit groves
usually have higher yields, higher costs per acre, lower returns and net
returns per acre than orange groves of copioarable ages. The cost per box is
usually lower for grapefruit due to higher yields more than off-setting the
higher costs per acre for grapefruit. The lower price usually received for
grapefruit results in lower returns per acre, and lower net returns per acre
and per box.

The percentage of trees grapefruit varied by seasons from 4.3 to 25.6
and averaged 11.1 for all seasons. Since the 1936-37 season this percentage
has been less than 11 percent each season.

Boxes harvested per acre averaged less than 200 each season prior to
1942-43, with the exception of the 1938-39 and 1932-33 seasons when the averages


** 7
^.W-







Table 1. -- PER ACRE AND PER BOX COSTS, RETURNS, AND OTHER DATA BY SEASONS FOR GROVES AVERAGING OVER 10 YEARS OF AGE


(continued)


Number of grove records...............
Total acres of groves................
Average acres per grove...............
Average age.. .......................
Number of trees per acre.............
Percent trees grapefruit.............
Boxes harvested per acre.............


1931-32 1932-33
20 21
258.6 293.6
13 14
18 18
65 61
25.6 24.1
173 207


1933-34 1934-35 1935-36 1936-37 1937-38


37
449.1
12
18
62
18.5
148


33
527.2
16
19
60
16.1
182


38
704.6
19
18
62
13.1
182


880.1
20
18
63
11.2
170


39
838.3
21
18
63
10.0
187


Costs per acre:
Labor, power, and equipment........$
Fertilizer and amendments...........
Spray and dust materials...........
State and county taxes.............
Miscellaneous......................
Total operating costs..............
Interest on grove valuation @ 6 ..
Total cost without owner supervision
Returns per acre:
Returns from fruit.................
Net returns........................
Net returns above operating costs..


Costs per box:
Labor, power, and equipment........
Fertilizer and amendments..........
Spray and dust materials...........
State and county taxes..............
Miscellaneous......................
Total operating costs...............
Interest on grove valuation C 6% ..
Total cost without owner supervision
Returns per box:
Returns from fruit.................
Net returns.......................
Net returns above operating costs..


1938-39

33
772.8
23
18
63
10.0
234


1939-40

36
853.2
24
18
64
9.3
147


1940-41

36
903.2
25
18
65
8.1
197


$ 28.15
26.23
3.75
6.32
1.62
66.07
44.95
111.02

162.72
51.70
96.65


$ 28.88
25.79
3.88
5.90
2.27
66.72
44.62
111.34

223. 00
111.66
156.28


$ 29.76
36.50
6.08
4.12
.1.52
77.98
40.72
118.70

112.32
-6.38
34.34


$ 27.49
32.15
4.30
4.10
.54
68s58
40.30
108.88

110.90
2.02
42.32


40.14
44.55
4.06
10.11
.38
99.24
49.93
149.17

191.91
42.74
92.67


.23
.26
.02
.06
*
.57
.29
.86

1.11
.25
.54


$ 32.05
32.62
3.51
8.29
.86
77.33
50.77
128.10

96.39
-31.71
19.06


.15
.16
.02
.04
*
.37
.25
,62

.47
-.15
.10


$ 25.76
29.32
.3.48
6.77
.91
66.24
45.60
111.84

112.61
.77
46.37


.17
.20
.02
.05
.01
.45
.30
.75

.76
.01
.31


$ 27.06
29.37
4.35
4.21
1.05
66.04
41.64
107.68

207.87
100.19
141.83


.16
.16
.03
.03
.01
.39
.24
.63

1.22
.59
.83


$ 24.92
27.96
5.05
4.34
.22
62.49
35.85
101.34

62.45
-38.89
-.04


.17
.19
.03
.03
*
..42
.26
.68

.42
-.26
- *


$ 19.49
25.07
4.88
4i 17
.55
54.16
37.62
91.78

128.00
36.22
73.84


.10
.13
.02
.02
*
.27
.19
.46:

.64
.18
.37


.16
.15
.02
.03
.01
.37
.24
.61

1.22
.61
.85


.16
.20
.03
.02
.01
.42
.21
.63

.60
-.03
.18


.12
.14
.02
.02
*
.30
.17
.47

.48
.01
.18


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Table 1. PER ACRE AND PER BOX COSTS, RETURNS, AND OTHER DATA BY SEASONS FOR GROVES AVERAGING OVER 10 YEARS OF AGE
-E ACR n Y' PIR O S,


Number of grove records................
Total acres of groves..................
Average acres per grove................
Average age ............................
Number of trees per acre...............
Percent trees grapefruit...............
Boxes harvested per acre...............


1941-42
36
878.2
24
19
65
7.3
158


1942-43
30
694.1
23
19
64
9.5
206


1943-44
26
649.8
25
20
63
9.9
271


1944-45
28
570.6
20
20
67
8.2
264


1945-46 1946-47


19
374.5
20
20
68
4.3
297


23
501.1
22
21
66
4.6
255


Costs per acre:
Labor, power, and equipment..........
Fertilizer and amendments ...........
Spray and dust materials..............
State and county taxes...............
Miscellaneous .......................
Total operating costs.................
Interest on grove valuation 6% ...
Total cost without owner supervision..
Returns per acre:
Returns from fruit. ..................
Net returns.........................
Net returns above operating costs ...


$23.12 $
25.39
5.52
4.93
.69
59.65
38.23
97.88 1

155.79
57.91
96.14


22.10
34.90
6.46
4.50
.78
68.74
39.55
.08.29

314.45
'06.16
245.71


$ 28.15
41.40
5.21
4.48
1.89
81.13
39.57
120.70

456.82
336.12
375.69


$ 31.22
48.02
6.47
4.48
1.00
91.19
47.35
138.54

573.46
434.92
482.27


$ 42.47
50.14
7.68
5.28
2.43
108.00
50.90
158.90

658.27
499.37
550.27


$ 68.19
62.42
9.33
8.26
2.01
150.21
58.73
208.94

219.17
10.23
68.96


$ 73.18
55.38
9.79
9.57
3.65
151.57
56.79
208.36

226.35
17.99
74.78


$ 52.62
49.95
8.64
11.35
3.61
126.17
56.86
183.03

350.83
167.80
224.66


.s-7 9




/ /. 7.


7/ '.^ 16
/.g';2, g


Costs per box:
Labor, power, and equipment...........
Fertilizer and amendments............
Spray and dust materials............
State and county taxes...............
Miscellaneous........................
Total operating costs.................
Interest on grove valuation @ 6 ....
Total cost without owner supervision..
Returns per box:
Returns from fruit...................
Net returns.........................
Net returns above operating costs....


.15
.16
.04
.03
*
.38
.24
.62


.99 1.53
.37 1.00
.61 1.20


1947-48
24
466.1
19
22
67
5.3
331


1948-49
25
533.2
21
22
66
4.8
288


r


S./Jy-JO




4/5


I -


.10
.15
.02
.02
.01
.30
.14
.44

1.68
1.24
1,38


.12
.18
.03
.02

.35
.18
.53

2.18
1.65
1.83


.14
.16
.03
.02
.01
.36
.17
.53

2.21
1.68
1.85


-/7


.6/


.19
.17
.03
.04
.01
.44
.20
.64


.27
.24
.04
.03
.01
.59
.23
.82

.86
.04
.27


.22
.17
.03
.03
.01
.46
.17
.63

.68
.05
.22


1.22
.58
.78


---


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0

0

0
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Table 1. -- PER ACRE AND PER BOX COSTS, RETURNS, AND OTHER


18-Year
Average
1931-49
Number of grove records ................ 30
Total acres of groves.................. 619.3
Average acres per grove................. 20
Average age............................ 19
Number of trees per acre............... 64
Percent trees grapefruit............... 11.1
Boxes harvested per acre............... 216
Costs per acre:
Labor, power, and equipment..........$ 34.71
Fertilizer and amendments............ 37.62
Spray and dust materials............. 5.69
State and county taxes................ 6.18
Miscellaneous.................... .. 1.44
Total operating costs................. 85.64
Interest on grove valuation @ 6 .... 45.72
Total cost without owner supervision.. 131.36


Returns per acre:
Returns from fruit...................
Net returns.........................
Net returns above operating costs....
Costs per box:
Labor, power, and equipment...........
Fertilizer and amendments............
Spray and dust materials..............
State and county taxes...............
Miscellaneous........................
Total operating costs.................
Interest on grove valuation @ 6% ...
Total cost without owner supervision..
Returns per box:
Returns from fruit...................
Net returns..........................
Net returns above operating costs....


* Less than $0.005.


242.41
111.05
196.77


DATA BY SEASONS FOR GROVES AVERAGING OVER 10


5-Year Averages
1931-36 1936-41 1941-46
30 38 28
446.6 849.5 633.4
15 23 23
18 18 20
62 64 65
19.5 9.7 7.8
178 187 239


$ 30.99
31.70
3.74
7.48
1.21
75.12
47.17
122.29

157.33
35.04
82.21


$ 25.74
30.21
4.93
4.19
.78
65.85
39.83
105.68

124.31
18.63
58.46


.16
.17
.03
.03
.01
.40
.21
.61


1.12
.51
.72


$ 29.41
39.97
6.27
4.73
1.36
81.74
43.12
124.86

431.76
306.90
350.02


.12
.16
.03
.02
.01
.34
.18
.52

1.80
1.28
1.46


3-Year
Average
1946-49
24
500.1
21
22
66
4.9
291


YEARS OF AGE
(concluded)


$64.66
55.92
9.25
9.73
3.09
142.65
57.46
200.11

265.45
65.34
122.80


.22
.20
.03
.03
.01
.49
.20
.69

.91
.22
.42


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Orange County
Eighteen Years of Citrus Costs and Returns Page 6

were 234 and 207 boxes respectively. The seasonal averages since that time,
1942-49, ranged from 206 boxes in 1942-43 to 331 in 1947-i4 and averaged 273
boxes per acre. The figure for 1947-48 was the highest of the 18 seasons and
the only season that averaged as much as 300 boxes. There were 9 seasons when
fruit harvested per acre was less than 200 boxes (Table 2). In making these
comparisons, the average age of trees and the proportion of the trees that were
grapefruit should be kept in mind.


Table 2. -- DISTRIBUTION OF SEASONAL AVERAGES OF
BOXES HARVESTED PER ACRE, 1931-49

Number Cumulative
Boxes per Acre Seasons Percent Percent

100 to 149 2 11.1 11.1
150 to 199 7 38.9 50.0
200 to 249 3 16.7 66.7
250 to 299 5 27.8 94.5
300 to 349 1 5.5 100.0
147 to 331 18 100.0 100.0



The average number of boxes harvested for the 5-year period 1931-36
was 178 per acre, 1936-41 187 boxes, and 1941-46 239 boxes (Table 1, pages 3-
5). The yield for the third period was one-third higher than for the first.
Some of the reasons for these increases in the number of boxes harvested per
acre were increases in average age of trees, better fertilizer practices, larger
proportion of fruit harvested due to good prices and the development of fruit
processing; and the increasing proportion of grove acreage irrigated may have
been a factor. Fruit prices were low for some seasons of the first two 5-year
periods, resulting in some of the fruit remaining unharvested. Less damage
from low temperatures and better grove care in general during the last two
periods contributed to higher yields for these periods; and higher prices to-
gether with the development of fruit processing facilities, contributed toward
higher proportions of the fruit being harvested.

There was more fruit harvested per acre during the last three seasons,
1946-49, than during any other three seasons of this period. The average for
the 1946-49 period was 291 boxes per acre. There were considerable variations
in fruit harvested per acre between different groves for the same season as
well as seasonal average variations. These variations between groves were
evident each season.

Operating costs as the term is used in this publication is essentially
the same as what is coramonly known as cash costs. Operating costs did not
amount to as much as $100 per acre until the 1945-46 season and averaged $71.83
for this period of 14 years, 1931-45. The operating costs for the following
four seasons, 1945-49, exceeded $100 each season and. averaged $133.99 per acre.
The average for the 18 seasons was $85.64 per acre.

The season of 1940-41 had the lowest operating cost per acre for this
period at $54.16. Operating costs increased each season thereafter until the






Orange County
Eighteen Years of Citrus Costs and Returns Page 7

1947-48 season when such were $151.57 per acre. Distribution of these costs
by seasons is shown in Table 3.

Table 3. -- DISTRIBUTION OF SEASONAL
OPERATING COSTS FER ACPR, 1931-49

Number Cumulative
Costs per Acre Seasons Percent Percent

$ 50 to $ 74 9 50.0 50.0
75 to 99 5 27.7 77.7
100 to 124 1 5.6 83.3
125 to 149 1 5.6 88.9
150 to 174 2 11.1 100.0
54.16 to 151.57 18 100.0 100.0


Operating costs per box exceeded 50 cents in two seasons, 1931-32 and
1946-47 (Table 4). The lowest seasonal cost was 27 cents in 1940-41 while the
highest was 59 cents in 1946-47. The five-year average costs decreased each
succeeding period from 42 to 34 cents. The three-year average for 1946-49 was
49 cents, 9 cents higher than the average for the 18-year period. Almost two-
thirds of the seasons had costs less than 40 cents.

Table 4, DISTRIBUTION OF SEASONAL
OPERATING COSTS PER BOX, 1931-49

Number Cumulative
Costs per Box Seasons Percent Percent
25 to 29 cents 1 5.6 5.6
30 to 34 3 16.7 22.3
35 to 39 7 38.8 61.1
40 to 44 3 16.7 77.8
45 to 49 2 11.1 88.9
50 to 54 0 0.0 88.9
55 to 59 2 11.1 100.0
27 to 59 18 100.0 100.0


Operating costs were made up of five items; (1) labor, power, and
equipment, (2) fertilizer materials, (3) spray and dust materials, (4) state
and county taxes, and (5) miscellaneous costs. Miscellaneous costs include
such items as overhead, trees for replacement, drainage district assessments,
city taxes, and fuel for grove heating. The 18-year averages of these items in
operating costs are shown in Table 5. Average operating costs by seasons ranged
from $54,16 to $151.57 per acre and 27 to 59 cents per box.







Orange County
Eighteen Years of Citrus Costs and Returns Page 8


Table 5. -- AVERAGE AND RANGE
OF OPERATING COST ITEMS PER SEASON, 1931-49

P e r A c r e Per Box
Cost Items Average Range Average Range
Cost Percent Cost Cents Cents
Labor, power, & equipment $ 34.71 40.5 $19.49 to $73.18 16 10 to 27
Fertilizer materials .... 37.62 44.0 25.07 to 62.42 17 13 to 26
Spray and dust materials. 5.69 6.6 3.48 to 9.79 3 2 to 4
State and county taxes... 6.18 7.2 4.10 to 11.35 3 2 to 6
Miscellaneous............ 1.44 1.7 .22 to 3.65 1 to 1
Operating costs.... 85.64 100.0 54.16 to 151.57 40 27 to 59
Less than $0.005.



Labor, power, and equipment constituted the cost item of second impor-
tance. The average was $34.71 per acre and ranged in seasonal cost from $19.49 to
$73.18. This item exceeded the cost of fertilizer materials in five seasons, three
of which were the last three seasons of this 1-year period when it averaged 16
percent more. The cost of this item exceeded $50.00 per acre in these three sea-
sons. There were four seasons when labor, power, and equipment costs were less
than $25.00 per acre, and 11 seasons when they were less than $30.00, 1933-44. The
increase in the number of boxes harvested as this period progressed materially
lessened the increases in costs on a per-box basis. The 1931-32 cost of labor,
power, and equipment of 23 cents per box was exceeded in on'.y one season, 1946-47,
when it was 27 cents. There were two seasons with these costs at 10 cents per box
and there were eight seasons when they were 15 cents or less. The average for the
18 seasons was 16 cents per box.

The item of fertilizer materials was of first importance, constituting
44 percent of the operating costs at $37.62 per acre. This cost averaged less than
$30,00 per acre in seven seasons and was less than $35.00 in 10 seasons. Such
costs increased each season from 1940-41 at $25.07 to $62.42 in 1946-47. These two
cost figures were the low and the high of the 18-year period. Fertilizer material
costs averaged $48.02 per acre in 1944-45, increased in two years to the 1946-47
figure, $62.42, and decreased to $49.95 in 1948-49. Fruit price was the chief
factor in these changes in fertilizer material costs per acre. Fertilizer costs
per box of fruit ranged from 13 cents in 1940-41 to 26 cents in 1931-32, and aver-
aged 17 cents. This cost was less than 20 cents per box in 14 of these seasons.

Spray and dust material costs averaged $5,69 per acre for the 18 seasons
and constituted 6.6 percent of the operating costs. There were eight seasons--
almost one-half the total--when these costs averaged less than $5.00 per acre, and
14 seasons when less than $6.50 per acre. The range of the seasonal averages was
from $3.48 in 1933-34 to $9.79 in 1947-48. Such costs averaged 3 cents per box and
ranged by seasons from 2 to 4 cents.






Orange County
Eighteen Years of Citrus Costs and Returns


Page 9


State and county taxes averaged $6.18 per acre for the 18 seasons, or
3 cents per box. The range per acre was from $4.10 in 1938-39 to $11,35 in
1948-49. The taxes were $10.11 in 1931-32 and this amount was exceeded in only
one season, 1948-49. Taxes averaged 7.2 percent of the operating costs. Taxes
per box ranged from 2 to 6 cents.

Miscellaneous costs averaged $1.44 per acre or one cent per box. Suc
costs averaged 1.7 percent of the operating costs for the 18 seasons.

Returns from fruit averaged $242.41 per acre for the period o'r $1.12
per box. Seasonal averages per acre varied from $62.45 in 1939-40 to $658.27
in 1945-46. The per-box averages varied from 42 cents in 1939-40 to $2.21 in
1945-46. Returns from fruit averaged less than $200.00 in nine or one-half the
seasons (Table 6). There were 14 seasons when the average price received for
fruit was less than $1.25 per box (Table 7). In 10 seasons the average price
was less than $1.00. The range in average price per season was from 42 cents
to $2.21 per box.


Table 6. DISTRIBUTION OF SEASONAL
RETURNS FROM FRTTIT PER ACRE, 1931-49


h


Returns per Acre


$ 0
100
200
300
400
500
600


$ 99
199
299
399
499
599
699


62.45 to 658.27


Number
Seasons
2
7
4
2
1
1
1


Cumulative
Percent Percent


11.1
38.8
22.2
11.1
5.6
5.6
5.6


18 100.0


11.1
49.9
72.1
83.2
88,8
94.4
100.0
100.0


Table 7. -- DISTRIBUTION OF SEASONAL
RETURNS FROM FRUIT PER 30X, 1931-49


Returns per Box


$ .25
.50
.75
1.00
1.25
1.50
1.75
2.00


$ .49
.74
.99
1.24
1.49
1.74
1.99
2.24


Number
Seasons

3
3
4
4
0
2
O
2


Cumulative
Percent Percent


16.7
16.7
22.2
22.2
0.0
11.1
0.0
11. 1


.42 to 2.21 18 100.0


16.7
33.4
55.6
77.8
77.8
88.9
88.9
100.0
100.0







Orange County
Eighteen Yeers of Citrus Costs and Returns


Page 10


Returns above operating costs dropped from $550.27 per acre in 1945-46
to $68.96 the following season, a drop of 87 percent. The drop in price
received was from $2.21 to 86 cents between these seasons, a drop of 61 percent,
which was largely responsible for the decrease in the per-acre figures. There
was also a drop of 14 percent in the number of boxes of fruit harvested. Re-
turns above operating costs per acre increased slightly in 1947-48 over 1946-47,
and the increase was 200 percent in 1941C319 over 1947-48. There was only one
season, 1939-40, when the returns from fruit did not pay operating cost. The
loss that season was 4 cents per acre.

The average returns above operating costs per acre were $156.77 for
the 18 seasons. There vere 11 seasons when such returns were less than $100.00
per acre, and 15 season when less than $300.00 (Table 8). In 44 percent of the
seasons the average returns above operating costs per box were less than 50
cents (Table 9).


Talle 8. -- DISTRIBUV'ION OF SEASONAL
RETURNS J3OVE OPERATING C).;TS PER ACRE, 1931-4 _


Returns per Acre


-$100
0
100
200
300
4oo
500


-$ 1
99
199
299
399
499
599


Numb er
Seasos3

1
10
2
2
1
1
1


Cumulative
Percent Percent


5.6
55.5
11,1
11.1
5.6
5.6
5.5


5.6
61.1
72.2
83.3
88.9
94.5
100.0


-0.04 to 550.27 18 100.0 100.0




Table 9. -- DISTRIP.TION OF SEASONAL
RETURNS ABOVE OPERATING COSTS FER BOX, 1931-49


3-turns per Box


-$0.25
.00
.25
.50
.75
1.00
1.25
1.50
1.75


Number
Seas as


-$0.01
.24
,49
.74
.99
1.24
1.49
1.74
1.99


Cumulative
Percent Percent


5.6
22.2
16.7
16.6
16.6
5.6
5.6
0.0
11.1


S o100.0


-* to 1,85


5.6
27.8
44.5
61.1
77.7
83.3
88.9
88.9
100.0
100.0


* Less than $0.005.









Orange County
Eighteen Years of Citrus Costs and Returns Page 1

At the rate of returns above operating costs in 1947-48, 41 acres of
grove would be necessary to return $3000 to the owner for interest on the grove
investment, interest on borrowed money, his own supervision, and other net in-
come, if any. However, at the 1948-49 rate of returns above operating costs
only 14 acres would be required for a return of $3000. There were 7 of these
18 seasons when returns above operating costs were lower than the 1947-48 sea-
son, and 13 seasons when such returns were lower than in 1948-49. The averages
for these two groups were $40.69 and $72.55 per acre, respectively. At the
former figure, $40,69, 74 acres would be necessary to net $3000, while 42 acres
would be necessary at the rate of $72.55 per acre, and 20 acres at the 18-year
average of $156.77.

Interest on grove valuation has been figured at 6 percent since the
inception of this project. Cooperators were asked for their estimate of the
value of their grove when considered as a long-time fruit-growing enterprise.
The results were that conservative figures were given and there has been a
reluctance on the part of cooperators to change their valuations even after a
substantial change in fruit prices and grove sale prices. Interest on grove
valuation by seasons varied from $37.62 per acre in 1940-41 to $58.73 in 1946-
47. The average was $45.72 for the 18 seasons. Interest per box varied from
14 cents in 1943-44 to 30 cents in 1933-34.

Total cost without owner supervision is made up of the five items in-
cluded as operating costs plus the item of interest on estimated grove value.
The item of interest added 53 percent to the operating costs on the average.
Stating the same thing another way, on the average the total cost without owner
supervision was 53 percent higher than the operating costs.

Some growers do not consider interest on grove valuation as a part of
production costs, while others do so consider it. In most businesses interest
on the investment is considered an item of cost. Therefore, one calculation is
here presented where interest is included and another where it is omitted.

Net returns in this study mean the amount left to the grower of his
returns from fruit after paying operating costs and interest on the grove
valuation. It is the amount left for owner supervision and additional net in-
come, if any. There were three of the 18 seasons when returns from fruit failed
to pay total cost without owner supervision. Net returns per acre ranged from
-$38.89 in 1939-40 to $499.37 in 1945-46 and averaged $111.05. The five-year
period of 1941-46 averaged $306.90 in net returns. There were 9 seasons, one-
half, when the average net returns were less than $50 (Table 10), and 61 percent
of the seasons with less than $75 per acre. There were 9 seasons when net
returns per box were 25 cents or less. There were four seasons when such were
$1.00 per box or more.








Orange County
Eighteen Years of Citrus Costs and Returns


Table 10. -- DISTRIBUTIOi OF SEASONAL
NET R5TUR3S. 1931-49


Returns per Acre


Less
$ 0
25
50
75
100
125


than $0
to $ 24
to 49
to 74
to 99
to 124
and over


-38.89 to 499.37


lumnb er
Seasons


2
2
2
0
2
5


Cumulative
Percent Percent


16.7
22.2
11. 1
11.1
0.0
11. 1
27.8


18 100.0


16.7
38.9
50.0
61.1
61.1
72.2
100.0
100.0


oo0000ooo




For data on all Florida groves of these records for comparisons with
Orange County data, see your County Agent or write the Agricultural Extension
Service, Gainesville, for publication AE Series No. 50-8, eighteen n Years of
Citrus Costs and Returns in Florida, 1931-49".



















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