A new economic study from Washington State University estimates the variable costs of producing Red Delicious in a mature orchard at $6,436 per acre and fixed costs at another $2,804. On top of that, the grower would pay $12,862 in packing charges, assuming a net yield of 59.50 bins per acre (culls removed) and a packout of 85 percent. With an f.o.b. price of $400 per bin (before packing charges are deducted), the estimated net profit would be $1,698 per acre. The costs are based on a hypothetical 25-acre block of Red Delicious within a 300-acre diversified orchard. Trees are […]
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