The Cost of Producing The Cost of Producing Pecans---Can We Grow Pecans---Can We Grow Them for Less?Them for Less?

Lenny Wells, University of GeorgiaLenny Wells, University of GeorgiaDepartment of Horticulture, Tifton, GADepartment of Horticulture, Tifton, GA

Variable Costs Per Acre:Variable Costs Per Acre: Full Production, 2008 Full Production, 2008

UnitUnit Quant.Quant. Price/UnitPrice/Unit Total/ATotal/ALimeLime 1 ton/A1 ton/A $30$30 $30$30

NN 150 lbs150 lbs $1.00$1.00 $150$150

PP 40 lbs40 lbs $0.73$0.73 $29.20$29.20

KK 60 lbs60 lbs $0.83$0.83 $49.98$49.98

Zn SulfateZn Sulfate 50 lbs50 lbs $0.8$0.8 $40$40

Foliar ZnFoliar Zn 3 Appl.3 Appl. $2.00$2.00 $6.00$6.00

Foliar BFoliar B 3 Appl.3 Appl. $1.30$1.30 $3.90$3.90

FungicidesFungicides 8 Appl.*8 Appl.* $9.89$9.89 $79.12$79.12

HerbicidesHerbicides 4 Appl4 Appl $29.25$29.25 $117$117

InsecticidesInsecticides 1010 $14.41$14.41 $144.16$144.16

Fuel GalFuel Gal 33 Gal33 Gal $4.33$4.33 $142.89$142.89

Irrigation OperationIrrigation Operation $50$50

Irrigation RepairsIrrigation Repairs $20$20

Equipment Repairs & Maint.Equipment Repairs & Maint. $30.91$30.91

LaborLabor 2525 88 $200$200

InterestInterest 1093.161093.16 8%8% $87.45$87.45

HarvestHarvest $354.2$354.2

2008 Total Variable Costs2008 Total Variable Costs $1534.81$1534.81

Pecan ReturnsPecan Returns 20022002 20062006 20082008

ProductioProductionn

10001000 10001000 10001000

PricePrice 1.001.00 1.581.58 1.30*1.30*

Variable Variable CostsCosts

851.82851.82 1015.221015.22 1534.811534.81

*average price from 2005-2007

ReturnReturn 148.18148.18 564.78564.78 -234.81-234.81

NET RETURNS PER ACRE ABOVE VARIABLE COSTNET RETURNS PER ACRE ABOVE VARIABLE COST

PRICEPRICE          Yield(lbs)Yield(lbs)         

$/lbs$/lbs 500500 800800 1,0001,000 1,2001,200 1,5001,500 2,0002,000   

0.800.80 -1,135 -895 -735 -575 -335 65

0.900.90 -1,085 -815 -635 -455 -185 265

1.001.00 -857 -557 -357 -157 143 643

1.101.10 -985 -655 -435 -215 115 665

1.201.20 -935 -575 -335 -95 265 865

1.301.30 -885 -495 -235 25 415 1,065

1.401.40 -835 -415 -135 145 565 1,265   

1.501.50 -785 -335 -35 265 715 1,465

1.601.60 -735 -255 65 385 865 1,665

1.701.70 -685 -175 165 505 1,015 1,865

1.801.80 -635 -95 265 625 1,165 2,065

How Can We Reduce the How Can We Reduce the Cost of Production?Cost of Production?

Increase N use efficiencyIncrease N use efficiency Reduce number of trips over the orchardReduce number of trips over the orchard

•40 X 40 •12 foot wide herbicide strip:•12/40 = 30%•Can reduce area that you apply fertilizer to by 70% with band application

At a rate of 75 lbs per acre:100 acres X 75 = 7500 lbs N7500 X 30% = 2250 lbs N

Why Do you have a herbicide strip?

Broadcast Band Application

Liquid 28-0-0-5 applied over herbicide strip

Effect of N Application Effect of N Application Method on ‘Stuart’ Pecan----Year 1Method on ‘Stuart’ Pecan----Year 1

TreatmenTreatmentt

Leaf NLeaf N Crop Crop LoadLoad

Yield Yield (lbs/tree)(lbs/tree)

(lbs/acre)(lbs/acre)

% % KerneKernell

N N Cost/AcreCost/Acre

Return/AReturn/A

Over N Over N CostCost

InjectionInjection 2.98a2.98a 60.6a60.6a 129.6a129.6a

(2203a)(2203a)48.3a48.3a $6.82$6.82 $2876.75$2876.75

BroadcasBroadcast Bandt Band

2.89a2.89abb

50.2b50.2b 107.8a107.8a

(1832a)(1832a)48.1a48.1a $19.60$19.60 $2368.43$2368.43

BroadcasBroadcastt

2.85b2.85b 51.2ab51.2ab 107.5a107.5a

(1827a)(1827a)48.2a48.2a $81.40$81.40 $2305.06$2305.06

Liquid N Liquid N Herbicide Herbicide SprayerSprayer

2.80b2.80b 54ab54ab 152.9a152.9a

(2599a)(2599a)48.8a48.8a $17.77$17.77 $3419.35$3419.35

Return per acre based on $2.71 per point (Yield/acre x 2.71) X % kernel = $/acre$/acre-total n cost = return

28-0-0-5 Liquid Fertilizer) used for Injection and Herbicide Sprayer Applications; Cost = $500/tonAmmonium Nitrate used for broadcast band and broadcast applications; Cost = $495/ton

N rate for all treatments = 70 lbs/acre

Effect of Poultry Litter and Clover on Effect of Poultry Litter and Clover on ‘Desirable’ Pecan---Year 1‘Desirable’ Pecan---Year 1

TreatmentTreatment Leaf Leaf NN

Crop Crop LoadLoad

N N Cost/ACost/A

Percent Percent KernelKernel

Yield/Yield/AcreAcre

Return per Return per

acre over acre over

N CostsN Costs

Poultry LitterPoultry Litter 2.52a2.52a 80.4a80.4a $35$35 54a54a 1112a1112a 1778.441778.44

Crimson Crimson CloverClover

2.42a2.42a 77a77a $40*$40* 53.4a53.4a 1136a1136a 1792.001792.00

Litter + CloverLitter + Clover 2.44a2.44a 75.7a75.7a $75*$75* 52a52a 1041a1041a 1559.791559.79

Ammonium Ammonium Nitrate Nitrate

(75 lbs N/acre)(75 lbs N/acre)

2.56a2.56a 58.7b58.7b $75$75 52.4a52.4a 744a744a 1102.361102.36

Litter Analysis = 75 lbs N; 30 lbs K; 16 lbs P; 0.44 lbs Zn

Return per acre based on $3.02 per point (Yield/acre x 3.02) X % kernel = $/acre$/acre-total n cost = return

Effect of Clover/Litter Effect of Clover/Litter on Orchard Soil---Year 1on Orchard Soil---Year 1TreatmenTreatmentt

% % Change Change

NONO33

% % Change Change

PP

% % Change KChange K

Poultry Poultry LitterLitter

+46%+46% +62%+62% +42%+42%

Crimson Crimson CloverClover

-42%-42% -25%-25% -45%-45%

Litter + Litter + CloverClover

+1.3%+1.3% +79%+79% +23%+23%

AmmoniuAmmonium Nitratem Nitrate

+1.2%+1.2% -16%-16% -36%-36%

Foliar UreaFoliar Urea

Feed Grade Urea = 4 lbs/100 gallonsFeed Grade Urea = 4 lbs/100 gallons Liquid Urea (23%) = 1 gallon/100 gallons Liquid Urea (23%) = 1 gallon/100 gallons DO NOT USE BIURET UREADO NOT USE BIURET UREA

Urea moves out of the leaf quickly to Urea moves out of the leaf quickly to storage tissuesstorage tissues

Unless leaf N is deficient, you probably Unless leaf N is deficient, you probably won’t see an increase in leaf Nwon’t see an increase in leaf N

• Increasing N-use Efficiency– Reduce area of N application– Use poultry litter if available– Plant clover– Apply foliar Urea

Chem Mowing CostsChem Mowing Costs

TreatmentTreatment Glyphosate Glyphosate RateRate

# Chem # Chem Mow Mow ApplicationsApplications

# # Mechanical Mechanical MowingsMowings

Cost/ACost/A

Chem Mow 4 Chem Mow 4 ozoz

4 oz/A4 oz/A 33 11 $27.50$27.50

Chem Mow 8 Chem Mow 8 ozoz

8 oz/A8 oz/A 33 11 $31.02$31.02

Mechanical Mechanical MowingMowing

00 00 88 $111.33$111.33

Labor = $7.50/hrDiesel $4.00/galSpray application cost = $3.34

Glyphosate cost = $38.00/galMowing cost per acre = $13.92/acre

Monte Nesbitt, Auburn University

Pre-Emergence Herbicide Strip Pre-Emergence Herbicide Strip OptionsOptionsTreatmentTreatment RateRate CommentsComments Cost/AcreCost/Acre

SurflanSurflan 2 qts*2 qts*Non-bearing & bearingNon-bearing & bearingAnnual grasses & small Annual grasses & small seeded broadleafsseeded broadleafsDo not apply until soil has Do not apply until soil has settledsettled

$20$20

ProwlProwl 2 qts2 qtsNon-bearing & bearingNon-bearing & bearingAnnual Grasses & Annual Grasses & broadleafsbroadleafsNeed rainfall within 7 Need rainfall within 7 daysdays

$13$13

DiuronDiuron 1.6 qts1.6 qtsOnly on trees >3 yearsOnly on trees >3 yearsAnnual broadleafs and Annual broadleafs and some annual grassessome annual grassesDo not use on sandy soilsDo not use on sandy soils

$7.20$7.20

ChateauChateau 6-12 oz6-12 ozTrees established for >1 Trees established for >1 yearyearNo more than 6 No more than 6 oz/applicationoz/applicationNo more than 12 oz/yearNo more than 12 oz/yearDO not apply 2DO not apply 2ndnd application w/in 30 d of application w/in 30 d of initial applicationinitial application

$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$$

TreatmentTreatment RateRate Cost/AcreCost/Acre

Glyphosate +Glyphosate +

SurflanSurflan

2 qts +2 qts2 qts +2 qts

2 + 1.52 + 1.5

$36.25$36.25

$31.25$31.25

Gramoxone + Gramoxone + SurflanSurflan

3 pints + 2 qts3 pints + 2 qts

3 pts + 1.5 qts3 pts + 1.5 qts

$29.94$29.94

$24.94$24.94

Glyphosate + Glyphosate + DiuronDiuron

2 qts + 1.6 qts2 qts + 1.6 qts $23.45$23.45