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  • From: "Beth Spaugh" <lists AT rhomestead.com>
  • To: "'Market Farming'" <market-farming AT lists.ibiblio.org>
  • Subject: Re: [Market-farming] Why do it II
  • Date: Fri, 25 Apr 2008 15:44:38 -0400

I aim for a minimum of $20,000 per acre gross sale, and hope for $40,000. I
try not to grow crops which will yield less than $20,000/acre. Sweet corn
for example. Holding to this is easier selling at farmers markets. I am
starting a CSA this year and trying to figure how much I can reduce those
goals to offset reduced marketing costs and give the members a discount. For
this year is it 17% off my farmers market prices, which are near the highest
at market.


Beth Spaugh
Rehoboth Homestead
Peru NY
http://rhomestead.com

"How we eat determines, to a considerable extent, how the world is used." -
Wendell Berry

"Without power over our food, any notion of democracy is empty." - Francis
Moore Lappe

-----Original Message-----
From: market-farming-bounces AT lists.ibiblio.org
[mailto:market-farming-bounces AT lists.ibiblio.org] On Behalf Of JOHN A
HENDRICKSON
Sent: Friday, April 25, 2008 9:11 AM
To: Market Farming
Subject: Re: [Market-farming] Why do it II

Certainly much is possible and it is very encouraging that this type of
research is being conducted. I would never say that $90K per acre is
impossible. However, Bill's hypothetical tomato example and comments are
well-reasoned and on target. A tremendous amount of product and even sales
can be generated per acre for horitcultural crops. As Bill notes, the $90K
and $5K figures are not "profit" but gross sales. Expenses on a fruit and
vegetable farm are very high, especially labor...and especially labor on the
type of crops the Ohio researcher is investigating (berries, asparagus,
etc.). Net income may be as low as 15-25% of gross for some vegetable
operations. Net might also be has high as 50-60% of gross. It is also
worth mentioned that upfront investment (equipment, facilities, plant stock,
etc.) can also be considerable.

It has been mentioned before on this list, but for an economic look at some
real life examples of organic vegtable farms, see:
http://www.cias.wisc.edu/pdf/grwr2grwr.pdf

-John
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