FINANCIAL AND ECONOMIC COMPARISON BETWEEN ESTABLISHING A STANDARD AND HIGH DENSITY SWEET CHERRY ORCHARD IN OREGON, USA

The economics of a standard-density Prunus avium ‘Bing’ orchard on Mazzard rootstock, planted on a 4.88- by 6.1-m spacing (337 trees per ha) was compared to a high-density ‘Bing’ orchard on Gisela 6 rootstock planted on a 3- by 4.9-m spacing (672 trees per ha). The price of the fruit was set at US $1.54 per kg.
The full production yield is 13,450 kg per ha in a standard-density orchard and 15,243 kg per ha in a high-density orchard.
Although planting the high-density orchard requires $2,943 per ha more in cash cost than the standard-density orchard, the benefits are realized when all economic costs are included.
At the end of the establishment period (5 years for a high-density orchard, 8 years for a standard-density orchard), the standard-density orchard will cost $9,269 more per ha than the high-density orchard.
The break-even year in which gross income covers all previous years’ economic costs is year 8 for the high-density orchard and year 15 for the standard-density orchard.
The return on investment over a 25-year period shows both systems returning a significant rate, with the high-density returning 22 percent, compared to the standard-density with a 16 percent rate of return on investment.

VIII International Symposium on Canopy, Rootstocks and Environmental Physiology in Orchard Systems

C. Seavert, L.E. Long

Prunus avium, costs and returns, return on investment, high density orchard, standard density orchard, pedestrian orchard, Mazzard, Gisela

https://doi.org/10.17660/ActaHortic.2007.732.76