Economic returns using risk-rated budget analysis for rabbiteye blueberry in Georgia

Abstract

Rabbiteye blueberry (Vaccinium ashei) is the most important type of blueberry grown in Georgia. This species is classified as a highbush blueberry type, but is distinctively different from highbush blueberry (V. corymbosum) in its ability to withstand high temperatures and low-organic-matter soils. However, rabbiteye blueberries, like other fruit crops, are subject to price and yield fluctuation. These volatilities depend on several factors, including the cultivar produced and sold, locality, aggregate productivity, targeted market, and timing. As a result, profit margin is hard to determine. The objective of this study was to estimate economic returns using risk-rated budget analysis for rabbiteye blueberry under Georgia conditions. The first-year establishment and maintenance cost of growing rabbiteye blueberry in Georgia was estimated at $5022.04/acre. Total harvesting and marketing cost in the second year was $719.44/acre. In the third year, total variable and fixed cost was $3487.50/acre. In the full production year (fourth year), the cost was estimated at $4671.17/acre. The compounded and recaptured establishment annual cost was $2736.11/acre. The risk-rated expected returns over total costs 63% of the time were $679.00/acre. The chances of making a profit were 77% and the base budgeted net revenue was $369.00/acre. The total budgeted cost was $0.94/lb. The estimated annual total fixed machinery cost was $698.00/acre. The total annual cost of drip irrigation was $161.15/acre.