Planning for Profit
Cultivating an Economically Sustainable Hightunnel
Scott Thellman
Planning for Profit Cultivating an Economically Sustainable - - PowerPoint PPT Presentation
Planning for Profit Cultivating an Economically Sustainable Hightunnel Scott Thellman About Me Owner of Juniper Hill Farms, LLC Senior at Iowa State University Agricultural Business Agronomy Agricultural Entrepreneurship
Scott Thellman
– Agricultural Business – Agronomy – Agricultural Entrepreneurship
marketing, storage, and distribution of local and regional foods.
Kansas in 1999.
– Sweet corn, vegetables, cattle, row crops
starting my own farm.
equipment with savings from summer jobs.
2006, and sold it quickly.
enter into farming!
throughout high school.
and produced 10,000 small square bales that summer.
construction of our first high tunnel.
in the fall of 2010.
2011, and grew on one acre.
– Primarily marketed crops at farmers market’s.
vegetables in 2012, and focused on direct sale to grocers and restaurants.
acres.
– 1,300 round bales and 5,000 square bales in 2013.
Organic vegetables.
– Serving one wholesale customer, five grocery stores, five restaurants, and one food bank.
fresh market distribution in 2013.
services, hay and vegetable brokering services, and custom hire services to over 100 customers around the region.
soybeans
– Tomatoes, potatoes,
beets, head lettuce, leaf lettuce and greens, cilantro, kale, beets, radishes, zucchini, squash, and more!
selection.
– Limited to commodity crop production area.
in creek bottom with high quality soil.
loam soils with good drainage and high organic matter.
June 14th, 2011
is most profitable, and what you like to grow!
crop.
consistency, makes crop and nutrient planning easier, and provides your with more product to sell!
season produce.
– Meet with suppliers early to determine their demand.
sales data from farm records.
seasonality, day length changes.
Crop Avg Yield/ sqft Encore Lettuce 0.714 lb/sqft Ovation Greens 0.52 lb/sqft Cherry Tomatoes 13.2 lbs/ plant Radishes 0.85 lbs/sq ft
Ask yourself… How much do I need to grow to meet my current demand? THEN ADD 30%
– Down to the week!
– Crop rotations – Fertility needs of crop – Seasonal weather – Market demand – Sequential planting requirements – Opportunity costs of space – Labor involved
value crops, and quick turn around to be economically feasible!
agronomic sense.
cropping can increase pest and disease presence, and can decrease quality and yields of crops.
rotations with uses of cover crops if not
samples.
manure during off season.
– Be aware of food safety regulations.
fertilizers at proper times in growth cycle.
– Fertigation or foliar application methods.
crops when possible.
advantage to season extend.
breaks to move your inventory.
what they desire.
form long-lasting relationships with your customers.
trends and industry changes.
customers supplied and satisfied.
planning in high tunnels.
for day length changes.
could come your way.
– Row Covers – Ventilation – Opening/closing sides
year round without heat if you have the right cropping system and the right tools.
December 20th, 2012
January 6th, 2013
January 6th, 2013
February 28th, 2013
enterprise
farm
Keep in mind that high tunnel crops will have diff t b d t th td if it i
Item Cost Hummert Intl. High Tunnel $5,200 End Walls $650 Baseboards $260 Plastic $300 Total $6,410
it was considered ‘sweat equity’ for the farm.
Strait Line Depreciation = Purchase Cost – Salvage Value Years Owned
High Tunnel Example (20’x96’, 1920sqft): $6,110 - $500 = $374.00 dep/yr 15 Years $374 dep/yr = $0.23/sqft 1613 sqft (84% utilization) Poly Plastic Example (32’x100’): $300 - $0 = $75.00/yr 4 Years $75.00 dep/yr = $0.046/sqft 1613 sqft (84% utilization) Total Annual Depreciation Expense = $449.00 ($0.276/sqft)
– Templates for all types of crops, including vegetables and high- tunnel templates. – http://www.extension.iastate.edu/agdm/
Wiswall
Diffley
field, and in the office is key to your success!
cannot see the future.
quantities available, peak harvests all are key items to track.
available (ask me)
duration.
your time.
season production.
will profit in your first year.
experience growing, marketing, and distribution experience to build a sustainable business model that will benefit your farm, your community, your soils, and you.