TABLE 4. Grain sorghum, flood-irrigated, budgeted per acre costs and returns for a 400 acre farm with above
average management, Cotton City-Animas area, Hidalgo County, 2001.
Planting dates: May 1 - May 20
Harvesting dates: November 1 - November 25
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ITEM PRICE YIELD TOTAL
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GROSS RETURNS
GRAIN SORGHUM $3.00 60.00 CWT $180.00
ASCS DIVERSION $0.00 0.00 CWT $0.00
ASCS DEFICIENCY $0.55 60.00 CWT $33.00
_______
TOTAL $213.00
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PURCHASED
PURCHASED INPUTS PRICE QUANTITY INPUTS TOTAL
--------- ------ ------ ----------- ------ -------
SEED $1.04 8 LBS $8.32 $8.32
ANHYDROUS AMMONIA (NH3) $0.2000 180 LBS $36.00 $36.00
HERBICIDE $9.46 1 ACRE $9.46 $9.46
INSECTICIDE (CUSTOM) $10.07 1 ACRE $10.07 $10.07
PUMP WATER* 30.00 AC. IN.
CROP INSURANCE $0.37 $0.37 $0.37
SUBTOTAL $64.21 $64.21
POWER ACCOMPLISHMENT PURCHASED FUEL FIXED
PREHARVEST OPERATIONS UNIT RATE INPUTS LABOR & LUBE REPAIRS COST TOTAL
---------- ---------- -------------- ----------- --------- ----- ----- ------- ----- -----
RIPPER 185 HP 0.20 HR $1.51 $2.91 $0.96 $5.59 $10.97
DISC 185 HP 0.14 HR $1.06 $2.03 $0.81 $3.95 $7.85
FERTILIZE 185 HP 0.05 HR $0.38 $0.73 $0.20 $1.22 $2.52
DRAG (2X) 96 HP 0.20 HR $1.51 $1.45 $0.44 $0.40 $3.81
DISC & SPRAY 185 HP 0.15 HR $1.13 $2.18 $1.28 $4.78 $9.38
LISTER 185 HP 0.18 HR $1.36 $2.62 $0.91 $5.00 $9.88
PRE-IRRIGATE 0.75 HR $5.06 $7.78 $0.29 $2.57 $15.71
ROLLING CULT 96 HP 0.21 HR $1.59 $1.53 $0.70 $1.10 $4.91
PLANTER 96 HP 0.26 HR $1.96 $1.89 $2.77 $2.48 $9.11
CULTIVATOR (2X) 96 HP 0.42 HR $3.17 $3.05 $0.88 $1.17 $8.27
ROTO BUCK (7X) 96 HP 0.11 HR $0.79 $0.76 $0.25 $0.55 $2.35
IRRIGATE (5X) 2.50 HR $16.88 $38.89 $1.46 $12.86 $70.09
_________ ______ ______ ______ ______ ______
SUBTOTAL 5.17 HR $36.40 $65.82 $10.96 $41.67 $154.84
HARVEST OPERATIONS
------- ----------
COMBINE (CUSTOM) $22.20 $22.20
HAUL TO STORAGE (CUSTOM) $11.40 $11.40
______ ______ ______ ______ ______ ______
SUBTOTAL $33.60 $0.00 $0.00 $0.00 $0.00 $33.60
POST HARVEST OPERATIONS
---- ------- ----------
SHREDDER 80 HP 0.14 HR $1.06 $1.02 $0.56 $1.05 $3.69
OVERHEAD EXPENSES
-------- --------
DOWNTIME 0.51 HR $3.88 $3.88
EMPLOYEE BENEFITS $6.74 $6.74
INSURANCE $0.75 $0.75
LAND TAXES $2.96 $2.96
SUPERVISION AND MANAGEMENT $19.19 $19.19
OTHER EXPENSES $49.73 $49.73
_________ ______ ______ ______ ______
SUBTOTAL 0.51 HR $50.48 $29.81 $2.96 $83.25
--------- ------ ------ ------ ------ ------ -------
TOTAL OPERATING EXPENSES 5.82 HR $148.29 $67.26 $66.84 $11.52 $45.68 $339.58
NET OPERATING PROFIT ($126.58)
INTEREST ON OPERATING CAPITAL ( $54.49 @ 9.00%) $4.90
INTEREST ON EQUIPMENT INVESTMENT $21.03
RETURN TO LAND AND RISK ($152.52)
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* Pump water costs are shown under irrigation in the preharvest operations section.
BUDGET SUMMARY
GROSS RETURN $213.00 VARIABLE OPERATING EXPENSES $226.64 RETURN OVER VARIABLE EXPENSES ($13.64) (GROSS MARGIN) FIXED EXPENSES $45.68 NET FARM INCOME ($59.32) (RETURN TO CAPITAL, LABOR, LAND & RISK) LABOR AND MANAGEMENT COST $67.26 NET OPERATING PROFIT ($126.58) (RETURN TO CAPITAL, LAND & RISK) CAPITAL COSTS $25.94 RETURN TO LAND AND RISK ($152.52) ===================================================================================================