University of California, USA
Title: Growing Avocados in California, USA
Etaferahu Takele is the County Director/Area Advisor Farm Management/Agricultural Economics in the division of agriculture and natural resources, university of carlifornia. She completed M.A in Economics, University of California Riverside as well as M.S in Agricultural Economics from North Dakota State. Her specialty include Area Advisor - Farm Management /Agricultural Economics - Production economics, decision-making at the farm level, integrated input management, risk management Subtropical Fruit Crops (Citrus, Avocados) Vegetable crops.
There is a growing concern that the fast expanding and globalized competitive world market is causing decline in grower returns and expansion of urban development and environmental regulations causing production cost increases and challenging the viability and sustainability of producing these crops in California. It has been over 10 years since we developed a cost study for avocados in California. The establishment and production costs and profitability analyses have been the fundamental tool that growers and investors use for investment analyses and decisions, conducting business transactions, and risk management strategies. In this study, we provide up to date costs of establishment and production and profitability; benchmark indicators for evaluating the viability and sustainability of avocado production by region and by production (conventional vs organic). This study is based on assumptions of orchard establishment and production practices that are considered typical in the growing regions and is based on a 20 acres orchard. Data regarding production practices, inputs and prices was collected from growers, the University of California Cooperative Extension (UCCE) farm advisor, agricultural institutions, and supply and equipment dealers. While this study makes every effort to model a production system based on typical, real world practices, it cannot fully represent financial, agronomic, and market risks, which affect the profitability and economic viability of all producers.