July 2011

E.B. 2011-03

COST OF ESTABLISHMENT AND
PRODUCTION OF VINIFERA
GRAPES IN THE FINGER LAKES
REGION OF NEW YORK-2010

Gerald B. White
Charles H. Dyson School of Applied Economics and Management
College of Agriculture and Life Sciences
Cornell University, Ithaca, New York 14853-7801

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and Cabernet Franc all increased in the most recent orchard and vineyard survey compiled by the New York Agricultural Statistics Service in 2006. Merlot. Prices for the major vinifera varieties rebounded slightly in 2010. This requires a re-assessment of which varieties to plant on this acreage and which sites will support profitable vinifera production. Growers who are considering planting additional V. 2010 By Gerald B. with a total acreage of 543. vinifera vineyards need to carefully weigh the cost of planting and establishing a vineyard and the annual cost of production of a mature vineyard against the expected yields and prices to determine whether the investment of $18. with the last major freeze event occurring in 2004. There has been an increase in consumer demand for quality wines (interspecific French American hybrid and V.3 percent during the last 10 years driven by good news regarding the health benefits of moderate wine consumption. the prices received by Finger Lakes growers for vinifera grapes did decline for all major varieties in 2008 and 2009. White* INTRODUCTION In recent years there has been increased interest in the Finger Lakes. and increased plantings of vinifera in New York in recent years. vinifera acreage increased by 38 percent (to 1596 acres) in the Finger Lakes in the five year period. Cabernet Sauvignon. * Professor Emeritus.790 tons in 2010.COST OF ESTABLISHMENT AND PRODUCTION OF VINIFERA GRAPES IN THE FINGER LAKES REGION OF NEW YORK. Ithaca New York. while Chardonnay decreased by 16 percent. The acreage report by variety will not be conducted again until next year. as well as in other parts of New York State and the eastern United States. it is likely to show strong growth. . vinifera vineyard into production will result in a profitable return on investment.000 per acre or more required to bring a V. or designated appellations). However. and the Finger Lakes has benefited from a surge of sales and interest nationally in Riesling varietal wines over the past three years. Department of Applied Economics and Management. vinifera cultivars. led by Riesling. probably due both to the recession in the US economy. New York is gaining stature as a producer of high quality wines that command premium prices. However. an annual growth rate of over seven per cent for the decade. 14853. Wine consumption in the United States has increased by about 3. Vinifera accounted for 18 percent of grape acreage in the Finger Lakes. Cornell University. as indicated by the total production of vinifera grapes in New York state which has increased from 4. in planting Vitis vinifera grapes for premium wine production.670 tons in 2000 to 9. Acreage of red varieties such as Pinot Noir. Varieties to plant have to be considered relative to cold hardiness. Acreage of Riesling increased by 60 percent from the 2001 survey. as the Finger Lakes has experienced severe winter injury to vinifera about every decade. Overall.

and made recommendations for changes. Production of vinifera in NY reached 9. wineries cannot expect to be completely unaffected if global supply outstrips demand in the future. machinery. the last time this study was conducted. which is driven both by the marketing plan.2 This question is complicated by the long-run nature of the investment (payback periods are in excess of ten years and can be even much longer). vinifera grapes in 2007. vinifera grapes in the Finger Lakes region in a commercial size operation. labor requirements and wage rates for the various operations in a V. During the 2007 harvest. and Chile. and to a certain extent by the relative cold hardiness of vinifera varieties. This emphasizes the importance of selection of varieties. We also assumed that vineyard practices were used which would result in premium quality grapes. we met with a panel of four growers and vineyard managers. These estimates may be used by growers and potential investors to compute and analyze the costs and profit potential for their own situations. vineyard establishment and development costs. an increase of 22. limit yields and contribute to higher quality wine. Practices such as leaf pulling and cluster thinning of certain varieties. The estimates are not necessarily representative of average costs for grape production in the Finger Lakes. METHODS The methods used to construct cost estimates were a combination of 1) interviews with a panel comprised of grower representatives. The objective of this study was to determine the cost of producing V. Poorer sites and/or failure to follow optimal management practices can have a significant negative impact on the earnings estimates presented in this publication. Operations such as special tillage practices (hilling up and take away) once again had their value demonstrated with the winter injury that was widespread in 2004. The panel reviewed the machinery and labor time estimates for the ‟07 study.5 percent over the production in 2007. but rather are typical costs for well-managed vineyards using recommended practices. Given the limited area planted. productive soils with appropriate slopes for air drainage). and 2) economic engineering using recommended practices. as well as the risk from a worldwide over -supply of wine grapes from significant plantings in “new world” competitors such as Australia. and annual operating costs were developed. vinifera vineyard and for a typical machinery complement for a full time commercial vineyard. Consensus estimates were developed for land prices. Estimates of the total investment in land. a small increase in planted acreage can have a relatively large impact on supply when the new acreage begins bearing. as occurred with Chardonnay in recent years. there was a surplus in Cabernet Franc grapes. New Zealand. In June of 2010. The growers reviewed the data prepared for the most recent estimates of the cost of establishing and growing V. The yield estimates used for estimation of typical returns assume better sites (well-drained. Although the New York industry is somewhat insulated by the small scale of its market structure in the premium wine sector. .790 tons in 2010. with most wineries selling over 50 percent of their wine (volume) through direct sales in the tasting room.

807 vines would be used annually for replanting. The sample herbicide program was developed in consultation with the advisory panel of four growers. The size of the vineyard was decided in consultation with the grower panel. The vineyard was assumed to be planted on a 6' X 9' spacing (vine by row) resulting in a planting density of 807 vines per acre. The tile drainage system consisted of 4" lateral pipes running down the middle of every second row. new materials are being tested which should be available in the near future that can be used in combination with glyphosate. The fee for laser planting was $35 per row and $.50 per vine. see Appendix. and a shop. a 3" X 8' wooden line posts at every third vine. For quantities of vines under 1000. Varieties. and Riesling. Chardonnay.3 The panel also provided estimates. Some hand labor operations would be done by hired part-time labor or by migrant labor crews. It was assumed that tile drainage was installed in the middle of every second row or 18 feet apart. The program is based on the use of glyphosate in three applications under the trellis per season and one spot application applied by hand held equipment. The 50-acre vineyard was planted to the following four V. mowing. the vine cost was assumed to be $3. based on their own experience in the vineyard. and cluster & shoot thinning. There were 11 rows to an acre and rows were 440 feet long. The specified size was 54 acres. vinifera varieties: Pinot Noir. and these lateral pipes were connected to a 6" mainline pipe that ran along the width of the vineyard. with 50 acres planted to grapes. of the time required to perform various vineyard operations. The other four acres are occupied by roads. spraying. The 50-acre vineyard is large enough to use vineyard machinery and equipment efficiently. Cabernet Franc. Vine cost was estimated to average $3. four catch wire clips per line post. Each year it was assumed that two percent of the vines had to be replanted. Vineyard layout. The trellis system was made up of two pairs of catch wires and two cordon wires (for a total of six wires). headlands. The sample fertilizer/soil program was developed by . At two percent. Table 1. and hand operations such as pruning. suckering. but small enough to be operated by one working manager with one other full-time worker. These four varieties were selected because they are well suited for the cool climate of the Finger Lakes region and exhibit excellent potential for premium wine production. It was assumed that the vines were trained using the vertically shoot positioned (VSP) training system. Land. The study assumes land was purchased at $5.25 each for the initial planting (assuming orders of vines in quantities over 1000). etc. Herbicides and Fertilizer/Soil Program.50 per vine..500). such as tillage. tying & removal.000 per acre. Vines were planted using contracted laser planting. Trellis System. Tile Drainage. The sample program is probably not sustainable for the 22 year useful life of the vineyard because of the potential development of weed resistance due to the long-term reliance on a single herbicide. however. For details of the sample herbicide program. and a 5" X 8' wooden end post and anchor support post at the end of each row. The herbicide program relies upon the use of an Environmist sprayer (purchase price of $4.

good air drainage. A four percent interest charge on capital investment and operating capital was charged. Extension Educator.00 per hour for skilled labor (i. Gasoline was charged at $3. and lube) are shown in Table 3 of the appendix. A management fee of five percent of gross receipts was assessed for the vineyard. Since all varieties were assumed to yield less than four tons per acre. Management Charge. Office supplies. etc. The rate was $. which were assumed to be used. Grapes were custom machine harvested in the fourth year and beyond. These management practices include shoot thinning and cluster removal that often decrease yields. Wage Rates. Diesel fuel at $2. vinifera wines. social security. $14. the rate was $12. This represents the opportunity cost for the vineyard owner to manage the operation.000 of assessed value of the initial land investment.00 per hour (including fringe benefits). sloping. Hauling costs are included in this rate and represent the additional expense of transporting the grapes to the winery. The piece rates for tying were specified at $. the effective rate was $240 per acre for all four varieties.000 per year. Piece rate wage rates were used for pruning the vines in the third and fourth year.4 Hans Walter-Peterson. These were representative of prices in Central New York as of January 2011. Hourly machinery variable costs were estimated according to American Society of Agricultural Engineers 2000 Standards. (Note: the diesel fuel being used is green diesel. but improve wine quality.04 per gallon (for unleaded). Wage rates used represented the consensus of the grower panel.e. Table 2 for details. phone. Annual insurance expense was estimated at 1 percent of the initial investment in buildings and machinery.60 per hour (plus fringe benefits). Finger Lakes Grape Program. Machinery. The rates assumed were $19. Cost of Capital. and other benefits. Machinery depreciation and interest were charged on the basis of prices for new equipment with the minor exceptions for a small disc and a mechanical hedger. Hourly machinery variable costs (repairs. Therefore. which may only be used for agricultural purposes). The machine harvesting rate is $60 per ton or a minimum of $240 per acre. Yields. Yields were specified as the long-term average attainable on suitable sites (near the lake. somewhat well-drained with soil depth at least medium). These yields assume better than average management practices that are consistent with the attainment of premium quality V. fuel.40 per vine. For unskilled labor.20 per vine. Harvesting & Hauling.64 per gallon was budgeted for machine operations. actual cash outlays would be lower than are represented in these cost estimates. School and property taxes were $25 per $1. This rate represents a real rate based on a seven percent nominal rate of interest and an expected rate of inflation of three percent. Fringe benefits consist of workers compensation. . Overhead. medical insurance. in situations where the owner or manager is performing vineyard tasks and managing the operation. See Appendix. Table 1 summarizes the yield assumptions. were estimated at $3. All labor requirements were assessed as cash costs.

5 Table 1: Yield Assumptions Variety Year 3 Year 4+ Pinot Noir 1 tons/acre 2.328 2009 $ 1.300 $ 1. Dollars per Ton.3 tons/acre Riesling 1 tons/acre 3. Harvest Issues.375 $ 1.565 $ 1.242 2010 $ 1.295 $ 1. Finger Lakes Vineyard Notes newsletter.582 $ 1.417 $ 1.675 $ 1.) A detailed list of varietal prices is summarized annually in the August issue of the Finger Lakes Vineyard Notes. RESULTS Grape Prices Prices for the five years ending in 2010 are shown in Table 2.394 Prices used $ 1. The prices specified by the panel reflect special quality practices that are used for premium wine production.663 $ 1.6 tons/acre Cabernet Franc 1 tons/acre 3.200 Source: Finger Lakes Vineyard Notes.654 $ 1. The panel of grape growers and vineyard managers took these prices into account when specifying the prices shown in the last row of Table 2. which are the prices used in the profitability analysis reported in this bulletin.600 $ 1.264 Mean $ 1. Vinifera Grapes in the Finger Lakes Region. Prices for the most recent five-year period (2006-2010) in the Finger Lakes Region were obtained from Martinson and Walter-Peterson.3 tons/acre Chardonnay 1 tons/acre 3.299 $ 1.527 $ 1.295 $ 1.571 $ 1.619 $ 1.532 $ 1. These averages do not take into account quality and/or quantity of grapes purchased by each processor.4 tons/acre Grape Prices. (These averages reflect price lists submitted to the NYS Department of Agriculture and Markets and forwarded to the Finger Lakes Grape Program.575 2007 $ 1. However the prices in Table 2 are a reasonable indicator of price trends for the four varieties. Harvest Issues.238 $ 1. Chardonnay Riesling Pinot Noir Cabernet Franc 2006 $ 1.628 $ 1.443 $ 1. Table 2: Average Price Listings for Selected V.332 $ 1. 2006-2010. Since larger processors often pay less. the true average price is often lower than the average reported in Table 2.200 $ 1.560 2008 $ 1. 2006-2010 .

000.037 per acre of vineyard. These costs are transferred to the site preparation section of the establishment and development costs. Of course.380 per acre. Spray materials costs were $344. This study assumed that tile drainage was placed in the middle of every second row or 18 feet apart. respectively. The shop was 1. The total cost for materials is estimated at $3.500 ft2. Wooden line posts were used for every third vine. with the necessity on average for twelve sprays during the growing season. or $414 and $80 annual costs per acre. or $1. Drainage Construction Costs Table 5 contains an estimate of drainage construction costs. sprays are assumed to be approximately the same from year to year. Beginning in year four. Riesling. and four catch wire clips were used on each post to hold the catch wires in place.07 per acre for Cabernet Franc and $379. Fungicide applications may vary slightly among vinifera cultivars due to the differences in disease resistance. These costs are transferred to Table 7 in the first year of establishment and development. are developed in Tables 7 and 9 to follow. labor. In year three. Labor and machinery costs for trellis establishment are also shown in Table 7. Chardonnay. and machinery is $4.6 Machinery and Buildings Costs The investment costs and annual costs for equipment and buildings are summarized in Table 3. two. and the construction cost was estimated at $46. and Riesling are more susceptible to Botrytis bunch rot. The investment for a shop is estimated at $69. an average investment of $3.00 per ft2 which includes basic amenities such as water and electricity. Pesticide application costs for labor and machinery. For example. as well as herbicides. Costs will vary greatly from site to site depending on the soil conditions and preferences of the vineyard manager. eight sprays are recommended. These varieties had extra costs for spray materials due to an extra fungicide material (Vangard 75 WP) necessary with the 6th spray.97 for Chardonnay. Trellis Construction Costs Table 6 contains an estimate of trellis constructions costs. and Pinot Noir. The machinery investment required totals $151. The trellis was designed for Vertically Shoot Positioned (VSP) vines. The total cost of trellis construction for materials.110 per acre. spray programs will have to be adjusted slightly from year to year to accommodate variable weather and/or pest pressure. The total annual costs for depreciation and interest amount to $20.988 for buildings.523 per acre. Costs were estimated to total $4. . Machinery investment would be much greater if a mechanical grape harvester was necessary.648 per acre. Pinot Noir. Pesticide Program Spray Costs Table 4 indicates the recommended spray program and costs for years one. three.710 for machinery and $3. Rows were 440 feet long and there were 11 rows to an acre and 73 vines per row. Wooden anchor posts were used to support each end post. and years four through twenty-five. It was made up of two pairs of moveable catch wires and two fixed fruiting wires (a total of six wires).825.

1233 $675 $6.776 $166 $910 $990 $222 $67 $749 $286 $333 $5.500 ft2 @ $46.600 $4. and Building Capital Recovery and Interest Costs.988 $0 $3.219 $64 $1.300 $0 $1.360 $10 $299 $6 $579 $10 $299 $32 $920 $20.1233 $800 $7.700 0. Vinifera Vineyard $69. 62-HP.075 0.710 $414 Buildings Shop (1.1233 $150 $4.000 $151.1233 $258 $2.050 0.2246 $490 $4.410 0.1233 $2.000 $2.792 0.340 0.2246 $260 $2.650 0.107 $1.00 ft2) Cost per planted acre Vineyard 1 Ac.400 0.1233 $260 $2. Finger Lakes Region.Table 3: Machinery.800 0.300 gallon Herbicide sprayer.010 $8 $230 $2 $69 $27 $776 $10 $296 $12 $345 $104 $5. 2WD.200 0.1233 $60 $540 0.000 $600 $6.0578 0.000 $1.400 0.1233 Annual Recovery $4.000 $28.1233 $450 $4.000 $16.340 0.825 $3.000 $26. NY.256 $289 $573 $289 $888 Interest on Total Capital Salvage Recovery & Value Interest $152 $4.037 .988 $80 $1.750 $2.000 $1.0692 $3. vinifera Vineyard.380 $18.1233 $1.318 0. 45-HP Air-blast sprayer.200 0.800 $2.50 gallon Enviromist sprayer Mower/brush chopper (7ft) Fertilizer Spreader Small disc (used) Grape hoe Post driver Trailer Pickup truck Mechanical hedger (used) Replanter Bird control equiipment Shop Equipment Total Machine & Equipment costs Cost per planted acre Purchase Price $38.800 $25.800 $34. spray cab Tractor.500 $4.369 $112 $3.300 7 Machinery and Equipment Tractor. 50 acre V.575 $3.2246 $200 $1.600 $23.840 $6 $172 $18 $928 $20 $1.000 $18.600 $8. 2010 Years of Life 10 10 10 10 10 10 10 10 10 10 10 5 10 10 10 10 Cost Salvage Capital to be Recovery Value Recovered Factor $3.1233 $150 $1.350 0.900 $2. Equipment.600 $14.1233 $2.792 30 22 $0 $0 $69.1233 $300 $2.217 $3.200 0.500 $4.

$ 11. $ 14.47 lb.94 $ 19.98 lb. Finger Lakes Region.21 $ 3.50 gal. $ 0. $ 3. $ 62.94 $ 15.80 $ 1.37 Revus Top Sulfur Spreader 7 oz. 4 oz.61 Total per spray Total for year (3 sprays) Year 2 Sprays 1-4 Total per spray Total for year (4 sprays) Year 3 Sprays 1-2 Total per spray Total for year (2 sprays) Sprays 3-4 Total per spray Total per year (2 sprays) Sprays 5-8 Captan 80 WP Sulfur Spreader 2.45 lb.94 $ 15.80 $ 1. 5 lbs.05 Mancozeb 75 DF Sulfur Spreader 3 lbs.20 gal Total per spray Total per year(3 sprays) Total per year (8 sprays) Years 4-25 Sprays 1-2 Total per spray per year $139.80 $ 1. 62. $ 0.45 lb. $ 62. $ 0. $ 3.98 lb.20 gal. 2010 Material Rate/acre Price $/acre Year 1 Sprays 1-3 Mancozeb 75 DF Sulfur Spreader 3 lbs.48 Mancozeb 75 DF Sulfur Spreader 3 lbs.68 $ 2.45 lb.94 $ 1. $ 2.51 $ $ $ $ 18.74 Mancozeb 75 DF Sulfur Spreader 3 lbs.87 $ 68. $ 62. $ 3. $ 0. lb. 4 oz.50 gal. 4 lbs.94 $ 15.98. 4 oz. 0.94 $ 22.98 lb. $ 3. 4 lbs.68 $ 31. $ 0.94 $ 1. 8 lbs. 4 lbs.68 . vinifera Grapes. 4 oz. $ 11. 4 lbs. $ 11.20 gal.03 lb. $ 62. NY.94 $ 1.60 $ 1.45 lb.45 lb. 4 oz.45 lb.94 $ 1. 7.80 $ 1. 4 oz.25 $ 1.20 gal.68 $ 62.75 $ 39.5 lbs.68 $ 47.94 $ 15. $ 11. $ 62.8 Table 4: Sample Fungicide & Insecticide Spray Program for V.

80 0.20 $ 11. 2.60 4. 4 oz. lb.03 0. $ $ $ 3. $ $ $ 3.99 fl.21 $ 2.03 oz 4. $ $ $ 2.69 pt.45 lb. lbs. oz.83 Quintec Sulfur Prophyt 4 fl.13 $ 16.21 $ 10.25 $ 35..98 lb. 4 oz.20 Total per spray Total for year (2 sprays) Spray 11 $ 14.20gal.94 $ 16.45 $ 3.69 pt.45 lb. $ $ $ 2. 62.5 5 10 4 $ 7. $ $ .26 $ 34. 62. $ $ $ 0. .47 $ 0. lb. 8 lbs.5 lbs. 4.40 $ 18. 2.94 $ 17. $ 3.37 Mancozeb 75 DF Sulfur Spreader 3 lbs. oz. oz.94 $ 18.45lb. $ 12. Total spray 7 Spray 8 $ 26.oz . gal. $ 11. 2.94 .90 $ 2. 5 lbs.40 10 fl.68 $ 1.94 lbs. Captan 80 WP Sulfur Vanguard Spreader 2.90 $ 1.68 $ 2.59 $ 62. 2.72 $ 1.oz.5 pt.20 gal.9 Material Rate/acre Price $/acre $ 31. $ 29.25 $ 1.20fl oz.12 Sulfur Prophyt Spreader 8 lbs.27 lb. $ 3.72 Total spray 8 Spray 9 & 10 $ 28. 4 oz.13 Revus Top Sulfur Spreader 7 oz.5 pt.25 $ 32.53 $ 18.25 $ 1.60 $ 11.30 Spray 7 Revus Top Sevin 80 WP Spreader 7 oz/. 62. 5 lbs. 5 lbs.20 gal. $ 14.45 lb.45 lb. oz. 62.94 $ 2.15 Total for year (2 sprays) Sprays 3 Total per spray Total per year (1 sprays) Spray 4 Total per spray Total per year Sprays 5-6 Pristine 38 WG Sulfur Total per spray Total for year (2 sprays) $ 64. 4 oz.

oz. lb. $ 3. and Pinot Noir $/acre $ 58. $ 35. Professor of Plant Pathology. $ 0. and Pinot Noir The sample fungicide and insecticide spray program was developed by Dr. Riesling. Total spray 12 Total cost of all year 3+ sprays *For the sixth spray. $ 42.59 oz.75 $ 1.07 Vanguard 75 WP 10 oz. Geneva Experiment Station.75 lb.97 sprays. . Riesling. $ 62. add for Chardonnay. Wayne Wilcox.94 $ 65.62 $ 344.5 5 1 4 lbs.10 Material Rate/acre Price Total spray 11 Spray 12 Captan 80 WP Sulfur Elevate 50 WP Spreader 2.45 lb.25 $ 42.68 $ 2.77 $ 18. for Chardonnay.20 gal.90 Total cost of all year 4+ $ 379.47 lb. $ 7. lbs.

Vinifera Grapes. First year costs. Interest.03 ft 0. Total costs for the third year are $1.523. costs are a relatively modest $876 per acre with lower spray costs and less labor required than for mature vines. 1078 clips 3 lbs. are substantial. and planting. property taxes. 0. A planting density of 807 vines (6‟ x 9‟) (vine by row) was assumed. The total costs for the entire E&D period are summarized in Table 8. In the third year.420 ft 2. The largest cost in the first year is for trellis construction. NY.5 gauge HT foliage & cordon wire ($79. Vinifera Grapes. office supplies.660 per acre. The totals from Table 7 for each of the three years are brought into the row labeled „annual variable costs‟. Credit is given for the revenue from the estimated one ton of grapes harvested in year three. Finger Lakes Region.75 anchor $ $ $ 7.889 ft.22 ft Total Drainage Construction per acre Item Total Cost per acre $ 117 $ 920 $ 3. 2010.18 ft $. NY. Hand harvesting costs are added for the third year only. trellis construction. at a real rate of four per cent. Total per Quantity Price acre Wood end posts (8 ft X 5” diameter) Wood anchor posts (8 ft X 5” diameter) Wood grape stakes (8 ft. land charge. and management) are added.608 per acre. 3” diameter.073 $ 4. every 3rd plant) 12.38 ft $ 1. In year two. for a total of $4. including site preparation. lbs. is added to the cumulative costs. 2010. Fixed costs (capital recovery for machinery and equipment and buildings. Item Main line: 6” pipe Laterals: 4” pipe Installation Quantity 99 ft 2.519 ft Price $ 1.95 roll of 4000 ft) Catch wire clips (4 per line post) Staples. The price of grapes in year three is the average of the four varieties produced. and hand harvesting is required to protect the young vines.110 Table 6: Trellis Construction Costs per acre for V.11 Table 5: Tile Drainage Costs per acre for V. The total cumulative .15 crimp 303 303 Establishment and Development Costs The costs for labor machinery and materials for site preparation and years one through three constitute the establishment and development (E&D) costs (Table 7).75 post $ 13.95 stake $ 2.13 clip 1. amounting to $12. 50 crimps $ 13.648 0.74 lb. Crimping sleeves (for joining wire ends) Total Trellis Construction materials 22 posts 22 posts 269 stakes 26. insurance. a spray program of eight sprays is recommended.138 $ $ $ $ $ 753 $ 140 $ 5 $ 8 $ 3. Finger Lakes Region.

Table 7: V.5 2.32 $566.60 $33. 2010 Labor Used Site Preparation Drainage (see table 5 for details) Lime (2 tons/acre) Herbicide application Stone removal & land maint.264 $2.523 $24 $35 $28 $28 $28 $28 $6.40 $2.3 0.660 .00 $3.52 $95.00 $9.06 $394.356.60 $7.60 $11.82 51.89 1 0.65 14.50 $18.8 1.4 0.6 0.78 $4.50 $8.3 $1.341.72 $4.68 $11.3 0.80 $11.5 $12.40 $28. Soil Sampling Fall fertilization Plowing Discing (2X) Custom Custom Custom Unskilled Skilled Skilled Custom Custom Total Total Total for first year and site prep Equipment Hours Labor Cost Equipment Cost Materials Cost Total Cost $10.6 0.68 $15.00 $12.25 $7 $3.20 $80.2 n/a 0.82 $14.81 0.110 $90 $20 $21 $8 $92 $23 $33 $4.8 0.40 1.5 1.45 $5.50 $779.2 0.5 41 1 1.35 $3.75 $394.67 $4.410 $22 $43 $87 $4.50 $47.72 $4. weed control -trellis Trellis construction (see table for details) Spot herbicide-hand application Cultivation (2X) Spray 1 Spray 2 Spray 3 Seed cover crop Labor Hours Skilled Custom Skilled Skilled Skilled Skilled Skilled Skilled Skilled Skilled Skilled Skilled $15.60 $7.3 $27.17 $5.vinifera Grape Establishment and Development Costs Finger Lakes Region.00 $75.22 $8.00 $178.34 $4.2 2 8 0 1 0.17 $11.25 n/a 0.2 0.98 $12.80 $21.4 0.78 $5.6 1.648 $4.68 $15.396 12 First Year Floating/dragging Laser Planting Fertilization (banded) Hilling up Chem.00 $22. New York.82 $22.4 0.00 $90.621.56 $0.80 $7.3 0.00 $19.78 $4.5 $4.

5 0.92 $1.32 $23.40 $49.40 $12.92 $1.68 $15.78 $7.40 $49.32 $30.3 0.33 $4.00 $7.32 $23.02 $5.6 2.00 $534.7 0. weed control-trellis-1st applic.4 Labor Cost $57. weed control-trellis-2nd applic.6 2.43 $4. Chem.82 $23.00 $24.92 $4.5 0.40 $30.5 3 0.1 Equipment Hours 2 0.60 $32.4 0.90 Equipment Cost Materials Cost Total Cost $27.00 $52.00 $57.00 $38.00 $30.6 2.40 $11.41 $57 $28 $117 $22 $75 $75 $75 $30 $30 $88 $16 $51 $28 $28 $35 $35 $75 $12 $876 13 Second Year Pruning & brush removal Tying & renewal Vine Replacement Spring Fertilization Chem.98 $15. Suckering Cluster removal Take away Spot herbicide treatment Hilling up Spray 1 Spray 2 Spray 3 Spray 4 Mowing (4X) Rogueing Labor Used .5 2.5 2 2 2 2.97 $25.97 $7.51 $4.60 $7.68 $15.30 $7.5 2 16.68 $15.00 $11.84 $3.78 $4.3 1.60 $11. Chem.40 $49.3 0.6 2.6 2.4 1.6 0.6 1 31.40 $49.43 $206.5 0.4 0. weed control-trellis-3rd applic.50 $1.68 $134.23 $18.Table 7 continued Total Labor Hours Skilled Unskilled Skilled Skilled Skilled Skilled Skilled Unskilled Unskilled Skilled Skilled Skilled Skilled Skilled Skilled Skilled Skilled Unskilled 3 2 2 0.

67 $161.00 $11.43 $18.40 $11.97 $7.52 $21. weed control.7 39.68 $19.82 $21.Table 7 continued Total .trellis Chem.6 0.87 $22.3 0.97 $7.03 $323 $165 $36 $117 $22 $73 $73 $73 $84 $96 $88 $16 $35 $35 $39 $39 $42 $42 $42 $42 $75 $51 $1. weed control.5 0.5 0.00 $7.6 0.87 $22.5 0.00 $57.52 $21.6 0.87 $22.71 $27.90 1 2 0.00 $12.40 $11.40 $49.92 $1.23 $7.84 $3.92 $52.97 $7.121.40 $32.5 0.5 0.5 0.68 $15.97 $7.trellis Chem.40 $49.40 $49.1 Equipment Hours Labor Cost 2.75 $19.5 2 2 2 Equipment Cost Materials Cost Total Cost $4.02 $5.5 2 1.52 $30.97 $25. Labor Hours Custom Unskilled Skilled Skilled Skilled Skilled Skilled Skilled Unskilled Unskilled Skilled Skilled Skilled Skilled Skilled Skilled Skilled Skilled Skilled Skilled Skilled Skilled Piece rate* Piece rate* 1.40 $11.6 0.75 $22.43 $4.2 2 0.33 $22.92 $4.4 0.60 $11.98 $15.40 $11.40 $11.8 $1.608 14 Third Year Pruning and brush pulling Tying & renewal Brush chopping (1X) Vine replacement Spring fertilization Chem.5 $322.6 2.40 $11. Weed control-trellis Suckering Cluster removal Take away Spot herbicide treatment Spray 1 Spray 2 Spray 3 Spray 4 Spray 5 Spray 6 Spray 7 Spray 8 Mowing (4X) Hilling up Labor Used .00 $96.87 $234.6 0.6 0.5 0.6 0.6 7 8 3 0.6 2.80 $38.30 19.97 $7.97 $7.97 $7.5 0.40 $11.6 2.40 $84.92 $1.6 1.50 $1.6 2.40 $49.51 $251.

Total growing costs for a typical year in the mature vineyard are estimated to be $2.144 for site preparation and the first three years.792 $ 1. The most costly operations are canopy management ($602 per acre). including labor. 876 $ $ 414 $ 80 $ 125 $ 200 $ 60 $ 44 $ 0 $ 923 $ 543 $ 14.15 Table 8: Summary of Establishment and Development Costs by Year for V.436 ) $ 16.127 $ $ 414 $ 80 $ 125 $ 200 $ 60 $ 44 $ 0 $ 923 $ 637 $ 2. . the annual cost for capital recovery (interest and depreciation) is $1.453 per acre.144 cost for the E&D period is $18. including labor. of 4 varietals) Total revenue Costs Site preparation Annual variable costs Preharvest Harvest (Hand)+hauling Total variable costs and site preparation Annual fixed costs Machines & equipment amortization Buildings amortization Property taxes Land opportunity cost Office supplies. machinery and materials costs) and pruning and brush removal ($323 per acre). Costs and Returns for a Mature Vineyard Annual growing costs for years four through 25 are developed in Table 9. This amount was charged as a fixed cost in Table 11.a.300 per acre. which summarizes the costs and returns for a mature vineyard.325 $ 1.792per acre.325 $ 0 $ 1. NY 2010 Item Revenue Yield per acre (tons) Market price (ave. etc. the well-managed vineyard will nearly have reached its full yield potential and will require approximately the same management each year for the duration of its life. spraying (12 times.) Year 1 Year 2 0 n.563 Year 3 1 $ 1.858 $ 414 $ 80 $ 125 $ 200 $ 60 $ 44 $ 0 $ 923 $ 774 $ 3.264 n. Insurance Management Total fixed costs Interest on cumulative costs Total costs Net returns Total cumulative costs Amortization of vineyard: Cash costs of vineyard establishment (3 Yrs.a. vinifera Grapes.608 $ 250 $ 1. 0 $ 4.300 $ 15. By year four.127 ) $ 14.127 ($ 14.230 ) $ 18.555 ($ 2.a. for a total of $577 per acre.660 $ 876 n. 0 $ 0 n. Amortized at a four percent real rate of interest for the estimated years of life from year four through 25 (or 22 years). are $15.436 ($ 2. Cash costs for establishment. Finger Lakes Region. phone.396 $ 0 $ 8. $ 12.a.

Spray) Spot herbicide treatment Suckering Cluster removal & shoot thinning Take-away Spray 1 Spray 2 Spray 3 Spray 4 Spray 5 Spray 6 Spray 7 Spray 8 Spray 9 Spray 10 Spray 11 Spray 12 Mowing (4X) Lime (1 in 5 years) Pickup truck Labor Used .97 $7.40 $11.weed control-trellis Soil applic of Solubor (w.26 $58.6 0.5 0. Finger Lakes Region.43 $1.6 0.43 $2.23 $30.5 0.97 $7.2 3 Piece rate* 0.68 $15.00 $120.80 $57.71 $11.Table 9: Growing Costs.06 $63.40 $49.77 $65.5 0.98 $15.40 $49.6 0. herb.52 $21.40 $11.02 $21.3 2.6 0.00 $161.00 $2.5 2 0.6 Skilled Unskilled Unskilled Skilled Skilled Skilled Skilled Skilled Skilled Skilled Skilled Skilled Skilled Skilled Skilled Skilled Skilled Skilled n/a 0.5 0.97 $7.5 0.92 $1.97 $7.97 $7.6 0.92 $3. Years Four through Twenty-five.00 $323 $36 $98 $164 $21 $117 $73 $73 $73 $4 $16 $84 $120 $88 $35 $35 $36 $38 $52 $52 $46 $47 $37 $37 $78 $85 $75 $13 $64 16 Operation Pruning+brush pulling Brush chopping Trellis maintenance Tying & renewal Spring fertilization Vine replacement Chem.1 Labor Cost $322.40 $32.73 $30.83 $28.97 $7.97 $7.5 0.40 $11.5 2 2 2 2 0.75 $4.52 $3.6 0.40 $1.97 $25.00 $49.97 $7.4 7 10 3 0.6 0.6 2 2.13 $18.40 $11.6 2. 2010 Labor Hours Custom Skilled Skilled Custom Skilled Skilled Skilled Skilled Skilled Piece rate* 1.5 0.52 $21.weed control-trellis Chem.6 2.97 $7.40 $7.75 $52.5 0.1 n/a Equipment Hours 1 1 0.40 $49. V.00 $11.weed control-trellis Chem.40 $11.5 0.11 $5.84 $7.15 $26.92 $1.68 $16.5 0.6 0.6 0.15 $32.26 $17.82 $27.80 $3.5 0.6 2.33 $11.90 Equipment Cost Materials Cost Total Cost $12.67 $22.40 $11.62 $9.40 $11.40 $38.6 0.6 0.12 $17.5 0.00 $57.40 $11.97 $7.40 $11.40 $11.97 $7.60 $84.40 $11. vinifera Grapes.6 0.

5 1.00 $72.70 $1.5 0.7 0.3 1.40 $18.78 $72 $72 $54 $36 $6 $2 $51 $34 $109 $2.2 $1.90 $1.00 $375.1 0.3 0.Table 9.9 25.3 $72.51 $3.00 $24.56 $485. Continued Operation Shoot positioning/move catch wires Shoot positioning/move catch wires Leaf removal Summer pruning Petiole sampling (every 2 years) Soil sampling (every 5 years) Hilling-up Fall fertilization Crop insurance Total Labor Used Labor Hours Equipment Hours Unskilled Unskilled Unskilled Skilled Skilled Skilled Skilled Skilled 6 6 4.70 64.00 $54.35 $3.90 $32.1 1.30 $5.49 $25.482.60 1 1 Labor Cost Equipment Cost Materials Cost Total Cost $11.84 $0.453 .

Total costs vary from $5. including the owner‟s labor. and this number is transported to Table 11 to use in the computation of the costs and returns for the mature vineyard.608 Year 4+ $ 98 $ 117 $ 323 $ 234 $ 80 $ 602 $ 577 $ 139 $ 110 $ 64 $ 109 $ 2. . than it was worth in the early years of the planting. and development costs for a V. NY. Costs for crop insurance will actually vary a few dollars per acre depending upon the grape variety planted. Cabernet Franc shows a large loss (-$1. assuming that vine replacement and trellis maintenance are done annually.420 depending upon variety. Trained to a Vertically Shoot Positioned System. vinifera vineyard. Yields at these higher levels may be inconsistent with quality requirements.960 to $4. There is an imputed charge on all capital used. The estimated revenue per acre varies from $3. it should be remembered that we assumed recommended practices throughout the model. but we have not accounted for the fact that the vineyard at the end of 25 years has a value that may be as much. The vineyard capital expense is written off after 25 years.200 to $5.417 $ 4. is charged a cash wage. 2010 Item Site preparation Vines & planting Trellis materials & construction Replanting & Rogueing Dormant pruning & br.453 Table 11 summarizes the costs and returns expected from a mature vineyard. all varieties exhibited negative net returns. vinifera Vineyard. and constructing the trellis.523 $ $ 175 22 $ $ 84 43 $12.324) given the assumed yield and prices. establishment. Finger Lakes Region. planting the vines.18 Table 10 summarizes the growing. To put this in perspective.4 tons per acre would be necessary to break even with Chardonnay. The break-even price prices and yields are shown in Table 11. A yield of 4.453 per acre in years four through 25. or even more. All labor.396 $ 3. Table 10: Summary of Growing Costs for V. A yield of 4. removal Weed control Fertilization Canopy management Disease & insect control Take away & hilling up Mowing Pick-up truck Crop insurance Total Growing Costs Year 1 $ 4.5 tons per acre is the break-even yield for Cabernet Franc. At the assumed yield and prices. Growing costs are largest in the first year when a significant amount must be spent preparing the site. Some growers will be able to reduce some of these costs considerably. Growing costs are $2.660 Year 2 Year 3 $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ 129 57 240 22 88 126 139 75 $ 876 117 323 234 22 345 317 139 110 $ 1. The cost of crop insurance was added in the 2010 study at an average cost of $109 per acre.330 per acre by variety.

284 $5. Insurance Management Total fixed costs $1.300 $414 $80 $125 $200 $60 $44 $221 $2.422 $1.3 4.200 $5.960 3.200 $3.300 $414 $80 $125 $200 $60 $44 $198 $2. Franc and P. Noir) Additional spray materials for Botrytis Interest on operating capital Machine Harvesting Profit or loss Breakeven price ($ /ton) Breakeven yield (tons) $36 .4 4.960 3. Franc Chardonnay Riesling 2.600 $4.453 $120 $2. 2010 Item Pinot Noir Cab.422 $1.6 $1.778 $49 $240 $2.1 Receipts: Yield target. phone. etc.453 $120 $0 $49 $240 $2.3 $1. tons per acre Price.223 -$1.160 3.200 $3.5 4. vinifera Vineyard. NY.445 Total costs $5.536 3. Finger Lakes Region.576 $1.050 $1. crop insurance @ $109/Ac) Cluster removal (Cab.324 -$1.778 Fixed Costs: Vineyard capital recovery Machinery and equipment capital recovery Buildings capital recovery Property taxes Land opportunity cost Office supplies.453 $36 $36 Total variable costs $49 $240 $2.420 $2.432 $1.330 $5.170 -$1.300 $414 $80 $125 $200 $60 $44 $198 $2.240 -$803 $2.862 $49 $240 $2.898 $2.3 $1.453 $2.4 $1.601 $1. $ per ton Total receipts Costs: Variable Costs: Growing (incl.19 Table 11: Costs and Returns for a mature V.300 $4. Trained to a Vertically Shoot Positioned System.300 $414 $80 $125 $200 $60 $44 $208 $2.

with depreciated vineyards. Differences in fungicide applications may be necessary due to the differences in disease resistance among the various varieties. thus giving them the possibility of buying fewer items of machinery and equipment. If a harvester is purchased. For example. The cost and return estimates developed in this publication represent typical costs for well-managed vineyards producing premium quality grapes on prime sites.792 $28.609 *Prime site close to the lake. This is due to less efficient use of the machinery complement unless these smaller growers hire some vineyard operations to be done by custom operators and/or vineyard management companies. In reality. The grower panel did not believe there was sufficient data to adjust costs for varietal differences. vinifera Grapes. would have lower capital investment (book value) depending upon the age of their depreciable assets. The total cost per ton. brush removal. and buildings.037 $ 1. vigorous cultivars such as Cabernet Franc may require a greater labor input for pruning. Chardonnay. If yields are two tons per acre or less and/or with low yielding cultivars. so additional spray materials at $36 per acre were allocated to these varieties for Botrytis control. and reliance on either custom hand or machine harvesting of grapes. Finger Lakes Region of New York. and labor efficiency.400 $ 3.380 $18. and a building. site factors. managerial ability. Pinot Noir. investment per acre for machinery would be considerably higher. is quite sensitive to yield as shown in Table 13. machinery and equipment. 2010 Assets Land* Machinery & equipment Buildings (shop & tool shed) Vineyard establishment and development Total investment per acre of grapes $/acre $ 5. for a 50-Acre Vineyard. Growers with smaller acreage will typically have higher investment costs per acre. headlands. tying and other hand labor tasks. Table 12: Investment Per Acre of V. Assumes 54 acres purchased (including support land) for 50 planted acres. or breakeven price. The table uses the value of new machinery and equipment and buildings.609 per planted acre to get a vineyard into maturity in the Finger Lakes under the assumptions indicated above. DISCUSSION AND SENSITIVITY ANALYSIS Costs per ton of grapes and profits for Finger Lakes vineyards will vary widely due to factors such as land costs.600 . farm size. a price of about $2. assuming a vineyard of 50 total planted acres with an additional four acres for roads.20 Capital Requirement Table 12 indicates the capital investment per acre necessary to get into grape production in the Finger Lakes region. Established growers. Land costs assume a prime site close to the lake. and Riesling are more susceptible to Botrytis bunch rot. Table 12 indicates that it would require $28.

0 3. but recovered slightly in 2010.5 5.0 $3. cluster removal for two varieties. in 2006 (from the most recent vineyard survey available). temporarily depressing the cash market.5 2.072 * Cost at different yield levels adjusted for machine harvesting and hauling.0 4. 199 acres.566 $ 2.111 $1. per ton would be required to break even.5 3. the New York National Agricultural Statistics Service (NASS) estimated acreage of certain varieties in the Finger Lakes as follows: Cabernet Franc.5 4. 351 acres.321 $1.0 $3. and Riesling.0 2. Finger Lakes Region of New York.5 4.315 $1.059 $ 1. Lower grape prices in 2008 and 2009 were probably due to some combination of the recent recession and expansion of acreage of major vinifera varieties.6 tons per acre for Pinot Noir.597 $2.516 $1.0 2. Total Vinifera acreage in the Finger Lakes was only 1. good management. . Yields of more than four tons per acre for Cabernet Franc or more than 2. Vinifera prices in the Finger Lakes had been on a downward trend in 2008 and 2009. 2010 Pinot Noir Cab Franc Yield Yield (tons/acre) Cost/ton* (tons/acre) Cost/ton* 1.381 $ 2.555 $ 2. In some years.068 $ 1. CONCLUSIONS The cost and returns estimates derived in this publication indicate results for V.5 4. Chardonnay. V. and limited yields.5 2.437 $2. Pinot Noir.336 Chardonnay Yield (tons/acre) Cost/ton* 1. vinifera Grapes. given the thin markets for certain varieties.5 3.5 3.21 Table 13: Total Cost Per Ton (Breakeven Price) At Varying Yields.756 $1.5 4.728 $ 1.067 Riesling Yield (tons/acre) Cost/ton* 1. or more than five tons per acre for white vinifera varieties are probably incompatible with the quality requirements of the market for premium wines. This happened with Chardonnay in the Finger Lakes in the early 1990s and Cabernet Franc in recent years.492 $ 1.092 $1.182 $1.000 per acre land value.0 2.620 $2.0 3.0 $3. 2010 prices for inputs. and prices for grapes that reflect several quality enhancing practices such as leaf pulling.736 $ 1.468 $2.5 5.499 $ 1. a few small plantings or one large planting of these varieties can lead to a large percentage increase in grapes produced. Even the highest prices paid in the most recent seasons would result in unprofitable production with such a low yielding scenario. The total acreage of some varieties in the Finger Lakes is quite limited. the use of recommended practices. vinifera in the Finger Lakes under the assumption of prime sites.397 $ 2. 543 acres.5 3.0 2.0 3.772 $1. or about 17 percent of total grape acreage in the Finger Lakes. For example.177 $1. With such limited acreage.347 1.0 $ 3. 149 acres. a surplus situation can develop when a few growers plant additional acres.0 4. Potential investors should be forewarned that the current economic climate for grape growing in the Finger Lakes can change.529 $1.647 acres.0 3. but this is a question that needs more definitive research.5 2. Assumes a 4 % real interest rate and a $5.5 2.

Over three-fourths of the wine marketed by New York farm wineries is sold direct to consumers.22 Other concerns include the current macroeconomic conditions with high fuel prices. Resource. Dave Stamp. might limit visitors from the surrounding states from making trips to NY Wine Country. it raises those costs. and Managerial Economics. working on a grant funded by the New York State Department of Agriculture and Markets‟ “Grow New York” Program. Mark is now viticulturist of the Pisoni Vineyards and Winery. the industry is not as vulnerable as the tree fruit and vegetable industries. .. However. European and Australian wines cost more now. giving NY producers some new market opportunities. Nevertheless. but meaningful reform is unsure at the time of writing this publication. _______________ Appreciation is expressed to Matt Doyle. More growers need to consider using H-2A labor to prevent the possibility of labor shortages. 2001). Cornell University. Finger Lake Grape Program and Miguel Gómez of the Department of Applied Economics and Management at Cornell. is a concern. Gonzales. (Growers should be reminded that there is a long lead time involved in securing this labor). Labor. Extension Educator. Department of Agricultural. and the decreasing value of the US dollar. and Chris Verrill who served as the growers‟ panel for helping to establish the costs reported in this bulletin. especially during a recession. the potential for inflation of other inputs (especially pesticides and fertilizer). Immigration reform would help ease growers‟ minds considerably. the long run potential appears favorable for investors who can weather the inevitable ups and downs associated with an agricultural enterprise subject to the usual vagaries of weather and market forces. on the other side. 2004. To the extent producers buy special machinery or winery equipment from Europe. Mark Wagner. Special recognition is extended to Mark Pisoni (M. and 2010 Cost of Establishment and Production of Vinifera Grapes in the Finger Lakes publications. especially with more reliance on Hispanic labor for pruning and tying. California. Hans Walter-Peterson. Mark developed an Excel program which was used to develop the 2001. and the growing reputation of Finger Lakes wine quality. provided helpful reviews of the manuscript. While at Cornell.S. given the growing consumption of table wine in the United States. High prices for gasoline. 2007. The weak dollar has some positive and some negative effects. the developing tourist trade in the Finger Lakes. Since nearly all grapes in the Finger Lakes are harvested mechanically.

1. 1.14 lb.14 lb.qt. . Weed control . 0.trellis 9. $ 4.90 .48 . $/acre $ $ $9.92 Glyphosate Ammonium sulfate 0.02 1. .17 lb.74 qt.35 $ 4.02 1.92 Glyphosate Ammonium sulfate 0.24 $ 23.74. 2010 Material Rate/acre Price Year 0 (site prep. $ $ $ $ $ 4. $ 10.98 Total for Year 1 Years 2-25 Chem.7 lb. Am sulfate . .17 lb.23 APPENDIX Appendix Table 1: Sample Herbicide Program for V. 1.02 1.34 Glyphosate Ammonium sulfate 0.17 lb.74 .47 qt.74 $ . $ 4. $ . .0 qt. 0.72 Total for site preparation Year 1 (planting) Chem. . $ $ $ 1. $ $ 4. 1.4 qt. $ 11. weed control – trellis Total for treatment Chem.) Glyphosate 2. $ $ . $ 18. 0.0 qt.74 .0 qt.17 lb. weed control – trellis Total for treatment Spot herbicide treatment Total for treatment Average annual treatment costs for Years 2-25 4.92 Glyphosate Ammonium sulfate .14 lb.74 qt.90 . $ $ $ 1. NY.4qt.14 lb. $ $ 4.7 lb. .74 qt.14 lb.) Custom herbicide (in site prep.24 Total for treatment Chem.74 qt.4qt. weed control – trellis Surflan Glyphosate Ammonium sulfate 1.14 lb.74 qt. vinifera Grapes. $ $ 4.6 qt.24 4. Finger Lakes Region.

99 The sample Fertilizer/Soil Program was developed by Hans Walter-Peterson. $ 15 bale $300.50 Total for year 2 Years 3 Spring fertilization (banded) $ 4.00 $ 0.50 Years 4+ Soil application (Spring) Solubor Fall fert. $4.00 $ 3.16 acre 0. Total for year 3 $ 4. vinifera Grapes.) Soil sampling (1 test /5 acres@ n/a 0. $ 4.00 Fall fertilization Potash 300 lbs.50 $ 4.00 Total for year 0 Year 1 Spring fertilization (banded) $ 169.0 tons $ 45 ton $ 90. $ 0.04 acre $1.75 500 ton $25. Finger Lakes Grape Program.50 Total for year 1 (Optional: mulch-if irrigation is not installed) Year 2 Spring fertilization (banded) $4.00 two depths Lime (custom application) Lime 2.50 10:10:10 30 lbs. . every 5 years Total for year 4 Lime 2. 1 ton 0. .40 $41.15 lb.5 lbs.24 Appendix Table 2: Sample Fertilizer/Soil Program for V. 2010 Material Rate/acre Price $/acre Year 0 (site prep. $ 0.00 $ . every other year) Soil sampling (1 sample/5 Ac. (every 3rd year) Muriate of Potash Lime (every 5th year) Petiole Sampling (one sample/ 3 acres.00 10:10:10 30 lbs. Finger Lakes Region. 300 lbs.50 Round hay bales 10:10:10 20 bales 30 lbs.4 acre $ 10 test $ 4. $ 500 ton $ 75.00 $ 45.00 ton $ 24.15 lb.50 lb. $ $3.15 lb.00 test $ 9.84 $ 10. NY. Extension Educator.

300 gallon Herbicide sprayer.03 $0.000 $1.000 $2.900 $2. 45-HP Air-blast sprayer.04 $6.33 $0.94 $1.500 $4.80 $8.575 $3.94 $6.63 $1.18 $2.04 $3.17 $2.03 $1. 2WD. Finger Lakes Region.800 12000 12000 2000 2000 2000 2500 1200 2000 2000 2000 3000 2500 2000 1200 100% 100% 60% 60% 60% 80% 80% 60% 60% 80% 80% 83% 80% 80% $3.33 $4.62 $1.80 $0.91 Total Hourly Variable Costs $11.20 Tractor Fuel Factors Diesel Gasoline Factor 0.500 $4.31 $4.50 gallon Environmist sprayer Mower/brush chopper (7ft) Fertilizer Spreader Small disc Grape hoe Post driver Trailer Pickup truck Mechanical hedger Lube (15% of Fuel fuel) $6.000 $28.000 $16.750 $2. 62-HP.57 $1.000 $26.35 $1.33 $0.0600 Item Tractor. NY.45 $1. spray cab Tractor.80 $15.08 $0.04 $1.600 $4.03 $1.03 $0.15 $10.18 $2.80 $0.25 Appendix Table 3: Hourly Machinery and Equipment Variable Costs.35 $1.0438 0.45 $1. 2010 Purchase Price Hours of life Total Repairs Repairs Replanter $38.20 .04 $3.57 $1. vinifera Grapes.000 $600 $6. V.

Joseph. 2006-2010. 2000. Hans Walter-Peterson. Albany NY. New York Fruit Tree and Vineyard Survey. Cornell Cooperative Extension. ASAE Standards 2000. St. American Society of Agricultural Engineers. . Penn Yan.26 REFERENCES American Society of Agricultural Engineers. 2006. MI. NY. New York Agricultural Statistics Service. Finger Lakes Vineyard Notes (Harvest Issues). 2006.