Starting in Strawberries? Input Expenses Costly but Reward is Potentially Great

Web AdminAgri-business, Strawberry

By Clint Thompson

Strawberries have the potential to be a lucrative commodity for interested specialty crop producers. But they can also be extremely expensive to grow.

Strawberries
Photo by Pixabay on Pexels.com

Farmers need to understand the investment before diving head first into the industry next season, says Jessie Rowan, Alabama regional Extension agent, who specializes in commercial horticulture and farm and agribusiness management.

Jessie Rowan

“To me, they can be one of the most profitable fruits to grow, but they can also be one of the most investment heavy. You’ve got to spend a lot of money on plants especially; fertilizer, things that go along with strawberry production. They can be profitable and reap really good benefits and good profit margins, but you’ve got to be able to put that much money up front and know how to manage it because you’re spending so much in that initial investment,” Rowan said.

The costs to fertilize strawberries, like other crops, are extremely high. Rowan said every form of nitrogen has increased by at least 100%, if not 200% in costs. Insect pest and disease management are critical especially with chilli thrips, Botrytis and Neopestalotiopsis Fruit Rot disease.

Row covers are key to protect growers in the Southeast from potential freeze events that impacted crop production this year.

“If you’ve spent $7,000 or $8,000 or $9,000 on these plants so far, or more, you really want to protect them in January and February from those late freezes,” Rowan said. “You’ve already spent that much money on them so it’s really important to have that row cover and be able to cover it when you need to.”

Labor is another essential input expense. Workers are still needed on the farm, even if producers desire to implement a U-pick component to their farming operation.

“Even if it is a U-pick operation, you have to have a couple of workers to still pick what people don’t pick. A U-pick operation can save you in harvest labor costs, but you also have people coming on your farm picking strawberries that where it may not be their job,” Rowan said. “They may not pick them the best way or what’s most efficient for your operation. You need to have someone go back over and make sure there’s not a ton left in the field.”

But potential producers can take solace in knowing strawberries’ value among consumers. Rowan has experienced it with the farmers she’s interacted with.

“I was just thinking of all the different prices I’ve seen of people selling strawberries for and the estimated costs of production and how much someone could make in sales. They’re selling at $12 a gallon, or I’ve seen $17 a gallon,” Rowan said. “People are selling out no matter what it’s priced at. I’ve heard farmers looking to buy strawberries from other people because they keep selling out.”