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Tender Fruit Cost of Production Update Underway


By John Molenhuis, Business Analysis and Cost of Production Specialist, OMAFRA

The Economic Report, “Establishment and Production Costs for Tender Fruits in Ontario” published by the Ontario Ministry of Agriculture, Food and Rural Affairs (OMAFRA) is currently being updated for 2023 from the previous version completed in 2018. The report has several contributors reflecting the various components of the industry, including business advisors, extension specialists and researchers, surveys from agribusiness, tender fruit producers, the Ontario Tender Fruit Growers and previous economic reports.

The 2023 Economic Report will represent the current management practices presently being used by growers today.  The report recognizes that there are many different grower practices such as training systems, pest management programs and fertilizer rates because of soil conditions, variety selections, personal grower management decisions and the unique microclimates in Ontario.

While the full report is still being finalized here are some general observations of the estimated changes for selected items from 2018 to 2023:

  • Hand labour wage rates increased 11% and machinery labour 28%
  • Fertilizer prices increased 90%
  • Pesticide costs increased 15%
  • Fuel prices increased 45%
  • Interest rates increased 46%
  • Machinery purchase prices increased 30%

How these changes will impact tender fruit profitability will be provided in detail in the final report.

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