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The Feasibility of Producing and Marketing Fresh Vegetables in Central and Western New York

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  • Barnes, Raymond J.
  • White, Gerald B.

Abstract

The potential for growers in Western New York to grow, pack, and market 10 fresh vegetable crops was investigated. Terminal market price data for 1984-1988 were collected and analyzed for each crop. The cost of central packing, marketing, and transportation to terminal markets was estimated. The resulting net returns to growers and the costs of production using recommended cultural practices were calculated. Results, which depend very heavily on particular assumptions used in the study, indicated that tomatoes and green beans were profitable in an average season, giving positive returns to above total costs of production and marketing. Three crops (green peppers, broccoli, and cucumbers) had positive returns above variable costs, indicating that some returns would accrue to fixed resources. Four other ~rops (sweet corn, zuchinni, winter squash, and cauliflower) had negative returns to variable costs, indicating that they were unprofitable to grow and market through a central packing facility. The tenth crop, cherry tomatoes, could not be analyzed because of incomplete data.. Market window analysis, which incorporated a risk factor, indicated that six crops had market windows for at least one week in the season. These crops were snap beans, broccoli, cucumbers, peppers, tomatoes, and zuchinni. The market windows identified were, however, typically very early or very late in the season when few observations of prices were available and production risk is substantial. These results show some opportunities for expanded production of tomatoes, green beans, peppers, broccoli, and cucumbers for growers who are willing and financially able to incur substantial risk.

Suggested Citation

  • Barnes, Raymond J. & White, Gerald B., 1991. "The Feasibility of Producing and Marketing Fresh Vegetables in Central and Western New York," Research Bulletins 123088, Cornell University, Department of Applied Economics and Management.
    • Handle: RePEc:ags:cudarb:123088
    DOI: 10.22004/ag.econ.123088
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    References listed on IDEAS

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    1. Lewis, Edgar L., 1989. "Fresh Vegetable Packing Costs for Six Small Cooperatives," Service Reports (SR) 313513, United States Department of Agriculture, Rural Development.
    2. Runyan, Jack L. & Anthony, Joseph P., Jr. & Kesecker, Kevin M. & Ricker, Harold S. & Coale, Charles W., Jr. & O'Dell, Charles R, 1986. "Determining Commercial Marketing and Production Opportunities for Small Farm Vegetable Growers," Marketing Research Reports 313411, United States Department of Agriculture, Agricultural Marketing Service, Transportation and Marketing Program.
    3. Phelps, Joel B. & How, R. Brian, 1981. "Planning Data for Small Scale Commercial Vegetable and Strawberry Production in New York," Research Bulletins 181703, Cornell University, Department of Applied Economics and Management.
    4. Snyder, Darwin P., 1990. "1990 Budget Guide: Estimated Prices for Crop Operating Inputs and Capital Investment Items," Research Bulletins 183288, Cornell University, Department of Applied Economics and Management.
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    Cited by:

    1. Henehan, Brian M. & Brandoff, Randy I., 1998. "Considerations for Group Action in Marketing Specialty Crops Produced in the New York City Watershed," Staff Papers 121162, Cornell University, Department of Applied Economics and Management.
    2. Ho, Shuay-Tsyr & Rickard, Bradley J. & Kikkert, Julie & Klotzbach, Kathryn & Reiners, Stephen & Smith, Marc, 2011. "Examining the Costs of Producing Processing Snap Beans and Green Peas in New York State," EB Series 121631, Cornell University, Department of Applied Economics and Management.

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    Crop Production/Industries;

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