Greenhouse Geranium Cuttings Costs of Production Budget

GREENHOUSE COSTS OF PRODUCTION BUDGETS

Geranium Cutting Production and 4 in. Pots from Unrooted Cuttings

Table A: Geranium Cutting Production Costs¹

Item	Dollars per Pot
Variable Costs
Fertilizer	$ 0.559
Insecticide	$ 0.160
Fungicide	$ 0.037
Root Medium	$ 0.109
Rooted Cuttings	$ 0.011
6" Plastic Pot	$ 0.003
Labor²	$ 0.294
Sub-Total	$ 1.173
Interest on Materials and Labor	$ 0.035
Total Variable Costs	$ 1.208
Overhead Costs³	$ 0.824
Loss Allocation⁴	$ 0.107
Total Cost Per Plant	$ 2.139
Total Cost Per Cutting (12 cuttings per plant)	$ 0.179

¹ Time: 16 weeks; spacing 6"x6".
² See Table A1 for more detail.
³ Based on 16 wks. of production and one wk. harvest. See Table A2 for more detail.
⁴ Based on 5% of total production.

Table A1: Labor Inputs for Geranium Cutting Production¹

Task	Seconds per Pot / Dollars per Pot
Planting	20.7 / $0.045
Irrigate and Fertilize	19.0 / $0.042
Spray Florel	0.80 / $0.001
Clean Plants and Apply Insecticide	24.0 / $0.052
Harvest and Treat Botrytis	70.9 / $0.154
Total	135.4 / $0.294

¹ Time: 16 weeks; spacing 6" by 6".

Table A2: Overhead Costs¹

Item	Annual Total/Cost per sq.ft.-week of Bench
Overhead Labor & Benefits	$60,000 / $ 0.075
Utilities
Heating Fuel (13,140 gal.)	13,420 / 0.017
Electricity	1,843 / 0.002
Telephone	1,212 / 0.002
Depreciation	23,887 / 0.030
Interest	14,848 / 0.019
Insurance	4,621 / 0.006
Repairs	11,818 / 0.015
Property Taxes	732 / 0.001
Advertising	682 / 0.001
Dues & Subscriptions	328 / 0.000
Travel & Entertainment	1,616 / 0.002
Office Expenses	758 / 0.001
Professional Fees	960 / 0.001
Truck Expenses & Equipment Rental	13,333 / 0.017
Land Rental	1,490 / 0.002
Contributions	379 / 0.000
Miscellaneous	2,651 / 0.003
Bad Debts	631 / 0.001
Total	$155,208 / $0.194

¹ 20,000 sq.ft., double layer, polyethylene greenhouse.

Table B: Production Costs per 4" Pot from Unrooted Cuttings.

Item	Dollars per Pot
Variable Costs
Fertilizer	$ 0.013
Insecticide	$ 0.001
Fungicide	$ 0.003
Unrooted Cutting	$ 0.240
Oasis Rootcube	$ 0.023
4-inch Plastic Pot	$ 0.074
Rooting Medium	$ 0.037
Labor ¹	$ 0.159
Interest on Materials and Labor	$ 0.025
Total Variable Costs	$ 0.575
Overhead Costs ²	$ 0.257
Loss Allocation ³	$ 0.044
Total Costs per Plant	$ 0.876

¹ See Table B1 for more details.
² See Table A2 for more details.
³ Based on 5% of total production.

Table B1: Labor Inputs per 4" Pot from Unrooted Cuttings

Task	Seconds per Pot/Dollars per Pot
Stick Cuttings	15.0/$0.033
Pot	5.5/$0.034
Irrigate and Fertilize	14.6/$0.032
Apply Pesticide	3.3/$0.008
Harvest	23.7/$0.052
Total	62.1/$0.159