Cotton Production Costs and Returns: Southern Seaboard

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Cotton production costs and returns per planted acre, excluding Government payments, Southern Seaboard, 2007-2009  1/

Item

2007

2008

2009

 

Dollars per planted acre

Gross value of production:
Primary product: Cotton

$432.85

$462.00

$495.60

Secondary product: Cottonseed

$89.11

$120.06

$80.16

  Total, gross value of production

$521.96

$582.06

$575.76

Operating costs:
Seed

$64.65

$72.10

$82.56

Fertilizer  2/

$93.68

$143.10

$140.52

Chemicals

$79.15

$82.83

$92.65

Custom operations

$21.09

$21.09

$22.97

Fuel, lube, and electricity

$39.27

$51.39

$34.17

Repairs

$32.21

$33.07

$33.71

Ginning

$100.25

$105.09

$113.81

Purchased irrigation water

$0.00

$0.00

$0.00

Interest on operating inputs

$7.31

$3.76

$0.75

  Total, operating costs

$437.61

$512.43

$521.14

Allocated overhead:
Hired labor

$12.74

$13.17

$13.46

Opportunity cost of unpaid labor

$19.59

$20.25

$20.70

Capital recovery of machinery and equipment

$111.28

$120.02

$129.92

Opportunity cost of land

$62.21

$69.63

$78.29

Taxes and insurance

$7.63

$8.47

$9.08

General farm overhead

$17.31

$17.77

$18.12

  Total, allocated overhead

$230.76

$249.31

$269.57

Total costs listed

$668.37

$761.74

$790.71

 
Value of production less total costs listed

($146.41)

($179.68)

($214.95)

Value of production less operating costs

$84.35

$69.63

$54.62

 
Supporting information:
Cotton Yield: pounds per planted acre

787

825

826

Price: dollars per pound

$0.55

$0.56

$0.60

Cottonseed Yield: pounds per planted acre

1,273

1,334

1,336

Price: dollars per pound

$0.07

$0.09

$0.06

Enterprise size (planted acres) 1/

453

453

453

Production practices: 1/
Percent irrigated

28

28

28

Percent dryland

72

72

72

 
1/ 2007-2009 estimates developed from survey base year, 2007.
2/ Commercial fertilizer, soil conditioners, and manure.

Last Updated on 10/05/2010