Plant or Renovate? Comparing alternative ways to get into the pecan business Bill Goff Department of Horticulture Auburn University.

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Presentation transcript:

Plant or Renovate? Comparing alternative ways to get into the pecan business Bill Goff Department of Horticulture Auburn University

Assumptions New planting Irrigated in planting year No yield for 1 st 7 years $150/acre land payment Renovated orchard Irrigated in 1 st renovation year $275/acre land payment Yields progress from 600 to 800 to 1200 lbs/acre over 7 years Pecan price of $2.25 per pound

Renovating an existing orchard Advantages: Much quicker return on investment. Possibility of crop insurance coverage if orchard history is available. Can proceed immediately without waiting in line for nursery trees.

Renovating an existing orchard Disadvantages: Not too many available – cost is increasing. You have to work with the other person’s varieties, irrigation, soil selection.

Planting a new orchard Advantages: Can choose your varieties, spacing, soil, irrigation to your liking. There are a lot more sites with land suited for pecans than there are existing orchards available for sale or lease.

Planting a new orchard Disadvantages: High upfront cost, long time to payback. Must have a lot of capital. Shortage of nursery trees.

Renovating older orchards

Photo Album by goffwil

Replant trees of better cultivars in the spaces created by thinning older orchards

If you are planting trees in a new orchard, the high-price-now situation warrants that you: Be more aggressive than the competition in replanting for quick production.

High Density Pecan Production Closely spaced, 20x30, 30x30, 15x30 plantings were tried in the pecan industry in the 1980’s. Cultivars commonly used included Cheyenne, Wichita, Chickasaw, and Cherokee, all highly precocious and most highly susceptible to scab or aphids. These plantings were mostly failures, as diseases, overproduction/poor quality in on-years, and little production in off-years often resulted. Most of the orchards were abandoned as failures, and most gave up on this idea.

However! Close spacing with precocious cultivars is the fastest way to generate a lot of pecans in a 10-year window of opportunity when supplies are certain to be scarce. We have much better cultivars to work with now, without the scab and pest problems we had before. We have new tools to work with on managing overbearing, like crop thinning, hedging, selective tree removal coming in to on-years, late fertilizer, banding of fertilizer to elevate P and K, etc. This idea needs revisiting.

Since an oversupply of nuts in September is not likely to occur, bypass the increased supply catching up with demand by planting very early harvest cultivars.

Early Harvest Pecan Cultivars – the Key to Staying Competitive in the Southeast Eclipse Harvest date Sept. 5.

Best cultivars by harvest date 50% shucksplit occurs before 10-Sep20-Sep30-Sep10-Oct EclipseMandanPawneeGiftpack OsageBaby BApalachee ByrdExcel Lakota Creek Elliott Caddo