Economic Analysis of an Apple Harvest and Infield Sorting Machine

Abstract

AbstractU.S. apple industry is facing challenges as the high production cost is hurting its competitiveness nationally and internationally. Since apple harvest and postharvest handling account for a majority (>50%) of the production cost, researchers developed innovative technologies to reduce the harvest cost and lower the fruit postharvest handling fee. An innovative apple harvest and infield sorting (HIS) machine was developed by combining harvest platform and infield sorting technologies. This study conducted the economic analysis on the HIS machine by comparing machine cost and cost savings generated by adopting the machine. The economic evaluation was conducted based on the machine-induced harvest efficiency increase of 43, 53, and 63%, and an operation of 360 h per harvest season. The machine can benefit both fresh market and processing apple growers. For fresh market apple orchards, when the processing apple incidences ranging from 5 to 15%, the annual benefits by adopting the HIS would range from $13,500 to $78,400 for the machine price between $100,000 and $160,000. With the same price range, benefits of adopting the HIS machine for a processing apple orchard with processing apple incidence between 80 and 90% ranges from $23,900 to $81,700. The economic analysis could help apple growers in deciding whether to purchase the HIS machine, and provide baseline information for dealers when they introduce the HIS machine to apple growers. By improving labor productivity and reducing fruit postharvest handling cost, the HIS machine brings benefits to U.S. apple growers, and thus is promising for commercialization.KeywordsHarvest platformInfield sortingEconomic analysisFresh market apples