Determinants of Hoophouse Profitability: A Case Study of 12 Novice Michigan Farmers

Abstract

ADDITIONAL INDEX WORDS. season extension, vegetable production, farm management SUMMARY. Quantitative and qualitative data from a group of 12 novice hoophouse farmers over a 3-year period in Michigan were analyzed to better understand factors associated with profitable use of these structures. There was wide variation in labor inputs and effective wages. We used regression analysis and semistructured interviews to better understand the variation in performance. Not all farmers were making use of the hoophouse between outdoor seasons when supply is low and prices are high, as economic theory would predict. However, high wage earners were more likely to push production into the extended season months, hire labor at higher wages, and spend less time in maintaining crops and appeared to harvest more efficiently. Markets played a role in farmers' success as some farmers were able to make significant profits by organizing community-supported agriculture (CSA)/ direct sales or by finding new markets. Station; Michigan State University Extension; and the C.S. Mott Professor of Sustainable Agriculture Endowment.

Farm Type and High Tunnel Management: Connections between Farm Characteristics and High Tunnel Outcomes in Indiana

“…Overall, our findings provide greater depth of understanding and explanation for the conclusions of previous research studies of high tunnel management and economic outcomes (Conner and Demchak, 2018;Knewtson et al, 2010;Waldman et al, 2012). For instance, Waldman et al (2012) identified a correlation between the amount of time and labor put into high tunnel management and the high-capacity use of high tunnels, and specifically that an important determinant of higher return on investment was the ability to keep the high tunnel full year-round. We provide an explanation for that finding, showing how the characteristics of the farm and their approach to integrating high tunnels into their farms influenced farmers' investment of sufficient time and labor into them.…”

“…Despite potential benefits, high tunnel production requires specialized knowledge and experience for successful implementation (Conner et al, 2010;Janke et al, 2017;Waldman et al, 2012), and could potentially be challenging to integrate with existing crop production systems. Growing specialty crops in a high tunnel is similar to growing them in the field, but there are enough substantial differences that one cannot use exactly the same methods in a high tunnel environment (Conner and Demchak, 2018).…”

“…Growing specialty crops in a high tunnel is similar to growing them in the field, but there are enough substantial differences that one cannot use exactly the same methods in a high tunnel environment (Conner and Demchak, 2018). Previous studies have surveyed farmers about the management practices they use in their high tunnels (Knewtson et al, 2010), and explored the profitability of high tunnels (Galinato and Miles, 2013;Sydorovych et al, 2013;Vescera and Brown, 2016;Waldman et al, 2012). These studies have pointed to labor-related issues as barriers to increased high tunnel production and maximizing profit potential for farmers (Conner and Demchak, 2018;Conner et al, 2010;Knewtson et al, 2010).…”

“…These studies have pointed to labor-related issues as barriers to increased high tunnel production and maximizing profit potential for farmers (Conner and Demchak, 2018;Conner et al, 2010;Knewtson et al, 2010). In addition, researchers identified management practices related to the timing of farmers' labor investment in high tunnels relative to the growing season and local markets as issues that warrant further research (Waldman et al, 2012). Other studies have identified long-term soil fertility and higher input costs as important challenges that affect high tunnel profitability (Fitzgerald and Hutton, 2012;Knewtson et al, 2012;Rudisill et al, 2015).…”

Farmer Perceptions of Tunnels for Berry Production: Management and Marketing Implications

“…The aforementioned studies largely rely on data derived from universitybased research. Previous studies have looked at the experience of farmers using high tunnels for vegetable production and discovered numerous benefits and challenges that emerged from on-farm use, including a steep learning curve, extended-season produce attracting customers, and the importance of management to profitability (Conner et al, 2009(Conner et al, , 2011Waldman et al, 2012).…”