Assessing Stochastic Budget Scenarios for Georgia Family Farms: The Case of Blueberries

Project Type: Research and Education
Funds awarded in 2021: $128,373.00
Projected End Date: 03/31/2024
Grant Recipients: University of Georgia; Georgia Organics; Athens Land Trust; Georgia Farmers Market Association ; Augusta Locally Grown
Region: Southern
State: Georgia
Principal Investigator:
Vanessa Shonkwiler
University of Georgia
Dr. Julie Campbell
Department of Horticulture, University of Georgia
Dr. Cesar Escalante
University of Georgia
Blueberry enterprise budgets can provide critical input for farm planning, including the potential income for a particular farm, the size of farm needed to earn a potential return, and anticipated cash flows during the year. However, inaccurate blueberry budgets give farm managers and producers too much confidence which can lead to unattainable profits, unexpected debt, and sometimes insolvency. Stochastic budgeting allows for important variable factors such as inputs, yield, and revenues of blueberries to be analyzed as statistical distributions instead of point estimates. Stochastic budgeting better estimates outcomes since it answers the ‘what if’ question since it incorporates risk and uncertainty in the blueberry production process.
Conference/Presentation Material
Vanessa SHONKWILER, University of Georgia
Bennett OLIVER, University of Georgia
Cesar ESCALANTE, University of Georgia
Target audiences:
Farmers/Ranchers; Educators; Researchers
Ordering info:
[email protected]
Any opinions, findings, conclusions, or recommendations expressed in this publication are those of the author(s) and do not necessarily reflect the view of the U.S. Department of Agriculture or SARE.