| | Introduction
Sugar beets grow best in rich, deep soil and temperate climate. Sugar beet production is well suited for the irrigated land in southern Alberta. Sugar beets are a rotation crop, planted once every four years to minimize potential disease problems. Sugar beet seeding begins in early spring and continues from mid-April to the end of May. Sugar beets are land and labour intensive and grown with supplementary irrigation. Because of drought and anticipated shortage of water for irrigation purpose, sugar beet production in Alberta decreased during 2001 to 2003. Area contracted for beet production decreased by almost 36 percent from 1999 to 2003, i.e. from 45,000 acres to 28,800 acres. However in 2004, area contracted for sugar beet production rebounded back and increased by 23 percent to over 35,000 acres in 2004. Increase in area for sugar beet production was the result of a new agreement with the sugar factory and improved production conditions, e.g., water availability.
In 2005, area contracted for beet production decreased by three percent to 34,300 acres. Similarly area seeded and harvested also decreased by three and four percent, respectively to 34,100 and 33,500 acres. In 2006, area contracted for beets rebounded to just over 37,000 acres, thus increasing by about eight (8) percent, even in 2005. In 2007, area contracted for beet production in Alberta decreased by about eight (8) percent to 34,138 acres, close to area contracted in 2005. However, in 2008, area contracted for beet production decreased by over forty seven (47) percent to 18,400 acres; the lowest ever in sugar beet production history. In 2009, sugar beet area contracted increased by about sixty-one (61) percent to 29,653 acres, somewhat lower than average area prior to 2008. In 2010, area contracted to produce beets increased merely by 2.4 percent compared to 2009, however area harvested in 2010 was up by about 31 percent. This is due to improved weather and harvest conditions especially from the latter part of September and throughout October.
Alberta Agriculture and Rural Development (ARD) have been monitoring the costs and returns of livestock and crop production in the province in an extensive way since the 1960s. These studies have been viewed as an important tool for assisting producers in their cropping decisions as well as for developing policies and programs or the different farm enterprises in the province and Canada. Where information gaps existed in other provinces, results from these studies have served as the basis to fill those gaps.
Sugar beet production costs and returns in Alberta have been monitored since the early 1970s. The 2010 cost and return study is a continuing effort to monitor changes in the sugar beet industry in the province. This year's information, like previous years, would be used for several purposes including policy and program development for the sugar beet industry. Results of the cost of production studies have been helpful in contract negotiations between the Sugar Beet Board and the sugar factory executives in Taber.
Objectives:
Major objectives of the study are:
i. To develop production costs and returns for sugar beet production in Alberta.
ii. To assist sugar beet growers with farm budgeting and planning.
iii. To analyze economies of scale; machine use and input/output relationships for sugar beet production.
iv. To provide each study participant with an individual farm analysis along with group averages.
v. To provide an annual update for policy and program development and for extension personnel.
Study Sample
The sample for the 2010 study was originally selected from a list of producers who held sugar beet contracts. The random selection of the sample ensured a representative cross section of producers in the province. A total of 13 producers were selected to be surveyed personally to obtain detailed cost and return information. However, due to scheduling issues, only eleven (11) sugar beet producers were surveyed for the 2010 crop. These eleven (11) beet producers provided data on twenty-two (22) fields (owned and rented) as each field was recorded separately. These twenty-two (22) fields represent about six percent of the total area of sugar beets harvested in 2010.
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Source: Agdex 171/821-5. December 2009. |
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