The 1950 season brought a firm price to the shipper of $1.25 per pound FOB 
shipping point. This price applies to ‘both bulk and individual packages. One 
shipper who purchased most of. the fruit grown in the state, paid the growers sev- 
enty-five cents per pound on the tree. ‘The difference of fifty cents per pound 
paid the~shipper for the cost of picking and packing and his profit. The average 
retail price was $3.00 per pound. These prices’ may increase somewhat due to 
rapidly expanding demands with which supply is not now keeping pace. 
Now then, let us look at costs for a moment. Since the Lychee thrives best 
in what we may term good citrus soil, we may figure the cost of suitable land and 
clearing to be about $200.00 to $250.00 per acre and the total cost per acre for the 
first year, including a well, to be about $500.00 to $550.00. The annual cost of 
orchard care is about $100.00 to $150.00 per acre until the production stage which 
should be four to five years. Thus, the total cost to bring a ten-acre Lychee orchard 
to bearing should be about $10,000.00, not considering the income derived therefrom. 
Based on these figures which are the result of actual experience, of course, 
it is estimated that an average cost of producing a pound of Lychees should not 
exceed ten cents per pound. Relating this cost to the present wholesale selling 
price of $1.25 per pound FOB Florida, it is rather obvious that the profit is mighty 
good, possibly too good. However, this will change as more fruit becomes available. 
But let us assume that the price falls to twenty-five cents per pound wholesale, 
which for reasons I will state in a moment probably could not happen, this would 
still leave an excellent profit for the grower. There are not many agricultural 
products that will net the producer 24%4 times his cost. It must be remembered that 
production costs will remain fairly constant. 
There are several reasons why the wholesale price of fresh Lychees_ will 
probably never fall to 25 cents per pound. In the first place the fruit is generally 
conceded to be one of the world’s finest and almost universally liked. Secondly, 
the area in which the trees will bear fruit is extremely limited. In North America 
it is confined to a small section of Florida, in the the world, to small parts of China, 
India and South Africa, and in the United States land in the Lychee producing area 
is certainly not plentiful. Based on well known factors it is predicted that an 
oversupply of the fruit is practically impossible. And, of course, it is oversupply 
that brings ruinous prices. In the third place, all estimates and ratios have been 
based on the production and sale of fresh fruit only. Nothing has been said and 
no consideration has been taken of the frozen, canned, preserved, spiced, dried or 
fermented fruit. It is also interesting to note that fresh Lychees are ready for the 
market from the middle of June to the last of July during which time fresh 
northern fruits have not yet matured and southern fruits have reached the point 
of declining availability. 
In summary it may be said that the Lychee promises to be an exceedingly 
important agricultural venture for this state. It grows well here, it ships well, 
the demand is established and expanding rapidly, production costs are favorable and 
profits exceptional. It remains now for growers to take advantage of this market 
and do it with planning and cooperation. 
This article by Mr. DeWitt Eaton sent you with the compliments 
of Lychee Orchards, Inc., Laurel, Fla., headquarters for Lychee 
LTrees for home and orchard plantings. 
