Agricultural producers across Arizona rely on CALES research to inform decisions. This pecan orchard analysis from Cooperative Extension arms an array of professionals with information that can help them stay viable in the $92 million Arizona industry that covered 26,000 acres in 2025.

A University of Arizona analysis is offering pecan growers a representative snapshot of investment in the capital-intensive crop.

The report from José H. Quintero, a Cooperative Extension agricultural enterprise analyst, details both the steep upfront costs and potential long-term returns for the state’s pecan producers, who according to the U.S. Department of Agriculture in 2025 produced a $92 million crop on 26,000 acres.

“Cost and return estimates give growers and farm managers realistic benchmarks for what it takes to produce a crop in Arizona. For pecans, where orchards take years to reach full production and require a significant upfront investment, having representative financial information publicly available helps producers evaluate their current operations and make better-informed decisions,” Quintero said.

For the analysis, Quintero modeled a 250-acre commercial orchard, revealing that entering the pecan business requires significant patience and capital. Trees demand a four-year pre-productive establishment phase before generating any commercial harvest, but by year 12, a fully mature orchard can yield as much as 2,000 pounds per acre, generating $4,500 in gross revenue at a baseline price of $2.25 per pound, Quintero found.

Annual pre-harvest operations total $1,250 per acre including water, insect control, weed control and fertilizer applications. Mechanical harvesting, transport and pecan cleaning add another $540 per acre in variable expenses, the study estimates.

When non-cash ownership costs such as machinery and land are included, total annual production costs reach $3,332 per acre. This establishes an overall break-even threshold of $1.67 per pound for mature growers. Net returns above total costs stand at $1,168 per acre.

The information in the analysis can be used by a broad spectrum of people with an interest in the pecan industry, Quintero said.

“Our goal with financial educational resources like this is to serve as many people as we can. Beginning and experienced growers and farm managers can compare it against their own numbers. Lenders can use it when evaluating loans. Researchers, industry leaders, policymakers and journalists can also all use it differently in their respective goals by better understanding the economics of the crop.”