Book Description

The greenhouse industry in southern New Mexico has seen considerable growth in the last ten years. In 1989, about 50 acres of greenhouses were in operation in southern New Mexico. Factors influencing this growth included a favorable climate and low cost labor and land. There were 117 acres of greenhouses in the United States growing cucumbers in 1988. None of this acreage was in New Mexico. Although greenhouse vegetables are not produced in New Mexico at the current time, several growers from Holland and California have expressed interest. The interest stems from the belief that if southern New Mexico is competitive in producing greenhouse cut flowers and potted plants, it should also be a desirable location for vegetables, particularly cucumbers, which are highly responsive to light. This hypothesis was tested by comparing production costs for greenhouse cucumbers in southern New Mexico with 10 potential competing areas in the United States. The comparative cost analysis included truck delivery to 20 selected metropolitan market areas. The combination of abundant sunlight, low heating requirements, and competitive land and labor markets allowed Las Cruces, New Mexico and Tucson, Arizona, to be the lowest cost production sites. Production costs were estimated at $9.84 per box for Tucson and $9.93 for Las Cruces. East Coast and Midwest production site costs ranged from 14 to 48 percent greater. When transportation charges are included, Las Cruces can offer product to every market to the east of Las Cruces at the lowest price, while Tucson has the advantage in West Coast markets. Based on the information developed, it can be concluded that southern New Mexico is a favorable location for the production of greenhouse cucumbers.