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I'm in the process of becoming a farmer. Weed is one of the crops I've researched. It could take a ~90% drop in price and still provide a sustainable profit. T

I'm in the process of becoming a farmer. Weed is one of the crops I've researched. It could take a ~90% drop in price and still provide a sustainable profit. That's from a cultivators perspective.

walrus01 9y ago
This will depend on local regulations if you want to do it totally legit. WA state, for example, still does not allow farms to grow outdoors. It has to be indoors in a controlled-access facility and uses a huge amount of electricity.
- wcchandler 9y ago
  Oh yeah, that's definitely using my more optimistic numbers. But if those costs are >10% of your costs (post first year) then you should definitely rethink some things. If I shoot for high yield (10 oz), 400w @ 0.17 per kWh * (18 hrs * (7 days * 4 weeks)) + (12 hrs * (7 days * 8 weeks)) = 400w @ $0.17 per kWh * (504 hrs + 672 hrs = 1176 hrs) = 471 kWh * 0.12 = $80.02. That's with Northern Lights which would probably go for $1500 per pound, or ~$900 per plant per season. Electricity (well just light, which should be >85% of your electrical costs) would only account for 8% of the production costs. Infrastructure costs would be amortized and recovered within the first year of full scale operation but just for arguments sake you can source a secure grow inside a $5000 insulated 40' shipping container. Conduit, outlets, panels, grounding, etc. would be $3000 if hired out through Angieslist but if you DIY it, $1000 is feasible. Including a sufficient ~4hr battery UPS. HVAC can then similarly take $1000-$4000 depending on needs and necessities. Totalling out to maybe $15,000? A 40' container would comfortably do 3 seasons of 40 plants in 1 year, effectively taxing each plant $125 for the first year. The yield would be about 75 lbs @ $1500/lbs = $112,500 in year one. As such, each secure building would only cut 13% of your first years profits... or put another way, 14% of your first years plants' expense. Granted, these are just Internet numbers. I can speak more candidly and openly offline, but I reiterate -- all of your expenses should be < 10% for an indoor grow op.

I'm in the process of becoming a farmer. Weed is one of the crops I've researched. It could take a ~90% drop in price and still provide a sustainable profit. That's from a cultivators perspective.

walrus01 9y ago

This will depend on local regulations if you want to do it totally legit. WA state, for example, still does not allow farms to grow outdoors. It has to be indoors in a controlled-access facility and uses a huge amount of electricity.

wcchandler 9y ago
Oh yeah, that's definitely using my more optimistic numbers. But if those costs are >10% of your costs (post first year) then you should definitely rethink some things. If I shoot for high yield (10 oz), 400w @ 0.17 per kWh * (18 hrs * (7 days * 4 weeks)) + (12 hrs * (7 days * 8 weeks)) = 400w @ $0.17 per kWh * (504 hrs + 672 hrs = 1176 hrs) = 471 kWh * 0.12 = $80.02. That's with Northern Lights which would probably go for $1500 per pound, or ~$900 per plant per season. Electricity (well just light, which should be >85% of your electrical costs) would only account for 8% of the production costs. Infrastructure costs would be amortized and recovered within the first year of full scale operation but just for arguments sake you can source a secure grow inside a $5000 insulated 40' shipping container. Conduit, outlets, panels, grounding, etc. would be $3000 if hired out through Angieslist but if you DIY it, $1000 is feasible. Including a sufficient ~4hr battery UPS. HVAC can then similarly take $1000-$4000 depending on needs and necessities. Totalling out to maybe $15,000? A 40' container would comfortably do 3 seasons of 40 plants in 1 year, effectively taxing each plant $125 for the first year. The yield would be about 75 lbs @ $1500/lbs = $112,500 in year one. As such, each secure building would only cut 13% of your first years profits... or put another way, 14% of your first years plants' expense. Granted, these are just Internet numbers. I can speak more candidly and openly offline, but I reiterate -- all of your expenses should be < 10% for an indoor grow op.