| Exhibit 3 Selected Crop Production Costs in Ontario 1995 ($/Acre) | |||||||||
| Expenses | Grain Corn | Canola | Hemp For Fibre & Hurds | Hemp For Seed | |||||
| Cash Operating Costs | 22.9kg/ac | 29.2kg/ac | 6.0kg/ac | ||||||
| Seed | 36 | 12 | 61.8 | 78.75 | 16.2 | ||||
| Seed Treatment | 1.5 | ||||||||
| Fertilizer | Total | 58 | 43 | 40 | 40 | 40 | |||
| Chemical | Herbicides | 32 | 8 | 0 | 0 | 10 | |||
| Insecticides | 13 | 3 | 0 | 0 | 5 | ||||
| Other | |||||||||
| Machinery Operating | Fuel | 12 | 9.5 | 12 | 12 | 12 | |||
| Repair & Maintenance | 26 | 21 | 26 | 26 | 26 | ||||
| Custom Work and Hired Labour | 8 | 6 | 8 | 8 | 8 | ||||
| Crop Insurance Premium | 13 | 7 | 7 | 7 | 7 | ||||
| Revenue Insurance | 12 | 5 | 5 | 5 | 5 | ||||
| Premium | |||||||||
| Utilities | 1.65 | 1.65 | 1.65 | 1.65 | 1.65 | ||||
| Miscellaneous Overhead | 2.5 | 2.5 | 2.5 | 2.5 | 2.5 | ||||
| Building Repair | 1.15 | 1.15 | 1.15 | 1.15 | 1.15 | ||||
| Property Taxes | 3.75 | 3.75 | 3.75 | 3.75 | 3.75 | ||||
| Interest on Operating | 8 | 2.5 | 8 | 8 | 8 | ||||
| Total Cash Operating Costs (A) | 228.55 | 126.05 | 176.85 | 193.8 | 146.25 | ||||
| Non Cash Costs | |||||||||
| Machinery Depreciation | 28.75 | 23.5 | 28.75 | 28.75 | 28.75 | ||||
| Building Depreciation | 1.15 | 1.15 | 1.15 | 1.15 | 1.15 | ||||
| Machinery Investment | 17.5 | 14 | 17.5 | 17.5 | 17.5 | ||||
| Building Investment | 1.85 | 1.85 | 1.85 | 1.85 | 1.85 | ||||
| Land Cost | 23 | 23 | 23 | 23 | 23 | ||||
| Labour and Management | 19 | 19 | 19 | 19 | 19 | ||||
| Total Non-Cash Costs (B) | 49.25 | 40.5 | 91.25 | 91.25 | 91.25 | ||||
| Total Costs (A+B) = (C) | 277.8 | 166.55 | 268.1 | 285.05 | 237.5 | ||||
| Sources: Gordon Reichert, Market Analysis Division, Agriculture and Agri-Food Canada, 1996 Crop Budgets 1995, Publication #60, Ontario Ministry of Agriculture, Food and Rural Affairs Expected Average Yields, estimates by Ontario Ministry of Agriculture, Food and Rural Affairs | |||||||||