Costs grow for farmers as Christmas tree sales hold steady

Daybreak U-cut is among a number of Clark County Christmas tree farms being affected by the economy. (Julia Anderson/The Columbian)

The Clark County farmers who grow and sell Christmas trees may have fewer dollars to buy gifts to put under their own tannenbaums on Dec. 25 this year.

Sales are strong or stable, but the cost of growing trees has climbed dramatically, pinching profits at established tree farms and extending the break-even point for newer businesses.

“People have no idea what it costs to run a tree farm,” said Lynn Wells, 61, who with her husband owns Daybreak U-Cut at 8008 N.E. 257th St., Battle Ground.

“With noble firs, we have each tree trimmed and topped by hand,” Wells said. “And the cost of chemicals is just unbelievable, some chemicals are up by a third or half.”

Daybreak started growing trees eight years ago, and sold its first U-cut trees in 2007. Sales are already climbing this year, but with expenses up even more, it could be several more years before the business becomes profitable, Wells said.

Meanwhile, many long-established farmers find they have less business income than they’ve grown to expect.

“Tree prices have dropped by half, diesel is high and freight is high, and many more people are in the tree business than 30 years ago,” said Ralph Carpenter, 76, who started Carpenter’s Tree Farm in the late 1970s. The La Center business, at 36116 N.E. 31st Ave., sells U-cut trees, but primarily depends on tree brokers to sell to markets that don’t produce their own.

“They ship the trees all over — Texas, Florida, overseas,” Carpenter said. Brokers have ordered 7,000 trees this year, of about 40,000 at the farm.

“Two years ago, brokers paid $10 a tree. Now a 7 or 8 foot tree is $6.50,” Carpenter said. “We aren’t making very much, by the time we buy fertilizer and add in labor costs.”

Harmon’s Tree Farm is experiencing similar profit pressures, but has managed to avoid the pinch from brokers, said Robin Harmon, 68, who started the business in 1977.

“I made contacts in Colorado years ago, and sell directly to them without a broker being involved,” Harmon said. Those sales are steady with last year, by both volume and price.

Harmon sells about a third of his trees as U-cut each year, and ships out the remaining two thirds to his Colorado contacts. The farm grows 25,000 to 30,000 trees on 30 acres at 25203 N.E. 419th St., Amboy.

The U-cut season is shorter this year, because Thanksgiving fell late in the year, so tree farmers are only just beginning to get a feel for how sales will fare.

“We keep track daily from Thanksgiving on, and we’ve been selling a few more per day,” Harmon said. “But with fewer days, we may be down a little bit when the season is over,”

Still, if Harmon’s Tree Farm is experiencing a pinch, it is a small one. “It’s not so dramatic that it’s hurting us,” Harmon said.

“Last year we had an extra weekend and an extra six days, but we always sell about the same number of trees,” said Glen Thornton, 76, who with his wife Nancy has been selling Christmas trees from Thorntons’ Treeland since 1974. “I’m optimistic that we’ll probably do reasonable sales compared to what we did last year.”

“All costs have gone up since last year. Labor goes up, the cost of pesticides goes up, diesel is lower now, but through the summer it was up,” Thornton said. “We had employees and we subsidized their travel expenses by giving them gas money.”

Meanwhile Thorton trees, grown on about 45 acres at 7617 N.E. 119th St., Vancouver, are priced about the same this year as last year.

“I won’t know about the profits until we’re done selling trees, but I suspect that we’ve had some shrinkage of profit,” Thornton said.

“We take that as a part of life, and we’ll still be in business,” he said. “I think it’s gonna be an OK year. My wife would say it’s a great year.”

Saturday and Sunday will be the first real test of Christmas tree sales this year, said Larry Plitt, 68, who with his wife own’s Karen’s Korner Tree Farm at 20818 N.E. 109th St., Hockinson. The five-acre farm has been selling trees for about five years.

“So far sales are right on par with last year,” Plitt said. “Nice days are good for business, so if the sun comes out we’ll do better.”

Sales are strong at the 5-acre Schumacher Tree Farms, at 16504 N.E. 279th St., Battle Ground, which has been selling U-cut trees for five years, said Audra Schumacher, 39.

“People are probably going to spend less overall at Christmastime this year, but they’ll still want to have a tree and to center Christmas around those traditions,” she said.

To entice them to come to her business, Schumacher has intensified her marketing efforts. “We’ve added a Web site, I’ve put out flyers, I’m trying to get our name out more.”

Competition is growing in Clark County, with a number of new tree farmers entering the market in recent years, and marketing may become increasingly important for these businesses.

“I’ve noticed that there are two more tree farms that have opened up within just a mile of us, and there were two or three before that, so there are a lot to choose from,” said Amy Dunford, 45, of Dunford’s Tree Farm, which is selling trees for the first time this year. Located at 4301 N.E. Lockwood Creek Road, La Center, the farm has about 400 trees.

“It’s slow thus far, but we’re thinking next weekend will be better,” Dunford said. “It’s too early to tell how business will be for the year.”

La Center Farms, which started selling this year, has built differentiation into its business model.

“We have a 2,000-square-foot barn set up with movie seats for 45 people and Christmas cartoons showing, we have Lego toys,” said owner Stephen Boynton, 54. “As a new business, we’re not as well-known as some places, but that will change.”

The U-cut business has 10 acres of planted trees at 31215 N.E. 40th Ave, La Center. Though costs are rising, Boynton said he is optimistic about his prospects as a Clark County Christmas tree farmer.

“With any business, it takes a while to get popular enough to make ends meet and make a profit,” he said. “I’m already making plans for what we’ll add next year. We’ll get there.”

Courtney Sherwood: courtney.sherwood@columbian.com. 360-735-4553.