A Financial Analysis on Experimental Oil Palm Production in Thailand: The Cases of Normal and Over-year Seedling Plantation
Keywords:
financial analysis, oil palm, normal and over-year seedlingAbstract
Thailand has often unsold seedlings remaining in the nursery each year, especially during periods of low palm oil prices and limited replanting activities. This is deprived of maintenance and over-year seedling affected. Thailand has not been studied to investigate the financial aspects of over-year seedling usage. This study aimed to compare the financial investment of normal and over-year seedling types in 7 commercial oil palm cultivars. The data was recorded from an experimental field in Krabi province as seedling cost, field preparation, crop management and yield, then summarized in Microsoft Excel 365. Project assessment was applied to financial analysis by using NPV, IRR, and BCR indicators. The finding points out that the normal seedling had higher NPV, IRR, and BCR values compared to over-year seedlings in most crosses that had a shorter payback period except Deli x AVROS-T. The recommended cultivar for planning investment was the crosses of Deli x Tanzania-T given the best financial indicator’s values, whereas Deli x LaMe-F was the worst choice for plantations with the lowest monetary values
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