Financial profitability of small scale shrimp farming in a coastal area of Bangladesh

2018 ◽  
Vol 16 (1) ◽  
pp. 104-110 ◽  
Author(s):  
Noor A Arefin Shawon ◽  
Md Masudul Haque Prodhan ◽  
Md Akhtaruzzaman Khan ◽  
Sandip Mitra

Aquaculture especially shrimp farming has significant contribution to the economy of Bangladesh. The southwest coastal area is more prominent for commercial shrimp farming due to its auspicious environment, higher economic returns, nutrition value and for employment opportunity. The present study estimates the socioeconomic status and financial profitability of small-scale shrimp farming in selected areas of Khulna district. One hundred (100) shrimp farmers were selected and data were collected through direct interview method. Financial profitability was analyzed from the different point of view. The study revealed that about 35% farmers lie in prime working age group. Most of the farmers completed primary level of education while a few of them were illiterate. Family size of 65 % farmer’s was medium and 40% farmer’s main occupation was shrimp farming. Study also revealed that gross profit margin was high i.e. 59% indicating that farmers did well in managing their farm and farmers has more to cover for operating, financing and other cost.  Break-even price for the small scale shrimp worked out Tk. 311 per kg while break-even production was found 155 kg per acre. Benefit cost ratio and net profit margin were found more than one and positive respectively, indicated that small scale shrimp farming was commercially profitable. The research concludes that there is ample scope and possibility for sustaining and developing the small scale shrimp farming in the coastal area of Bangladesh.J. Bangladesh Agril. Univ. 16(1): 104-110, April 2018

2014 ◽  
Vol 3 (2) ◽  
pp. 177-182
Author(s):  
Bime M.J ◽  
Fon D.E ◽  
Ngalim S.B ◽  
Ongla J

Rice production and processing over the years has been on an increase with more small holders entering the business. This study on profitability of processing and marketing of small scale rice processors had as objective to analyse the profitability levels of rice processing and marketing by small scale processors, determine the value added to the commodity at each stage  and also identify the constraints faced by these processors. The study used primary data collected using well-structured questionnaire from millers only, miller traders for white/parboiled rice through a multistage sampling technique. Results showed that the net processing income (3,151,201), value added (8,147,456) and efficiency (138) for miller-traders of white rice was highest, followed by miller-traders for parboiled rice and lastly millers only. Results further showed that millers only had Benefit/cost ratio of 0.4 indicating that milling only is not profitable due to small quantities milled, and high fixed cost. Miller-traders for parboiled rice had a benefit/cost ratio of 2.3 implying that their venture is most profitable. Based on the results, it was recommended that millers only should purchase large quantities of paddy to enable them reduce the overhead cost. Also the services of parboilers should reflect in the sales price of parboiled rice so that the parboiling services can be paid for.


2016 ◽  
Vol 3 (3) ◽  
Author(s):  
DHANANJAI SINGH ◽  
A.K. PATEL ◽  
S.K. SINGH ◽  
M.S. BAGHEL

Krishi Vigyan Kendra laid down Front Line Demonstration in the year 2010-11 and 2011-12 introducing new, high yielding and scented variety “Pusa Sugandha-3” and applying scientific practices in their cultivation. The FLDs were carried out in village “Dainiha” of Sidhi district in supervision of KVK scientist. The productivity and economic returns of paddy in improved technologies were calculated and compared with the corresponding farmer's practices (local check). Improved practices recorded higher yield as compared to farmer's practices. The improved technology recorded higher yield of 30.83 q/ha and 32.65 q/ha in the year 2010-11 and 2011-12, respectively than 22.13 and 24.21 q/ha. The average yield increase was observed 37.15 per cent. In spite of increase in yield of paddy, technology gap, extension gap and technology index existed. The improved technology gave higher gross return (37020 and 39180 Rs./ha), net return (16820 and 18920 Rs./ha) with higher benefit cost ratio (1.83 and 1.93) as compared to farmer's practices. The variation in per cent increase in the yield was found due to the poor management practices, lack of knowledge and poor socio economic condition. Under sustainable agricultural practices, with this study it is concluded that the FLDs programmes were effective in changing attitude, skill and knowledge of improved package and practices of HYV of paddy adoption.


2018 ◽  
Vol 147 ◽  
pp. 05004
Author(s):  
Aulia Tiara ◽  
Julfikhsan Ahmad Mukhti

Since the launching of Sea Toll Road Program in 2015, the improvement in ports’ operation systems has become Indonesia’s foremost necessity. This improvement commonly leads to equipment modernization, while realistically, modern equipment does not always amount to a productive performance, especially in the context of small-scale ports. Instead, it is prone to creating wasteful capital and maintenance cost as well as making the planning time ineffective. This study compares two options of port operation systems in a small port, which is conventional and technologically-advanced method for dry bulk cargo. It results in thin gaps between each option’s financial assessment variables, which are Internal Rate of Return, Benefit/Cost Ratio and Payback Period, regardless of a stark difference between each option’s equipment cost. This study concludes that with the right approach, the conventional operation system is still the most efficient option compared to its contemporary opposite.


2020 ◽  
Vol 49 (3) ◽  
pp. 215-224 ◽  
Author(s):  
Djana Babatima Mignouna ◽  
Adebayo Akinboye Akinola ◽  
Tahirou Abdoulaye ◽  
Arega D Alene ◽  
Victor Manyong ◽  
...  

Lack of good-quality planting materials has been identified as the most severe problem militating against increased agricultural productivity in sub-Saharan Africa (SSA) and beyond. However, investment of research efforts and resources in addressing this menace will only be feasible and worthwhile if attendant economic gains are considerable. As a way of investigating the economic viability of yam investment, this research has been initiated to address problems confronting yam productivity in eight countries of SSA and beyond: Nigeria, Ghana, Benin, Togo, Côte d’Ivoire, Papua New Guinea, Jamaica, and Columbia. Research options developed were to be deployed and disseminated. Key technologies include the adaptive yam minisett technique (AYMT), varieties adapted to low soil fertility and drought, nematode-resistant cultivars (NRC), and crop management and postharvest practices (CMPP). This article aims at estimating the potential economic returns, the expected number of beneficiaries, and poverty reduction consequent to the adoption of technology options. Estimates show that the new land area that will be covered by the technologies in the eight countries will range between 770,000 ha and 1,000,000 ha with the highest quota accounted for by AYMT. The net present value will range between US$584 and US$1392 million and was highest for the NRC. The CMPP had the lowest benefit-cost ratio of 7.74. About 1,049,000 people would be moved out of poverty by these technologies by 2037 in the region. These technologies are less responsive to changes in cost than that in adoption rate. Therefore, the realization of the potential economic gains depends on the rate and extent of adoption of these technologies. Giving the knowledge-intensive nature of some of these interventions, capacity building of potential adopters will be critical to increasing the sustainability of the yam sector, thereby enhancing food security and reducing poverty.


2016 ◽  
Vol 835 ◽  
pp. 753-759 ◽  
Author(s):  
J.N. Sheen

In this paper, fuzzy financial evaluation models are derived to analysis investment financial profitability and possibility for wind power generation project in Penghu, Taiwan. The financial subsidy and feed-in tariff (FIT) are two effective market mechanisms to promote wind power development in Taiwan. The performances of the proposed fuzzy profit models are verified by considering their application to a simulation case. The study shows the fuzzy financial indexes of the simulated 2,400 kW wind power project may little uneconomic possibility, with negative net present value, with benefit cost ratio smaller than 1, and with payback years longer than its life span, in both two scenarios. The FIT rates should be revised to match wind power current market to give more attractiveness for potential investors. The studied results are also consistent with those provided by the conventional crisp models, and provide readily implemented possibility analysis tools for use in the arena of uncertain finance.


2019 ◽  
Vol 4 (1) ◽  
pp. 623-629 ◽  
Author(s):  
Harun I Gitari ◽  
Shadrack O Nyawade ◽  
Solomon Kamau ◽  
Charles K. K Gachene ◽  
Nancy N Karanja ◽  
...  

AbstractIn order to enhance sustainable intensification of potato-based cropping systems, especially in sub-Saharan Africa (SSA), there is a need to investigate the economic viability of investing in this lucrative venture. This study evaluated the economic returns under legume intercropping systems using value/cost ratio (VCR) and benefit/cost ratio (BCR) under treatments comprising of potato intercropped with dolichos (Lablab purpureus L.) (P-D), climbing bean (Phaseolus vulgaris L.) (P-B) and garden pea (Pisum sativum L.) (P-G), and a potato pure stand control (P-S). Across the seasons, tuber yield was not significantly (p < 0.05) affected by intercropping with P-D, whereas under P-B and P-G, it decreased by 19% and 16%, respectively compared to P-S. P-G, P-B and P-D recorded 6, 7 and 12% higher potato equivalent yield (PEY) relative to P-S. P-D was the most profitable intercropping system with VCR of 35 and BCR of 5.1 as compared to values recorded in P-S of 31 and 5, respectively. Regression of VCR against PEY resulted in a stronger coefficient (0.98) compared to that of BCR against PEY (0.82) implying that VCR is a simple tool that could be adopted for economic returns to investment studies such as potato-legume inter-cropping systems.


2020 ◽  
Vol 19 (1) ◽  
pp. 30-38
Author(s):  
Syifa Mauladani ◽  
Asri Ifani Rahmawati ◽  
Muhammad Fahrurrozi Absirin ◽  
Rizki Nugraha Saputra ◽  
Aprian Fajar Pratama ◽  
...  

This study aimed to evaluate the economic feasibility of Litopenaeus vannamei shrimp reared at 400 shrimp/m2 in 56 days of culture. The experimental design was set in an 800 m2 HDPE pond installed with nanobubble and non-nanobubble. Shrimp survival and total harvest in nanobubble treatment was increased to 92% and 2,255 kg, respectively. Economic parameters calculated in this study were Net Present Value (NPV), Internal Rate of Return (IRR), Payback Period (PP), Break Even Point (BEP), Benefit Cost Ratio (B/C Ratio), and Sensitivity Analysis (SA). The total investment required to run this farming practice is IDR 182,887,700. Total revenue per cycle is estimated at IDR 157,850,000 with the selling price of IDR 70,000/kg of shrimp. The estimated PP is 4 cycles, with an NPV of IDR 172,329,247 projected in 10 cycles. IRR is estimated at 18% and BEP is reached after 7,058 kg production of shrimp. B/C Ratio is estimated to be 1.26 and SA showed that productivity is the most affecting parameters in the present analysis. Based on the economic study, vannamei shrimp farming associated with nanobubble system is feasible to be realized.


2020 ◽  
Vol 12 (2) ◽  
pp. 178-188
Author(s):  
Rajendra Pandit ◽  
Durga Devkota ◽  
Naba R. Devkota ◽  
Prakash C. Bhattarai ◽  
Hari K. Shrestha

Abstract. Rice is a major cereal crop that ensures food security and rural income generation in Nepal. The objectives of this study were to analyse the dynamics of the rice sub-sector from the perspective of production, research investment, and supply chain as expected outcomes are not yet achieved in spite of continuity in priority for research and production investment. Accordingly, this study was done by using secondary data covering 2000 to 2018 combined with a case study. For the case study, Morang, the district with the highest rice production was chosen. A random sample of 144 supply chain actors in which 100 rice producers, 10 collectors, 10 wholesalers, 7 millers, and 17 retailers were chosen from the list of the targeted population in each category. Findings revealed that rice production, productivity, and research investment were increasing at the rate of 1.25, 1.65, and 10.57 percent per annum, respectively. There was a strong positive link between research investment and production. Millers were the main value-adding actor. They have been getting the highest profit margin (31.5%) based on investing more (46.51%) in value-added activities. In contrast, farmers received a relatively low-profit margin (13.9%) with a 1.26 benefit-cost ratio. This was mainly due to the low adoption of improved production technology and weak horizontal coordination of rice producers. The percentage of food surplus households has increased, mainly due to the adoption of rice technologies generated by rice research programs, but this has not well reflected in terms of getting more profit margin by the rice-producing farmers. On the other hand, the research investment in rice was not consistent, and even not adequate for the required technology generation. Therefore, an increased investment could enhance the efficiency of generating technology packages, and implementation of effective extension services targeting the rice-growing farmers through increasing total factor productivity is crucial to increase the profit margin of rice producers. Moreover, with strengthened horizontal coordination among the major actors and with the increased investment in value-added activities in each stage of the supply chain based on consumer demand, increased profit margin for making the rice supply chain sustainable.


2021 ◽  
Vol 50 (4) ◽  
pp. 1051-1057
Author(s):  
Sunny Sharma ◽  
Vishal Singh Rana

The energy exchange ratio of cultivation and different parameter values of input affecting the organic production of kiwifruit in the mid-hill Himalayan region of India during 2017 and 2018 was determined. The experimental trial was divided into 7 organic treatment i.e. T1 to T3 was sole application on equivalence 100 per cent Dairy manure (DM), Vermicompost (VC) and Poultry manure, T4 to T7 was a compound application of 50: 50 DM: PM, DM: VC and VC: PM and T7 in which DM = PM = VC applied on N equivalence. Five foliar sprays of organic formulation were applied in each of the treatment. The Energy efficiency and econometric analysis of organic kiwifruit production were examined. The highest energy inputs unit per hectare was utilized by T1 out of which over 86 per cent were from organic manure inputs and provided 26401.02 MJ/ha. The highest yield per hectare, as well as the output energy were observed in the treatment T5. Whereas the highest energy ratio, energy productivity, and specific energy were recorded under T2. Likewise, the highest productivity ratio and benefit-cost ratio were recorded under T7 which was followed by T2. From a farming point of view, the T2 gave the superior result because it has provided optimum amount output along with maximum returns. Bangladesh J. Bot. 50(4): 1051-1057, 2021 (December)


Author(s):  
O. A. Fasoro ◽  
O. I. Ajewole

Forest plantation development has the capacity of increasing wood supply and stemming the pressure on natural forest in Nigeria. However, forest under public institution control has not been sustainably managed due to rate of forest resources exploitation and inadequate funding of forestry projects. Hence, this paper examines private investment in forest plantation development with a view to encourage and alert potential private investors on feasibility and benefits of forest plantation development. Measures such as Net Present Value (NPV), Benefit Cost Ratio (BCR), Internal Rate of Return (IRR), Annual Equivalent Value (AEV), Land Expected Value (LEV), Return on Investment (ROI) and Discounted Payback Period (DPBP) were used to analyse the cash flow statement of the investment. The study revealed that small scale Tectona grandis plantation of 0.4 ha with 12 year rotation had NPV of ₦1,096,118.00, BCR of 2.62, IRR of 35.30%, AEV of ₦208,262.42 ha-1, LEV of ₦1,608,350.84 ha-1, ROI of 162% and DPBP of 5.6 years.  The results showed that investment in small scale forest plantation development is profitable going by the economic returns indices. It is recommended that private forest plantation development should incorporate multiple land use systems in order to increase economic returns and reduce the payback period.


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