An Analysis of Costs and Returns and Production Efficiency of Economic Crops in South of Thailand

Abstract

The purpose of this research was to study costs and returns analysis and production efficiency to economic crops with three types of crops in the south of Thailand, palm oil, rubber, and coffee. Project Time is 25-year for palm oil and rubber and 15-year of coffee, using a discount rate of 12% per year. The instrument was questionnaires about the cost and revenue, the data were financially analyzed in order to find out net present value (NPV), Benefit-Cost Ratio (BCR), internal rate of return (IRR) and technical efficiency analysis. Research results of cost and benefits; Plam oil, the net present value was baht 380,669.4, the present value of compensation cost was 7.43 and the internal rate of return of investment was 14.51%. Rubber, the net present value was baht -832,503.57, the present value of compensation cost was 1.94 and the project's internal rate of return was 10.56 %. Coffee, the net present value was to the present value of baht 458,839, present value of compensation costs was 6.26, internal rate of return equal to times the project was 16.6 %. Research results of technical efficiency analysis: production efficiency of palm oil was 94.18%, production efficiency of rubber was 87.62%, production efficiency of coffee was 87.62%.