Gmsarn International Journal, Volume 15, Issue 3, Pages 217-224 , 01/09/2021

The Financial Performance Outlook of Crude Palm Oil Industry among Different Types of Production in Thailand

Anuman Chanthawong, Benjawan Khongkon, Jintanee Ru-Zhue, Krit Lemthanon

Abstract

Thailand is the third place for crude palm oil ranking whereas still found many barriers to development and competition in the world market. This study investigated the financial feasibility study of crude palm oil focuses on different production processing and production capacity for Fruit-kernel separated refinery plants (Plant A) through six main indicators as follows; benefit-cost ratio (BCR), Internal Rate of Return (IRR), Net present value (NPV), Payback period (PB), Modifield internal rate of return (MIRR), and Profit index (PI). The results obtained that crude palm oil mill gain profitability investment and remain received the profitability investment under the switching value test (SVT) with two scenarios increasing cost and reducing income. Crude palm oil Plant A with a production capacity of fewer than 30 tonnes/hour is the best alternative, for now, entrepreneur, concentration in labor cost and logistic cost will be generated increasing income for production processing. Increasing yield per rai and force new coming have owns oil palm planting area that reduces shortage supply and relief high material cost which increasing competition in the world market.

Document Type

Article

Source Type

Journal

Keywords

Crude palm oil industryfinancial analysisfinancial feasibility study

ASJC Subject Area

Environmental Science : Management, Monitoring, Policy and LawEnvironmental Science : Environmental Science (miscellaneous)Energy : Renewable Energy, Sustainability and the EnvironmentEnergy : Energy Engineering and Power Technology

Funding Agency

National Research Council of Thailand


Bibliography


Chanthawong, A., Khongkon, B., Ru-Zhue, J., & Lemthanon, K. (2021). The Financial Performance Outlook of Crude Palm Oil Industry among Different Types of Production in Thailand. Gmsarn International Journal, 15(3) 217-224.

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