Articles
ECONOMIC ANALYSIS OF VEGETABLE CROPS UNDER IN TEMPERATE ZONES
Two alternatives were evaluated: a) Hired hand labour (payment of wages) and b) Hand labour contributed by sharer cropper (some percentage of the production). A sensibility was carried out according to different average sale prices and it was determined the minimum price under which the NPV (8%) was negative.
The measures of economic estimates were: Gross Margin (G.M.) Net Income (N.I.), Net Profit (N.P.), Return on Capital (R.C.) and Net Present Value (N.P.V.).
The a) alternative with average prices showed the greatest Return on Capital.
When the average prices were reduced to 25%. both alternative offered the same economic outcome.
The minimum prices of the b) alternative are significantly lower than those of the a) alternative.
The crops of Pepper, Celery, Strawberry and Spring Tomato showed the highest G.M. Since the first two are annual crops, the celery is the one which presented the highest Return on Capital. the best combination of crops was the Celery and the Autumn Tomato.
The Autumn Sweet Basil, Spring Sweet Basil, Autumn Pepper ans Snap Bean were the ones showing the lowest Return on Capital.
