J. Biosci. Agric. Res. | Volume 20, Issue 02, 1709-1716| https://doi.org/10.18801/jbar.200219.208
Article type: Research article|Received: 10.01.2019, Revised: 28.03.2019, Date of Publication: 30 April 2019.
Article type: Research article|Received: 10.01.2019, Revised: 28.03.2019, Date of Publication: 30 April 2019.
Optimal economic return and rotation period of large scale Acacia auriculiformis plantations in Bangladesh
Md. Rayhanur Rahman and Mohammed Kamal Hossain
Institute of Forestry and Environmental Sciences, University of Chittagong, Chittagong-4331, Bangladesh.
Institute of Forestry and Environmental Sciences, University of Chittagong, Chittagong-4331, Bangladesh.
Abstract
Acacia auriculiformis (Akashmoni) has shown excellent performance under plantations and appropriate for quick economic return even on soil of low fertility. The present study highlighted on the maximum economic return and rotation period in different age series of A. auriculiformis plantations at different locations of Chittagong during May 2017 to April 2018. At 13% discounting rate, the study revealed maximum NPV (457,993 Tk), IRR (48%), BCR (6.20), and Le (277,425 Tk) in 10 years old strip plantations. Besides, negative NPV (-27535 Tk), IRR (-8%), and Le (-16888 Tk) were found in 4 years old block plantations. Here, both the plantation practices are profitable (BCR>1.00) except only for 4 years block plantation (BCR=0.6). However, if we consider only NPV, the rotation period should be fixed at 10 years and 14 years for strip and block plantations respectively. Therefore, the study revealed, if we consider IRR, BCR, Le to determine rotation interval of A. auriculiformis in Bangladesh, it should be fixed at 10 years and 12 to 14 years of strip and block plantations respectively. Hence, a large amount of production losses every year as crook and lean formation takes place due to use of low quality seeds and planting materials. However, different management practices is also required immediately for large-scale plantation programs of different regions of the country.
Key Words: Acacia auriculiformis, Net present value, Internal rate of return, Land expectation value and Benefit cost ratio
Acacia auriculiformis (Akashmoni) has shown excellent performance under plantations and appropriate for quick economic return even on soil of low fertility. The present study highlighted on the maximum economic return and rotation period in different age series of A. auriculiformis plantations at different locations of Chittagong during May 2017 to April 2018. At 13% discounting rate, the study revealed maximum NPV (457,993 Tk), IRR (48%), BCR (6.20), and Le (277,425 Tk) in 10 years old strip plantations. Besides, negative NPV (-27535 Tk), IRR (-8%), and Le (-16888 Tk) were found in 4 years old block plantations. Here, both the plantation practices are profitable (BCR>1.00) except only for 4 years block plantation (BCR=0.6). However, if we consider only NPV, the rotation period should be fixed at 10 years and 14 years for strip and block plantations respectively. Therefore, the study revealed, if we consider IRR, BCR, Le to determine rotation interval of A. auriculiformis in Bangladesh, it should be fixed at 10 years and 12 to 14 years of strip and block plantations respectively. Hence, a large amount of production losses every year as crook and lean formation takes place due to use of low quality seeds and planting materials. However, different management practices is also required immediately for large-scale plantation programs of different regions of the country.
Key Words: Acacia auriculiformis, Net present value, Internal rate of return, Land expectation value and Benefit cost ratio
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MLA
Rahman, M. R. and Hossain, M. K. “Optimal economic return and rotation period of large scale Acccia auriculiformic plantations in Bangladesh.” Journal of Bioscience and Agriculture Research 20 (02) (2019): 1709-1716.
APA
Rahman, M. R. and Hossain, M. K. (2019). Optimal economic return and rotation period of large-scale Acccia auriculiformic plantations in Bangladesh. Journal of Bioscience and Agriculture Research, 20 (02), 1709-1716.
Chicago
Rahman, M. R. and Hossain, M. K. “Optimal economic return and rotation period of large scale Acccia auriculiformic plantations in Bangladesh”. Journal of Bioscience and Agriculture Research 20 (02), (2019): 1709-1716.
Harvard
Rahman, M. R. and Hossain, M. K. 2019. Optimal economic return and rotation period of large-scale Acccia auriculiformic plantations in Bangladesh. Journal of Bioscience and Agriculture Research, 20 (02), pp. 1709-1716.
Vancouver
Rahman, M. R. and Hossain, M. K. Optimal economic return and rotation period of large-scale Acccia auriculiformic plantations in Bangladesh. Journal of Bioscience and Agriculture Research. 2019 April 20 (02): 1709-1716.
Rahman, M. R. and Hossain, M. K. “Optimal economic return and rotation period of large scale Acccia auriculiformic plantations in Bangladesh.” Journal of Bioscience and Agriculture Research 20 (02) (2019): 1709-1716.
APA
Rahman, M. R. and Hossain, M. K. (2019). Optimal economic return and rotation period of large-scale Acccia auriculiformic plantations in Bangladesh. Journal of Bioscience and Agriculture Research, 20 (02), 1709-1716.
Chicago
Rahman, M. R. and Hossain, M. K. “Optimal economic return and rotation period of large scale Acccia auriculiformic plantations in Bangladesh”. Journal of Bioscience and Agriculture Research 20 (02), (2019): 1709-1716.
Harvard
Rahman, M. R. and Hossain, M. K. 2019. Optimal economic return and rotation period of large-scale Acccia auriculiformic plantations in Bangladesh. Journal of Bioscience and Agriculture Research, 20 (02), pp. 1709-1716.
Vancouver
Rahman, M. R. and Hossain, M. K. Optimal economic return and rotation period of large-scale Acccia auriculiformic plantations in Bangladesh. Journal of Bioscience and Agriculture Research. 2019 April 20 (02): 1709-1716.
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