Economic profitability in conventional and irrigated coffee production systems in three municipalities in the Marilia region of São Paulo, Brazil

Abstract

The objective of this study was to evaluate the economic benefit of coffee cultivation, with a focus on the distinction between conventional and irrigated coffee production systems. For the development of the study, the various productive systems were delineated from the data provided by a sample of producers to generate a matrix of average technical coefficients. The methodology used to estimate the operating cost of production is the one used by the Instituto de Economia Agrícola (IEA). Profitability indicators were also evaluated. Results indicated that the effective operational cost (EOC) incurred in the irrigated production system is higher than that in the conventional system. As regards the cost composition, in the conventional coffee production system, the largest cost incurred is on fertilizers among all inputs, whereas in the irrigated production system, the largest cost incurred is on machinery and equipment that are mainly used in harvesting, for the period 2013-2015. Profitability index of the conventional coffee production system in 2015 was 44.8%, and that of the drip irrigated production system was 49.7%. In 2014, profitability rates were negative for both the conventional (-13.9%) and irrigated coffee production systems (-8.6%). The most preferable choice was found to be the irrigated production system, as it allows reducing the risk of loss in production during prolonged periods of water shortage as well as greater yields due to a larger production of grains.

Profitability of Organic Yellow Passion Fruit as a Function of Irrigation, Protected Cultivation and Pollination

“…The profitability of passion fruit cultivation is similar to other significant agricultural activities in Brazil, e.g., soybean production with molybdenum application, which achieved profitability indices ranging from 76.80% to 79.65% (OLIVEIRA et al, 2015). However, several agricultural activities have lower profitability than organic passion fruit cultivation, e.g., cowpea, with which Vieira et al (2018) obtained a profitability index of 39.02%, and conventional coffee cultivation (Coffea arabica), which can be influenced by seasonality during the off-season, alternating between negative (-13.9%) and positive profitability indices (44.8%) (TURCO et al, 2017). The revenue obtained with the activity accounts for a total monthly income of R$ 7,129.64 and net revenue of R$ 4,918.18 when using artificial pollination.…”

Use of agricultural technology, yields and economic profitability of small-scale producers (Coffea arabica L.)

“…For producers in Puebla, the BCR was 1.0 and for those in Oaxaca, 0.81 (Table 2). In previous studies, negative profitability was reported for small-scale producers in Hawaii (Woodill et al, 2014) and for producers in Brazil (Turco et al, 2017), while Espinosa-García et al (2016) reported for Mexico that yields under 4.5 tons per hectare generate negative profitability. The producers, once the cherry coffee production has been harvested, have the options of selling the coffee as cherry or processing it (depulping, washing and drying).…”

Agronomic and Economic Evaluation of Sequential Spray of Silicon and Fungicides for a Sustainable Soybean Crop

“…For the economic evaluations, the soybean sale price, inputs purchase price, and other expenses were determined based on the current market values (Turco et al 2017, Gaspar et al 2018. Among the cost system classifications, the following components that are part of the production process were surveyed: inputs [aluminum silicate, trifloxystrobin + prothioconazole (fungicide mixture), seeds of the cultivars used, seed treatment (mixture of pyraclostrobin {25 g L -1 } + thiophanate-methyl {225 g L -1 } + fipronil {250 g L -1 }), biological inoculant, 00-20-20 fertilizer, potassium chloride, and glyphosate] and agricultural mechanization (harrowing, sowing, topdressing fertilization, spraying and harvesting).…”