Cost and Economic Return of Hom Thong (Cavendish) Banana Cultivation in Mae Taeng District, Chiang Mai Province

Abstract

This study aimed to examine accounting costs and to analyze the break-even point and economic returns of Hom Thong (Cavendish) banana cultivation in Chor Lae and Inthakhin Sub-districts, Mae Taeng District, Chiang Mai Province. A descriptive research design combined with participatory action research (PAR) was employed. The sample consisted of 30 banana farmers selected through purposive sampling. Data were collected using questionnaires and community forums. Data analysis included descriptive statistics (mean, percentage, and frequency) and financial indicators, namely net profit margin, return on assets, and break-even point.
The results indicated that one cultivation cycle could produce two harvests by using suckers from the first generation. The initial investment cost averaged 36,900 baht per rai, while the average production cost was 24,753 baht per rai, consisting of fixed costs of 6,920 baht (28%) and variable costs of 17,833 baht (72%). The average revenue was 75,206 baht per rai, resulting in a net profit of 50,453 baht per rai. The net profit margin was 67%, and the return on assets was 137%. The break-even point was 633 kilograms per rai, equivalent to 9,071 baht per rai.
In conclusion, Hom Thong (Cavendish) banana cultivation is economically viable and provides appropriate returns for farmers in the study area.