International Journal of Advanced Research in Management and Social Sciences
  • Year: 2014
  • Volume: 3
  • Issue: 7

Profitability of teak plantations in the Dormaa district of the Brong Ahafo region of Ghana

  • Author:
  • Bentil Julian Kobina, Bannor Richard Kwasi
  • Total Page Count: 10
  • Page Number: 274 to 283

*Ministry of Food and Agriculture, Accra, Ghana

**Institute of Agribusiness Management, SK Rajasthan Agricultural University, India

Online published on 11 August, 2014.

Abstract

Dwindling forests in the world have led many to show interests in tree plantation development especially teak both as an investment potential and natural resource conservation. We discuss the profitability of teak plantations in the Dormaa District of the Brong Ahafo region of Ghana using the net present values, benefit-cost ratios, the financial rate of returns and sensitivity analysis. This paper adds to the virtually non-existent data on the cost and expense structure and return on investments of teak plantations in the district; a valuable information for would investors. Teak plantation in the district is a profitable investment.

Keywords

Profitability, Net present Value, Benefit Cost analysis, Financial Internal Rate of Return, Sensitivity Analysis, Return on Investment