The object of the following section is to assess the expected financial return from different fish-farming development and management options possible in Zambia. It was agreed with project management that O. andersonii was the best species of fish to use.
The first part describes fish-farm designs where distribution of pond area between breeding, rearing and production ponds has been set such as to obtain optimal yields, taking into account main characteristics of the fish species on the total climatic factors.
This fish-farm design has been submitted in two farm size options (5 HA and 10 HA) and three production pond size options (5000 m2, 2500 m2, 1500 m2) to Brunelli Construction Ltd., which has experience in fish-farm development. Brunelli construction has later submitted pro forma budgets for each development option. Their total cost are found in Annex 5. Those costs were estimated for a site located within a 30 km distance from the city of Lusaka, but Brunelli Construction affirmed that they would be similar in the Copperbelt area.
In the following part, four different management options are explained and analyzed from an economic point of view: direct feed, chicken manure, pig-cum-fish and duck-cum-fish.
The expected return from the different options are later computed and analyzed so as to identify the most attractive ones.
Design of fish-farm were prepared for 5 ha, 10 ha, 15 ha and 20 ha farm (area under water), assuming the use of three different sizes of production ponds, that is 15 ares, 25 ares and 50 ares. The objective was to estimate the trade-off between construction costs which are lower with larger size ponds and yields which are higher on smaller ponds. Design of fish-farms was elaborated on the basis of the following assumptions.
Climatic factors limit the breeding season to the period between mid-September and end of May. During that period it is assumed that each female yields a total supply of 300 fingerlings which is harvested in 14 seinage operation, performed every second week between end of October and end of May. Thus it is assumed that within that period, on average, each female produces 300÷14 = 21.4 fingerlings per seinage. To ease seinage operations, breeding ponds whould be rectangular in shape. Their size should not exceed 10 ares. Experience at Chilanga fish-farm indicate that concrete walls have no positive impact. Therefore their use is not prescribed for commercial fish-farm. All breeding ponds are seined on the same day and fingerlings harvested are stocked in a rearing pond or set of rearing ponds.
Fingerlings are transferred from breeding ponds to rearing ponds at a weight varying between 0.5 to 4 grammes. The rearing pond cycle is 13 weeks, at the end of which fingerling reaches an average weight of 20 grams. Stocking density in rearing pond can vary from 20 to 30 per m2. A stocking density of 25/m2 has been assumed. It is also assumed that rate of mortality is 10%. Due to the limited breeding season and cycle duration, each rearing pond is stocked only twice in the year. Therefore 7 rearing ponds or sets of rearing ponds are required.
Production ponds are stocked at a rate of 2.5/m2. There are 2 production cycles per year. For the Lusaka area the months of June and July which are the coldest of the year are not counted as part of production cycle as the growth opened during that period is insignificant. Therefore 5 months production cycles are assumed for that area. Yields would be higher in the Copperbelt area where temperatures are higher all year round.
Total area allocated to breeding ponds should be at least of area allocated to production ponds in order to obtain the number of fingerlings required for two production cycles.
Production ponds are designed in sets of 1, 2, 3 or more, depending of the size of the farm, each set being stocked at the same time. To each set of production ponds corresponds a set of rearing ponds with, total area of
The following table illustrates the balance between breeding, rearing and production operations. Rearing pond cycles last 13 weeks but it is assumed that fingerlings born in the second half of breeding season will stay longer in rearing ponds, waiting for a production pond to be ready for stocking. Each seinage operation of breeding ponds corresponds to a stocking operation of the rearing ponds. Each harvesting of a set of reading ponds corresponds to the stocking of a set of production ponds.
TABLE 5.1
STOCKING AND HARVESTING SCHEDULE
WEEK | SET OF BREEDING PONDS | SET OF REARING PONDS | SET OF PRODUCTION PONDS | |||||||||||||
1 | 2 | 3 | 4 | 5 | 6 | 7 | 1 | 2 | 3 | 4 | 5 | 6 | 7 | |||
Se | St | H | St | |||||||||||||
2 | ||||||||||||||||
Se | St | H | St | |||||||||||||
4 | ||||||||||||||||
Se | St | H | St | |||||||||||||
6 | ||||||||||||||||
Se | St | |||||||||||||||
8 | ||||||||||||||||
Se | St | |||||||||||||||
10 | ||||||||||||||||
Se | St | |||||||||||||||
12 | ||||||||||||||||
Se | St | H | ||||||||||||||
14 | H | St | ||||||||||||||
Se | St | H | ||||||||||||||
16 | H | St | ||||||||||||||
Se | St | H | ||||||||||||||
18 | H | St | ||||||||||||||
Se | St | H | ||||||||||||||
20 | H | St | ||||||||||||||
Se | St | H | ||||||||||||||
22 | H | St | ||||||||||||||
Se | St | H | ||||||||||||||
24 | H | St | ||||||||||||||
Se | St | H | ||||||||||||||
26 | H | St | ||||||||||||||
Se | St | |||||||||||||||
28 | ||||||||||||||||
30 | ||||||||||||||||
32 | June & July No Growth Period | |||||||||||||||
34 | ||||||||||||||||
36 | ||||||||||||||||
38 | ||||||||||||||||
40 | ||||||||||||||||
42 | ||||||||||||||||
44 | H | |||||||||||||||
H | St | |||||||||||||||
46 | Stock (Broodstock) | H | ||||||||||||||
H | St | |||||||||||||||
48 | H | |||||||||||||||
H | St | |||||||||||||||
50 | H | |||||||||||||||
H | St | |||||||||||||||
52 | H |
TABLE 5.2
5 HA COMMERCIAL FISH-FARM WITH 50 A PRODUCTION PONDS
BREEDING PONDS (3) | : 20 × 43.5 m = 8.70 a |
(2) | : 20 × 40.5 m = 8.10 a |
REARING PONDS (7) | : 30 × 18.5 m = 5.55 a |
(1) | : 30 × 23 m = 6.90 a |
PRODUCTION PONDS (8) | : 50 × 100 = 50.00 a |
(1) | : 30 × 40 = 12.00 a |
TABLE 5.3
5 HA COMMERCIAL FISH-FARM WITH 25 A PRODUCTION PONDS
Stocking: 3 production
ponds at time
BREEDING PONDS (4) | : 50 × 20 m = 10.0 a |
REARING PONDS (5) | : 40 × 20 m = 8.0 a |
(2) | : 10 × 25.0 m = 2.5 a |
PRODUCTION PONDS (15) | : 50 × 50 m = 25.0 a |
(2) | : 40 × 50 m = 20.0 a |
TABLE 5.4
5 HA COMMERCIAL FISH-FARM WITH 15 A PRODUCTION PONDS
Production ponds to be
stocked at one time: 4
BREEDING PONDS (4) | : 20 × 39 m = 7.80 a |
REARING PONDS (7) | : 20 × 32.5 m = 6.7 a |
PRODUCTION PONDS (28) | : 30 × 50 m = 15.0 a |
The base capital cost covers investment which has to be made whichever management option is chosen. It includes:
Cost of pond construction, to be depreciated over a period of 20 years, from the quotation given by Brunelli Construction.
Cost of building a fence around the fish-farm (total area: 7.5 HA for 5 HA of fish ponds). Amortized on 10 years.
Cost of building closed and open warehouse, based on construction costs given by project management. Amortized on 20 years.
Cost of furniture (mission's estimate). Amortized on 20 years.
Cost of wheelbarrows and one team of oxen plus one cart required for transporting feed and other material (this solution is in favor among many farmers because of the high cost of spare parts for tractors). A new team is bought after 5 years. The old one is sold for K500/head. Cart and wheelbarrows are replaced every 5 years.
Cost of broodstock: there is a slight variation for this item because the breeding pond area varies for each option.
Basic revenues are revenues from sales of fish based on K4/kg and three yields options: 4T/ha, 6T/ha and 8T/ha.
Basic expenses include cost of feed, or manure which varies with each option. The cost of transportation is estimated at K0.33/t/km, which is the figure used by Galaunia Farms. It has been assumed that this farm is located 30 km from its supply center. However, fish would be sold to traders at the farm, which is the usual practice.
Labor costs are based on a team of 5 laborers and one manager. Labor cost are based on a K3/day salary for laborers, and on payroll computed by Zambia Development Bank for a loan covering a commercial fish-farming development project. A K15000 annual labor is also equivalent to CPC Ltd payroll for a 7.5 ha fish-farm; therefore it is a conservative figure.
Cost of supplies (nets, shovels, buckets) is based on a K500 annual cost for the Chilanga station.
Contingencies item should cover cost of electricity (used only for incubators for ducks) and land taxes, which are less than K100 for an operation this size.
Base Capital Cost
K | No. of years | ||||
1) | Pond construction: (see annex) | 5000m2 ponds | 280,650 | 20 | |
2500m2 ponds | 378,845 | 20 | |||
1500m2 ponds | 473,398 | 20 | |||
2) | Other: | ||||
Fencing | |||||
(assuming 300 × 250m lot) | |||||
1.8m high diamond wire: 1100m @ 300K/30m | 11,100 | ||||
2mm plain wire: 3 rows of 1,000m @ 100K | 300 | ||||
Poles (1 per 5m): 220 @ 6K | 1,320 | ||||
Labor: 22 man days @ 3K | 66 | 12,786 | 10 | ||
Closed warehouse: | 35m2 @ 500K | 17,500 | 20 | ||
Open warehouse: | 75m2 @ 54K | 4,050 | 20 | ||
Office: | 10m2 @ 500K | 5,000 | 20 | ||
Furniture | 500 | 20 | |||
Cart (1) | 3,000 | 5 | |||
Team of oxen | 1,800 | 5 | |||
Wheelbarrows (2) @ K115 | 230 | 5 | |||
Broodstock: | |||||
5000m2 pond: @ 4K/kg | 1269 breeders, 0,3KG each | 1,523 | - | ||
2500m2 ponds: @ 4K/kg | 1200 breeders, 0.3KG each | 1,440 | - | ||
1500m2 ponds: @ 4K/kg | 936 breeders, 0.3KG each | 1,124 | |||
Contingency: 10% | 4,600 | ||||
Sub-total | 5000m2 ponds | 50,989 | |||
2500m2 ponds | 50,906 | ||||
1500m2 ponds | 50,590 | ||||
TOTAL BASE CAPITAL COST (1 + 2) | |||||
5000m2 ponds | 331,639 | ||||
2500m2 ponds | 429,751 | ||||
1500m2 ponds | 523,988 |
Tax on farm income is 15% on profit minus capital allowances (100% on buildings and development, 50% on other capital), with possibility of carrying losses against the following year's profit. (Loan of Zambia Development Bank for fish-farming development). Full tax computation is illustrated only for 5000m2 pond option. For 2500m2 and 1500m2 pond size option, taxes are simply decreased in proportion to the increase in pond construction costs.
Revenues and expenses are assumed the same all through project life (20 years). At the end of the project, fixed assets and working capital are both liquidated.
It is assumed that at the end of project life, fish-farm can be sold for initial value minus all concrete and block work which would eventually have to be replaced. Therefore salvage value of assets would include:
Establishment mobilization, temporary facilities, insurance bonds, supervision, etc.
Site clearance, bush clearing
Lump sum allowance for anthills or trees
Earthwork in excavation and placing to fill, with shaping and compaction
Open drainage channel.
This item includes value of working capital, of broodstock and meat value of oxenteam estimated at K500/head.
It is assumed that the salvage value of assets, which have been fully written off the books, is an income added to the project of the farm and thus taxed at the same rate. Release of working capital is not an income and thus non taxable.
TABLE 5.6
ANNUAL COST OF LABOR AND MANAGEMENT
-5 HA FARM
FEED, CHICKEN LITTER, PIG-CUM-FISH | ||
K | ||
1 FARM MANAGER | 6,000 | |
1 FARM SUPERVISOR | 3,500 | |
5 LABORERS @ K 720 | 3,600 | |
OTHER LABOR COSTS | 900 | |
TOTAL | 14,000 | |
DUCK-CUM-FISH | ||
1 FARM MANAGER | 6,000 | |
1 FARM SUPERVISOR | 3,500 | |
7 LABORERS @ K 720 YEAR | 5,040 | |
OTHER LABOR COSTS | 460 | |
TOTAL | 15,000 |
-10 HA FARM
FEED AND FERTILIZER, CHICKEN LITTER, PIG-CUM-FISH | ||
1 FARM MANAGER | 9,000 | |
2 FARM SUPERVISOR AT K 3,500 | 7,000 | |
10 LABORERS @ K 720 | 7,200 | |
OTHER LABOR COSTS | 1,800 | |
TOTAL | 25,000 | |
DUCK-CUM-FISH | ||
1 FARM MANAGER | 9,000 | |
1 FARM SUPERVISOR AT K 3,500 | 7,000 | |
14 LABORERS @ K 720 | 10,080 | |
OTHER LABOR COSTS | 920 | |
TOTAL | 27,000 |
In the direct feed option, fish are fed with a mixture of maize bran and sunflower oil cake. Only light organic fertilizing is done from time to time.
Feed requirements are explained on the next table. Prices of sunflower cake and maize bran are based on ongoing prices in Lusaka (there are significant prices variations in price of maize bran according to source).
Working capital for feed option would have to last one year, until the first production ponds can be harvested.
TABLE 5.7
FEED REQUIREMENTS PER ARE, PER DAY
BREEDING PONDS
3% of mass of broodstock, weighing on average 300 g/fish
0,03 × 30 × 300 = 270 g
REARING PONDS
FIRST 13 WEEKS
6% of mass of fingerlings, weighing on average 15 g/fish
0.06 × 2500 × 15 = 2.250 kg
REST OF CYCLE (EXTENDED TIME IN REARING PONDS)
4% of mass of fingerlings, weighting on average 30 g
0.04 × 2500 × 30 = 3.0 kg
PRODUCTION PONDS
FISH HAVING COMPLETED 13 WEEKS CYCLE IN REARING PONDS
3% of total mass, assuming an average weight of 100 g/fish
0.03 × 250 × 100 = 0.750 kg
FISH HAVING COMPLETED 21 WEEKS CYCLE IN REARING PONDS
3% of total mass, assuming an average weight of 120 g/fish
0.03 × 250 × 120 = 0.900 kg
TABLE 5.8
FEED REQUIREMENTS, QUANTITIES AND COSTS
BREEDING PONDS (34 WEEKS) | REARING PONDS | PRODUCTION PONDS | TOTAL QUANTITY (KG) | TOTAL COST* (K) | ||||
REGULAR CYCLE (2×13 WEEKS) | CYCLE EXTENSION** (8 WEEKS) | FIRST CYCLE | SECOND CYCLE | |||||
5 HA FISH FARM | 5,000 m2 PONDS | 2,718 | 18,714 | 7,678 | 43,260 | 51,912 | 124,282 | 29,628 |
2,500 m2 PONDS | 2,570 | 18,428 | 7,560 | 43,575 | 52,290 | 124,423 | 29,661 | |
1,500 m2 PONDS | 2,005 | 19,165 | 7,862 | 44,100 | 52,920 | 126,052 | 30,050 | |
10 HA FISH FARM | 5,000 m2 PONDS | 5,411 | 37,510 | 15,389 | 86,541 | 103,849 | 248,700 | 59,288 |
2,500 m2 PONDS | 4,170 | 39,803 | 16,330 | 87,980 | 105,575 | 253,858 | 60,517 | |
1,500 m2 PONDS | 4,010 | 38,411 | 15,758 | 88,599 | 106,319 | 253,097 | 60,336 |
* Based on a mix of 50% sunflower cake (K327/T) and maizebran (K149.78/T)
OPTION I: DIRECT FEED
WORKING CAPITAL | K | |
FEED FOR ONE YEAR 126,052 KG (50% sunflower cake @ K327/T, 50% maize K149.78/T) | 30,050 | |
SUPPLIES (Nets, Shovels, Tools) | 1,000 | |
CASH: FOR TRANSPORTATION | 1,247 | |
FOR SALARIES | 14,000 | |
CONTINGENCIES 10% | 4,703 | |
TOTAL | 51,000 |
PROJECTED PROFIT AND LOSS STATEMENT | |||
REVENUES | K | ||
SALES: Low yields 4T/HA @ K4/KG | 80,000 | ||
Medium yields 6T/HA @ K4/KG | 120,000 | ||
High yelds 8T/HA @ K4/KG | 160,000 | ||
EXPENSES | |||
Direct costs | |||
Feed | 30,050 | ||
Transportation | 1,247 | ||
Supplies | 1,000 | ||
Salaries | 14,000 | ||
Contingencies | 4,703 | ||
TOTAL DIRECT COST | 51,000 | ||
PROFIT BEFORE DEPRECIATION: Low | 29,000 | ||
Medium | 69,000 | ||
High | 109,000 | ||
5,000 m2 Ponds | 2,500 m2 Ponds | 1,500 m2 Ponds | |
DEPRECIATION Pond | 14,032 | 18,942 | 23,670 |
Fence | 1,279 | 1,279 | 1,279 |
Building & Furniture | 1,352 | 1,352 | 1,352 |
Other | 806 | 806 | 806 |
TOTAL | 17,469 | 22,379 | 27,107 |
PROFIT Low | 11,531 | 6,621 | 1,893 |
Medium | 51,531 | 46,621 | 41,893 |
High | 91,531 | 86,621 | 81,893 |
TABLE 5.10
PROFIT TAX COMPUTATION, 5 HA FISH-FARM, 5,000 m2 PONDS, DIRECT FEED OPTION
YEAR | PROFIT BEFORE DEPRECIATION | CAPITAL ALLOWANCES | LOSS BROUGHT FORWARD | TOTAL ALLOWANCE | TAXABLE INCOME | TAX (15%) | |||||||||||
Buildings/ Development* | Other** | ||||||||||||||||
L | M | H | L | M | H | L | M | H | L | M | H | L | M | H | |||
1 | 29,000 | 69,000 | 109,000 | 319,986 | 2,765 | - | - | - | 322,751 | 322,751 | 322,751 | (293,751) | (253,751) | (213,751) | - | - | - |
2 | 29,000 | 69,000 | 109,000 | - | 2,765 | 293,751 | 253,751 | 213,751 | 296,516 | 256,516 | 216,516 | (267,516) | (187,516) | (107,516) | - | - | - |
3 | 29,000 | 69,000 | 109,000 | - | - | 267,516 | 187,516 | 107,516 | 267,516 | 187,516 | 107,516 | (238,516) | (118,516) | 1,484 | - | - | 223 |
4 | 29,000 | 69,000 | 109,000 | - | - | 238,516 | 118,516 | - | 238,516 | 118,516 | - | (209,516) | (49,516) | 109,000 | - | - | 16,350 |
5 | 29,000 | 69,000 | 109,000 | - | 2,765 | 209,516 | 49,516 | - | 212,281 | 52,281 | 2,765 | (183,281) | 16,719 | 106,235 | - | 2,508 | 15,935 |
6 | 29,000 | 69,000 | 109,000 | - | 2,765 | 183,281 | - | - | 186,046 | 2,765 | 2,765 | (157,046) | 66,235 | 106,235 | - | 9,935 | 15,935 |
7 | 29,000 | 69,000 | 109,000 | - | - | 157,046 | - | - | 157,046 | - | - | (128,046) | 69,000 | 109,000 | - | 10,350 | 16,350 |
8 | 29,000 | 69,000 | 109,000 | - | - | 128,046 | - | - | 128,046 | - | - | (99,046) | 69,000 | 109,000 | - | 10,350 | 16,350 |
9 | 29,000 | 69,000 | 109,000 | - | - | 99,046 | - | - | 99,406 | - | - | (70,046) | 69,000 | 109,000 | - | 10,350 | 16,350 |
10 | 29,000 | 69,000 | 109,000 | 12,786 | 2,765 | 70,046 | - | - | 85,597 | 15,551 | 15,551 | (56,597) | 53,449 | 93,449 | - | 8,017 | 14,017 |
11 | 29,000 | 69,000 | 109,000 | - | 2,765 | 56,597 | - | - | 59,362 | 2,765 | 2,765 | (30,362) | 66,235 | 106,235 | - | 9,935 | 15,935 |
12 | 29,000 | 69,000 | 109,000 | - | - | 30,362 | - | - | 17,476 | - | - | (1,362) | 69,000 | 109,000 | - | 10,350 | 16,350 |
13 | 29,000 | 69,000 | 109,000 | - | - | 1,362 | - | - | - | - | - | 27,638 | 69,000 | 109,000 | 4,146 | 10,350 | 16,350 |
14 | 29,000 | 69,000 | 109,000 | - | - | - | - | - | - | - | - | 29,000 | 69,000 | 109,000 | 4,350 | 10,350 | 16,350 |
15 | 29,000 | 69,000 | 109,000 | - | 2,765 | - | - | - | 2,765 | 2,765 | 2,765 | 26,235 | 66,235 | 106,235 | 3,935 | 9,935 | 15,935 |
16 | 29,000 | 69,000 | 109,000 | - | 2,765 | - | - | - | 2,765 | 2,765 | 2,765 | 26,235 | 66,235 | 106,235 | 3,935 | 9,935 | 15,935 |
17 | 29,000 | 69,000 | 109,000 | - | - | - | - | - | - | - | - | 29,000 | 69,000 | 109,000 | 4,350 | 10,350 | 16,350 |
18 | 29,000 | 69,000 | 109,000 | - | - | - | - | - | - | - | - | 29,000 | 69,000 | 109,000 | 4,350 | 10,350 | 16,350 |
19 | 29,000 | 69,000 | 109,000 | - | - | - | - | - | - | - | - | 29,000 | 69,000 | 109,000 | 4,350 | 10,350 | 16,350 |
20 | 188,250 | 228,250 | 268,250 | - | - | - | - | - | - | - | - | 188,250 | 228,250 | 268,250 | 28,237 | 34,237 | 40,237 |
* POND CONSTRUCTION, FENCE, BUILDINGS, AT 100%
** FURNITURE CARTS & OXEN, WHEEL-BARROWS, AT 50%
TABLE 5.11
FINANCIAL RATE OF RETURN, 5 HA FISH-FARM, 5,000 m2 PONDS, DIRECT FEED OPTION
YEAR | 0 | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14 | 15 | 16 | 17 | 18 | 19 | 20 |
CASH-INFLOWS | |||||||||||||||||||||
Profit L | - | 11,531 | 11,531 | 11,531 | 11,531 | 11,531 | 11,531 | 11,531 | 11,531 | 11,531 | 11,531 | 11,531 | 11,531 | 11,531 | 11,531 | 11,531 | 11,531 | 11,531 | 11,531 | 11,531 | 11,531 |
M | - | 51,531 | 51,531 | 51,531 | 51,531 | 51,531 | 51,531 | 51,531 | 51,531 | 51,531 | 51,531 | 51,531 | 51,531 | 51,531 | 51,531 | 51,531 | 51,531 | 51,531 | 51,531 | 51,531 | 51,531 |
H | - | 91,531 | 91,531 | 91,531 | 91,531 | 91,531 | 91,531 | 91,531 | 91,531 | 91,531 | 91,531 | 91,531 | 91,531 | 91,531 | 91,531 | 91,531 | 91,531 | 91,531 | 91,531 | 91,531 | 91,531 |
Depreciation | - | 17,469 | 17,469 | 17,469 | 17,469 | 17,469 | 17,469 | 17,469 | 17,469 | 17,469 | 17,469 | 17,469 | 17,469 | 17,469 | 17,469 | 17,469 | 17,469 | 17,469 | 17,469 | 17,469 | 17,469 |
Salvage value of assets | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | 159,250 |
Release of working capital | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | 53,523 |
TOTAL INFLOWS L | - | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 241,773 |
M | - | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 281,773 |
H | - | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 321,773 |
CASH OUTFLOWS | |||||||||||||||||||||
Fixed capital | 331,639 | - | - | - | - | 4,030 | - | - | - | - | 16,816 | - | - | - | - | 4,030 | - | - | - | - | - |
Working capital | 51,000 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Taxes L | - | - | - | - | - | - | - | - | - | - | - | - | - | 4,146 | 4,350 | 3,935 | 3,935 | 4,350 | 4,350 | 4,350 | 28,237 |
M | - | - | - | - | - | 2,508 | 9,935 | 10,350 | 10,350 | 10,350 | 8,017 | 9,935 | 10,350 | 10,350 | 10,350 | 9,935 | 9,935 | 10,350 | 10,350 | 10,350 | 34,237 |
H | - | - | - | 223 | 16,350 | 15,935 | 15,935 | 16,350 | 16,350 | 16,350 | 14,017 | 15,935 | 16,350 | 16,350 | 16,350 | 15,935 | 14,935 | 16,350 | 16,350 | 16,350 | 40,237 |
TOTAL OUTFLOWS L | 382,639 | - | - | - | - | 4,030 | - | - | - | - | 16,816 | - | - | 4,146 | 4,350 | 7,965 | 3,935 | 4,350 | 4,350 | 4,350 | 28,237 |
M | 382,639 | - | - | - | - | 6,538 | 9,935 | 10,350 | 10,350 | 10,350 | 24,833 | 9,935 | 10,350 | 10,350 | 10,350 | 13,965 | 9,935 | 10,350 | 10,350 | 10,350 | 34,237 |
H | 382,639 | - | - | 223 | 16,350 | 19,965 | 15,935 | 16,350 | 16,350 | 16,350 | 30,833 | 15,935 | 16,350 | 16,350 | 16,350 | 19,965 | 15,935 | 16,350 | 16,350 | 16,350 | 40,237 |
NET CASH FLOWS L | (382,639) | 29,000 | 29,000 | 29,000 | 29,000 | 24,970 | 29,000 | 29,000 | 29,000 | 29,000 | 12,184 | 29,000 | 29,000 | 24,854 | 24,650 | 21,035 | 25,065 | 24,650 | 24,650 | 24,650 | 213,536 |
M | (382,639) | 69,000 | 69,000 | 69,000 | 69,000 | 62,462 | 59,065 | 58,650 | 58,650 | 58,650 | 44,167 | 59,065 | 58,650 | 58,650 | 58,650 | 55,035 | 59,065 | 58,650 | 58,650 | 58,650 | 247,536 |
H | (382,639) | 109,000 | 109,000 | 108,777 | 92,650 | 89,035 | 93,065 | 92,650 | 92,650 | 92,650 | 78,167 | 93,065 | 92,650 | 92,650 | 92,650 | 89,035 | 93,065 | 92,650 | 92,650 | 92,650 | 281,536 |
FINANCIAL RATE OF RETURN | L | 5.5% |
M | 16.1% | |
H | 26,1% |
TABLE 5.12
FINANCIAL RATE OF RETURN, 5 HA FISH-FARM, 2,500 m2 PONDS, DIRECT FEED OPTION
YEAR | 0 | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14 | 15 | 16 | 17 | 18 | 19 | 20 |
CASH-INFLOWS | |||||||||||||||||||||
Profit L | - | 6,621 | 6,621 | 6,621 | 6,621 | 6,621 | 6,621 | 6,621 | 6,621 | 6,621 | 6,621 | 6,621 | 6,621 | 6,621 | 6,621 | 6,621 | 6,621 | 6,621 | 6,621 | 6,621 | 6,621 |
M | - | 46,621 | 46,621 | 46,621 | 46,621 | 46,621 | 46,621 | 46,621 | 46,621 | 46,621 | 46,621 | 46,621 | 46,621 | 46,621 | 46,621 | 46,621 | 46,621 | 46,621 | 46,621 | 46,621 | 46,621 |
H | - | 86,621 | 86,621 | 86,621 | 86,621 | 86,621 | 86,621 | 86,621 | 86,621 | 86,621 | 86,621 | 86,621 | 86,621 | 86,621 | 86,621 | 86,621 | 86,621 | 86,621 | 86,621 | 86,621 | 86,621 |
Depreciation | - | 22,379 | 22,379 | 22,379 | 22,379 | 22,379 | 22,379 | 22,379 | 22,379 | 22,379 | 22,379 | 22,379 | 22,379 | 22,379 | 22,379 | 22,379 | 22,379 | 22,379 | 22,379 | 22,379 | 22,379 |
Salvage value of assets | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | 193,245 |
Relense of working capital | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | 53,440 |
TOTAL INFLOWS L | - | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 275,685 |
M | - | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 315,685 |
H | - | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 355,685 |
CASH OUTFLOWS | |||||||||||||||||||||
Fixed capital | 429,751 | - | - | - | - | 4,030 | - | - | - | - | 16,816 | - | - | - | - | 4,030 | - | - | - | - | - |
Working capital | 51,000 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Taxes L | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | 1,637 | 4,350 | 4,350 | 4,350 | 33,337 |
M | - | - | - | - | - | - | - | 8,064 | 10,350 | 10,350 | 8,017 | 9,935 | 10,350 | 10,350 | 10,350 | 9,935 | 9,935 | 10,350 | 10,350 | 10,350 | 39,337 |
H | - | - | - | - | 1,843 | 15,935 | 15,935 | 16,350 | 16,350 | 16,350 | 14,017 | 15,935 | 16,350 | 16,350 | 16,350 | 15,935 | 15,935 | 16,350 | 16,350 | 16,350 | 45,337 |
TOTAL OUTFLOWS L | 480,751 | - | - | - | - | 4,030 | - | - | - | - | 16,816 | - | - | - | - | 4,030 | 1,637 | 4,350 | 4,350 | 4,350 | 33,337 |
M | 480,751 | - | - | - | - | 4,030 | - | 8,064 | 10,350 | 10,350 | 24,833 | 9,935 | 10,350 | 10,350 | 10,350 | 13,965 | 9,935 | 10,350 | 10,350 | 10,350 | 39,337 |
H | 480,751 | - | - | - | 1,843 | 19,965 | 15,935 | 16,350 | 16,350 | 16,350 | 30,833 | 15,935 | 16,350 | 16,350 | 16,350 | 19,965 | 15,935 | 16,350 | 16,350 | 16,350 | 45,337 |
NET CASH FLOWS L | (480,751) | 29,000 | 29,000 | 29,000 | 29,000 | 24,970 | 29,000 | 29,000 | 29,000 | 29,000 | 12,184 | 29,000 | 29,000 | 24,854 | 24,650 | 24,970 | 27,363 | 24,650 | 24,650 | 24,650 | 242,348 |
M | (480,751) | 69,000 | 69,000 | 69,000 | 69,000 | 64,970 | 69,000 | 60,936 | 58,650 | 58,650 | 44,167 | 59,065 | 58,650 | 58,650 | 58,650 | 55,035 | 59,065 | 58,650 | 58,650 | 58,650 | 276,348 |
H | (480,751) | 109,000 | 109,000 | 109,000 | 107,157 | 89,035 | 93,065 | 92,650 | 92,650 | 92,650 | 78,167 | 93,065 | 92,650 | 92,650 | 92,650 | 89,035 | 93,065 | 92,650 | 92,650 | 92,650 | 340,348 |
FINANCIAL RATE OF RETURN | L | 3.7% |
M | 12.5% | |
H | 20.6% |
TABLE 5.13
FINANCIAL RATE OF RETURN, 5 HA FISH-FARM, 1,500 m2 PONDS, DIRECT FEED OPTION
YEAR | 0 | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14 | 15 | 16 | 17 | 18 | 19 | 20 |
CASH-INFLOWS | |||||||||||||||||||||
Profit L | - | 1,893 | 1,893 | 1,893 | 1,893 | 1,893 | 1,893 | 1,893 | 1,893 | 1,893 | 1,893 | 1,893 | 1,893 | 1,893 | 1,893 | 1,893 | 1,893 | 1,893 | 1,893 | 1,893 | 1,893 |
M | - | 41,893 | 41,893 | 41,893 | 41,893 | 41,893 | 41,893 | 41,893 | 41,893 | 41,893 | 41,893 | 41,893 | 41,893 | 41,893 | 41,893 | 41,893 | 41,893 | 41,893 | 41,893 | 41,893 | 41,893 |
H | - | 81,893 | 81,893 | 81,893 | 81,893 | 81,893 | 81,893 | 81,893 | 81,893 | 81,893 | 81,893 | 81,893 | 81,893 | 81,893 | 81,893 | 81,893 | 81,893 | 81,893 | 81,893 | 81,893 | 81,893 |
Depreciation | - | 27,107 | 27,107 | 27,107 | 27,107 | 27,107 | 27,107 | 27,107 | 27,107 | 27,107 | 27,107 | 27,107 | 27,107 | 27,107 | 27,107 | 27,107 | 27,107 | 27,107 | 27,107 | 27,107 | 27,107 |
Salvage value of assets | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | 239,598 |
Release of working capital | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | 53,124 |
TOTAL INFLOWS L | - | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 29,000 | 321,722 |
M | - | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 69,000 | 361,722 |
H | - | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 109,000 | 401,722 |
CASH OUTFLOWS | |||||||||||||||||||||
Fixed capital | 523,988 | - | - | - | - | 4,030 | - | - | - | - | 16,816 | - | - | - | - | 4,030 | - | - | - | - | - |
Working capital | 51,000 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Taxes L | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | 504 | 40,290 |
M | - | - | - | - | - | - | - | - | 4,231 | 10,350 | 8,017 | 9,935 | 10,350 | 10,350 | 10,350 | 9,935 | 9,935 | 10,350 | 10,350 | 10,350 | 46,290 |
N | - | - | - | - | - | 3,596 | 15,935 | 16,350 | 16,350 | 16,350 | 14,017 | 15,935 | 16,350 | 16,350 | 16,350 | 15,935 | 15,935 | 16,350 | 16,350 | 16,350 | 52,290 |
TOTAL OUTFLOWS L | 574,988 | - | - | - | - | 4,030 | - | - | - | - | 16,816 | - | - | - | - | 4,030 | - | - | - | 504 | 40,290 |
M | 574,988 | - | - | - | - | 4,030 | - | - | 4,231 | 10,350 | 24,833 | 9,935 | 10,350 | 10,350 | 10,350 | 13,965 | 9,935 | 10,350 | 10,350 | 10,350 | 46,290 |
H | 574,988 | - | - | - | - | 7,626 | 15,935 | 16,350 | 16,350 | 16,350 | 30,833 | 15,935 | 16,350 | 16,350 | 16,350 | 19,965 | 15,935 | 16,350 | 16,350 | 16,350 | 52,290 |
NET CASH FLOWS L | (574,988) | 29,000 | 29,000 | 29,000 | 29,000 | 24,970 | 29,000 | 29,000 | 29,000 | 29,000 | 12,184 | 29,000 | 29,000 | 24,854 | 24,650 | 24,970 | 29,000 | 29,000 | 29,000 | 28,496 | 281,432 |
M | (574,988) | 69,000 | 69,000 | 69,000 | 69,000 | 64,970 | 69,000 | 60,936 | 64,769 | 58,650 | 44,167 | 59,065 | 58,650 | 58,650 | 58,650 | 55,035 | 59,065 | 58,650 | 58,650 | 58,650 | 315,432 |
H | (574,988) | 109,000 | 109,000 | 109,000 | 109,000 | 101,374 | 93,065 | 92,650 | 92,650 | 92,650 | 78,167 | 93,065 | 92,650 | 92,650 | 92,650 | 89,035 | 93,065 | 92,650 | 92,650 | 92,650 | 349,432 |
FINANCIAL RATE OF RETURN | L | 2.7% |
M | 10.2% | |
H | 17.1% |