In conclusion, given the assumptions
made throughout this study, banana
production for better than average managers
is reasonably "profitable." The break-even
yield is 29,874 pounds per acre and the
break-even price is 37.9 ¢/pound. As long
as the yield and price are equal or greater
than this, the producer will cover all costs
of production and generate an adequate
return for labor, management and owner
equity. However, it must be stressed that
the results of this study were not deducted
from a survey of all producers, and the
input costs are not based on averages. The
production model was synthesized from an
in-depth analysis of a few selected farms in
order (a) to estimate the economic profit
ability of a typical Cavendish banana farm
and (b) to provide a structure for an
economic analysis of any banana enterprise.
In conclusion, given the assumptionsmade throughout this study, bananaproduction for better than average managersis reasonably "profitable." The break-evenyield is 29,874 pounds per acre and thebreak-even price is 37.9 ¢/pound. As longas the yield and price are equal or greaterthan this, the producer will cover all costsof production and generate an adequatereturn for labor, management and ownerequity. However, it must be stressed thatthe results of this study were not deductedfrom a survey of all producers, and theinput costs are not based on averages. Theproduction model was synthesized from anin-depth analysis of a few selected farms inorder (a) to estimate the economic profitability of a typical Cavendish banana farmand (b) to provide a structure for aneconomic analysis of any banana enterprise.
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