Economics of Eucalyptus camaldulensis Plantation in Some Regions of Thailand.

Abstract

The purposes of this study are to investigate the market prospects, to present an informative description of the forest owners characteristics and to estimate the investment return from growing Eucalyptus camaldulensis in the eastern and northeastern regions. The benefit-cost analysis technique was used to evaluate the investment return to growers. Output and price were expected on 4 years rotation basis and the net present value (NPV) and benefic-cost ratios were computed at different alternative discount rates ranging from 8 to 16 percent. At the discount rates of 6, 8, 10, 12, 14 and 16 percent. The NPVs under a 4-year rotation of Eucalyptus camaldulensis for the eastern region were 5,457.28, 5,027.49, 4,628.92, 4,258.50, 2,913.98 and 3,592.97 baht/rai respectively, at the same discount rate, the corresponding benefit –cost ratios were 2.91, 2.78, 2.65, 2.53, 2.41 and 2.31 respectively. For northeastern region, the NPV were 3,843.59, 3,517.93, 3,215.61, 2,934.61, 2,673.05 and 2,429.31 baht/rai whereas benefit-cost ratios were 2.61, 2.48, 2.36, 2.25, 2.15 and 2.04 respectively. The internal rate of return (IRR) was 58 percent for the eastern and 50 percent for the northeast regions. The private forests were classified into 4 categories; (1) individual household (2) company (3) school and temple and (4) co-operative. According to the 1987 census of the Royal Forest Department, the total number of households of the private forest in the eastern and northeastern regions were amounted to 1543, 92 percent of which had an area ranging from 1 to 100 rai.