Analysis of the Tobacco Cultivation Break-even Point of Tobacco Farmers of Baan Suan Chik Community Enterprise, Moo 1, Srisomdej District, Roi Et Province

Abstract

The research objectives were: to study information and general conditions, costs, and returns and to analyze the break-even point selling price per kilogram of tobacco farmers who are members of Baan Suan Chik community enterprise, Moo 1, Srisomdej District, Roi Et Province. The community enterprise has registered to grow tobacco with     the tobacco factory, Excise Department, in the cultivation season of 2021/2022, totaling ten people using a questionnaire to collect data and using accounting formulas to analyze data. The results showed that the average cost of cultivating tobacco per rai was 11,352.89 baht which could be classified as 4,674.67 baht for the average fixed cost per rai and 6,678.22 baht for the average variable cost per rai. The average yield was 190.63 kilograms per rai. The average production cost was 59.55 baht per kilogram which could be classified as 24.52 baht per kilogram for fixed costs and 35.03 baht per kilogram for variable expenses.         The average selling price was 88.52 baht per kilogram. The return on net profit per rai was 5,522.11 baht. The return on net profit per kilogram was 28.97 baht. The average break-even production amount was 87.39 kilograms per rai. The break-even selling price level was 59.55 baht per kilogram. The return on investment on planting cost per rai was 48.64%. Additionally, the return on investment on sales per rai was 32.72%. This can be seen that growing tobacco can generate income for farmers.