FEASIBILITY ANALYSIS OF INVESTMENT IN RUBBER PLANTATIONS FOR FARMERS IN SO PHISAI DISTRICT, BUENG KAN PROVINCE

Abstract

This research aimed to analyze the investment feasibility and compare the economic value between rubber monoculture and integrated rubber plantation systems in So Phisai District, Bueng Kan Province. Utilizing a quantitative approach through project evaluation methodology, data were collected via questionnaires from a purposive sample of 250 farmers. The research instrument was validated for content accuracy (IOC: 0.67-1.00) and reliability (Cronbach’s Alpha: 0.71-0.83). The financial analysis was conducted based on a 25-year project life with a 5% discount rate. The results revealed that the majority of respondents were male with over 11 years of experience, benefiting significantly from available household labor. Regarding financial returns, the integrated system demonstrated superior performance compared to monoculture, yielding a Net Present Value (NPV) of 207,351 THB and an Internal Rate of Return (IRR) of 17.16%, along with a higher Benefit-Cost (B/C) Ratio. Sensitivity analysis further confirmed that the integrated system possesses higher economic resilience; even with a 10% decrease in income, the NPV remained positive. Farmers reported high satisfaction levels concerning food security and year-round cash flow. Policy recommendations suggest that government agencies and financial institutions should provide low-interest loans to mitigate the initial investment costs, which are 66.48% higher than those of monoculture, thereby fostering tangible agricultural sustainability.

Keywords: Integrated Rubber Plantation, Financial Feasibility, Investment Analysis, Bueng Kan Province, Economic Resilience