Costs and Profitability of Agriculture Production
Background
Agricultural modernization is a priority policy area for Sri Lanka, involving improvements to the sector’s resilience to climate change, value addition, export opportunities, job creation, and contributions to nutrition. Achieving these goals requires a better understanding of the financial costs and benefits of different technical and policy interventions. The World Bank, alongside the European Union, supports the Agriculture Sector Modernization Project, which introduces technology packages to help farmers increase their productivity, access markets, and add value. Building on our previous analysis of agricultural production systems and value chains in Sri Lanka, Unique developed a set of enterprise budgets covering different smallholder crops and production systems. It tested their sensitivity to changing input conditions.
Our contribution
- Financial models of smallholder commodities for indicative crop enterprise budgets
- Evaluation of enterprise models considering production variations and on-farm management
- Sensitivity tests of crop enterprise budgets
- Comparison of financial indicators for different crops and production technologies
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