profitability of groundnut oil miils plant in johannesburg

   
profitability of groundnut oil miils plant in johannesburg
                                               
                                               
                                               
                                               
  • profitability of groundnut oil miils plant in johannesburg
Are groundnuts a good investment in South Africa?

Gerhard Uys reports. South African producers can earn a healthy premium from locally produced groundnuts as they are sought-after on the export market due to their shape and taste. On average, about 25% of South Africa¡¯s crop is exported. This is according to Gerhard Dreyer, owner of The New Nut Company near Setlagole in North West.

How much do groundnuts yield in South Africa?

With an average harvest of 1t/ ha, a farmer can expect a return of about R11 500/ha, thus achieving a fair margin. In South Africa, the Hoopstad area is particularly well suited to groundnut production and farmers there achieve yields of up to 2t/ha, according to Gerhard.

Is groundnut production profitable?

The results indicate that groundnut production was profitable with a positive average gross margin of US$100.11 per hectare and also a positive Net Income of US$77.93. This was supported by a Gross Rate of Return of 0.45 and Net Rate of Return of 0.31 which were quite significant in the profitability of the enterprise.

How profitable is groundnut production in Chegutu District?

This study analyzes the viability and profitability of groundnut production by smallholder communal farmers in Chegutu district. A gross margin budget was used to compute the gross rate of return (GRR), and found to be 0.45. Proxing for fixed costs, net profit was computed and a net rate of return (NRR) of 0.31 was found.