 Costs and feasibility of implementing a grain storage unit in Mato GrossoRafael Antonio Vieira and Dalchiavon Revista IPecege, 2018, vol. 4, issue 2 Abstract: Storage capacity in Brazil, an infrastructure that requires significant investments, has not kept pace with the growth of harvests over the years. Therefore, this study aimed to evaluate the costs and feasibility of implementing a grain storage unit in the city of Sorriso, Mato Grosso state, in 2017. The unit's sizing considered the maximum harvest capacity of a farm with 1500 hectares available for soybean and corn sowing. Economic viability calculations used parameters such as the internal rate of return, economic break-even point, net present value, and investment payback period. The results obtained for the investment in infrastructure capable of processing the farm's production lead to an estimated cost of approximately R$ 4,035,754.00, financed 100% through the Program for Construction and Expansion of Warehouses [PCA] credit line, at 8.5% annual interest, over ten years. The project generates annual revenues of R$ 1,144,042.20 and total annual costs of R$ 525,137.00, a net present value of R$ 25,090.99 and an internal rate of return of 6.98%, the break-even point was R$ 356,224.72 and the payback period is ten years, showing that the implementation of this project can be an economically and financially viable option. Keywords: Agribusiness (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:ags:ipeceg:386284 Access Statistics for this article More articles in Revista IPecege from University of Sao Paulo Contact information at EDIRC. |
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