Claim Missing Document
Check
Articles

Found 1 Documents
Search

Analysis of the Prospects of Oil Palm Development in Alue Bilie Village, Darul Makmur District, Nagan Raya Regency Siti Nadilla; Sri Fitri; Diah Eka Puspita
Jurnal Humaniora: Jurnal Ilmu Sosial, Ekonomi dan Hukum Vol. 10 No. 1 (2026): April 2026
Publisher : Center for Research and Community Service (LPPM) University of Abulyatama

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.30601/humaniora.v10i1.7364

Abstract

This study analyzes the prospects for oil palm development in Alue Bilie Village, Darul Makmur District, Nagan Raya Regency, Aceh, from technical and financial perspectives. The study used a survey method with a sample of 27 oil palm farmers. Primary data were collected through questionnaires and field observations, while secondary data were obtained from various sources. The financial analysis used Net Present Value (NPV), Net Benefit-Cost Ratio (Net B/C), Internal Rate of Return (IRR), and Break-Even Point (BEP) at a discount rate of 12% over a 25-year economic life. The results indicate that oil palm development in the study area is financially feasible, with an NPV of IDR 307,653,762, a Net B/C of 3.8, an IRR of 21.1%, which is higher than the discount rate, and a BEP reached after 7 years and 4 months, well before the end of the plant's economic life. Sensitivity analysis shows that the business remains feasible when operating costs increase by 10%, the price of fresh fruit bunches decreases by 20%, or benefits decrease by 10%. Technically, land and climatic conditions in the study area are suitable for oil palm cultivation. The study recommends intensifying plantation maintenance and making use of agricultural extension services to increase productivity and farmer welfare. Further research is recommended to extend the analysis to social and environmental aspects.