ECSOFiM (Economic and Social of Fisheries and Marine Journal)
Vol 8, No 2 (2021): ECSOFiM April 2021

Financial Feasibility Analysis and Business Sensitivity Level on Intensive Aquaculture of Vaname Shrimp (Litopenaeus Vannamei)

Abdul Muqsith (Department of Aquaculture, Faculty of Sciences and Technology, Ibrahimy University, Situbondo)
Heri Ariadi (Post Graduate Programe, Fisheries and Marine Science Faculty. Brawijaya University)
Abdul Wafi (Department of Aquaculture, Faculty of Sciences and Technology, Ibrahimy University, Situbondo)



Article Info

Publish Date
24 Apr 2021

Abstract

Intensive aquaculture of vaname shrimp (L. vannamei), has been known to be a favorite for aquaculture commodities in Indonesia at the last 2 decades. The purpose of this study was to determine status of financial feasibility and business sensitivity rate in intensive shrimp culture activities. The research method used in this study is a quantitative method. The data analysis used to determine of financial feasibility and business sensitivity in the form of NPV analysis, Net B/C, R/C, IRR, and payback period. Also, an analysis of assumptions about rising feed prices and decreasing production revenues for the level of business sensitivity. The results showed that the shrimp culture business was categorized as feasible and profitable with NPV value of IDR 63,417,262,006, Net B/C 29.11, R/C 2.14, IRR 42.46%, and PP 1.4 years. Sensitivity analysis shows that the business is not so sensitive to the increase of feed prices and decreased revenue, but is very sensitive if both conditions change simultaneously, but are still in the financially feasible category. So, it can be concluded based on NPV, Net B/C, R/C, IRR, and  payback period indicator analysis that intensive white shrimp farming is very feasible and profitable to use with a low level of business sensitivity due to feed price fluctuations changes and uncertain operational business revenues.

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Journal Info

Abbrev

ecsofim

Publisher

Subject

Agriculture, Biological Sciences & Forestry Economics, Econometrics & Finance Environmental Science Social Sciences

Description

ECSOFIM is an open-access journal, which became a scientific forum for students, lecturer, and researchers to publish the results of research within the scope of "Economic and Social Fisheries and Marine Sciences". This journal contains research results related to the research fields of economic ...