ECONOMICS: JATROPHA FUEL FARMING

Of course the interest in the Jatropha plantation primarily focuses on Biodiesel. Here, the key question is: Will it be possible to establish the right cultivation and processing methods so that the Jatropha plant can produce a high-quality fuel which can compete with petrochemical diesel in terms of price? After all, one key element that makes all the difference between success and failure is the cost factor — in other words, the potential returns.

We are not in favor of the implementation of a high-tech agrarian concept that warrants for maximum input and delivers bumper crops. Contrary, we are looking for a practicable type of cultivation that is compatible with the routines and possibilities of local farmers, so that the Jatropha plantations can be profitable for the rural cultivators with a minimum input of men, money and materials.

The CJP experts working on the Jatropha plantation have developed the best method of cultivating these plants, which require the lowest possible investment of money, labor and materials.

Yield is a function of light, water, nutrients and the age of the Plant. Good planning, quality planting material, standardized agronomy practices and good crop management may handsomely increase the yields

ASSUMPTIONS FOR COST/BENEFIT ANALYSIS 

• Though Jatropha starts yielding from very first year, we have taken no yield for 1^st and 2^nd year just to ensure proper pruning and development of the plant
• Crop density with 2mx2m pattern shall be 2500 plants per ha
• Seeds tonnage per ha has been taken 0, 0, 2.5, 5.0, 6.25, 9.6 for 1, 2,3,4,5, and 6^th year respectively
• Intercropping has been presumed for 30% of plantation area
• CDM calculation has been taken as minimum for +1000 ha plantation
• Sale price of seeds has been taken on lowest side
• Rate of interest has been taken as 9% per annum for 5 years

MODEL 1: 20 ha JATROPHA - PLANTATION

*(in 5^th year)

MODEL 2: 100 HA PLANTATION

MODEL 3: 1000 HA PLANTATION