Evaluación financiera de los pequeños productores de caña de azúcar en el Sur del Ecuador

Abstract

This study is deals with production of sugarcane by small farmers who work in the Catamayo canton of the Loja province in southern Ecuador. The objective was to evaluate their financial performance through real costs, total income to know the profitability of the sugar cane production that It generates for small sugarcane producers under two modes
of production on their own and in co-production. The profitability was evaluated based on costs and expenses by the two farmers production methods of the sector.
Additionally, financial indicators were applied obtaining the returns generated by this agricultural activity. NPV of $ 7 762.75 was determined in the own-account production mode, and an IRR of 68% was obtained, while in the case of co-production it generated an NPV of $ 4 693.78, and an IRR of 55%. Therefore, based on these results, the alternative of producing on their own for sugar cane farmers is notably higher in profitability.