1 AIT Asian Institute of Technology

An economic evaluation of palm oil mill in Thailand

AuthorPatcharaporn Charoensuk
Call NumberAIT RSPR no. IE-85-23
Subject(s)Palm-oil industry--Economic aspects--Thailand
NoteA research study submitted in partial fulfillment of the requirements for the degree of Master of Science, School of Engineering and Technology
PublisherAsian Institute of Technology
AbstractThis report presents an economic analysis of the palm oil industry in Thailand by selecting a palm oil mill with a capacity of 20 tonnes of oil palm fruit (fresh fruit bunch) per hour as a case study. Net present value and internal rate of return technique have been utilized for this analysis. The economic performance of the representative mill was evaluated for 30 years between 1978-2008. Results of this analysis revealed the rate of return is low which indicated that palm oil industry faced the problem that palm oil mills cannot operate at full capacity because of the lack of the raw material, oil palm fruit. A sensitivity analysis on important parameters is carried out. It appeared that crude palm oil price, crude palm oil extraction rate and oil palm fruit (fresh fruit bunch) are the most sensitive parameters. The effect of these parameters are also graphically illustrated. This study also presented the profit planning of the short-term period for the management.
Year1985
TypeResearch Study Project Report (RSPR)
SchoolSchool of Engineering and Technology (SET)
DepartmentOther Field of Studies (No Department)
Academic Program/FoSIndustrial Engineering (IE)
Chairperson(s)Tang, John C.S.
Examination Committee(s)Tabucanon, Mario T. ;Frausum, Yves G. Van
Scholarship Donor(s)DAAD, Federal Republic of Germany
DegreeResearch Studies Project Report (M. Sc.) - Asian Institute of Technology, 1985


Usage Metrics
View Detail0
Read PDF0
Download PDF0