Palm Oil plantation in Andhra Pradesh

Dear friends,
I would like to know about the typical cost of owning a palm oil plantation in Andhra Pradesh near Rajahmundry area. How much would an acre of palm oil plantation cost? What would be the return (yield) per acre per anum? How are the investments/expenses to be made on a continuous basis on the farm? How much would one pay per acre per year if I give it off for lease for a typical 6 to 7 year old plantation? Are the returns on a palm oil plantation better than that on a paddy field?

Best regards,
Rama Rao

Hi,

Cost of owing land depends on many other factors…locality…proximity to road…water…and other stuff.As per my knowledge it should be between 7 lakhs - 15 lakhs per acre.

Typical yield will be between 8-12 tones per acre depending upon our maintenance.Last year our yield was 11 tones per acre and we are closing towards 13 tones per acre.

Cost per tone is typically between 6000-7000. Oilfed will update the rate every month and is mostly changes with global CPO rates.

Maintenance per year would be between 20000-25000.
Right now lease per acre in our area is around 30000-35000 per acre.

Please let me know if need any other information.

Thanks,
Hari Devarapalli
amruthafarms.blogspot.in/