Key Financial Assumptions:

1. Basic Assumptions:

Area of Orchard ( Acres) 2

Life of Moro Blood Orange Orchard 50 year
Inflation Rate 8%
Lease term (Year) 50
Cost of Capital 25%

2. Initial Investment:

Distance Between Plant in each row(Feet) 18

Distance Between Rows (feet) 22
Total Number of Plant Per Acre 110
Cost of each Plant (Rs) 150
Cost of each pit (Rs) 200
Land preparation Charges Per Acre 10000
Farmyard Manure per acre 0
Rows Per Acre 10

Fencing Cost (Rs) 4000

Total Cost of Tube Well (Rs) 120000
Infrastructure Cost (Rs) 200000

3. Plant Replacement Cost:

Mortality- Year 1 5.5%

Mortality- year 2 2%
Total replacement cost (Rs Per Plant) 140

4. Annual Expenditures:
 Fertilizer and pesticide Cost ( Rs Per Acre)
-DAP (1.5KG per Plant) 13200 Per Acre ( Dec-January)
-SOP (1KG per Plant) 7700 Per Acre ( Dec-January)
-Urea (1KG per Plant) 3960 per Acre ( Dec-January)
-Urea (1.5KG per Plant) Rs 5940 per Acre ( April-May)
-Urea (1.5KG Per Plant) Rs 5940 per Acre (August -September)
-Preventive Sprays before Flowers Rs 3000
Irrigation cost (Rs Per Acre) Rs 20,000
Lease Rental (Rs Per Acre) Rs 40,000
Cost of hiring each truck Rs 8000
Capacity of each carry (kg) Rs 2000
Packaging cost (Rs Per Box) Rs 110
Capacity of each box (Kg) 10
General and admin cost (Rs per annum) Rs 20,000
Delivery cost each box (Rs) Rs 400
Marketing cost (Each Box) Rs 76

5. Labor Requirement:

Number of salaries employees for whole 1

year
Monthly Salary (Rs) 10,000
Number of person Required for Pruning 2
Pruning Periods 5 Days
Number of person required for Harvesting 5
and Packaging
Harvesting Period ( Days) 8
Daily Wages (Rs) Rs 700
Period of cleaning of soil of Plants 5
Number of Labor required 2

6. Annual Yield

Year Year 1 Year 2 Year 3 Year 4 Year 5-60

Oranges
yield ( per 0 0 0 500 KG 18,000 KG
acre)