Economic Potential of Peach Palm Cultivation in Sao Paulo State - Brazil

The objective of this paper was to estimate the economic potential of the productive process of peach palm cultivation in Sao Paulo State, Brazil, considering its production cycle in the investment phases and the return of the invested capital. This analysis has focused on the main cultivation peach palm regions, especially at Vale do Ribeira, where irrigation is dispensable, and the plateau of Sao Paulo State, where the use of irrigation system is required due to the seasonal water deficit. Economic and financial components - cost/benefit ratio, internal rate of return, net present value, capital recovery and return on the investment - were calculated for two types of final products: industrial processing and minimally processed (in natura). These indicators showed that the peach palm cultivation is an economic viable option for producers, since the main inputs are optimized in the productive process in order to obtain its final product. Despite the fact that the economic return of the heart-of-palm minimally processed (in natura) is higher than the industrially processed one, it is a perishable product with short shelf life. The quality and safety standards of both presentation types are the main points that must be developed in Brazil, in order to guarantee its competitiveness to the final consumer market.