Production Costs Management Model for Sustainable Quality Longan Farmer Group: a Case Study of BanLao, Pa Nai Sub-district, Phrao District, Chiang Mai

Abstract

This research aimed to study production cost and income and to create a cost production management model for quality longan by classification and prediction techniques. In 2019, Questionnaires were collected by using purposive sampling of 38 quality longan farmers in BanLao,          Pa Nai Sub-district, Phrao District, Chiang Mai. The results showed that the average chemicals cost 2,079.20 Baht per rai, the average fertilizers cost 6,937.70 Baht per rai, and the average total production cost 9,826.73 Baht per rai. The average income was 33,029.52 Baht per rai and the average profit was 23,202.79 Baht per rai. Data mining techniques were used for analysis by categorizing farmers from quality longan production factors which were numerical values of expenses. The results of the analysis could be divided into 3 types; 1) the group had high production costs; they were characterized by the high average potassium and sodium chlorate cost to stimulate flowering at 2,592.50 Baht per rai and the high average fertilizers cost at 3,642.09 Baht per rai; 2) the group had moderate production costs; they were characterized by the high average potassium and sodium chlorate cost to stimulate flowering at 2,592 Baht per rai and the low average fertilizers cost at 5,120.79 Baht per rai; 3) the group had low production costs. They were characterized by low average potassium and sodium chlorate cost to stimulate flowering at 1,897.5 Baht per rai and the low average fertilizers cost at 5,250 Baht per rai. The group with high production costs had less control over production factors. The group with moderate production costs had a high level of control over production factors such as fruit set, inflorescence thinning, and distribution channels. The group with low production costs had strict control over the production factors such as fruit set, panicle thinning, distribution channels, pruning, potassium and sodium chlorate cost to stimulate flowering, and fertilizers cost. Therefore, the production cost management model for producing quality longan from a sample group of farmers showed clearly the cost of fertilizer and the cost of potassium and sodium chlorate to stimulate flowering could be classified among farmers. Moreover, each production cost management model had different production cost controlling which affected the revenue and profit from longan selling.