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Table 5 Averages of estimated variable costs (TZS) of seed companies and QDS producers

From: Delineating investment opportunities for stakeholders in sorghum seed systems: a logit model perspective

Items of cost per ha

Certified seeds (n = 2)

QDS (n = 3)

Rented land (ha)

1,25,000 (2.1)

68,750 (14.2)

Seed

28,750 (0.5)

–

Fertilizer

2,17,500 (3.7)

70,000 (14.4)

Chemicals (insecticide, pesticide, storage chemical, dressing chemical)

20,22,000 (34)

40,999 (8.4)

Bags

30,000 (0.5)

13,500 (2.9)

Sub-total

2,423,250 (40.8)

1,93,249 (39.8)

Operational costs

Land preparation

1,06,250 (1.8)

65,000 (12.9)

Planting

75,000 (1.3)

20,833 (4.3)

Fertilizer application

31,250 (0.5)

–

Chemicals application

73,000 (1.2)

10,000 (0.2)

Weeding

1,25,000 (2.1)

1,00,000 (20.6)

Ridging

–

34,375 (7.1)

Security/guarding cost

1,15,000 (1.9)

10,000 (2.1)

Harvesting

81,250 (1.4)

16,667 (3.4)

Threshing and winnowing

4,87,500 (8.2)

30,000 (6.2)

Grading

4,55,000 (7.7)

–

Bagging

33,600 (0.6)

–

Transport

6,75,000 (11.4)

16,667 (3.4)

Certification costs

9,00,000 (15.1)

–

Land levy

1,80,000 (3)

–

Uploading and off loading

1,80,000 (3)

–

Sub-total

3,517,850 (59.2)

2,92,041 (60.2)

Total variable cost

5,941,100

4,85,291

  1. 1 USD = 2315 TZS during the period of data collection
  2. Figures in parentheses are percentage of items of total variable cost