Eurasian Journal of Soil Science

Abstract

Recycling the waste such as hazelnut husk, sewage sludge etc. has been one of the issues into the agenda of many countries. Therefore the purpose of the study was to examine the economic feasibility of the vermicompost production. Technical data about composting hazelnut husk and sewage sludge were gathered from past research. The time series data such as production, export, import and price of vermicompost collected from TURKSTAT, FAO and related institutions. Autoregressive integrating moving average model (ARIMA) and smoothing methods such as double exponential model and winter model were used in forecasting process. We followed net present value and internal rate of return procedures when evaluating the financial feasibility of the facility having one ton vermicompost production capacity per day. Research results showed that the profitability of vermicompost production facility was high, while the likelihood of loss was less. Vermicompost production facility with approximately 130 thousands of US dollars initial investment provided net present value of 1.28 million of US dollars during the economic life. The internal rate of vermicompost production facility was 23%. Research results also revealed that production cost of vermicompost was $0.2 per kilogram. Since vermicompost production facility investment with high profitability and low level of risk was good investment alternatives facing with low level of competitive in market, the study suggest to investors who has good back grounding about sector that they should pay attention to marketing system and market observation about organic input market.

Keywords

Vermicompost production, financial feasibility, waste recycling

References

<p>Baghel, S. S., Agrawal, S. B., Pandey, A., 2005. Vermicompost production technology: adoption, advantages and problems encountered by adopters. JNKVV Research Journal 39: 125-126.</p>

<p>Balat, M., Balat, H., 2009. Recent trends in global production and utilization of bio-ethanol fuel. Applied Energy 86: 2273&ndash;2282.</p>

<p>Bansal, S., Kapoor, K.K., 2000. Vermicomposting of crop residues and cattle dung with Eisenia foetida. Bioresource Technology 73: 95&ndash;98.</p>

<p>Demirbas, A., 2008. Biomethanol production from organic waste materials. Energy Sources Part A 30:565&ndash;72.</p>

<p>Edwards, C.A., 1988. Breakdown of animal, vegetable and industrial organic wastes by earthworms. In: Earthworms in waste and environmental management, C.A. Edwards, E.F. Neuhauser (Eds.) pp. 21&ndash;31. The Hague: SPB, Academic Publishing.</p>

<p>Garg, V.K., Kaushik, P., 2005. Vermistabilization of Textile Mill Sludge Spiked with Poultry Droppings by An Epigeic Earthworm Eisenia foetida. Bioresource Technology 96: 1189&ndash;1193.</p>

<p>Gupta, R., Garg, V.K., 2008. Stabilization of primary sewage sludge during vermicomposting. Journal of Hazardous Materials 153: 1023&ndash;1030.</p>

<p>Jensen, J., Christie, B., Edwards, C.A., 2010. Earthworms, Organic Wastes, and Environmental Management in Vermiculture Technology., CRC Press, pp. 303-322.</p>

<p>Katayama, A., Ker, K.C., Hirai, M., Shoda, M., Kubota, H., 1987. Stabilization process of sewage sludge compost in soil. Soil Science Plant Nutrition 33: 123&ndash;135.</p>

<p>Kaushik, P., Garg, V.K., 2003. Vermicomposting of mixed solid textile mill sludge and cow dung with epigeic earthworm Eisenia foetida. Bioresource Technology 90: 311&ndash;316.</p>

<p>Kızılkaya, R., 2008. Dehydrogenase activity in Lumbricus terrestris casts and surrounding soil affected by addition of different organic wastes and Zn. Bioresource Technology 99: 946&ndash;953.</p>

<p>Kızılkaya, R., Karaca, A., Turgay, O.C., Cetin, S.C., 2011. Earthworm interactions with soil enzymes. In: Biology of Earthworms, Soil Biology, A. Karaca (Ed.) pp. 141&ndash;158. Berlin: Springer-Verlag.</p>

<p>Kızılkaya, R., Hepşen T&uuml;rkay, F.Ş., 2014. Vermicomposting of anaerobically digested sewage sludge with hazelnut husk and cow manure by earthworm Eisenia foetida. Compost Science &amp; Utilization 22: 68-82.</p>

<p>Ndegwa, P.M., Thompson, S.A., 2001. Integrating composting and vermicomposting in the treatment and bioconversion of biosolids. Bioresource Technology 76: 107&ndash;112.</p>

<p>Shivakumar, C. Mahajanashetti, C., Murthy, C., Basavaraja, H., Hawaldar, Y.N., 2009. Production and marketing of vermicompost in Dharwad district: an economic analysis. Karnataka Journal of Agricultural Science 22(4): 850-853.</p>

<p>Sinha, R.K., Herat, S., Valani, D., Chauhan, K., 2009. Environmental-economics of crop production by vermiculture: economically viable &amp; environmentally sustainable over chemical agriculture, American-Eurasian Journal of Agricultural and Environmental Science 5 (S): 01-55.</p>

<p>Turgay, O.C., Kızılkaya, R., Karaca, A., Cetin, S.C., 2011. Detoxification of heavy metals using earthworms. In: Detoxification of Heavy Metals, edited by I. Sherameti and A.Varma, pp. 407&ndash;421. Berlin: Springer- Verlag.</p>

<p>Turkstat, 2014. Data base of Turkish Statistic Institute.</p>

Abstract
Recycling the waste such as hazelnut husk, sewage sludge etc. has been one of the issues into the agenda of many countries. Therefore the purpose of the study was to examine the economic feasibility of the vermicompost production. Technical data about composting hazelnut husk and sewage sludge were gathered from past research. The time series data such as production, export, import and price of vermicompost collected from TURKSTAT, FAO and related institutions. Autoregressive integrating moving average model (ARIMA) and smoothing methods such as double exponential model and winter model were used in forecasting process. We followed net present value and internal rate of return procedures when evaluating the financial feasibility of the facility having one ton vermicompost production capacity per day. Research results showed that the profitability of vermicompost production facility was high, while the likelihood of loss was less. Vermicompost production facility with approximately 130 thousands of US dollars initial investment provided net present value of 1.28 million of US dollars during the economic life. The internal rate of vermicompost production facility was 23%. Research results also revealed that production cost of vermicompost was $0.2 per kilogram. Since vermicompost production facility investment with high profitability and low level of risk was good investment alternatives facing with low level of competitive in market, the study suggest to investors who has good back grounding about sector that they should pay attention to marketing system and market observation about organic input market.

Keywords: Vermicompost production, financial feasibility, waste recycling

References

Baghel, S. S., Agrawal, S. B., Pandey, A., 2005. Vermicompost production technology: adoption, advantages and problems encountered by adopters. JNKVV Research Journal 39: 125-126.

Balat, M., Balat, H., 2009. Recent trends in global production and utilization of bio-ethanol fuel. Applied Energy 86: 2273–2282.

Bansal, S., Kapoor, K.K., 2000. Vermicomposting of crop residues and cattle dung with Eisenia foetida. Bioresource Technology 73: 95–98.

Demirbas, A., 2008. Biomethanol production from organic waste materials. Energy Sources Part A 30:565–72.

Edwards, C.A., 1988. Breakdown of animal, vegetable and industrial organic wastes by earthworms. In: Earthworms in waste and environmental management, C.A. Edwards, E.F. Neuhauser (Eds.) pp. 21–31. The Hague: SPB, Academic Publishing.

Garg, V.K., Kaushik, P., 2005. Vermistabilization of Textile Mill Sludge Spiked with Poultry Droppings by An Epigeic Earthworm Eisenia foetida. Bioresource Technology 96: 1189–1193.

Gupta, R., Garg, V.K., 2008. Stabilization of primary sewage sludge during vermicomposting. Journal of Hazardous Materials 153: 1023–1030.

Jensen, J., Christie, B., Edwards, C.A., 2010. Earthworms, Organic Wastes, and Environmental Management in Vermiculture Technology., CRC Press, pp. 303-322.

Katayama, A., Ker, K.C., Hirai, M., Shoda, M., Kubota, H., 1987. Stabilization process of sewage sludge compost in soil. Soil Science Plant Nutrition 33: 123–135.

Kaushik, P., Garg, V.K., 2003. Vermicomposting of mixed solid textile mill sludge and cow dung with epigeic earthworm Eisenia foetida. Bioresource Technology 90: 311–316.

Kızılkaya, R., 2008. Dehydrogenase activity in Lumbricus terrestris casts and surrounding soil affected by addition of different organic wastes and Zn. Bioresource Technology 99: 946–953.

Kızılkaya, R., Karaca, A., Turgay, O.C., Cetin, S.C., 2011. Earthworm interactions with soil enzymes. In: Biology of Earthworms, Soil Biology, A. Karaca (Ed.) pp. 141–158. Berlin: Springer-Verlag.

Kızılkaya, R., Hepşen Türkay, F.Ş., 2014. Vermicomposting of anaerobically digested sewage sludge with hazelnut husk and cow manure by earthworm Eisenia foetida. Compost Science & Utilization 22: 68-82.

Ndegwa, P.M., Thompson, S.A., 2001. Integrating composting and vermicomposting in the treatment and bioconversion of biosolids. Bioresource Technology 76: 107–112.

Shivakumar, C. Mahajanashetti, C., Murthy, C., Basavaraja, H., Hawaldar, Y.N., 2009. Production and marketing of vermicompost in Dharwad district: an economic analysis. Karnataka Journal of Agricultural Science 22(4): 850-853.

Sinha, R.K., Herat, S., Valani, D., Chauhan, K., 2009. Environmental-economics of crop production by vermiculture: economically viable & environmentally sustainable over chemical agriculture, American-Eurasian Journal of Agricultural and Environmental Science 5 (S): 01-55.

Turgay, O.C., Kızılkaya, R., Karaca, A., Cetin, S.C., 2011. Detoxification of heavy metals using earthworms. In: Detoxification of Heavy Metals, edited by I. Sherameti and A.Varma, pp. 407–421. Berlin: Springer- Verlag.

Turkstat, 2014. Data base of Turkish Statistic Institute.