| Summary: | The aim of the paper was to evaluate the economic profitability and financial feasibility of the investment in raising vineyards in the case of financing loans. Based on technological and economic starting points, the model was prepared and included vineyards on the recultivated soils. The model calculated the investment and production costs and incomes that represent input parameters for a part of the financial cost-benefit analysis. The cost-benefit analysis shows that the investment in raising vineyards on the recultivated soils is economically profitable and financially feasible. Analysis of payback period (PBP), net present value (NPV) and internal rate of return (IRR) shows that raising vineyards on the recultivated soils is economically profitable and financially feasible. The model is acceptable for producers who have already established their wine sold both on the localand export markets.Owing to increased demand for quality wines,they can expand their production. After all, only such producers are able to borrow at favourable credit terms.
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