Abstract

The main goal of this study was to provide a critical analysis of the oil and fat sub-complex for deep walnut processing, to determine and compare the profitability of enterprises’ activities under different business models for implementation in the agro-food value chain. The latter was considered as an important factor for the development of the domestic market of walnuts and export opportunities. Business modeling of the enterprise activity in the oil and fat sub-complex for deep walnut processing was carried out. The stages of production and marketing activities of the enterprise from the garden planting or the purchase of the processed raw materials to the sale of the processed raw materials and products obtained from walnut processing depending on the chosen business model were considered. A comparative analysis of profitability of the enterprise activity and absolute values of income and profitability indicators under various business models of the enterprise activity were shown. The most cost-effective business-model entailed the combination of walnut production and its processing, which will provide profitability of up to 4640.32% in the 20th year of the project implementation. The results of the given study are intended for the agricultural enterprises of central region of Ukraine.

Highlights

  • As a result of the analysis of profitability of the enterprises of oil and fat sub-complex for deep walnut processing, it can be concluded that the enterprise is highly profitable, according to the obtained data, due to obtaining the added gross profit

  • The passive growth of profitability of walnut farms can be caused by an increase in the current price for walnut kernel and products of its processing

  • To achieve the set goals, the approach of the sub-complex analysis was used, which has given an opportunity to obtain a systematic view of the various stages of interaction associated with the creation of products beginning with the procurement of raw materials and ending with the production of consumer goods

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Summary

Introduction

Publisher’s Note: MDPI stays neutral with regard to jurisdictional claims in published maps and institutional affiliations. In the context of global climate change and through new trends in the agri-food market, over the past two decades, there has been a tangible increase in the demand for the production and consumption of nuts. Official data testifies to the relevance of growing nuts. According to the annual report of the International Nut and Dried Fruit Council

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