Economic Analysis of Soap Production

Oil Extraction with the Bielenberg Ram Press

The basis of this calculation is the exemple of a village worker in Mali, who bought seeds
from the village women and sold the soap on the local Market.

Description Quantity Unity Price per unity US$ Amount in US$
Inputs
Seeds (give 3 liters of oil )

12

kg

0,1

1,20

Caustic soda

0,5

kg

1,2

0,60

Labour (4 h for pressing, 1 h soap production)

5

h

0,2

1,00

Depreciation/maintenance (5 years, 10 t/a, 240,-) US$/kg

0,02

0,24

Total expenses

3,04

Revenues
Presscake

9

kg

0,03

0,27

White soap

28

pieces (170 g)

0,15

4,20

Total revenues

4,47

Net Profit

US$   1,43

Profit per liter of oil

US$  0,48

Profit per kg of soap

US$  0,31

Price per kg of soap

US$  0,89

If the results of this calculation are extrapolated to the situation of an average village in the Jatropha area, which has about 15 km of Jatropha hedges with a possible harvest of 12.000 kg of seeds (0.8 kg of seeds per m of Jatropha hedge), the monetary cash which is earned by the village people, is more than 3.000 US$ per year (1.000 times the result of the above mentioned production with 12 kg of seeds):

Sale of seeds 12.000 * 0,1 US$  1.200,-
Labour for oil extraction 5.000 * 0,2 US$  1.000,-
Net profit of the production unit 1.000 * 1,43 US$  1.430,-
Total village income per year US$  3.630,-

 

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last modification  27.09.01   by