IDEAS home Printed from https://ideas.repec.org/a/gam/jagris/v15y2025i3p312-d1580895.html
   My bibliography  Save this article

Profitability Analysis of the Robusta Coffee Value Chain in the Tshopo Province, Democratic Republic of Congo

Author

Listed:
  • Louis Pasteur Bamenga Bopoko

    (The Regional Post-Graduate Training School on Integrated Management of Tropical Forests and Lands, ERAIFT, Kinshasa P.O. Box 15373, Democratic Republic of Congo)

  • Theodore Trefon

    (The Regional Post-Graduate Training School on Integrated Management of Tropical Forests and Lands, ERAIFT, Kinshasa P.O. Box 15373, Democratic Republic of Congo
    Earth Sciences Section of Royal Museum for Central Africa, 3080 Tervuren, Belgium)

  • Jean-Pierre Mate

    (The Regional Post-Graduate Training School on Integrated Management of Tropical Forests and Lands, ERAIFT, Kinshasa P.O. Box 15373, Democratic Republic of Congo
    Sciences Faculty, Department of Biology, University of Kinshasa, UNIKIN, Kinshasa P.O. Box 127, Democratic Republic of Congo)

  • Baudouin Michel

    (The Regional Post-Graduate Training School on Integrated Management of Tropical Forests and Lands, ERAIFT, Kinshasa P.O. Box 15373, Democratic Republic of Congo
    Modelling and Development Department, Gembloux Agro-Bio Tech, Liege University, 5030 Gembloux, Belgium)

Abstract

This article addresses the financial viability of agents in the robusta coffee sector. The objective is to calculate and analyze the profitability performance of the coffee sector in Tshopo in order to inform the subsequent development of business projects in the robusta coffee sector. Moreover, the analysis will assist decision-makers and investors in determining the optimal allocation of funds to the most profitable links in the robusta coffee sector in Tshopo. A cost-benefit analysis was conducted, employing a discounting methodology to evaluate the cash flows of agents engaged in the robusta coffee sector. This entailed the calculation of the net present value, internal rate of return, and payback period. The results demonstrate that the coffee sector is performing well, with agents’ cash flow sufficient to repay the initial investment. It can thus be concluded that, in consideration of the favorable profitability criteria, there is minimal risk in investing in the robusta coffee sector in Tshopo.

Suggested Citation

  • Louis Pasteur Bamenga Bopoko & Theodore Trefon & Jean-Pierre Mate & Baudouin Michel, 2025. "Profitability Analysis of the Robusta Coffee Value Chain in the Tshopo Province, Democratic Republic of Congo," Agriculture, MDPI, vol. 15(3), pages 1-12, January.
    • Handle: RePEc:gam:jagris:v:15:y:2025:i:3:p:312-:d:1580895
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2077-0472/15/3/312/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2077-0472/15/3/312/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Ghiami, Yousef, 2023. "An analysis on production and inventory models with discounted cash-flows," Omega, Elsevier, vol. 117(C).
    2. Chen, Nai-fu & Zhang, Feng, 1998. "Risk and Return of Value Stocks," The Journal of Business, University of Chicago Press, vol. 71(4), pages 501-535, October.
    3. Richard Wamalwa Wanzala & Nyankomo Marwa & Elizabeth Nanziri Lwanga, 2024. "Impact of exchange rate volatility on coffee export in Kenya," Cogent Economics & Finance, Taylor & Francis Journals, vol. 12(1), pages 2330447-233, December.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Cakici, Nusret & Tang, Yi & Yan, An, 2016. "Do the size, value, and momentum factors drive stock returns in emerging markets?," Journal of International Money and Finance, Elsevier, vol. 69(C), pages 179-204.
    2. G.P. Kourtis & L.P. Κourtis & M.P. Kourtis & P. Curtis, 2017. "Fundamental Analysis, Stock Returns and High B/M Companies," International Journal of Economics & Business Administration (IJEBA), International Journal of Economics & Business Administration (IJEBA), vol. 0(4), pages 3-18.
    3. Lin, Chaonan & Ko, Kuan-Cheng & Lin, Lin & Yang, Nien-Tzu, 2017. "Price limits and the value premium in the Taiwan stock market," Pacific-Basin Finance Journal, Elsevier, vol. 41(C), pages 26-45.
    4. Qadan, Mahmoud & Jacob, Maram, 2022. "The value premium and investors' appetite for risk," International Review of Economics & Finance, Elsevier, vol. 82(C), pages 194-219.
    5. Mohammad Sharik Essa & Evangelos Giouvris, 2023. "Fama–French–Carhart Factor-Based Premiums in the US REIT Market: A Risk Based Explanation, and the Impact of Financial Distress and Liquidity Crisis from 2001 to 2020," IJFS, MDPI, vol. 11(1), pages 1-39, January.
    6. Ming-Che Hu & Alex YiHou Huang & Yanzhi Wang & Dan-Liou Yu, 2024. "Book-to-market effect and product life cycle," Review of Quantitative Finance and Accounting, Springer, vol. 63(2), pages 551-577, August.
    7. Seung‐Doo Choi & Inmoo Lee & William Megginson, 2010. "Do Privatization IPOs Outperform in the Long Run?," Financial Management, Financial Management Association International, vol. 39(1), pages 153-185, March.
    8. Tao, Qizhi & Chen, Carl & Lu, Rui & Zhang, Ting, 2017. "Underfunding or distress? An analysis of corporate pension underfunding and the cross-section of expected stock returns," International Review of Economics & Finance, Elsevier, vol. 48(C), pages 116-133.
    9. Han, Yufeng & Lu, Yueliang (Jacques) & Xu, Weike & Zhou, Guofu, 2024. "Mispricing and Anomalies: An Exogenous Shock to Short Selling from JGTRRA," Journal of Empirical Finance, Elsevier, vol. 78(C).
    10. Daniel, Kent & Hirshleifer, David & Teoh, Siew Hong, 2002. "Investor psychology in capital markets: evidence and policy implications," Journal of Monetary Economics, Elsevier, vol. 49(1), pages 139-209, January.
    11. Andreou, Christoforos K. & Lambertides, Neophytos & Panayides, Photis M., 2021. "Distress risk anomaly and misvaluation," The British Accounting Review, Elsevier, vol. 53(5).
    12. Chiao, Chaoshin & Chen, Shin-Hui & Hu, Jia-Ming, 2010. "Informational differences among institutional investors in an increasingly institutionalized market," Japan and the World Economy, Elsevier, vol. 22(2), pages 118-129, March.
    13. Jiayi Zheng & Yushu Zhu, 2022. "Chair–CEO trust and firm performance," Australian Journal of Management, Australian School of Business, vol. 47(1), pages 163-198, February.
    14. Ben Ammar, Semir & Eling, Martin & Milidonis, Andreas, 2015. "Asset Pricing of Financial Insitutions: The Cross-Section of Expected Stock Returns in the Property/Liability Insurance Industry," Working Papers on Finance 1516, University of St. Gallen, School of Finance.
    15. Hoa Nguyen & Robert Faff, 2010. "Are firms hedging or speculating? The relationship between financial derivatives and firm risk," Applied Financial Economics, Taylor & Francis Journals, vol. 20(10), pages 827-843.
    16. Trilochan Tripathy & Bijon Pani, 2017. "Effect of F Score on Stock Performance: Evidence from Indian Equity Market," International Journal of Economics and Finance, Canadian Center of Science and Education, vol. 9(2), pages 89-99, February.
    17. Anton Astakhov & Tomas Havranek & Jiri Novak, 2019. "Firm Size And Stock Returns: A Quantitative Survey," Journal of Economic Surveys, Wiley Blackwell, vol. 33(5), pages 1463-1492, December.
    18. Hung, Weifeng & Huang, Sheng-Tang & Lu, Chia-Chi & Liu, Nathan, 2015. "Trading behavior and stock returns in Japan," The Quarterly Review of Economics and Finance, Elsevier, vol. 58(C), pages 200-212.
    19. Cooper, Michael J. & Gubellini, Stefano, 2011. "The critical role of conditioning information in determining if value is really riskier than growth," Journal of Empirical Finance, Elsevier, vol. 18(2), pages 289-305, March.
    20. Orhan Akisik & Graham Gal, 2014. "Financial performance and reviews of corporate social responsibility reports," Mathematical Methods of Operations Research, Springer;Gesellschaft für Operations Research (GOR);Nederlands Genootschap voor Besliskunde (NGB), vol. 25(3), pages 259-288, December.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jagris:v:15:y:2025:i:3:p:312-:d:1580895. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.