Method
This calculator uses the standard farm business analysis framework found in agribusiness textbooks and aquaculture feasibility studies:
| Measure | Formula | Meaning |
|---|---|---|
| Total cost (TC) | fixed + variable costs | All money spent per cycle |
| Revenue (TR) | kg harvested × price | Money from the harvest |
| Profit | TR − TC | Net profit per cycle |
| R/C ratio | TR ÷ TC | > 1 profit, = 1 break-even, < 1 loss |
| Break-even price | TC ÷ kg harvested | Production cost per kg; minimum price to avoid a loss |
| Break-even yield | TC ÷ selling price | Minimum kg to harvest to avoid a loss |
| Payback period | investment ÷ (profit + depreciation) per year | How long until the setup pays for itself |
Fixed costs don't depend on output (depreciation, rent). Variable costs rise with production (fingerlings, feed, power, probiotics, labor). Feed needed is estimated from FCR: (harvest weight − stocking weight) × FCR.
Reading the result
- Look at cost per kg first. If it is close to your local market price, the business is fragile: a small price drop or extra mortality turns it into a loss.
- An R/C ratio above 1.2 is generally considered reasonably safe.
- Check the risk table. A farm that only profits when everything goes perfectly is high-risk.
The three biggest profit levers
- Survival rate. Every dead fish takes its fingerling and feed cost with it. Protect water quality and prevent disease from day one.
- FCR. Feed is usually 60–70% of cost. Feed the right ration (feed calculator) in healthy water (ammonia calculator).
- Selling price. Selling direct, or processed (fillets, smoked fish), often pays better than selling to middlemen.
Example values are illustrations only and vary widely by country and season. Results are planning estimates, not a guarantee of profit.
