Economic analysis of lavender (lavandula angustifolia miller.) and sage (salvia officinalis L.) cultivation

An examination of the utilization of medicinal and aromatic plants throughout history reveals a persistent human reliance on these botanical resources. Humanity has long recognized the potential of botanical resources to enhance well-being. These resources have been utilized in diverse applications, from culinary preparations to medicinal treatments, personal care products, and construction materials. Pursuing a natural, healthful, and aesthetically pleasing lifestyle has attained substantial cultural significance in contemporary society. Consequently, in the last years, there has been a marked increase in awareness regarding plants' therapeutic and aromatic properties. Turkey's position in this sector is of significant importance due to the diversity of its plant life. Various sectors can utilize the potential of medicinal and aromatic plant production in Turkey. In this context, the economic viability of investments in medicinal and aromatic plant production, which attracts many investors, is an important issue. This study conducted an economic analysis of lavender and sage production investments that have garnered significant popularity and economic value. The study area is in the Safranbolu district of Karabük province. The study's findings indicate that investments in sage production yield higher returns than those in lavender. The internal rate of return (IRR) of the Sage investment was 81.9%, the payback period (POR) was 2.6 years, and the benefit-cost ratio (BCR) was 11.55. In contrast, the IRR of the Lavender investment was 24.12%, the POR was 4.6, and the BCR was 2.32.