BUSINESS PLAN ON MODERN BEAN FLOURS AND FUFU FLOUR PROCESSING

          CONTENTS

           Introduction

           1.0 Executive summary

           1.1 vision statement

           1.2 mission statement

           1.3 Objectives

1.4            Core values

           1.5 key to success

           2.0 Business location

           2.1 Equipment and price

           2.2 production capacity

           2.3 Price of the plant

           2.4 Raw material

           2.5 Production Programme

           2.6 Technical and Other Requirements

           3.0 Management of the company.

           4.0 The products

        4.1 Overview of Cassava Sector

        4.2 Production Pattern

           5.0 Production process

           6.0 Start-up summary

           6.1 Market Analysis

           6.2 Marketing Strategy 

           6.3 Sales Strategy

           6.4 Swot Analysis

           6.5 Marketing Strategy and Sales Strategy

          7.0 Sales Forecast

          8.0 Sources of income

          9.0 Our pricing Strategy

         10.0 Payment option

         11.0 Web plan summary

         12.0 Development Requirement

        13.0 Personnel plan and business structure

         14.0 Manpower Requirement

         15.0 Financial Plan

         16.0 Break-even Analysis

         17.0 Projected profit and loss         

         18.0 Proforma cash flow

         19.0 Proforma Balance Sheet

         20.0 Checklist/milestone

   21.0 Social Economic profitability of the project

   22.0 Other application of the plant

   23.0 Conclusion

          

1.0 EXECUTIVE SUMMARY:

Introduction

Cassava is God’s gift to the tropics because it can grow in poor soil with inadequate rainfall. The starchy roots of cassava are major source of food for more than 700 million people all over the world. It ranks third in order of staple food crops in developing countries after rice and maize. It is called Manic in French, Tapioca in Latin America, Mandioca in Portuguese. It has universal application.

Nigeria is world’s largest producer of cassava. We produce over 41 million metric tons per annum and we are followed by Brazil, Thailand, Zaire (now Democratic Republic of Congo), Indonesia. Thailand export over $20 billion worth of cassava products annually. Nigeria has tried to expand the local cassava business through the Composite Flour Initiative and the Cassava Empowerment Fund but so far they have attained little success. Cassava is produced in all the southern and Middle Belt State of Nigeria.

In Nigeria, comparing the output of various crops, cassava ranks first and it is about the most popular crop in Nigeria. The unpeeled roots can be used as animal feed whilst the leaves are added to animal feed as a source of protein. It provides basic sources of dietary energy. Cassava has great industrial value as it is used for industrial raw material by many industries, such as the bakery, flour, confectionery, adhesives, pharmaceutical, textile, paper and brewery, distillery industries. The Economic importance of this crop can therefore not be over emphasized.

The demand for cassava in recent time is increasing such that the supply can’t measure up in the nearest future demand will be so overwhelming that initiatives such as the proposed cassava – to – fuel factory in Kogi may be initiated by a Nigerian consortium. The demand for cassava by such a factory will be very high in order to match up to their market demand.

The demand for cassava cuts across many industries and many users in Nigeria. It is largely utilized as staple food with industrial potential, suggesting that the demand for cassava in the country is very high.

Fufu is produced from cassava tubers and is the commonest stable food in Nigeria consumed by over 130 million people. We consume about 7.7 million tons of fufu per year and it comes to about 30.7 million tons of our cassava production. This shows that about 75 percent of our cassava output is consumed as staple while only 25 percent is used as raw materials for starch, chips, pellets and flour which are industrial raw materials that can be exported. Our actual annual demand for fufu is 12 million tons but to accomplish this, the production facilities must be improved and upgraded and cassava product must also improve.

Our population grows at the rate 3.5 percent annually and this means that the food capacity must also grow commensurately. Fufu is produced in the rural areas by local women and the process is full of drudgery and stress thus most of them are giving up the trade and the young ones are not interested because they prefer life in the cities. The modern Fufu processing plant is designed to fill this void.

A fufu processing factory can be located anywhere, as long as you as you can get access to the raw materials mostly cassava tubers. Many micro and small factories of this kind were encountered in the rural areas during the

field research for this article. More than half of these factories were owned and

operated successfully by women with little or no education. The rural areas are ideal for fufu processing because that is where the cassava farms are, and you do not need much else. Training requirement is basic education. Additional training could be acquired in process technology from a university or technical

institute. The business has the potentials to grow into a major agro-allied Processing business. Products and Services: The basic product is fufu. However, it is possible to diversify with production of starch and plantain, especially in the long term.

Beans is a good and affordable source of protein, used in preparing akara (bean balls/bean cake), ‘danwake’ (bean dumplings) and moi-moi (bean pudding). The preparation process for these foods is usually long and stressful; the bean seeds are sorted, dehulled, ground, etc before the main cooking begins. Some women, to prepare akara for breakfast, spend the previous day just preparing the bean seeds.

Bean flour eliminates all the stress in preparation, saving time, energy and cost. The demand is huge – think of all the families having rice and moi-moi for dinner. Another reason is, bean flour has a long shelf life. The problem with bean paste is: you prepare only what you need for the moment. Using bean flour, you can make moi-moi anytime you want without having to run to the mill all the time.

Essentially, there are 3 phases in bean flour creation:

Pre-Processing: This includes getting crude materials (bean seeds) to begin with. Darker and white Beans which are the fundamental crude materials for beans flour are for the most part accessible and developed in the northern pieces of Nigeria. You have to ensure that the assortments you use are solid and liberated from weevils invasion.

Handling: The contrast between making bean flour and getting ready bean seeds for sure fire use is drying. Handling includes arranging (evacuating the stones and waste), dehulling (expelling the external layer), drying, processing and filtering.

Bundling: How you bundle is altogether up to you. The more imaginative your marking and bundling, the better. Google 'bean flour' and see a portion of the manners in which different brands are bundled, at that point enhance that to make your remarkable image.

Potential Profits

       In cassava farming, the projected income also depends on the capital that is invested. The bigger the capital investment, the bigger the profits will be. If you start with huge capital, the returns on investment will be bigger and faster due to having more efficient and effective machinery, storage and processes that can help you take advantage of opportunities, and high demand.

Despite this, due to Nigeria’s agricultural transformation agenda there is a rapid growth and competitive edge that is emerging in smaller factories. This can be linked to the increase in the amount of cassava tubers being produced.       Nigerian entrepreneurs and cassava farmers are no longer in doubt that cassava farming is a profitable business.

      The big cassava market in Nigeria, and the high costs and duties related with importing by products of cassava, make local production highly attractive. The Nigerian government has also introduced favorable incentives in order to promote local production.

For the complete business plan contact:
Charllychim Ventures
Call/whatsaap : 09023301229
charllychim@gmail.com