A BUSINESS PLAN FOR THE ESTABLISHMENT OF A MECHANIZED GARRI PROCESSING PLANT
Impact of your enterprise on sustainable development
Garri is one of the products of cassava root consumed by many Nigerians daily. About 7.7 million metric tons of garri is consumed per year in Nigeria, and it translate to about 30.7 metric tons of cassava root production. This implies that about 75 % of cassava root is consumed as local food while the only 25% is used as raw materials for starch, floor etc which can be exported. Annual estimated demand for garri in Nigeria is 12 million metric tons. To accomplish this, the production facilities must be upgraded so as to add value to the food capacity. Garri is produced majorly in the rural area through local method which is full of stress and wastage thus most of the producers are given up the trade and younger once are not interested. Hence the need for this my project. Financial projection about the garri enterprise shows that the net profit and internal rate of return on the project to indicate substantial profit.
Sustainability and future plans
Assumption; The conversion of cassava root to process garri is 4 tons of cassava root to 1 ton of garri. Note, 1 ton of cassava root =10 wheelbarrows (100kg). Land Acquisition (3 plots in rural area) N1,500,000.00 Factory building N2,000,000.00 Processing Plant 1ton/hr capacity N6,000.000.00 Vehicle fairly used N1,000,000.00 Office Furniture/Stationaries N100,000. 00 Accessories N200,000.00 Staff Salaries N3,600,000.00/yr Machine capacity 2 tons of garri/day. Cost of inputs; 1 ton of cassava root will be measured in wheelbarrows (100kg). 1 wheelbarrow cost N1,500.00 x 10 = N15,000.00. Thus 1 ton of unprocessed cassava cost N15,000.00 x 8 tons/day = N120,000.00 6 work days per week or 313 days x N30,000.00 =N9,360,000.00. Diesel; 20 litres per day at N180.00/litre = N3,600.00/day. Plant maintenance at 2 percent total cost =N2,400.00/day Other sundry expenses= N24,000.00. Revenue; Using 2 tons of garri/day production capacity. 50kg of garri=N5,000.00. 1 ton of garri (20 bags) = N100,000.00 x 2 = N200,000.00. Therefore, revenue minus expenditure = profit. N200,000.00 (N120.00 + N3,600.00 + N2,400.00) Netprofit =N200,000.00 - N126,000.00 = N74,000.00/day.
Your profile as an entrepreneur
Name: Gilbert Igweka Nwanorim. Date Of Birth: May 14, 1980. Local government Area: Ohaji/Egbema. State Of Origin: Imo. Country: Nigeria. Phone Number: +2348034712964 Educational Qualification: SCHOOLS ATTENDED QUALIFICATIONS DATES Imo State University B.Sc Accountancy 1999-2003 Owerri. Second Class Honors Comprehensive Senior Secondary 1990-1995 Secondary School Certificate Ohoba-Ohaji. Examination Imo State (S.S.C.E.) Central School First School Leaving 1984-1989 Ohoba-Ohaji Certificate Imo State. (F.S.L.C.) Workshop and Training: 1. Cassava produce value addition training workshop at Imo ADP Owerri, 20th of May 2014. 2. NDE entrepreneurial skill/skill acquisition training on agro processing at Owerri, 10th of August 2013. 3. Harry and Harris effective supervisory management training