Farm,Palm-oil Mill,Bakery
Integration of farming for
Nigeria’s output is dominated by agriculture that accounted for over 30-40 percent
of GDP in year 2006, manufacturing less than 10% and services 39%. This means that in order to fight & reduce poverty in Nigeria, emphasis should be on small and medium Scale manufacturing enterprises that provide the much needed linkage between Agriculture and large scale manufacturing - which is where this business plan connects. The plan seeks to use agriculture & related industries to help achieve the principal objectives of fighting poverty, empowering the local people through creation of employment and enhancement of skills as well as providing cheap healthy food to the entire market. My plan consists of a BIG FARM that is currently producing cassava and nurturing Oil palm trees. On the Animal husbandry section, rearing pigs and Chicken are the main products. The MILL tries to process the products of the farm mainly Cassava, Oil palm nuts. The BAKERY produces quality and different varieties of bread and other snacks to ensure that people have access to good and hygienic food. Also, it is now compulsory that all flour to be used in Nigeria should contain at least 10% Cassava composite flour. i am already busy with these farm,bakery and mill,but in a small and local level& my Studies here is aimed at applying my Skills to be able to modernise and expand this business. Currently, this business employs about 70 people, when fully modernized, funded and expanded some 500 people will be in employment directly in the first two post-expansion years. This business is currently in start-up phase.My plan is to set up a talent center all over Nigeria,where everybody with potential talent or idea will come and convince us with his or her plan or talent.Then,we can sponsor and invest in this person.The idea here is to help people to come out of poverty as well as we making profit to keep the business.This idea will be the first of of its kind when introduced to Nigeria.I am looking serious partner as well as loan to take this idea to the next level.
Facts
2008
| Two years ago: | |
| Last year: | |
| This year (forecast): | 80,000 |
| Year 2 (forecast): | 180,000 |
| Year 3 (forecast): | 300,000 |
| Two years ago: | |
| Last year: | |
| This year (forecast): | -50000 |
| Year 2 (forecast): | 150,000 |
| Year 3 (forecast): | 250,000 |
| Two years ago: | |
| Last year: | |
| This year (forecast): | |
| Year 2 (forecast): | |
| Year 3 (forecast): |
The Business
BUSINESS
The business model is that of integrated farming and Agro- allied processing. This involves THE FARM — which produces the raw materials for THE MILL and THE BAKERY. The farm’s chief products — cassava and palm kernel Oil will be used to service the mill so as to optimise inputs and maximize profit.
This integrated plan is economically sustainable because the raw material inputs are readily and Locally available, and also labour is cheap here. The Labour requirement is largely unskilled and the huge market is hardly satisfied with a population estimate of 150 million people, with potential for export. While the farm supplies inputs to the mill and bakery, the mill’s products—palm oil, cassava flour and palm kernel Oil will service the foods, cosmetics and beverages industry. The bakery services the immediate food needs of people. The Phase 2 of the farm—which is the poultry and piggery section,will service the food processing industry of our economy. My Country has many, many mouths to feed!.
By optmizing inputs/ raw material and technology, profit will be generated in the first two years of full implementation of the business plan, of course the demand currently far outweighs the supply, therefore the market forces favour the entrepreneur. My customers are already there in the food and cosmetics industry. Also because bread and Garri form the staple food in my country, the demand is definitely ever increasing. In the 1st 2years, I am looking at a customer base of 2000, both corporate and individuals.
The Average investment needed for expansion, modernization and re- branding of this business is;;
(a) PHASE 1 FARM — CASSAVA & PALM OIL/ KERNEL PRODUCTION — 8 MILLION NAIRA
(b) PHASE 2 FARM — PIGGERY & POULTRY-- 8 MILLION NAIRA
(c) MILL 20 MILLION
(D) BAKERY 11 MILLION
TOTAL INVESTMENT 47 MILLION NAIRA
APPROX 290,000 Euros.
My own finance commitment will be 10% of the total investment cost.
This business is expected to start generating profit approximately 1— 2 years after full implementation of this business plan. Some 500 people would have been directly employed and another 500 indirectly in the first 2 years of full operations.
FEASIBILITY
Because of the existing gap between demand and supply, identifying the customers has not been much of a problem, By re-branding and using jingles in the local radio/TV stations, more customers will be attracted. The challenge therefore is in maintaining and satisfying our numerous customers through efficient delivery of service,affordable prize stategy and excellent customer relationship skills --professionals will be employed to handle these areas.
My Potential Competitors are the already established companies, who are few and very far away from their customers, this business plan has identified these loopholes and seeks to Capitalize on them by way of location, service delivery, application of modern technology and the integrated nature of this plan gives it edge over the others in terms of cost effectiveness, delivery and Convenience.
Because the business is still in start-up phase, there are no established partnership relationship yet; but these will be identified based on their value added services location etc, in due Course. My own financial contribution will be organised through loans from the local Bank of Industry.
The uniqueness of this businesses is that we are using our own products as raw materials for providing food related products to the masses.The integration is very unique and very attractive for business.
The Entrepreneur & Management
As a son of a farmer, farming have always been part of me. Now i have been living in The Netherlands for some years, that have helped me to learn a lot of things which i think will be very useful to my comminity and people(Nigerians). I have experinced hunger myself and i now know the importance of healthy food.
I have really had any breakthrough as an en
Development
DEVELOPMENT
The impact of this business plan will be monumental on local direct and indirect employment. Think of some 1000 people economically empowered, taken out of the streets. Think of the reduced level of crime and social unrest. Think also of the Families that will be sustained because of assured income streams, also these people will be improving their skills and enhancing their productivity. Think also of the quality of living standard that will appreciate further due to Job Security. Imagine the palm trees that will add to the ecosystem and biodiversity. Think of the green effects of these on the environment. The immediate local communities will be the better for it in the short run. Perhaps, this business plan will go a long way in providing employment, education; help provide food and other farm products at a very low prize for the poor and needy. This will go a long way in creating awareness and making people see that there are still people out there who think of how to make things better. In addition, this plan will go a long way to reduce crime rate because when people have so0mething to do, eat food affordable food. They will not be easily convinced to do bad things in the society