PART 3 (SAMPLES AND QUOTATIONS)

CHAPTER 1

SAMPLE OF QUOTATION FOR CASHEW NUTS (FROM KWARA STATE DELIVERED TO LAGOS)

QUANTITY SUPPLIED 30 TONS

1. CASHEW NUTS @N80, 000/TON: 80,000 X 30 TONS.……………….………….. 2,400.000
2. BAGS (JUTE) @ N350/BAG X 13= N4500/TON: 4500 X 30 …………………. 136,500
3. LOADING @ N50/BAG X 13 = N650/TON: 650 X 30 ……………………………… 19,500
4. LABOUR: (sewing, grading etc) ……………………………………………………………. 10,000
5. PAPERS (from the point of procurement include; association paper… 30,000
Way bill, gate pass, produce fee etc.
6. PRODUCE FEE @ OGERE, OGUN STATE & BERGER, LAGOS STATE …………… 20,000
7. TRANSPORT (from kwara to Lagos) ………………………………………………………… 150,000
TOTAL …………….. 2,763,000

TOTAL COST OF A TRAILER LOAD (30 TONS) OF CASHEW NUTS IS TWO MILILION, SEVEN HUNDRED AND SIXTY THREE THOUSAND NAIRA.
Thus the final price per ton will be: 2,763,000 divided by 30 tons = N92, 100 (NINETY TWO THOUSAND AND ONE HUNDRED NAIRA).
Note that the actual price of cashew nuts per ton is now N92,100. It is now left for you to fix a suitable price for your consignment bearing in mind the actual cost of cashew nuts which is now N92,100 (ninety two thousand, one hundred naira). The profit margin when selling locally is not really attractive due to the competition, but the turnover is quite good. No matter the quantity you want to supply, buyers are always willing to purchase and pay you as soon as possible. There is always a standby buyer wishing to buy as many quantity you can supply at every point in time. There are local buyers/exporters that can buy up to 30 trailers in a day as long as you have goods to supply. They don’t owe suppliers money.
It is advisable to fix your profit margin between 8–15% when selling locally. (20% may be possible though but it is rare,most likely if you are supplying an individual who has an export contract or a private firm but definitely not those indian buying companies in lagos).
let's assume your profit marin is 10%, your sales price will be N101.310…. (9,210 + 92,100 =N101.310). Hence profit margin on a ton will be selling price subtracted by actual cost price: 101,310 – 92,100 = N9,210 Thus profit on a trailer load of cashew nuts (3o tons) will be 9210 x 30 = N276,300
Thus on a two million seven hundred and sixty three thousand investment, you will make two
hundred and seventy six thousand returns which is approximately 10% of your initial investment.
Now let’s assume you are supplying only twice a week, you will be making 276,300 x 2 = N552,600 (five hundred and fifty two thousand, six hundred naira) every week (supplying twice a week may not be possible for every seller,it depends on the supply capabilty of your source and also the availability of capital/fund).
Please note that the above quotation reflects the real cost of a transaction prepared by the author for a client at a particular time. The quotation was based on local transaction for a client from kwara state to buyer’s warehouse in Lagos.
The price of cashew nuts fluctuates almost on weekly basis, so the price of N80, 000 quoted may not be applicable or obtainable always. Price of cashew nuts fluctuated between N68, 000 – N90,000 this 2012 season. Also note that whenever the price of nuts rises, the selling price also rises accordingly.
also note that cost of transportation, produce fee @ ogere and berger can be negotiated. you may get a better bargain from transporters.. N80,000 naira - N100,000 cost could be achieved from ilorin to lagos.
some truck drivers also know how to avoid the fee colectors @ ogere and berger therefore you may end up not paying but you will have to settle the drivers. you also need an escort (not an officer) to follow the truck if you cant travel with the truck. they are usually paid between N5,000 - N10,000.

To order the book and read other free reports pls follow these links (see the table of content also):

https://www.nairaland.com/1090563/comprehensive-textbook-cashew-nuts-trading..now

https://www.nairaland.com/883892/free-report-cashew-nuts-biz

08023881557
07064821943.
bb pin: 30D4CD77

PART 3 (SAMPLES AND QUOTATIONS)

CHAPTER 1

SAMPLE OF QUOTATION FOR CASHEW NUTS (FROM KWARA STATE DELIVERED TO LAGOS)

QUANTITY SUPPLIED 30 TONS

1. CASHEW NUTS @N80, 000/TON: 80,000 X 30 TONS.……………….………….. 2,400.000
2. BAGS (JUTE) @ N350/BAG X 13= N4500/TON: 4500 X 30 …………………. 136,500
3. LOADING @ N50/BAG X 13 = N650/TON: 650 X 30 ……………………………… 19,500
4. LABOUR: (sewing, grading etc) ……………………………………………………………. 10,000
5. PAPERS (from the point of procurement include; association paper… 30,000
Way bill, gate pass, produce fee etc.
6. PRODUCE FEE @ OGERE, OGUN STATE & BERGER, LAGOS STATE …………… 20,000
7. TRANSPORT (from kwara to Lagos) ………………………………………………………… 150,000
TOTAL …………….. 2,763,000

TOTAL COST OF A TRAILER LOAD (30 TONS) OF CASHEW NUTS IS TWO MILILION, SEVEN HUNDRED AND SIXTY THREE THOUSAND NAIRA.
Thus the final price per ton will be: 2,763,000 divided by 30 tons = N92, 100 (NINETY TWO THOUSAND AND ONE HUNDRED NAIRA).
Note that the actual price of cashew nuts per ton is now N92,100. It is now left for you to fix a suitable price for your consignment bearing in mind the actual cost of cashew nuts which is now N92,100 (ninety two thousand, one hundred naira). The profit margin when selling locally is not really attractive due to the competition, but the turnover is quite good. No matter the quantity you want to supply, buyers are always willing to purchase and pay you as soon as possible. There is always a standby buyer wishing to buy as many quantity you can supply at every point in time. There are local buyers/exporters that can buy up to 30 trailers in a day as long as you have goods to supply. They don’t owe suppliers money.
It is advisable to fix your profit margin between 8–15% when selling locally. (20% may be possible though but it is rare,most likely if you are supplying an individual who has an export contract or a private firm but definitely not those indian buying companies in lagos).
let's assume your profit marin is 10%, your sales price will be N101.310…. (9,210 + 92,100 =N101.310). Hence profit margin on a ton will be selling price subtracted by actual cost price: 101,310 – 92,100 = N9,210 Thus profit on a trailer load of cashew nuts (3o tons) will be 9210 x 30 = N276,300
Thus on a two million seven hundred and sixty three thousand investment, you will make two
hundred and seventy six thousand returns which is approximately 10% of your initial investment.
Now let’s assume you are supplying only twice a week, you will be making 276,300 x 2 = N552,600 (five hundred and fifty two thousand, six hundred naira) every week (supplying twice a week may not be possible for every seller,it depends on the supply capabilty of your source and also the availability of capital/fund).
Please note that the above quotation reflects the real cost of a transaction prepared by the author for a client at a particular time. The quotation was based on local transaction for a client from kwara state to buyer’s warehouse in Lagos.
The price of cashew nuts fluctuates almost on weekly basis, so the price of N80, 000 quoted may not be applicable or obtainable always. Price of cashew nuts fluctuated between N68, 000 – N90,000 this 2012 season. Also note that whenever the price of nuts rises, the selling price also rises accordingly.
also note that cost of transportation, produce fee @ ogere and berger can be negotiated. you may get a better bargain from transporters.. N80,000 naira - N100,000 cost could be achieved from ilorin to lagos.
some truck drivers also know how to avoid the fee colectors @ ogere and berger therefore you may end up not paying but you will have to settle the drivers. you also need an escort (not an officer) to follow the truck if you cant travel with the truck. they are usually paid between N5,000 - N10,000.

To order the book and read other free reports pls follow these links (see the table of content also):

https://www.nairaland.com/1090563/comprehensive-textbook-cashew-nuts-trading..now

https://www.nairaland.com/883892/free-report-cashew-nuts-biz

08023881557
07064821943.
bb pin: 30D4CD77

Hello guys.. I felt I should let people know d latest development on cashew nuts business as it is now and also give more insights to d business.

The nuts are coming out already. Commercial activities will commence towards d end of february or early march from my observations.
The cashew nuts are germinating gradually.. Some parts of d country are already harvesting in bits but not in commercial quantity. Just for local consumption of d cashew apple. I ploughed d apple recently in one of my visits to a local farm. Its funny how peeople don't care abt cashew apples anymore, some even throw it away and keep d nuts! Its all abt d benjamins!!
I wish everybody success in d trade dis season.

Keep to my little advise in d "FREE REPORT ON CASHEW NUTS TRADING.. DON'T START D BUSINESS WITHOUT READING THIS" https://www.nairaland.com/883892/free-report-cashew-nuts-biz I posted in d business section (check d advert and business to business sections), if u cannot purchase my e book " A COMPREHENSIVE TEXTBOOK ON CASHEW NUTS TRADING".

Start planing now and don't be tempted by ridiculous price offer by some sellers.. Some of them will offer you a very low price dats ridiculous.. You may end up getting nothing. Also try to check all d nuts u wanna buy. If they r already in bags.. Pour them out, grade them by weighing it again, then re bag them.. To be sure they are not mixed with foreign materials/objects like stones, sand, metals to make up d weight etc.
Buy ur own scale. Its very important.. If not, u might be buying a 70kg bag for a 80kg bag. Those sellers know how to achieve that even while you are present.. They know their scale better.

Let ur level of trust be minimal. Sometimes u may need to trust some people to some extent.. But u should trust ur instinct more than anyone else. Do not giv money to strangers unless u are with d person 24/7.
I have gotten to a stage I can give some ppl money to go to d farms to source d nuts for me and buy @ farm rates.. But these are people av been dealing with for years.. Even @ dat I still take some precautionary methods when giving them money. I make them sign an agreement.
Even ppl who av been in business for donkey years cld stil loose money.
Try as much as possible to monitor each process of d transaction.

You may also go for "SEE and BUY". Its d most convinent way of getting d nuts without going through much stress. But u buy @ a higher rate. Also becareful of the see and buy guys, there are bad eggs among them also.

Start visiting the places u want to source from btw now and february. Get familiar with the place, try and associate urself with the locals and make enquiries abt ur mission to the town. U may be lucky to meet d right person. Nothing is impossible. Pls note that there are also good people around who could be trustworthy. U can never know, some arrangements cld be divine.. So be prayerful and ask for God direction always.

U can also start purchasing jute bags now.. U can still get at cheap rates now compared to when d season commences. D demand will be high and price will increase.
Start connecting with foreign buyers now. Becareful with d terms of agreement u enter with foreign buyers.. It is very important. Most of these importers are "ruthless" and fraudlent, they always look for loopholes in agreement to get at u. U may end up loosing everything.

I'l keep u guys posted on this thread. For more enquiries: 08023881557,07064821943.
bb pin: 30D4CD77
To order for the book, pls visit this link: https://www.nairaland.com/1090576/comprehensive-textbook-cashew-nuts-trading..2000

Hello guys.. I felt I should let people know d latest development on cashew nuts business as it is now and also give more insights to d business.

The nuts are coming out already. Commercial activities will commence towards d end of february or early march from my observations.
The cashew nuts are germinating gradually.. Some parts of d country are already harvesting in bits but not in commercial quantity. Just for local consumption of d cashew apple. I ploughed d apple recently in one of my visits to a local farm. Its funny how peeople don't care abt cashew apples anymore, some even throw it away and keep d nuts! Its all abt d benjamins!!
I wish everybody success in d trade dis season.

Keep to my little advise in d "FREE REPORT ON CASHEW NUTS TRADING.. DON'T START D BUSINESS WITHOUT READING THIS" https://www.nairaland.com/883892/free-report-cashew-nuts-biz I posted in d business section (check d advert and business to business sections), if u cannot purchase my e book " A COMPREHENSIVE TEXTBOOK ON CASHEW NUTS TRADING".

Start planing now and don't be tempted by ridiculous price offer by some sellers.. Some of them will offer you a very low price dats ridiculous.. You may end up getting nothing. Also try to check all d nuts u wanna buy. If they r already in bags.. Pour them out, grade them by weighing it again, then re bag them.. To be sure they are not mixed with foreign materials/objects like stones, sand, metals to make up d weight etc.
Buy ur own scale. Its very important.. If not, u might be buying a 70kg bag for a 80kg bag. Those sellers know how to achieve that even while you are present.. They know their scale better.

Let ur level of trust be minimal. Sometimes u may need to trust some people to some extent.. But u should trust ur instinct more than anyone else. Do not giv money to strangers unless u are with d person 24/7.
I have gotten to a stage I can give some ppl money to go to d farms to source d nuts for me and buy @ farm rates.. But these are people av been dealing with for years.. Even @ dat I still take some precautionary methods when giving them money. I make them sign an agreement.
Even ppl who av been in business for donkey years cld stil loose money.
Try as much as possible to monitor each process of d transaction.

You may also go for "SEE and BUY". Its d most convinent way of getting d nuts without going through much stress. But u buy @ a higher rate. Also becareful of the see and buy guys, there are bad eggs among them also.

Start visiting the places u want to source from btw now and february. Get familiar with the place, try and associate urself with the locals and make enquiries abt ur mission to the town. U may be lucky to meet d right person. Nothing is impossible. Pls note that there are also good people around who could be trustworthy. U can never know, some arrangements cld be divine.. So be prayerful and ask for God direction always.

U can also start purchasing jute bags now.. U can still get at cheap rates now compared to when d season commences. D demand will be high and price will increase.
Start connecting with foreign buyers now. Becareful with d terms of agreement u enter with foreign buyers.. It is very important. Most of these importers are "ruthless" and fraudlent, they always look for loopholes in agreement to get at u. U may end up loosing everything.

I'l keep u guys posted on this thread. For more enquiries: 08023881557,07064821943.
bb pin: 30D4CD77
To order for the book, pls visit this link: https://www.nairaland.com/1090576/comprehensive-textbook-cashew-nuts-trading..2000

Please contact me on seyidacosta79@yahoo.com

Seyi

The National flag off for 2016 Cashew season has been scheduled to hold on the 29th of february, in ilorin, at the kwara state banquet hall.
Time: 9 am prompt.
It has been postponed from 15th.