alogo cassava foundation(ACF)........ CREATING WEALTH USING cassava

PROJECT RATIONALE

Nigeria with the present population of over 170 million has undergone severe economic hardship for the past three decades. The result is a decline in the nation’s overall prosperity and a concomitant reduction in job opportunity. During this period, various sections of the economy has deteriorated to a very low level, unemployment rates and poverty level has increased drastically with a gross domestic product (GDP) of under 50%, high inflation rate, Nigeria has not been able to compete in the global arena.
The argument by most Nigerians is that the diversification of the nation’s economy from an entirely petroleum dependent one to areas like manufacturing, tourism, agriculture, solid minerals is the only way to alleviate the present situation and put smiles on the faces of the masses.
Agriculture which was the bedrock of the Nigerian economy in the 1960’s and 1970’s has been relegated to the back ground. Thousands of graduates from Nigerian universities, polytechnics and colleges of education find themselves in the growing banking industries and less in the agricultural sector. While Nigeria continue to import food into the country. The agricultural sector among other sectors has the potential for providing numerous employment opportunities, increase food supply, increase the nation’s foreign exchange and brings a lot of benefits to Nigeria. The present peasant way of farming must be upgraded to mechanize farming with assistance given to farmers through extension services, adequate and prompt supply of farm inputs, financial assistance and subsidies. The increased farm products would increase the food need of the growing population and excess would be processed by small scale agro processing industries for consumption, industrial and export purpose.
With the enormous comparative advantage that Nigeria has in root and tuber production especially cassava production it therefore makes economic sense for the country to place more emphasis in this area of agriculture in which it obviously leads the world.
The federal government through its cassava transformation programme is committed to growing a new generating of farmers that would take cassava production as a business embracing modern method of production and emphases on value chain addition.
It is against the backdrop of contributing to development of Nigeria through cassava utilization that the non-governmental organisation (NGO) alogo cassava foundation (ACF) was formed to promote, assist and encourage the production, processing and marketing of cassava in Africa, particularly Nigeria leading to creation of jobs, poverty eradication and industrialisation of the continent.
Value chain addition in cassava production and indeed in any agricultural commodity is the key to a sustainable increase in production and the various benefits that follow it.

alogo cassava foundation VISION/MISSION STATEMENT:

To assist, promote and encourage the production, processing and marketing of cassava products in Africa, particularly in Nigeria leading to job creation, poverty alleviation and industrialization of the continent.

OBJECTIVES.

• Organize graduate youths train them in modern method of cassava production and help in linking them up with finance and the various inputs needed for large scale cassava production.
• Train youth most especially graduates on the various opportunities available in the cassava value chain addition which includes; production, processing and marketing, assisting them to be involved thereby making them gainfully employed.
• Help individuals, communities, local governments and state governments in the establishment of small scale cassava processing factories.
• Conducting feasibility report and business plan on the production, processing and marketing of cassava.
• Supply/ linkage of cassava processing factories to raw materials i.e. cassava fresh roots.
• Linkage of cassava processing factories to markets for their products.
• Supply / linkage of farmers to inputs such as agrochemicals, cassava step cutting, fertilizer e.t.c.
• Procurement of cassava processing machinery for individuals, communities, local and state governments.
• Consultancy on increase in profitability and performance of small scale cassava Processing factories.
• Provision / linkage to land for large scale mechanized modern method of cassava production.
• Provision / linkage to tractor hiring services for large scale cassava production.
• Help in securing loans for the establishment of cassava processing factories.
• Analysis of soil, cassava fresh roots and processed cassava product.

Comprehensive feasibility report for the establishment of cassava processing industries.
As part of our programme/activity alogo cassava foundation has written comprehensive feasibility report for setting up cassava starch,high quality cassava flour and cassava chip processing factories.
and has susidise them as shown below.


Comprehensive feasibility report on the establishment of a small scale high quality cassava flour (HQCF) processing factory for domestic and export market.


S/NO Table of content Page
1 Executive summary……………………………………………………………………………………………... 4
1.1 Project rationale…………………………………………………………………………………………………….. 6
1.2 Benefit of the project……………………………………………………………………………………………… 7
1.3 cassava production in Nigeria………………………………………………………………………………… 8
1.4 Description of the business……………………………………………………………………………………. 9
1.5 Challenges in running a (HQCF) processing factory…………………………………………….... 9
1.6 Government policy with respect to cassava enterprise………………………………………….. 10
1.7 Future of (HQCF) processing industries………………………………………………………………….. 11

2 Production plan

2.1 Capacity utilization………………………………………………………………………………………………… 12
2.2 Raw materials……………………………………………………………………………………………………….. 12
2.3 Production process………………………………………………………………………………………………… 13
2.4 Production programme…………………………………………………………………………………………… 15
2.5 (HQCF) processing flow chart………………………………………………………………………………….. 16
2.6 Machinery and equipment……………………………………………………………………………………… 17
2.7 Quality consideration……………………………………………………………………………………………… 18
2.8 Specifications………………………………………………………………………………………………………….. 20
2.9 Water requirement…………………………………………………………………………………………………. 21
2.10 Location of factory………………………………………………………………………………………………….. 22
2.11 Cultivation of cassava……………………………………………………………………………………………… 22

3 Marketing plan

3.1 Demand for (HQCF)………………………………………………………………………………………………… 29
3.2 Description of product…………………………………………………………………………………………….. 29
3.3 Product range strategic…………………………………………………………………………………………… 29
3.4 Price strategy………………………………………………………………………………………………………….. 29
3.5 Promotional strategy………………………………………………………………………………………………. 29
3.6 Distribution strategy……………………………………………………………………………………………….. 29
3.7 Advertisement………………………………………………………………………………………………………… 30
3.8 Target market…………………………………………………………………………………………………………. 30
3.9 cassava processing factories in Nigeria…………………………………………………………………… 30
3.10 SWOT Analysis……………………………………………………………………………………………………….. 31

4 Organizational and management.

4.1 legal services…………………………………………………………………………………………………………… 34
4.2 Insurance services…………………………………………………………………………………………………… 34
4.3 Registration of the processing factory…………………………………………………………………….. 34
4.4 Ownership structure……………………………………………………………………………………………….. 34
4.5 Management………………………………………………………………………………………………………….. 34
5 Financial plan.
5.1 Estimated cost of machinery and equipment…………………………………………………………. 35
5.2 Fixed capital cost……………………………………………………………………………………………………. 35
5.3 Total manufacturing cost per annum……………………………………………………………………… 36
5.4 Direct labour cost per annum…………………………………………………………………………………. 38

5.5 Cost of producing one hectare of cassava……………………………………………………………… 39
5.6 Profitability…………………………………………………………………………………………………………….. 40
5.7 Start-up capital………………………………………………………………………………………………………. 40
5.8 Equity contribution ……………………………………………………………………………………………….. 40
5.9 Source of capital…………………………………………………………………………………………………….. 41
5.10 Security of loans……………………………………………………………………………………………………… 41

5.12 Loan repayment schedule………………………………………………………………………………………. 41

6 Photographs

6.1 cassava plantation. ……………………………………………………………………………………………….. 42
6.2 cassava fresh roots………………………………………………………………………………………………… 42
6.3 Avery weighing scale. …………………………………………………………………………………………….. 43
6.4 cassava peeling machine. ……………………………………………………………………………………… 43
6.5 cassava washing machine. …………………………………………………………………………………….. 44
6.6 cassava grating machine. ………………………………………………………………………………………. 44
6.7 Dewatering machine (hydraulic press) ………………………………………………………………….. 45
6.8 Granulator………………………………………………………………………………………………………………. 45
6.9 Rotary dryer machine. …………………………………………………………………………………………… 46
6.10 Sealing machine. ………………………………………………………………………….……………………….. 46
6.11 Milling machine……………………………………………………………………………………………………… 47
6.12 Cylindrical trough. …………………………………………………………………………………………………. 47
6.13 Weighing trough. …………………………………………………………………………………………………… 48
6.14 package high quality cassava flour ………………………………………………………………………….48




Comprehensive feasibility report on the establishment of a small scale cassava chips processing factory for domestic and export markets

/NO Table of content



1.1 Executive summary…………………………………………………………………………………………………………...... 2
1.2 Project rationale……………………………………………………………………………………………………………………… 5
1.3 Benefit of the project………………………………………………………………………………………………………………. 7
1.4 cassava production in Nigeria…………………………………………………………………………………………………. 7
1.5 Description of the business……………………………………………………………………………………………………… 9
1.6 Challenges in running a cassava chips processing factory………………………………………………………… 9
1.7 Government policy with respect to cassava enterprise……………………………………………………………. 9
1.8 Future of cassava chips processing industries………………………………………………………………………….. 11
2 Production plan
2.1 Capacity utilization………………………………………………………………………………………………………………….. 12
2.2 Raw materials………………………………………………………………………………………………………………………….. 12
2.3 Production process………………………………………………………………………………………………………………….. 13
2.4 Production programme……………………………………………………………………………………………………………. 15
2.5 cassava chips processing flow chart………………………………………………………………………………………… 16
2.6 Machinery and equipment……………………………………………………………………………………………………….. 17
2.7 Quality consideration………………………………………………………………………………………………………………. 18
2.8 Specifications…………………………………………………………………………………………………………………………… 20
2.9 Water requirement………………………………………………………………………………………………………………….. 21
2.10 Location of factory…………………………………………………………………………………………………………………… 21
2.11 Cultivation of cassava………………………………………………………………………………………………………………. 21

3 Marketing plan

3.1 Demand for cassava chips………………………………………………………………………………………………………… 27
3.2 Description of product……………………………………………………………………………………………………………… 28
3.3 Product range strategic……………………………………………………………………………………………………………. 29
3.4 Price strategy…………………………………………………………………………………………………………………………… 29
3.5 Promotional strategy……………………………………………………………………………………………………………….. 29
3.6 Distribution strategy………………………………………………………………………………………………………………… 29
3.7 Advertisement…………………………………………………………………………………………………………………………. 29
3.8 Target market………………………………………………………………………………………………………………………….. 30
3.9 Export………………………………………………………………………………………………………………………………………. 30
3.10 cassava processing factories in Nigeria……………………………………………………………………………………. 30
3.11 SWOT Analysis…………………………………………………………………………………………………………………………. 31
4 Organizational and management.
4.1 Legal services…………………………………………………………………………………………………………………………… 34
4.2 Insurance services……………………………………………………………………………………………………………………. 34
4.3 Registration of the processing factory……………………………………………………………………………………… 34
4.4 Ownership structure………………………………………………………………………………………………………………… 34
4.5 Management……………………………………………………………………………………………………………………………. 34

5 Financial plan.

5.1 Estimated cost of machinery and equipment…………………………………………………………………………… 35
5.2 Fixed capital cost……………………………………………………………………………………………………………………… 35
5.3 Total manufacturing cost per annum…………………………………………………………………………………….. 36
5.4 Cost of producing one hectare of cassava………………………………………………………………………………… 39
5.5 Profitability……………………………………………………………………………………………………………………………… 40
5.6 Start-up capital……………………………………………………………………………………………………………………….. 40
5.7 Source of capital……………………………………………………………………………………………………………………… 41
5.8 Security of loan……………………………………………………………………………………………………………………….. 41
5.9 Loan repayment schedule…………………………………………………………..……………………………………………. 41
6 Photographs
6.1 cassava plantation. …………………………………………………………………………………………………………………. 43
6.2 cassava fresh roots………………………………………………………………………………………………………………….. 43
6.3 Avery weighing scale. ……………………………………………………………..………………………………………………. 44
6.4 cassava peeling machine. ……………………………………………………………………………………………………….. 44
6.5 cassava washing machine. ……………………………………………………………………………………………………… 45
6.6 cassava chipping machine. ……………………………………………………………………………………………………… 45
6.7 Rotary dryer machine. …………………………………………………………………………………………………………….. 46
6.8 Sealing machine. …………………………………………………………………………………………………………………….. 46
6.9 Cylindrical trough. …………………………………………………………………………………………………………………… 47
6.10 Weighing trough. ……………………………………………………………………………………………………………………. 47
6.11 cassava small and medium factory. ………………………………………………………………………………………… 48
6.12 Ekha agro farm a factory in Ibadan Nigeria processing glucose syrup……………………………………… 48
6.13 cassava products from vesa farm ltd Benin Nigeria. ………………………………………………………....... 49



Comprehensive feasibility report on the establishment of a small scale cassava starch processing factory for domestic and export market.


S/NO Table of content PAGE
1 Executive summary……………………………………………………………………………………………… 4
1.1 Project rationale………………………………………………………………………………………………………. 6
1.2 Benefit of the project………………………………………………………………………………………………. 7
1.3 cassava production in Nigeria…………………………………………………………………………………. 8
1.4 Description of the business……………………………………………………………………………………… 9
1.5 Challenges in running a (HQCF) processing factory…………………………………………………. 9
1.6 Government policy with respect to cassava enterprise…………………………………………… 10
1.7 Future of (HQCF) processing industries……………………………………………………………………. 11
2 Capacity utilization…………………………………………………………………………………………………… 12
2.1 Raw materials…………………………………………………………………………………………………………… 12
2.2 Production process………………………………………………………………………………………………….. 13
2.3 Production programme…………………………………………………………………………………………… 15
2.4 (HQCF) processing flow chart…………………………………………………………………………………… 16
2.5 Machinery and equipment………………………………………………………………………………………. 17
2.6 Quality consideration……………………………………………………………………………………………….. 18
2.7 Specifications…………………………………………………………………………………………………………… 20
2.8 Water requirement…………………………………………………………………………………………………. 21
2.9 Location of factory…………………………………………………………………………………………………… 22
2.10 Cultivation of cassava………………………………………………………………………………………………. 22

3 Marketing plan

3.1 Demand for (HQCF)………………………………………………………………………………………………….. 29
3.2 Description of product…………………………………………………………………………………………….. 29
3.3 Product range strategic……………………………………………………………………………………………. 29
3.4 Price strategy………………………………………………………………………………………………………….. 29
3.5 Promotional strategy……………………………………………………………………………………………….. 29
3.6 Distribution strategy……………………………………………………………………………………………….. 30
3.7 Advertisement…………………………………………………………………………………………………………. 30
3.8 Target market………………………………………………………………………………………………………….. 30
3.9 cassava processing factories in Nigeria…………………………………………………………………… 30
3.10 SWOT Analysis……………………………………………………………………………………………………….. 30

4 Organizational and management.

4.1 legal services………………………………………………………………………………………………………….. 34
4.2 Insurance services………………………………………………………………………………………………….. 34
4.3 Registration of the processing factory……………………………………………………………………… 34
4.4 Ownership structure………………………………………………………………………………………………… 34
4.5 Management……………………………………………………………………………………………………………. 34

5 Financial plan.

5.1 Estimated cost of machinery and equipment………………………………………………………….. 37
5.2 fixed capital cost…………………………………………………………………………………………………….. 37
5.3 Total indirect cost per annum……………………………………………………………………………….. 38
5.4 direct labour cost………………………………………………………………………….…………………………. 40
5.5 Cost of producing one hectare of cassava……………………………………………………………….. 41
5.6 Profitability……………………………………………………………………………………………………………… 42
5.7 Start-up capital………………………………………………………………………………………………………… 42
5.8 equity contribution……………………………………………………………………..………………………….. 43
5.9 Source of capital……………………………………………………………………………………………………. 43
5.10 Security of loan…………………………………………………………………………………………………….. 43
5.11 Loan repayment schedule……………………………………………………………,………………………… 43

6 Photographs

6.1 cassava plantation. ………………………………………………………………………………………………… 44
6.2 cassava fresh roots…………………………………………………………………………………………………. 44
6.3 Avery weighing scale. …………………………………………………………………………………………….. 45
6.4 cassava peeling machine. ……………………………………………………………………………………….. 45
6.5 cassava washing machine. …………………………………………………………………………………….. 46
6.6 cassava grating machine. ……………………………………………………………………………………….. 46
6.7 Dewatering machine (hydraulic press) ……………………………………………………………………. 47
6.8 Granulator……………………………………………………………………………………………………………….. 47
6.9 Rotary dryer machine. ……………………………………………………………………………………………. 48
6.10 Sealing machine. ……………………………………………………………………….…………………………… 48
6.11 Milling machine……………………………………………………………………………………………………… 49
6.12 Cylindrical trough. …………………………………………………………………………………………………… 49
6.13 Weighing trough. …………………………………………………………………………………………………….. 50
6.14 Packaged cassava starch………………………………………………………………………………………….. 50
6.15 cassava small and medium factory. ………………………………………………………………………… 51
6.16 Ekha agro farm a factory in Ibadan Nigeria processing glucose syrup……………………….. 51




EACH OF THE FEASIBILITY REPORT IS SUBSIDISE BY ACF

Soft copy now N20, 000, Hard copy or manual N25, 000.

PROCEDURE FOR ORDERING
Call 08132988102 OR 08171548950 to confirm the feasibility report you want
Make payment into the Union Bank account 0054724683 ,Account name: Alogo Cassava Foundation
Text us your name as used on the deposit slip and your email address if you need the soft copy or comprehensive contact address if you need the hard copy.
We will confirm your payment and soft copy would be email to you with 24hour or hardcopy delivered to you with 48hour


Head office
Edombai Plaza,Suit 5 Ground floor,opp command
Sec.Sch Adjacent Boltund Filling Station Television,
Along sabo express way kaduna state.
website:www.alogoacf.org
Email: alogocassavafoundation@gmail.com
..................creating wealth using cassava