DEHYDRATED FRUITS AND VEGETABLES
Introduction
Fruits like grapes, oranges, papaya, mangoes, etc. are
largely grown in Uganda. However, they are harvested seasonally resulting in
some seasons of relative scarcity. In order to maintain the availability
of fruits and vegetables throughout the year, the activity of dehydration is
undertaken. The process of dehydration also helps constitute fruits and
vegetables in a hygienic condition. The Cost is US$25,007 with capacity of
31,200kgs and revenue estimates of US$560 per year.
Production Process, Capacity and
Technology
The process starts with major selection of the fruits
and vegetables, and washing them. They are peeled, shelled, sliced, blanched
and dehydrated under controlled conditions. The dehydrated fruits and
vegetables are finally packed in suitable containers to avoid moisture
absorption. Dehydration of fruits & vegetables is done by various processes
like Traditional Sun Drying, Solar Dryers, Mechanical Dryers, vacuum freeze
drying, vacuum drying, Osmotic dehydration, dehydration through explosion
puffing and microwave based technique. The envisaged project has minimum daily
capacity of 100kg per day.
Market Analysis
The market for fruits and vegetables exists all year
round. Supply is bound to increase the returns to investment. Supply is
recommended to supermarket chains, Grocery shops, main markets, as they can
help a lot in capturing a big portion of the market. With an increased shelf
life for the fruits and vegetables, the profit sales ratio is bound to
increase; however, there are no key players in this sector
apparently in Uganda as most of these products are being imported.
Capital Investment Requirement US $
|
Item |
Units |
Qty |
Price |
Total |
|
Slicer |
No |
1 |
500 |
500 |
|
Drier cross flow |
No |
1 |
650 |
650 |
|
Boilers |
No |
1 |
250 |
250 |
|
Tanks
(washing and |
No |
2 |
150 |
300 |
|
Dehydrator |
No |
1 |
1,100 |
1,100 |
|
Other tools & equipment |
No |
1 |
500 |
500 |
|
Total cost of Machinery & Tools |
3,300 |
1. Production costs assumed are for 312 days per year
with daily capacity of 100 kgs.
2. Depreciation (fixed asset write off) assumes 4 year life of assets written
off at 25% per year for all assets.
3. Direct costs include: materials, supplies and all other costs incurred to
produce the product..
4. A production month is 26 days
5. Currency used is US Dollars.
Production and Operation costs in US$
Direct materials, supplies and costs
|
Cost Item |
Units |
Unit |
Qty |
Prod |
Prod |
Prod |
|
Direct Costs |
||||||
|
Fruits |
kgs |
0.6 |
25.64 |
15.38 |
400.0 |
4,800 |
|
Vegetables |
kgs |
0.5 |
3.21 |
1.60 |
41.7 |
500 |
|
Potassium |
ltrs |
7.5 |
1.60 |
12.02 |
312.5 |
3,750 |
|
Salt |
kgs |
0.25 |
1.60 |
0.40 |
10.4 |
125 |
|
Packing |
pkts |
0.15 |
0.15 |
0.02 |
0.6 |
7 |
|
Sub-total |
29 |
765.17 |
9,182 |
|||
|
General Costs (Overheads) |
||||||
|
Labour |
350 |
4,200 |
||||
|
Selling & distribution |
300 |
3,600 |
||||
|
Utilities (Water, power) |
200 |
2,400 |
||||
|
Administration |
150 |
1,800 |
||||
|
Rent |
200 |
2,400 |
||||
|
Miscellaneous expenses |
50 |
600 |
||||
|
Depreciation |
69 |
825 |
||||
|
Sub-total |
1,319 |
15,825 |
||||
|
Total Operating Costs |
2,083.92 |
25,007 |
Project product costs and Price structure in US$
|
Item |
Qty |
Qty |
Unit |
Prod |
Unit |
Total |
|
Dehydrated |
100.0 |
31,200 |
0.80 |
25,007 |
1.3 |
40,560 |
Profitability Analysis in US$
|
Item |
Per |
Per |
Per |
|
Revenue |
130 |
3,380 |
40,560 |
|
Less: Production and operating costs |
80 |
2,084 |
25,007 |
|
Profit |
50 |
1,296 |
15,553 |
Introduction
Fruits like grapes, oranges, papaya, mangoes, etc. are
largely grown in Uganda. However, they are harvested seasonally resulting in
some seasons of relative scarcity. In order to maintain the availability
of fruits and vegetables throughout the year, the activity of dehydration is
undertaken. The process of dehydration also helps constitute fruits and
vegetables in a hygienic condition. The Cost is US$25,007 with capacity of
31,200kgs and revenue estimates of US$560 per year.
Production Process, Capacity and
Technology
The process starts with major selection of the fruits
and vegetables, and washing them. They are peeled, shelled, sliced, blanched
and dehydrated under controlled conditions. The dehydrated fruits and
vegetables are finally packed in suitable containers to avoid moisture
absorption. Dehydration of fruits & vegetables is done by various processes
like Traditional Sun Drying, Solar Dryers, Mechanical Dryers, vacuum freeze
drying, vacuum drying, Osmotic dehydration, dehydration through explosion
puffing and microwave based technique. The envisaged project has minimum daily
capacity of 100kg per day.
Market Analysis
The market for fruits and vegetables exists all year
round. Supply is bound to increase the returns to investment. Supply is
recommended to supermarket chains, Grocery shops, main markets, as they can
help a lot in capturing a big portion of the market. With an increased shelf
life for the fruits and vegetables, the profit sales ratio is bound to
increase; however, there are no key players in this sector
apparently in Uganda as most of these products are being imported.
Capital Investment Requirement US $
|
Item |
Units |
Qty |
Price |
Total |
|
Slicer |
No |
1 |
500 |
500 |
|
Drier cross flow |
No |
1 |
650 |
650 |
|
Boilers |
No |
1 |
250 |
250 |
|
Tanks
(washing and |
No |
2 |
150 |
300 |
|
Dehydrator |
No |
1 |
1,100 |
1,100 |
|
Other tools & equipment |
No |
1 |
500 |
500 |
|
Total cost of Machinery & Tools |
3,300 |
1. Production costs assumed are for 312 days per year
with daily capacity of 100 Kgs.
2. Depreciation (fixed asset write off) assumes 4 year life of assets written
off at 25% per year for all assets.
3. Direct costs include: materials, supplies and all other costs incurred to
produce the product..
4. A production month is 26 days
5. Currency used is US Dollars.
Production and Operation costs in US$
Direct materials, supplies and costs
|
Cost Item |
Units |
Unit |
Qty |
Prod |
Prod |
Prod |
|
Direct Costs |
||||||
|
Fruits |
kgs |
0.6 |
25.64 |
15.38 |
400.0 |
4,800 |
|
Vegetables |
kgs |
0.5 |
3.21 |
1.60 |
41.7 |
500 |
|
Potassium |
ltrs |
7.5 |
1.60 |
12.02 |
312.5 |
3,750 |
|
Salt |
kgs |
0.25 |
1.60 |
0.40 |
10.4 |
125 |
|
Packing |
pkts |
0.15 |
0.15 |
0.02 |
0.6 |
7 |
|
Sub-total |
29 |
765.17 |
9,182 |
|||
|
General Costs (Overheads) |
||||||
|
Labour |
350 |
4,200 |
||||
|
Selling & distribution |
300 |
3,600 |
||||
|
Utilities (Water, power) |
200 |
2,400 |
||||
|
Administration |
150 |
1,800 |
||||
|
Rent |
200 |
2,400 |
||||
|
Miscellaneous expenses |
50 |
600 |
||||
|
Depreciation |
69 |
825 |
||||
|
Sub-total |
1,319 |
15,825 |
||||
|
Total Operating Costs |
2,083.92 |
25,007 |
Project product costs and Price structure in US$
|
Item |
Qty |
Qty |
Unit |
Prod |
Unit |
Total |
|
Dehydrated |
100.0 |
31,200 |
0.80 |
25,007 |
1.3 |
40,560 |
Profitability Analysis in US$
|
Item |
Per |
Per |
Per |
|
Revenue |
130 |
3,380 |
40,560 |
|
Less: Production and operating costs |
80 |
2,084 |
25,007 |
|
Profit |
50 |
1,296 |
15,553 |