ESTABLISHING A MUSHROOMS CANNING PLANT
Introduction
Mushrooms
Canning is a method of preserving Mushrooms sealed in an air tight container
which prevents microorganisms from entering and proliferating inside. There is
an increasing Effective Demand for Canned Mushrooms as they can be sold in both
local and International markets.
Production Capacity
It is projected that at least 1000kgs of Mushrooms can be canned a day.
Tools & Equipment
The Essential tools and equipment required includes:
Basins, Water tanks, Jar lifters, Trimming Board, Knife, Timer, Gas Cooker,
Cutting board, Jar lifter, Boiler, Table Spoon, Canning jars, Packaging
machine, and Custom Canning Labels.
NB: These equipment may be purchased from the local Machinery dealers in
Uganda.
Procedure
Trim stems and discolored parts. Soak in cold water for 10 minutes to remove dirt. Wash in clean water. Leave small mushrooms whole; cut large ones. Cover with water in a saucepan and boil 5 minutes. Fill jars with hot mushrooms, leaving 1-inch headspace. Add 1/2 teaspoon of salt per pint to the jar, if desired.
Scale of Investment, Capital Investment Requirements and Equipment
This project will be operated on small scale given the size and nature of the market. The Fixed Capital Investment required to start this project is 13,619US$
Market Analysis
The demand for canned Mushrooms is very high in Super markets, Hotels, and may also be exported to neighboring Countries. Foreign markets will constitute about 80% of the total market size. This sector is still undeveloped in Uganda.
Project Costs: The Projected costs of production both fixed and working
capital and are summarized in the Tables below
1. Capital Investment Requirements
|
Item |
Units |
Qty |
Unit Cost$ |
Amount $ |
|
Delivery Van |
No. |
1 |
8,000 |
8,000 |
|
Table spoons |
No. |
2 |
1 |
1 |
|
Basins |
No. |
5 |
5 |
25 |
|
Knives |
No. |
5 |
1 |
3 |
|
Gas Cooker |
No. |
1 |
500 |
500 |
|
Jar Lifter |
No. |
1 |
250 |
250 |
|
Trimming Boards |
No. |
3 |
10 |
30 |
|
Timer |
No. |
1 |
10 |
10 |
|
Water Tanks |
No. |
3 |
50 |
150 |
|
Boiler |
No. |
1 |
500 |
500 |
|
Furniture |
No. |
5 |
30 |
150 |
|
Packaging |
No. |
1 |
4,000 |
4,000 |
|
Total Amount |
13,619 |
2. Operating Costs in US $
|
Item |
Units |
Unit |
Qty/ |
Prod. |
Prod. |
Prod. |
|
|
Direct Costs |
|||||||
|
Mushrooms |
Kgs |
1.5 |
1000 |
1500 |
39000 |
468000 |
|
|
Sub total |
1,500 |
39,000 |
468,000 |
||||
|
General Costs (Over heads) |
|||||||
|
Rent |
400 |
4,800 |
|||||
|
Packaging Material |
500 |
6,000 |
|||||
|
Labour |
800 |
9,600 |
|||||
|
Utilities (Power & Gas) |
1,000 |
12,000 |
|||||
|
Repair & Servicing |
500 |
6,000 |
|||||
|
Fuel |
500 |
6,000 |
|||||
|
Depreciation(Asset write off) Expenses |
284 |
3,405 |
|||||
|
Sub - total |
3,984 |
47,805 |
|||||
|
Total Operating Costs |
42,984 |
515,805 |
|||||
3. Project Product Costs & Price Structure:
|
Item |
Qty/d |
Qty/yr. |
Unit |
Prod |
Unit |
T/rev |
|
Canned |
1000 |
312,000 |
1.65 |
515,805 |
2 |
624,000 |
4. Profitability Analysis:
|
Item |
Per |
Per |
Per Year |
|
Revenue |
2,000 |
52,000 |
624,000 |
|
Less: Production & Operating Costs |
1,500 |
42,984 |
515,805 |
|
Profit |
500 |
9,016 |
108,195 |
.