Business Plan for Solar Processing of Tomatoes - Revision history

Ranisha at 19:11, 14 July 2020

2020-07-14T19:11:41Z

Rebecca Navarro: /* Marketing Strategy */

2019-09-09T08:14:26Z

‎Marketing Strategy

Rebecca Navarro: /* Marketing Plan */

2019-09-09T08:03:55Z

‎Marketing Plan

Rebecca Navarro: /* Marketing Plan */

2019-09-09T08:03:13Z

‎Marketing Plan

Rebecca Navarro: /* Marketing Plan */

2019-09-09T07:49:20Z

‎Marketing Plan

Lisafeldmann: /* Further Information */

2016-08-23T09:21:11Z

‎Further Information

Lisafeldmann at 10:33, 22 August 2016

2016-08-22T10:33:32Z

Lisafeldmann at 07:52, 2 April 2015

2015-04-02T07:52:07Z

Laura Jakobeit: /* Further Information */

2014-12-12T12:55:30Z

‎Further Information

Ranisha at 08:35, 8 December 2014

2014-12-08T08:35:56Z

Show changes

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 This article presents the business plan of the project "Solar Powered Processing of Tomatoes" by TAMPA (Tigray Agricultural Marketing Promotion Agency) and the Sustainable Land Management Program (GIZ SLMP) in Ethiopia.
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 *[[Energy within Food and Agricultural Value Chains|Energy within Food and Agricultural Value Chains]]
 *[[PoweringAg Technology Database Source of Energy|PoweringAg Technology Database - Solar Technologies]]
-*[[Portal:Powering Agriculture|Powering Agriculture portal on energypedia]]<br/>
+*[[Portal:Water and Energy for Food|Water and Energy for Food (WE4F) portal on energypedia]]
 <br/>
@@ Line 399: / Line 398: @@
 *German Development Cooperation. Retrieved from www.giz.de
 [[Category:Financing_and_Funding]]

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 <br/>
 == Marketing Strategy ==
-The products should be sold within in the woreda Kola Tembien. If necessary, they can be sold also in other woredas of Tigray. As the dried tomatoes are sold at a high prize in Addis-Abeba (60 birr for 100 gram), dried tomatoes from Tigray could be surely competitive, as they are offered for 10.5 birr per 200 gram for retailers.
+The products should be sold within the woreda Kola Tembien. If necessary, they can be sold also in other woredas of Tigray. As the dried tomatoes are sold at a high prize in Addis-Abeba (60 birr for 100 gram), dried tomatoes from Tigray could be surely competitive, as they are offered for 10.5 birr per 200 gram for retailers.
 The enterprise must have a distribution point in the woreda capital Abi Adi. This could be any existing shop from where the products are distributed to retailers. They should be brought regularly once in a week (around 50 bottles of juice, plus 150 packages of tomato paste, plus 200 packages of dried tomatoes and tomato powder) during the production period (December to June) from the production site in the field to the distribution point in the town by public transport. The retailers will provide themselves from this point with the products they need for sale in their shops.

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 <br/>
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 *easy to cultivate by the farmers and give high yields, over 10 tons/ha
-Farmers must aim on selling most of their production as fresh tomatoes. But in case, the price which they get from wholesale is extremely low, it could be partly processed by a micro business located nearby the cultivation site, so that no considerable losses may occur during transport to the processing unit. This is important because tomatoes that are going to be processed need to be as ripe as possible. The micro business does not have a considerable storage capacity for tomatoes. Tomatoes which are purchased by the enterprise from the farmers must be processed within the following 3 days.
+Farmers must aim on selling most of their production as fresh tomatoes. But in case, the price which they get from wholesale is extremely low, it could be partly processed by a micro business located nearby the cultivation site, so that no considerable losses may occur during transport to the processing unit. This is important because tomatoes that are going to be processed need to be as ripe as possible. The processing site does not have a considerable storage capacity for tomatoes. Tomatoes which are purchased by the enterprise from the farmers must be processed within the following 3 days.
 The '''annual processing capacity''' is around 10 tons, due to a total of 210 sunny days, allowing the 4 solar cookers to process and sterilize about 20 kg of fresh tomatoes a day. A solar dryer of 10 m² (5 m x 2 m) assures the drying of another 5 tons of fresh tomatoes from which the final product will be 675 kg of dried tomato slices and 75 kg of tomato powder.

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 <br/>
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 *easy to cultivate by the farmers and give high yields, over 10 tons/ha
-Farmers must aim on selling most of their production as fresh tomatoes. But in case, the price which they get from wholesale is extremely low, it could be partly processed by the micro enterprise that is located in the environment of the fields so that no considerable losses may occur during transport procedures from their fields to the processing unit. This is important, because tomatoes that are bound to being processed must be as ripe as possible. The micro enterprise does not provide considerable storage capacity for tomatoes. Tomatoes which are purchased by the enterprise from the farmers must be processed within the following 3 days.
+Farmers must aim on selling most of their production as fresh tomatoes. But in case, the price which they get from wholesale is extremely low, it could be partly processed by a micro business located nearby the cultivation site, so that no considerable losses may occur during transport to the processing unit. This is important because tomatoes that are going to be processed need to be as ripe as possible. The micro business does not have a considerable storage capacity for tomatoes. Tomatoes which are purchased by the enterprise from the farmers must be processed within the following 3 days.
-The '''annual processing capacity''' is around 10 tons, due to a total of 210 sunny days, allowing the 4 solar cookers to process and sterilize about 20 kg of fresh tomatoes a day. A solar dryer of 10m2 (5m x 2m) assures the drying of another 5 tons of fresh tomatoes from which the final product will be 675 kg of dried tomato-slices and 75 kg of tomato powder.
+The '''annual processing capacity''' is around 10 tons, due to a total of 210 sunny days, allowing the 4 solar cookers to process and sterilize about 20 kg of fresh tomatoes a day. A solar dryer of 10 m² (5 m x 2 m) assures the drying of another 5 tons of fresh tomatoes from which the final product will be 675 kg of dried tomato slices and 75 kg of tomato powder.
 <br/>

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 <br/>
 = Marketing Plan =
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 *easy to cultivate by the farmers and give high yields, over 10 tons/ha
-Farmers must aim on selling most of their production as fresh tomatoes. But in case, the prize which they get from wholesale is extremely low, it could be partly processed by the micro enterprise that is located in the environment of the fields so that no considerable losses may occur during transport procedures from their fields to the processing unit. This is important, because tomatoes that are bound to being processed must be as ripe as possible. The micro enterprise does not provide considerable storage capacity for tomatoes. Tomatoes which are purchased by the enterprise from the farmers must be processed within the following 3 days.
+Farmers must aim on selling most of their production as fresh tomatoes. But in case, the price which they get from wholesale is extremely low, it could be partly processed by the micro enterprise that is located in the environment of the fields so that no considerable losses may occur during transport procedures from their fields to the processing unit. This is important, because tomatoes that are bound to being processed must be as ripe as possible. The micro enterprise does not provide considerable storage capacity for tomatoes. Tomatoes which are purchased by the enterprise from the farmers must be processed within the following 3 days.
 The '''annual processing capacity''' is around 10 tons, due to a total of 210 sunny days, allowing the 4 solar cookers to process and sterilize about 20 kg of fresh tomatoes a day. A solar dryer of 10m2 (5m x 2m) assures the drying of another 5 tons of fresh tomatoes from which the final product will be 675 kg of dried tomato-slices and 75 kg of tomato powder.
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 <br/>
 = Production Plan =

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 <br/>
 = Further Information<br/> =
 *[[:File:Flyer TAMPA.pdf|Flyer TAMPA]]<br/>
 *[https://www.giz.de/en/worldwide/18912.html GIZ Sustainable land management, Ethiopia]<br/>
 *[[Ethiopia Energy Situation|Ethiopia Energy Situation]]
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 <br/>
 = Reference =

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 Tomatoes will be processed from October to June. Depending on sunny days which are essential for the use of solar energy, in the region of Tigray one can estimate the seven-months-period from November/December to May/June as intensive production period. Thus, the micro enterprise will process during 210 days per year.
-different value chains are involved, as shown below: The liquid tomato processing value chain and the dry processing value chain. Liquid products are tomato paste and tomato juice or tomato sauce. Dried tomatoes are offered as tomato slices and tomato powder. [[File:Quantified tomato processing value chain design.png|center|750px|Quantified tomato processing value chain design (liquid and dry)]]
+different value chains are involved, as shown below: The liquid tomato processing value chain and the dry processing value chain. Liquid products are tomato paste and tomato juice or tomato sauce. Dried tomatoes are offered as tomato slices and tomato powder. [[File:Quantified tomato processing value chain design.png|center|750px|Quantified tomato processing value chain design (liquid and dry)|alt=Quantified tomato processing value chain design (liquid and dry)]]
 === Raw Material ===
@@ Line 378: / Line 378: @@
 = Further Information<br/> =
-*[[:File:Flyer_TAMPA.pdf|Flyer TAMPA]]<br/>
+*[[:File:Flyer TAMPA.pdf|Flyer TAMPA]]<br/>
 *[https://www.giz.de/en/worldwide/18912.html GIZ Sustainable land management, Ethiopia]<br/>
-*[[Ethiopia_Energy_Situation|Ethiopia Energy Situation]]
+*[[Ethiopia Energy Situation|Ethiopia Energy Situation]]
-*[[Energy_within_Food_and_Agricultural_Value_Chains|Energy within Food and Agricultural Value Chains]]
+*[[Energy within Food and Agricultural Value Chains|Energy within Food and Agricultural Value Chains]]
-*[[PoweringAg_Technology_Database_Source_of_Energy|PoweringAg Technology Database - Solar Technologies]]
+*[[PoweringAg Technology Database Source of Energy|PoweringAg Technology Database - Solar Technologies]]
-*[[Portal:Powering_Agriculture|Powering Agriculture portal on energypedia]]<br/>
+*[[Portal:Powering Agriculture|Powering Agriculture portal on energypedia]]<br/>
 <br/>
@@ Line 391: / Line 391: @@
 *German Development Cooperation. Retrieved from www.giz.de
 [[Category:Solar]]

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 = General =
-Economic development in remote rural areas in Ethiopia can be enhanced by value adding on farmers’ agricultural raw products. Small scale agro processing must lead to consumable end products, which are food safe, conservable, transportable and marketable. Agro processing depends on availability of electrical power, and this is a critical issue: Actually, in 2014, only 14% from the 90 million Ethiopians have access to grid power, and from the rural population (67 million people) only 2 %.
+Economic development in remote rural areas in Ethiopia can be enhanced by value adding on farmers’ agricultural raw products. Small scale agro processing must lead to consumable end products, which are food safe, conservable, transportable and marketable. Agro processing depends on availability of electrical power, and this is a critical issue: Actually, in 2014, only 14% from the 90 million Ethiopians have access to grid power, and from the rural population (67 million people) only 2&nbsp;%.
 The use of renewable energy from the sun might be an appropriate alternative in remote areas. Many agro processing steps need both thermic energy (heat) and electrical energy (power), both can be obtained from the sunlight. In Tigray, the availability of solar power is reliable and regular in the dry season, when the weather is not cloudy. This period lasts about 9 months in Tigray, from October to June. The tomato season starts around end of November and ends in the month of June. Then, the processing period will last for 7 months = 210 days.
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 Turnover in the first phase arises from annual sale of the following commercial products:
 *3,150 kg of fresh tomatoes are processed to 1,260 kg long conservable tomato paste, packed into 3.150 bags of each 200 gram plus 1,260 bags of 500g
 *1,050 kg of fresh tomatoes are processed to 735 liter of tomato juice, packed in 1,470 bottles (‘Highland’) of each 0.5 liters
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 Tomatoes are easily perishable. If fully ripened, they spoil within one-days-time. Processed tomato products have several advantages, they are….
 *conservable without cooling
 *value added to ready-made healthy and tasty products through crushing, mixing, sieving, cooking, sterilizing and by adding spices
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 === Dried Tomatoes ===
-Fresh tomatoes are dried in the sun for 3-4 days to reduce the moisture content to a maximum of 15 %. Dried tomatoes are conservable for about 1 year. They will be offered in polyethylene bags of 200 g net weight, each for 10.5 birr.
+Fresh tomatoes are dried in the sun for 3-4 days to reduce the moisture content to a maximum of 15&nbsp;%. Dried tomatoes are conservable for about 1 year. They will be offered in polyethylene bags of 200 g net weight, each for 10.5 birr.
 === Tomato Powder ===
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 Tomatoes will be processed from October to June. Depending on sunny days which are essential for the use of solar energy, in the region of Tigray one can estimate the seven-months-period from November/December to May/June as intensive production period. Thus, the micro enterprise will process during 210 days per year.
-different value chains are involved, as shown below: The liquid tomato processing value chain and the dry processing value chain. Liquid products are tomato paste and tomato juice or tomato sauce. Dried tomatoes are offered as tomato slices and tomato powder. [[File:Quantified tomato processing value chain design.png|center|750px|Quantified tomato processing value chain design (liquid and dry)|alt=Quantified tomato processing value chain design (liquid and dry)]]
+different value chains are involved, as shown below: The liquid tomato processing value chain and the dry processing value chain. Liquid products are tomato paste and tomato juice or tomato sauce. Dried tomatoes are offered as tomato slices and tomato powder. [[File:Quantified tomato processing value chain design.png|center|750px|Quantified tomato processing value chain design (liquid and dry)]]
 === Raw Material ===
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 === Boiling/Evaporating ===
-Around 7 liter of the liquid is spilled in each of 3 black painted cooking pots and brought to boil on 3 solar cookers in a clean and wind protected open site. The boiling process serves to evaporate water: in case of tomato juice/sauce 30 % of water need to be evaporated which takes about 1 hour boiling time. Tomato paste is a more concentrated product: at least 60 % of water need to be evaporated by the force of the sun which takes at least 3 hours per cooking pot of 7 liter content
+Around 7 liter of the liquid is spilled in each of 3 black painted cooking pots and brought to boil on 3 solar cookers in a clean and wind protected open site. The boiling process serves to evaporate water: in case of tomato juice/sauce 30&nbsp;% of water need to be evaporated which takes about 1 hour boiling time. Tomato paste is a more concentrated product: at least 60&nbsp;% of water need to be evaporated by the force of the sun which takes at least 3 hours per cooking pot of 7 liter content
 === Cutting / Chopping ===
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 Products for commercialization (daily output):
 *20 kg fresh tomatoes for liquid processing = 15 kg for tomato paste + 5 kg for tomato juice. The end products are 6 kg paste + 3.5 litre juice:
 = 6 bags of 500g polyethylene bags + 15 bags of 200g polyethylene bags + 7 bottles tomato juice filled into 0.5l new “highland” bottles<br/><br/>
 *24 kg of fresh tomatoes for dry processing = 3,240 g dried tomato slices + 360 g tomato powder
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 The table below shows investment assets, small material, depreciation time and depreciation costs per year.
-{| align="center" style="width: 750px" border="1" cellspacing="0" cellpadding="3"
+{| cellspacing="0" cellpadding="3" border="1" align="center" style="width: 750px"
 |-
 | '''Description'''<br/>
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 Credit costs / opportunity costs:<br/>As shown in the table above, the investment costs are 97,700 birr. 15% of annual credit costs are considered. Annual credit/opportunity costs are then '''14,655 birr'''
-Maintenance costs:<br/>5 % of investment costs = '''4,885 birr per year'''
+Maintenance costs:<br/>5&nbsp;% of investment costs = '''4,885 birr per year'''
 Depreciation:<br/>As shown in the table above = '''13,065 birr per year'''
-Profit (net):<br/>Net profit (should be around 13 %) = '''17,738 birr'''
+Profit (net):<br/>Net profit (should be around 13&nbsp;%) = '''17,738 birr'''
     Total Fix costs = 83,943 birr
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 <br/>
 = Further Information<br/> =
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 *[[:File:Flyer_TAMPA.pdf|Flyer TAMPA]]<br/>
 *[https://www.giz.de/en/worldwide/18912.html GIZ Sustainable land management, Ethiopia]<br/>
-*[[Ethiopia Energy Situation|Ethiopia Energy Situation]]
+*[[Ethiopia_Energy_Situation|Ethiopia Energy Situation]]
-*[[Energy within Food and Agricultural Value Chains|Energy within Food and Agricultural Value Chains]]
+*[[Energy_within_Food_and_Agricultural_Value_Chains|Energy within Food and Agricultural Value Chains]]
-*[[PoweringAg Technology Database Source of Energy|PoweringAg Technology Database - Solar Technologies]]
+*[[PoweringAg_Technology_Database_Source_of_Energy|PoweringAg Technology Database - Solar Technologies]]
-*[[Portal:Powering Agriculture|Powering Agriculture portal on energypedia]]<br/>
+*[[Portal:Powering_Agriculture|Powering Agriculture portal on energypedia]]<br/>
 = Reference =
@@ Line 385: / Line 391: @@
 *German Development Cooperation. Retrieved from www.giz.de
 [[Category:Financing_and_Funding]]