Introduction

This Business Plan describes the investment, cost and benefits for setting up a premium quality Tomato
paste factory in Nigeria. The plant will commence production of Tomato paste filled and packed in
sterilized pouch of 70 grams.

The Plant whose installed Raw material input capacity is 500kg/h of fresh Tomatoes will produce double
concentrated tomato paste at 28% Brix using Cold break method.

The Industry Analysis and competitiveness

Tomato is an important vegetable (technically fruit) rich in the deposit of vitamins, mineral, and iron. It
is a good source of lycopene and forms an everyday component of meals in Nigerian households: served
in salad, eaten fresh and the main item in stew preparation.

With an estimated annual output of 2.4 million tons, Nigeria is the largest producer of tomatoes in sub
Saharan Africa, and ranked 13th in the world. Due to its short lifespan and seasonal dual trait – periods
of plentiful and subsequent shrink period – storage has become a big challenge in the value chain of this
rich vegetable/fruit. Although several unconventional storage mechanisms have been deployed in the
past, they all proved inadequate and unreliable.

Nigeria currently produces about 1.7 million tons of tomato paste a year but its actual demand is about
3 million tons, of which the short fall is met via imports. The country has the potential to produce about
$100 million US worth of tomato paste annually. The demand gap has always been met through imports
of about of tomato concentrate and paste valued at $1 billion annually

justifications for entry into the business

Tomato paste Imports of $1.5 Billion Dollars yearly fuels local manufacturing in Nigeria

Imports of fresh Tomato ban in Nigeria are a boost for the investor.

Local Manufacturers returns margin on investment of between 17% and 35%

High Nigerian Urban development which is growing at 8% annually is also a contributing factor for the
demand of Processed Packed tomato paste.

Tomatoes are cultivated all year round making it available for production

High demand and repeat-sales tendency because of large and increasing population

The country has a significant demand for the product but almost half of the tomato pastes found in its
markets have been imported from China and Italy.

Competitive Analysis

The emerging battle for supremacy among brands has pitched foreign brands like Gino, St Rita, Vitalis, to
mention a few, against local brands such as Tasty Tom, De Rica, and Festin, produced by Olam
International, and Ric Giko and Nagiko tomatoes produced by Erisco Foods Limited.

The intense competition has narrowed the lead to just very few brands while other indigenous brands
are slowly expanding their brands in the market. However, in the last few years, Gino has emerged the
new king, having wrestled leadership from De Rica which had dominated the market like a colossus for a
long time.

AYC Street Metrics Brands share of the Market 2019

Brand Name Share of the market Origin of Brand

Gino 51% Imported

De Rica 37% Locally Produced

Taste Tom 6% Locally Produced

Ric Giko3% Locally Produced

Vitalis 1% Imported
St Rita 1% Imported

Sonia 0.4% Locally Produced

Value place route to the Market

The Plant will build relationships with Hotels, restaurants, Supermarkets and Stores to promote the
buy-in of the brand and offer distributors as well as retailers the opportunity to make profits in a
category that they are not used to earning. The brand will support environmental and health concerns
within the Nigerian society to stay on the mind of consumers and build a stronger customer loyalty and
retention drive in the light of impending competition.

Proposed Production Plan

The plant will produce package Tomato paste in pouch. Raw material input capacity 500kg/h input fresh
fruits. The plant will commence at 60% of output capacity the products will be packed in 70grams size
pack– 50 packs per carton. Production however would commence at 70% capacity utilisation of installed
capacity.

Equipment Requirement

Description

1 Receiving and Washing machine

2 Fruits pitting coring and Crushing machine with plat

3 Sandwich pot boiler

4 Reverse osmosis water treatment system

5 high speed 5 heads linear filling machine of liquid, paste and sauces

6 Tape sealing machine

7 Fuel boiler
8 Air Compressor

9 Full line of pipe, electric cable, valve group and other auxiliary parts

10 Conveying and packing platform and tables

11 Food Test Equipment

Other machinery

12 Diesel 70KVA Generator

13 Marketing/ Delivery mini vans

14 Safety Equipment and tools

15 General tools

FINANCE

The entire Production plant for this model would cost about 35 Million Naira excluding generator plant,
factory Building and Vehicle for distribution. Working capital requirement are expected to be budgeted
for at least 3 months of production including special tomato farmers funding arrangement so as to be
assured of constant raw materials supply all year round.

PROFITABILITY

The first year profit before tax is arrived at about N16.5 Million Naira. Payback period is typically within
3 years of operation where it is managed efficiently. This venture qualifies for funding under the
various federal funding windows including CBN Agriculture Loan and The Bank of Industry.

How to get the Business Plan

The detailed and comprehensive report according to scale of production cover can be made available to
you on request. It will cover all the aspects of the project, from analyzing the market, confirming
availability of various necessities such as plant & machinery, raw materials, manufacturing techniques
and forecasting financial aspects by estimating the cost of raw material, formulating the income
statement, balance sheet and cash flow.

Terms and Policy

Customization of project is within 3 working days.

All reports and business plans are delivered through electronically means however client may require a
hard copy be delivered in addition. This would be at a charge for delivery and printing cost.

Perhaps you need an assessment of the cost and timeline requirement for this particular Business
report you have read please complete the form below or drop us a line at

The benefits of our products and services are

Availability of several varieties of goods

and products meeting the need of a wide

range of class of people .

Provision of quality products and friendly

service.

Excellent customer care services.

Fair and lowest possible prices

Our products and services

PATILAD WONDERS will produce quality canned

Tomato paste, Tomato Ketchup, sauce, J juice for

local consumption and for export. A It is our hope

to provide excellent customer service for our

customers and suppliers Below are the

products we wish to provide:

Tomato Paste
Tomato Ketchup

Dried Tomatoes

Tomato Powder

Tomato juice and sauce

Export services

Keys to Success

The keys to success forthe law business

include:

Building trust with clients

A group of experienced staffs with a broad

range of specialty areas that complement

each other.

Large facility space with visbility.

Objective for Tin Tomato Paste Production

Business Plan in Nigeria

To offer high-quality services and a

wonderful experience at reasonable prices .

To create products whose primary goal is

to exceed customer's expectations .

To achieve net profit of $60,000 in four

years.

To boost image and awareness by

establishing baseline customer satisfaction

of100%.

Goal for the Tin Tomato Paste Production

Business Plan in Nigeria

farming business in the South West, J

O to be amongst the top 5 Tomato

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Goal for the Tin Tomato Paste Production

Business Plan in Nigeria

To become one of the leading brands in the

Tomato farming business in the South West,

and also to be amongst the top 5 Tomato

Farmers in Nigeria within the first 10 years of

operation.

Vision for the Tin Tomato Paste Production

Business Plan in Nigeria

To become one of the leading ventures in the

Agro-processing industry in Nigeria and

beyond

Mission for the Tin Tomato Paste Production

Business Plan in Nigeria

Our mission is to provide tomato products to

Nigerian citizens We understand that the

customer service we provide is extremely

important, because we want each customer to

have a pleasant experience with our goods, and

it is the intention of our staffs to answer

questions with expertise and to offer advice

when we feel it is needed.

Mission forthe Tin Tomato Paste Production

Business Plan in Nigeria

Nigerian citizens We understand that the

customer service we provide is extremely

important, because we want each customer to

have a pleasant experience with our goods, J and

it is the intention of our staffs to answer

questions with expertise and to offer advice

when we feel it is needed.

Management Team of the Tin Tomato Paste

Production Business Plan in Nigeria

EMEKA Emekus - has over 10 years of

experience having worked in a Tomato

processing plant and will bring his vast

experience to bear in this business He is an

experienced businessman and entrepreneur

and one who has a B.Sc in Soil Science as well

as a Master's Degree from a prestigious

business school.

Mr Dayo Adetiloye (B . Agric., MBA and PMP)

He has over 1 5 years J experience in business

management, business start-up dynamics,

financial management of business and overall

business growth and development . He is an

alumnus of Enterprise Development Centre

f the Lagos Business School (LBS), Pan

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University (PAU). He is our business

develonment _strateaist_and_a_strateaic_nartner.
Competitor Analysis for Tin Tomato Paste

Production Business Plan in Nigeria

People buy from us because of the following

reasons:

Efficient production and utilizing

greenhouses

Unique and well packaged products

Core experienced and highly qualified

staffs -

Fair and best possible prices and discount

offers.

Our three major competitive advantages are:

1 Efficient production and utilizing

greenhouses

2 Unique and well packaged products.

3 Fair and best possible prices and discount

offers