Cassava cultivation and processing has a huge available market opportunity, because the global cassava market is estimated at 3645 million US Dollars. The demand for cassava and it constituents is in high demand globally. But the supply has unable to meet the huge demand. Report from PWC stated that; the global supply-demand gap for cassava products is at 485,000 metric tones while the local gap for the cassava products is about 290,000Metric tone. The report also states that Nigeria would need about 28.3 million metric tonnes of cassava tubers cultivation on about 1.2 million hectares of farm land to meet the country demand for cassava and the by-products, despite the facts that Nigeria produces about 248 million tonnes of cassava tubers, the highest in the world. This existing gap still create food shortage that is been experience in the country and resulting to the high cost of garri in the market. This a huge business for Dannybliss Integrated Agro Enterprise and investors. This huge opportunity has led to the cassava value chain investment project by Dannybliss Integrated Agro Enterprise in partnership with cassava farmers out-grower   co-operative to seek funding investment for the commercial cassava cultivation and processing project . Below is the executive summary of the cassava investment project.

EXECUTIVE SUMMARY

  • The following report and recommendation relate to the proposal by Dannybliss Integrated Agro Enterprise to embark on cassava tuber cultivation and processing in Rivers state
  • The project is aim at producing 125000 tons of cassava tubers that will be processed into 31,240 tons of garri for food sufficiency and as well creates over 2050 employment for youth in Rivers State.
  • The plan project is targeted to engage 2050 farmers in the cassava out-grower scheme with each farmer contributing their quota of farming production
  • The project would require a start-up capital of twenty five million five naira (₦25,000,000) for the entire cluster which will be used as working and fixed capital to carry out the farming activities as shown in the working capital breakdown
  • The financial projection shows that, the yearly sales figure stands at ₦31, 250,000  with a net profit of ₦6,250,000 for year 1 and net profit of ₦16,250,000 for year2 and ₦16,250,000 for year 3 respectively as shown in the profit and loss projection.
  • The competitive edge of the business venture lies in its ability to produce quality cassava tubers that will be processed into garri at affordable price as a result of good managerial ability and farming innovation
  • Therefore, from the point of analysis on this business, the cassava cultivation and processing business venture is found to be technically feasible, financially viable and economically desirable. Thus, this business offers solution to food shortage in the country and is capable of creating over 2050 job opportunity for the teaming youth and rural farmers in Rivers state, hence this proposal is attractive for funding.