Business tip: ESTABLISHING A SOYA FLOUR PROCESSING PLANT IN UGANDA

By: wmutenza0 comments

Introduction

Soya Bean is emerging as an important crop in Pallisa, Soroti, and Kumi districts of Uganda. Apart from being a source of edible oil, Soya is rich in Proteins. Defatted or whole Soya is used to make innumerable products like: Soya milk, Soya flour, Soya coffee and Nugget. These products have gained consumer acceptance and a steady growth of market is expected.

Production Capacity

It is projected that this plant will produce 1 ton (1,000kgs) of Soya flour per day.

Production Process

Whole soya flour is made by cooking pre-soaked beans, drying, dehulling, and powdering. Soya Nuggets and Soya meal, etc. are made from Soya flour by extrusion.

Plant & Machinery

Plant and Machinery consists of cleaning equipment SS Tanks, Grinders, Boilers, Weighing scale and packing machine.

Note: Machinery can be locally purchased in Uganda especially from Agro-Sokon – Uganda limited.

Market Analysis:

The potential markets for soya flour are in the school feeding programme, Social welfare feeding programme, confectionery industries, Baking Industries for Nuggets and Chunks manufacturing as a supplement for wheat flour.

Project Costs in US$

The Project can be set up as one integrated unit or a cluster of small units. The capital investment for the proposed product mix is estimated at US$ 11,020.

Fixed Capital Requirements

Capital Investment: (Fixed) in US$

Description Amount (USD)
Plant & Machinery 1,020
Field truck 10,000
Total Amount 11,020

N.B: The monthly rental charges of a 200m Room is estimated at 250USD.

Running Costs (Monthly) in US$

Description Amount (USD)
Raw material (30,000kg) 22,500
Repair & Maintenance 200
Utility (Water, Transport & power) 800
Bags (5kg@) 3,750
Transport 1000
Labour (4 people) 400
Rent 250
Total Amount 28,900

Project Monthly Revenue:

The estimated daily sales and revenue are shown in the table below:

Description Monthly Sales Price for 5kg pkt (USD) Revenue
Out put 30,000kg 1.5 45,000
W. Capital 28,900
Gross Profit 16,100

Raw Material Availability

For the proposed product mix 1 ton per day is needed; this translates into 30 tons per month of Soya beans that is required. This will be locally sourced from local Markets.

Government Facilities and Incentives Available

Government is willing to finance Agro-Processing Industries and provide technical support to them in her bid to promote Industrialization.

General Costs (Over heads)

 

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