Compedium of Diaspora opportunities

30/05/2018

FRUIT SALAD PROCESSING AND VENDING BUSINESS IN UGANDA

Introduction:

This business idea is for making and marketing/vending of fruits. It involves selling varieties of fruits like mangoes, pineapples, paw paws, watermelon, apples and sweet bananas which are bought in large quantities, washed, peeled, cut into pieces and packed in disposable containers to make the fruit salads.

Their market structure and demand is relatively high especially in urban areas.

The business risk involved is healthy and safety related risks surrounding the manufacturing and processing but can be solved by employing food scientists and adhering to a strict safety and hygienic regime

Production Capacity:

Production capacity depends on the capital invested and capital capability. This business idea targets a sale of 250 fruit salads packed in containers per day, which translates into 6,500 packages per month. The revenue potential is estimated at US$200 per day, translating into US$ 62,400 per annum inclusive of a sales margin of 10%. The estimated total investment capital required to establish this project is estimated at US$704. The payback period is about 1 month and the net profit is 26%.

Technology and Process Description:

Fruit vending involves a door to door delivery of services and has no complicated technology involved. Fruit processing is relatively simple because fruits are bought in large quantities, washed, peeled, cut into pieces, mixed and packed into containers in a desired quantities for sale.

Capital Investment Requirements in US$

capital investment requirements
Capital Investment Item Units Qty @ Amount
Refrigerator No 1 400 400
Wrapping machine No 1 210 210
Knives No 4 1 4
Buckets No 5 6 30
Uniforms No 5 12 60
Total 704

Direct Materials, Supplies and Costs in US$ General Costs(Overheads)

Cost Item Units @ Qty/ day Pdn cost/ day Pdn cost/ month Pdn cost/ year
Direct Costs
Mangoes No 0.2 100 20 520 6,240
Sugarcanes No 0.7 10 7 182 2,184
Water mellon No 1.2 10 12 312 3,744
Apples No 0.24 50 12 312 3,744
Pineapples No 0.6 25 15 390 4,680
Pawpaws No 1 25 25 650 7,800
Sweet bananas No 0.04 100 4 104 1,248
Pears No 0.2 50 5 130 1,560
Grapes Kg 3 5 15 390 4,680
Jack fruit. No 2 1 2 52 624
Packing Materials No 0.1 250 25 650 7,800
Sub-total 626 142 3,692 36,114
Utilities (water & Power) 2 52 624
Transport 15 390 4,680
Labour 10 260 3,120
Miscellaneous Costs 5 130 1560
Depreciation (Asset write off) Exp 0.52 13.52 162.24
Sub-total 13 2500 32500 28 845.52 10,146
Total Operating Costs 170 4,538 46,800
  1. Production costs assumed are for 312 days per yearwith a daily capacity of 250 packages of fruit salads.
  2. Depreciation (fixed asset write off) assumes 4 years life of assets written off at 25% per year for all assets.
  3. Direct Costs include materials, supplies and other costs that directly go into production of the product.
  4. A production month is assumed to have 26 work days.

Project Product Costs and Price Structure

Item Qty/ day Qty/Yr @ Pdn cost/Yr UPx
Fruit Salads 250 78,000 0.6 46,800 0.8

Profitability Analysis in US$

Profitability Item Per day Per Month Per Yr
Revenue 200 5,200 62,400
Less: Production and Operating Costs 148.27 3,855 46,800
Profit 51.73 1,345 15,600

Market Analysis

There is a high demand in densely populated areas and the Ugandan population is highly sensitized about the use of fruits through radios and other media channels.

 






 
 

 

Central Scotland’s First Rum Distillery to Launch Crowdfunding Campaign in Response to Demand

Following overwhelming response to the launch of Central Scotland’s first rum distillery, Matugga Distillers is launching a £30K crowdfunding campaign.   Since the opening of the distillery in October, husband and wife ...
by wmutenza
0

 
 

THE IMPORTANCE AND RELEVANCE OF FRUGAL INNOVATION IN UGANDA

, Lecturer in Marketing School of Business, University of Leicester Exploring the nature and prospects of frugal innovation in Uganda and what are the opportunities that exist to foster frugal innovations in Uganda.   Dr W...
by wmutenza
0

 
 

Hon. Amongi Betty Ongom (MP), Minister of Lands on policies, legal frame work…

The Minister gave an overview of the housing sector in Uganda. She appreciated the fact that this year’s convention attracted a number of development companies from Uganda including Jakana heights, Roofings Ltd Uganda, Comfor...
by wmutenza
0

 

 

Lessons learned from the Uganda-UK Convention | Ade Daramy

By Ade Daramy, Writer, Broadcaster and Press Officer Is one question I will always get asked at least one question: “You’re not a Ugandan, and yet, you are here every year, why is that?”.   Ove the years, my answers ...
by wmutenza
0

 
 

Message from Vice Chairman, Uganda-UK Convention – Bernard R. Magulu

By Bernard R. Magulu, Executive Director, Bank of Africa (Uganda), (Vice Chairman, Uganda Convention UK) “Uganda the Land of Opportunities, Landlocked but Road Linked” the 360% Geographical Orientation for Investors providi...
by wmutenza
0

 

 

Examining free trade agreements (FTAs) and boosting intra-regional trade

Examining free trade agreements (FTAs) and boosting intra-regional trade Nicholas Tate, Managing Director, Tate Freight Forms Ltd. www.just-trade.co.uk In considering the positives and negatives of key agreements, are trade blo...
by wmutenza
0

 
 

Harnessing the potential of the youth to accelerate economic growth.

Presentation: Dennis Aguma, Lecturer, Kingston University, London Doctoral Student (PhD Entrepreneurship) Birmingham City University. In light of Uganda’s demographics, Dennis Aguma’s presentation was intended to challenge...
by wmutenza
0

 

 

Untapped investment opportunities Manufacturing | Agri-Business Health and Service industry

Panel discussion: untapped investment opportunities Manufacturing | Agri-Business | Health and Service industry Discussed points What are Africa’s Export Opportunities and Challenges to European and North American markets? Ho...
by wmutenza
0

 
 

INVESTMENT OPPORTUNITIES IN CONSTRUCTION, INFRASTRUCTURE AND REAL ESTATE

INVESTMENT OPPORTUNITIES IN CONSTRUCTION, INFRASTRUCTURE AND REAL ESTATE Panel discussion: 3-4 industry lead speakers from UK and Uganda HOUSING: Understanding market demand, and addressing the disconnection between the price o...
by wmutenza
0

 
 

Outlining the UK’s export growth strategy – Lord Dolar Popat

PRESENTATION: UK TRADE AND FDI – Outlining the UK’s export growth strategy By Lord Dolar Popat, UK Prime Minister’s Trade Envoy to Uganda and Rwanda   How can investment by the United Kingdom help improve skills in U...
by wmutenza
0

 

 

2018 | Welcome remarks: H.E Amb. Julius Peter Moto Uganda’s High Commissioner to the UK

H.E Amb Julius Peter Moto welcomed everybody to the 8th Annual Uganda – United Kingdom Trade and Investment Convention. He stressed that Uganda High Commission and Government of Uganda is happy to associate with Uganda UK Con...
by wmutenza
0

 
 

Thank you for supporting the 8th Ugandan Convention-15th Sept2018!

The Uganda UK Convention wishes to express its deepest thanks to Hon Betty Amongi Ongom, Minister of Lands Housing and Urban Development, Uganda and Lord Dolar Popat, UK Prime Minister’s Trade Envoy to Uganda and Rwanda. The ...
by wmutenza
0

 

 

UK suppliers sought for Uganda airport works

  UK suppliers are being sought for works on Uganda’s international airport. SBC (Uganda), a UK-incorporated joint venture between Colas and SBI International Holdings AG, are looking for UK contractors to work on the UK...
by wmutenza
0

 
 

UK company to construct New Ugandan Hoima International Airport | Uganda 8th Convention UK

Colas UK is a UK subsidiary of French civil engineering firm, Colas Group, and local construction company SBI. This   project, a Transport infrastructure firm will be supporting the construction of a new airport in Kabaale f...
by wmutenza
0

 

 

Universal Multi-purpose Entreprise group takes affordable housing investment to Ugandans in UK.

Affordable Housing is the leading real estate in Uganda managed by Universal Multi-purpose Entreprise group will be showcasing over twelve affordable housing projects in Uganda at the 8th Investment Convention scheduled for 15 ...
by wmutenza
0

 



0 Comments


Be the first to comment!


You must be logged in to post a comment.


 
WP Facebook Auto Publish Powered By : XYZScripts.com