investment opportunity in cassava Chips and Chunks

Chips and Chunks



Investment profile for cassava chips production for livestock feed drying with trays

Peeled Chips Unpeeled Chips
Capacity 2.5t/day 2.5t/day
Output per annum 195t 325t
Price Naira/t 20000 18000
Number of working days 180 180
Dry load density 16kg/m2 16kg/m2
Conversion factor 03:01 2.5:1
Raw material required/annum 585t 812t

Fixed Cost
Processing building 750,000 750,000
Chipping machines (2 unit double chipper of 1t/day) 160,000 160,000
Weighing scale 25,000 25,000
Well (water source) 20000 20000
Installation & other expenses @5% 47,750 47,750
Interest on capital @ 22.5% 225618.75 225618.75

Total cost 1,228,369 1,228,369

Other materials required include:
Drying trays (115 nos), rakes, shovels, wheel barrows, basins/tanks for washing and chipping (10 nos), packaging and storage material (bags, ropes, funnel). Costs are based on 2005 prices.
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Investment profile for cassava chips production for livestock feed drying on concrete floors (farm gate processing)

Option 1 Option 2
Peeled chips Unpeeled chips
Capacity 15t/day 15t/day
Output per annum 1170t 1560t
Price Naira/t 18000/t 18000/t
Number of working days 180 180
Dry loading density 10kg/m2 10kg/m2
Conversion factor 03:01 2.5:1
Raw material required/annum 3510t 3900t

Items and cost
Processing building 2,500,000 2,500,000
Chipping machines (4 units double chipper of 2t/day) 640000 640000
Concrete floors 1500m2@N800/m2 1,200,000 1,200,000
Well (water source) 20000 20000
Weighing scale 25,000 25,000
Installation & other expenses @5% 219250 219250
Interest on capital @ 22.5% 1035956.25 1035956.25

Total cost 5,640,206 5,640,206

Other materials required include:
Rakes, shovels, wheel barrows, basins/tanks for washing and chipping (10 nos), packaging and storage material (bags, ropes, funnel, wooden pallets). Costs are based on 2005 prices.


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Investment profile for cassava chunks/strips

With concrete flour With tarpaulin
Capacity 2t/day 2t/day
Output per annum (t) 156 156
Price Naira/t 15000 15000
Number of working days 180 180
Conversion factor 2.5:1 2.5:1
Raw material required/annum 390t 390t

Items and cost
Processing building 750,000 750,000
Cutting/slicing machines (1 units cutter of 2t/day, weighing scale, deep well water source) 200,000 200,000
Concrete floors 250m2@N800/m2 200,000 0
Installation & other expenses @5% 57,500 47,500
Interest on capital @ 22.5% 271,687.50 224,437.50

Total cost 1,479,188 1,221,938

Packaging and storage material (bags, ropes, funnel, wooden pallets) also required. Costs are based on 2005 prices.



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