This business idea is for essence extraction from curry leaves. Essence adds flavor and taste to food. For one to enter the market, it is recommended that s/he targets supplying to supermarket chains, grocery/retail shops and restaurants. The business idea aims at production of 46,800 bottles of essence annually. The revenue potential is estimated at US $ 702,000 annually. The total capital investment for the project is US $ 4,700.
The profiled plant has a minimum capacity of 150 vials per day and this is an output of a single 8-hour work shift.
Technology and Production process
Essence is extracted from the curry leaves with the essence extractor or distillation set then the liquid is filled in bottles and sealed. The room should be moist to conserve the fresh curry leaves.
Scale of investment
Capital Investment Requirements in US$
Production and Operating Costs
|Cost Item||Units||@/ day||Qty/ day||Pdn Cost/ day||Pdn cost/ mth||Pdn Cost/ Year1|
|Fresh curry leaves||Kgs||1.8||1,000||1,800||46,800||561,600|
General costs (Overheads)
|Selling and Distribution||100||1,200|
|Depreciation (Asset write off) Expenses||97.92||1,175|
|Total Operating Costs||48,080||576,959|
- Production is assumed for 312 days per year.
- Depreciation assumes 4 year life of assets written off at 25% per year for all assets.
- A production Month is assumed to have 26 days.
Project product Costs and Price Structure in US $
|Item||Qty / day||Qty/yr||Unit cost||Pdn/yr||UPx||TR|
Profitability Analysis Table in US$
|Profitability Item||Per day||Per Month||Per Year|
|Less: Production and Operating Costs||1,849||48,080||576,959|
Government facilities and Incentives
The government encourages agro-based investments because they add value. The tax policy is quite favorable for the industrialists e.g. if you export, you enjoy reimbursement tax.
The essence extraction from curries’ leaves is a rural micro enterprise activity and has good demand in domestic as well as international market. Areas of concentration would include restaurants, hotels, retail/grocery stores and tourist centers.
Sources of Supply of equipments
All equipments can be got in Uganda