Introduction
Chilli sauce is hot in taste and eaten either as raw or cooked for its hot flavor. Chilli or Pepper is used to make a variety of sauces and chilli pickles.
Production Capacity
The Rated Plant capacity is 500ltrs/day
Production Process
Chilli sauce is made following the steps outlined below:
Cut chillies roughly
Peel & chop garlic
Measure the capacity of your bottle with the jug & water
Add chillies and garlic to the jug & enough vinegar to make the
volume you need
Transfer these to a pan
Add 5 teaspoons of salt, and a teaspoon of sugar
Heat to boil
Blend this mixture until smooth
Re-heat in the pan & Pour into your bottle using the jug.
Raw Materials/Ingredients
Hot Paper, Salt, Mustard oil, Vinegar, Chillies and Garlic
Equipment
The Essential tools and equipments required for Chill Manufacturing includes: Food-blender, a sauce pan, graduated jug & clean bottles.
Capital Investment Requirements and Equipment
The project will be operated locally on small scale, i.e. producing at least 500ltrs of processed Chilli per day (15,000ltr/month). The total Fixed and Working Capital Investment required to start this project is estimated at USD 26,955.
Market Analysis:
Chilli may be sold locally in Super markets, Whole sale shops, Groceries and Hotels. It can also be exported.
Capital Investment in US$
| Capital Investment Item | Units | Qty | @ | Amount |
| Delivery Van | No. | 1 | 26,000 | 26,000 |
| Food Blender | No. | 1 | 150 | 150 |
| Sauce Pan | No. | 2 | 100 | 200 |
| Gas Cooker | No. | 1 | 600 | 600 |
| Jug | No. | 1 | 5 | 5 |
| Total Amount | 26,955 |
Operating Costs in US$ General Costs (Over heads)
| Item | Units | @ | Qty/ day | Prod. Cost/ day | Prod. Cost/ month | Prod. Cost/ Year |
| Direct Costs | ||||||
| Hot pepper | Kgs | 1.3 | 500 | 650 | 16,900 | 202,800 |
| Vinegar | Litrs | 3 | 50 | 150 | 3,900 | 46,800 |
| Garlic | Kgs | 4.8 | 50 | 240 | 6,240 | 74,880 |
| Packaging | Botls | 0.4 | 500 | 200 | 5,200 | 62,400 |
| Salt | Kgs | 0.4 | 20 | 8 | 208 | 2,496 |
| Sub total | 1248 | 32,448 | 389,376 |
| Rent | 600 | 7,200 |
|---|---|---|
| Labour | 1,000 | 12,000 |
| Utilities (Power &Water) | 300 | 3,600 |
| Repair & Maintenance | 500 | 6,000 |
| Gas | 500 | 6,000 |
| Fuel | 500 | 6,000 |
| Depreciation (Asset write off) Expenses | 562 | 6,739 |
|---|---|---|
| Sub – total | 3,962 | 47,539 |
| Total Operating Costs | 36,410 | 436,915 |
Project Product Costs & Price Estimate in US$
| Item | Qty/day | Qty/yr | @ | Pdn Cost/yr | UPx | T/rev |
| Chill Sauce | 500 | 156,000 | 2.8 | 436,915 | 3 | 468,000 |
Profitability Analysis:
| Profitability Item | Per day | Per Month | Per Year |
|---|---|---|---|
| Revenue | 1,500 | 39,000 | 468,000 |
| Less: Production & Operating Costs | 1,248 | 36,410 | 436,915 |
| Profit | 540 | 10,495 | 125,941 |
Sources of Supply of Raw Materials
Raw materials will be supplied from Hot pepper growing areas of Uganda especially in the North and Central regions.
Government Facilities and Incentives Available
The following incentives are available from Government in her bid to promote Agriculture and prosperity for all programs. These include: Capital/Input, Tax exemptions, Land, Basic infrastructure, Grants and long term Loans at relatively low interest rates and a liberalized market. Private Sector Foundation of Uganda has finances to support this type of venture.
