Introduction
This business idea is for Production and marketing of edible cashew nuts, the business idea is premised on production of 6,680 kgs of cashew nuts per month which translates into 56160 per year. The revenue potential is estimated at US$ 5408 per month, translating into 64896 per year. The project cost is US $ 64,896
Production Process
In the mechanized system, the raw cashew nuts are decorticated using a hand operated machine, mounted on a work table. The decorticator splits the nut when placed between two horizontally mounted blades, especially spread to suit the contour of the raw nut. The outer shell is conveniently split by sliding and splitting action of blades. An operator can process 25-30 kg nuts per day.
Production Capacity
The plant can have a capacity 9000 kgs per year
Land Requirement
Rent for a year would cost about 1,200 US Dollars
Capital investment requirement in US $
| Item | Unit | Quantity | @ | Total |
| Cashew Decorticator | No. | 1 | 1,000 | 1,000 |
| Other equipments | No. | 1 | 100 | 100 |
| Delivery van | No. | 1 | 2,500 | 2,500 |
| TC of Machinery | 3,600 |
Production and operating costs in US $
| Cost Item | Units | @ | Qty/ day | Prod. cost/ day | Prod. Cost/ month | Prod. Cost/ year |
|---|---|---|---|---|---|---|
| Cashew nuts | Kgs | 0.6 | 300 | 180 | 4,680 | 56,160 |
| Sub-total | 6,680 | 56,160 |
General costs (Overheads) Project cost
| Utilities (power) | 15 | 180 |
|---|---|---|
| Utilities (water) | 15 | 180 |
| Salaries | 60 | 720 |
| Rent | 75 | 900 |
| Depreciation (Assets write off) Expenses | 75 | 900 |
| Sub-total | 240 | 2,880 |
| Total Operating Costs | 6,920 | 59,040 |
| Item | Qty/ day | Qty/ yr | @ | Prod. Cost /year | UPx | TR |
| cashew nuts | 320 | 99,840 | 0.5 | 49,920 | 1.3 | 64,896 |
Profitability analysis in US$
| Profitability item | per day | per month | per year |
| Revenue | |||
| Cashew nuts | 208 | 5,408 | 64,896 |
| Less Prod & Operating Costs | 189.2 | 4,920 | 59,040 |
| Profit | 18.8 | 488 | 5,856 |
Market
Cashew nuts are highly demanded on the world market. Local market also exists although cashew nuts are not very common in all the areas of Uganda. This could turn out to be the turning factor in the marketing of cashew nuts as they have an open market, with limited competition.
Government Incentives
Government is encouraging small scale business that would provide employment to natives by giving them funds, subsidies and land.
Equipment Suppliers
Equipment can be imported from Asia and Europe
