Dear visitor and international investor,
We
warmly welcome you, if this is
your first visit to Africabiz
Online - The ultimate newsletter
on trading and investing in 49
sub-Saharan African countries.
If you are a regular and faithful
reader, welcome back.
If you are a regular and faithful reader, welcome back.
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NEW PARTNERSHIP FOR AFRICA'S
DEVELOPMENT - NEPAD
After quite two years of maturation sponsored by Presidents
of South
Africa, Algeria Egypt, Nigeria
and Senegal,
the New Partnership for Africa's Development - Nepad
is gaining speed.
Meetings between African government decision makers
are regularly held - since the initiative was endorsed
by the Organization For African Unity - OAU - summit
in Lusaka, Zambia on the 11 July 2001; in order to finalizing
and harmonizing the entire African continent position
on economic development requirements and strategy in
face of the developed world.
On Tuesday 12, 2002 the world most developed industrial
countries' body - G8 - representatives met in Cape Town
(South Africa) with selected African countries counterparts
for a brainstorming session to drafting a detailed plan
of action for Nepad.
The G8 Heads of States' summit meeting scheduled to
take place at Ottawa (Canada) in June 2002, had on its
agenda discussions and resolution on how to back up
and support development projects and initiatives linked
to the African Recovery program devised by Nepad.
France's Jacques Chirac and UK's Blair are the spearhead
advocating leaders for G8' support to Nepad. On February
8, 2002 Jacques Chirac hosted a meeting at Paris with
several African heads of States to deliberate and discuss
on how to increase the percentage (with regards the
national GDP) of the financial supports provided by
developed countries to the developing world. On his
part Tony Blair toured (February 7-9, 2002) Ghana,
Nigeria
Senegal
and Sierra
Leone
Click
here for more on the discussions between Blair and
Nigeria's Obasanjo (February 7, 2002) on the New Partnership
for African Development. And here
on a well done brief on Nepad.
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COULD NEPAD INITIATIVE ACTS
AS THE MAGIC WAND FOR AFRICAN RECOVERY?
All these meetings, planning and initiatives are very
good news for Africa's future.
The Powers of the day are now more and more conscious
that a weak and impoverished Africa, plagued with devastating
diseases (Malaria, AIDS) is a threat to their own prosperity.
Nepad is therefore an excellent initiative. It had first
helps developed countries leaders "seeing the light";
and second it will also oblige African leaders and heads
of states who are willing to take advantage from the
benefits to apply good governance in their respective
countries, avoid conflict-bound political decisions
leading to national and regional civil wars. Click
here to review Nepad's components which read as
follows :
1-
Peace, Security, Democracy and Political Governance
Initiative.
2- Economic and Corporate Governance Initiative.
3- Bridging the Infrastructure Gap.
4- Human Resource Development Initiative
5- Capital Flows Initiative.
6- Market Access Initiative.
7- Environment Initiative |
One can see that the recovery policies are neatly outlined
as above exposed. However one is entitled to raising
few questions:
- Could the Nepad initiative be the driving
force to solving the urgent and acute economic
development problematic African countries are
now confronted with?
- Could the basic concept of Nepad - the development
of common and regional infrastructure projects
- be sufficient to triggering the sustained economic
development process needed by each African country?
- Could Nepad engineer the ultimate economic take
off of any African country?
- Could Nepad create sufficient riches for African
countries' economies to allowing for the fair
distribution of wealth amongst the populations
on a sustained and permanent basis?
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These are few questions to be adequately and properly
addressed by the African supervisors of Nepad in order
not to waste time and energy into setting up and building
another redundant "development house" in addition
to IMF / Word Bank, United Nations Economic Commission
For Africa and so on.
Consideration was duly given to the African Renaissance
problem in a previous
delivery titled: Is Africa Doomed? The African Challenge.
Click
here to review further consideration on questions
above raised.
-
DO NOT LET YOUR SYSTEM OPENED TO HACKERS AND VILLAINS
If you haven't done so yet it is high time to take measures
to protect your system against tugs and villains mischievous
actions. Some people over the World Wild Web relish
on creating havoc on other people computers. Their ego
is lifted to the highest when they know that they have
destroy your hard work. Don't make it easy for them.
Take protective measures. Click
here to review how to protect your hard work
from tugs and vandals.
Contributor's
Guidelines are available here.
Your contribution / economic articles / technology breakthroughs
on "How Africa could bridge the developing gap"
are welcome.
Many
thanks for dropping by and see you here on March 15,
2002.
Dr.
B.M. Quenum
Editor
of AFRICABIZ
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In previous issue
we announced the exposition in current delivery of economic
indications for a small to medium scale plant to producing
Ethanol.
However, we have finally decided not to publish these
data as Technology to efficiently producing Ethanol
is evolving day-by-day.
-
The "old" production methods were based on
the technology of 1- using Acid as catalyst to
convert ("hydrolyze") cellulose and hemicellulose into
simple sugars (hexose and pentose, or "C6 and C5" sugars);
2- fermenting and and distilling the sugars
into ethanol. The hydrolysis process uses huge quantities
of Sulfuric Acid and high temperature to produce steam.
Click
here for a sample of said technology.
-
The "new" emerging production methods use
low temperature and enzymes as catalysts to producing
ethanol with better Energy Balance Click
here for more on the Energy Balance problem.
Iogen Corporation (Ottawa, Ontario), is preparing
final touches on a pilot scale ethanol plant to demonstrate
how ethanol can be manufactured from enzymatic process
to producing 3,100 gallons (11,73 liters) per day of
fuel grade ethanol by the spring of 2002, utilizing
approximately 40 tons per day of wheat straw feedstock.
Iogen Corporation forecasts the first use of this type
of technology in a large scale commercial plant as early
as 2004.
-
So we shall wait to proposing the best available ethanol
production technology to African industrialists, entrepreneurs
and decision makers. In the meantime, African decision
makers should be careful not to acquire outdated
or obsolete technology. Not to purchase a second
hand plant to save pennies!
ADDENDUM
MADE On April 4, 2003
The Agricultural Marketing Resource Center (AgMRC)
at Iowa State University, developed a Web site
with online tools to help farmers and other potential
investors evaluate the profitability of an ethanol
plant.
The Ethanol Prefeasibility
Evaluator lets registered users create
different economic assumptions about an ethanol
plant, as well as store and modify data for future
use.
"Ethanol market conditions, grain supply and prices,
transportation choices, environmental issues,
energy costs, federal and state incentives and
funding alternatives are some of the variables
that must be understood and managed before embarking
on an ethanol venture," says AgMRC agriculture
specialist Ray Hansen. Click
here to reach The Ethanol Prefeasibilty
Evaluator
|
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Several business opportunities with high profit making
potential which are economic
catalysts and components to the Strategy for African Countries - here
available - have been introduced to you. They are listed
in following table.
a-
SHEA BUTTER (Issues 5,
6,
7,
11,
12,
13)
b- BLUE GOLD (Issues 14,
15,
16,
17,
18,
19)
c- FREEZE-DRIED PAPAIN (Issues 20,
21,
22
and here)
d- KENAF (Issues 23,
24)
e- VEGETABLE OIL (Issues 25,
26,
27
and 28)
f- CEREALS (Issues 30,
31,
32,
33)
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TROPICAL FRUITS INDUSTRY AS INCOME
BUILDING POWER FOR AN AFRICAN COMMUNITY /
PART I : ESSENTIAL OIL AND FRUIT JUICE PRODUCTION
In sub-Saharan African countries, huge quantities of
harvested fresh fruits (pineapple, lime, citron, orange
and so on are not totally sold out - by producers to
consumers. The producers cannot preserve the freshness
of the unsold quantities from depreciation for lack
of 1- Cold room for conservation-storage and
2- For lack of transformation plants. Most
of the time the unsold quantities of fresh fruits rot
and are discarded as garbage.
This is really a very sad matter as these fruits could
be transformed into higher added valued products (jam,
edible and industrial alcohol, essential oils, fruit-juice,
candies and appetizers); and provide additional revenues
to the countries.
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MEDIUM SCALE PLANT TO PROCESSING CITRUS FRUITS
Main processed raw materials for figures below
outlined are citrus fruits (Lime, citron); plant to
transform 7,750 metric tons per hour of fresh harvested
lemon / citron; two shifts / 8 hours effective working
time per shift; 150 working days per year to processing
18,600 metric tons of fresh lemon / citron (harvested
in tropical areas from September / October to November
/ December) to produce following finished products:
-
Essential oil (cold pressed) from the fruit's peel.
- Concentrated lime / citron fruit-juice. (325 /
400 GPL)
- Essential oil extracted from the fruit-juice.
- Dried peel of the fruit for pectin / vegetable
jelly production. |
With few additional equipment to the processing plant
above described orange, shaddock / grapefruit and pineapple
can also be transformed into concentrated fruit-juices.
|
Amount
(US$ x 1,000)
|
INVESTMENT
|
Shelters
- Storage Area - Water piping or Well - Scale
for lorries. Etc.
|
210
|
Electrical wiring - Steam equipment - Compressed
Air system - Hydraulic settings - R&D and
Control facility. Etc.
|
150
|
Main
production equipment : Essential oil production
line - Fruit Juice production line - Vacuum evaporator
- Juice cooler - Essential oil collector - Miscellaneous. |
850 |
Cold
room : 400 square meter at minus 25° Celsius
and 90 square meter at + 5° Celsius. |
550 |
Fruit's
peel drying system |
460 |
Starting
expenses
|
200
|
Operational
funds (3 months) |
200
|
Total
investment |
2,620
|
TURNOVER
|
Essential
Oil = 76 metric tons X 16 |
1,216
|
Fruit
Juice = 1,440 metric tons X 700 |
1,008 |
Dried
Fruit's peel for pectin = 1,392 metric ton X 300
|
417 |
Extracted
oil from fruit-juice = 18,6 metric tons X 3,5 |
65
|
Total
Turnover |
2,706
|
OPERATING
COSTS
|
Total
Salaries
|
150
|
Other
Operating Costs : Administration costs - Raw materials
purchasing- Utilities - Gas - Fuel - Maintenance
costs - Packaging - Amortization - Freight cost
for exportation - Short term financial interests
- Miscellaneous |
1,260
|
Total
Operating Costs |
1,410
|
GROSS
PROFIT
|
Total
Gross Profit
|
1,296
|
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FOREIGN EXCHANGE BENEFIT IMPROVEMENT
Cold pressed essential oils are mainly used in the preparation
of perfumes, deodorants, hair lotions, perfumed soaps,
disinfectants, sun-care lotions, bath-salts, toothpaste,
and in some preparation of the pharmaceutical industry.
Oil extracted from the fruit juice is used in the food
and confectionery industry as flavor ingredient for
liqueurs, aromatic teas, candies and candied fruits;
the production of soft drinks. Pectin are used as thickening
for jellies and jams.
-
This is a real niche opportunity for any African
country to improving its foreign exchange balance.
It is also a perfect Economic
Catalyst
The selling prices of the essential oils, pectin
and fruit-juices - as exposed in the Turnover' section
of the table above - are far more higher than
that of the initial fruits and will contribute tremendously
to the growth
rate and the global development process of any
African country which promotes such industry.
One should bear in mind that above exposed outstanding
Gross Profit margin had been achieved with only 150
operational days based on lime / citron as raw materials.
The Gross Profit margin could easily be doubled (with
marginal investments into additional equipment) if other
fresh fruits (pineapple, mango, orange, guava etc.;)
are made available all over the year as raw materials
to produce concentrated juice-fruit.
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|