businessafricanet.is Newsletter ISSN 1563-4108
Dr. QUENUM & ASSOCIATES
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AFRICABIZ VOL 1- ISSUE: 36
APRIL 15 - MAY 14, 2002
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Editor: Dr. Bienvenu-Magloire Quenum
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A WORD FROM THE EDITOR


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.

- THERE IS A LOT OF FREE CONTENT IN AFRICABIZ ONLINE. Dr. QUENUM & ASSOCIATES / BUSINESSAFRICA (TM) IS, HOWEVER, A SERVICE / CONSULTING COMPANY

Every 15th of the month we relentlessly provided you with free content in Africabiz Online. No need to register and have a password to access wealth of data, and review comprehensive economic analysis monthly posted in Business Opportunities in Africa These free content deliveries are our contribution to the economic development of Africa.

The monthly release of Business Opportunity in Africa always triggers many feedbacks.

Some people praise our contribution and thank us for opening to them new window to entrepreneurship.

Others just ask us to provide more information for free! They request for instance for the delivery of comprehensive Business Plans related to the briefs exposed in the opportunities bulletin. Or they want a thorough breakdown about the investment cost. In short, they want free meal.

We always - out of courtesy - reply to the first mail and explain to people requesting more for free that Dr. Quenum & Associates / BUSINESSAFRICA (TM) is a service company, which needs to survive financially in order to continue providing free content.

Nevertheless, some people pretend they have not understood the meaning of our first reply and keep on sending mails. They insist in having free meal. These mails are simply discarded. Furthermore our SpamKiller is then configured to killing any mail coming from them.

- TIME IS MONEY. RIGHT?

Finding, analyzing and sorting out detailed and reliable data exposed in the quarterly Business Opportunity's section of Africabiz Online is hard work. Time consuming. And we all know time is money. Dr. Quenum & Associates / BUSINESSAFRICA (TM) is proud to be the sole and unique international media, which provides, month after month since 1997 and quarterly since 2007 - for free - these tremendous profit oriented business opportunities, and economic development analysis.

So, we are hereby reasserting the fact that anything for free concerning business opportunities published in Africabiz Online is already online at the following link. Other analysis and economic development's releases are listed on the index page of Dr. Quenum & Associates / BUSINESSAFRICA (TM) Consulting or at the home page of Africabiz Online

- OUR SERVICE: A VERY SMALL AMOUNT OF TOTAL INVESTMENT

Let us consider the project concerning Papain for instance (Click here for more). It is sized up to the minimum investment level required for the maximum return on vested money. That is an investment in the range of US$8,000,000.00 (on turnkey plant basis with a proprietary technology) to producing 35 / 38 metric tons of pure freeze-dried papain per year. For a total revenue per year in the range of US$6,650,000.00 at capacity.

Any serious entrepreneur who is in the position to supporting such amount of investment can also bear the cost of service charged by Dr. Quenum & Associates / BUSINESSAFRICA (TM) for a comprehensive Business Plan. The cost of such intervention is something around US$100,000.00 (1.25 % of the total investment above outlined). You may visit following link for pricing structure concerning Dr. Quenum & Associates / BUSINESSAFRICA (TM) services:

Of course, you can draft the Business Plan yourself. Just make sure it is comprehensive. Otherwise, you cannot convince financing sources to assist you finding funds for your project.


In case you need funding for your project, Dr. Quenum & Associates / BUSINESSAFRICA (TM) can assist you finding additional funds from a minimum of US$2,000,000.00 and above as here exposed:

- Dr. QUENUM AND ASSOCIATES / BusinessAfrica™ DOES NOT PROVIDE GUARANTEE

For African investors there is a long standing problem of providing Bank Guarantee to securing funds for projects.

Dr. Quenum & Associates / BUSINESSAFRICA knows about the handicap and has solutions to solving the problem and assist client obtaining funds from financing sources. You may visit this link and this one which give further information on how Client / Borrower could solve the Guarantee / Security problem.

- Concerning the issuance of Bank Guarantee, clients used to ask Dr. Quenum & Associates / BUSINESSAFRICA (TM) to issue the Guarantee on their behalf . They say they already have a funding source waiting for the bank Guarantee.

There is a misunderstanding. Dr. Quenum & Associates / BUSINESSAFRICA (TM) is a consulting company and does not issue Guarantee / Security on behalf of Borrower.

In financing business everyone is aware it is the duty of client / borrower to provide collateral / bank guarantee to securing loans.

Further, Dr. Quenum & Associates / BUSINESSAFRICA (TM) shall be involved in assisting borrowers securing loan for project only if in charge from A to Z of the loan procedure. That is if you already have a financier of your own there is no way Dr. Quenum & Associates / BUSINESSAFRICA (TM) could be involved in your project except in assisting you for the draft of the Business Plan

For more on how to benefit from Dr. Quenum & Associates / BUSINESSAFRICA (TM) experience in project management (Business Planning, Investment Evaluation, Financing Research, Company Restructuring, Management Setup and Training. Etc.) you may visit Frequently Asked Questions page.

Contributor's Guidelines is here to review. Your contribution on "How African countries / entrepreneurs could bridge the developing gap" is welcome
.

Many thanks for dropping by and see you here on May 15, 2002.

Dr. B.M. Quenum
Editor of AFRICABIZ
Contact Dr. Bienvenu-Magloire Quenum

BUSINESS OPPORTUNITIES IN AFRICA


- 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)
g- FRUITS (34, 35)

- TROPICAL FRUITS INDUSTRY AS INCOME BUILDING POWER FOR AN AFRICAN COMMUNITY / PART III : INVESTMENT ESTIMATE FOR A PLANT TO PROCESSING PASSIONFRUIT TO FRUIT JUICE CONCENTRATES

In Issue N° 35 an investment estimate to establishing 500 hectares of Passionfruit agribusiness had been exposed. And we evaluated the purchasing price of the raw material (passionfruit) by the processing plant being equal to US $ 86 per metric ton.

Now we shall consider investment related to establishing a processing plant for the transformation of the 7,500 metric tons of passionfruit produced by the plantation.

Capacity of the plant: 7,500 metric tons of passionfruit; one shift; 5 days / week (260 days / year).

Production with appropriate technology:2,500 metric tons of bulk passionfruit juice at 15° Brix, which will be further processed into two kinds of final products:

1- Product for export: 1,650 metric tons of bulk passionfruit juice at 15° Brix transformed into 529 metric tons of concentrate at 32° Brix.

2 - Product for local and regional market: 850 metric tons of bulk passionfruit juice at 15° Brix transformed into 1,725 metric tons of syrup for carbonated soft drink.

REMARKS: It is highly advisable, in order to use the plant capacity to its maximum to purchase additional passionfruit crops from other sources. Or to combine this passionfruit business with the Essential Oil one here exposed.

- INVESTMENT ESTIMATE OF A PLANT TO PROCESSING PASSIONFRUIT INTO FRUIT JUICE CONCENTRATES


Items
Amount
(US$ x 1,000)
INVESTMENT

1- Land and buildings: Land acquisition - Plant (800 sq. meter) - Offices (150 sq. meter) - Housing for management (3 x 100 sq. meter)

350

2- Processing Equipment: Know How acquisition - Equipment purchase and setup - Blank Startup Assistance (for three months) - Spare Parts - Storage tanks - Cold room and so on.

1,175

3- Other Equipment: Offices equipment - Two trucks - Three four wheelers - Housing furniture and so on

750

4- Starting expenses: Feasibility study / Business Plan for the processing plant - startup technical assistance (for six months) and so on. Click here for tentative terms of references covering the processing plant establishment (Plantation establishment's Feasibility Study / Business Plan excluded. Click here Plantation's figures).

175

Total investment

2,450
PRODUCTION LEVEL
1- Passionfruit Concentrate at 32° Brix = 529 metric tons
2- Passionfruit Syrup for carbonated soft drink = 1,725 metric tons
OPERATING COSTS

Operational Expenses: Raw material purchasing - production costs - insurance - utilities - staff and hands / management salaries - external management assistance - amortization - interests on loan and so on.

965
GENERATED REVENUES
1- Passionfruit Concentrate at 32° Brix = 529 metric tons x 3,500 US $ per metric ton 1,887
2- Passionfruit Syrup for carbonated soft drink = 1,725 metric tons x 1,000 US $ per tons 1,725
Total Of Revenues 3,612

- IMPORTANT REMARK ABOUT REVENUES

The international selling price of passionfruit concentrate can reach up to US $ 6,000.00 per metric ton for product of very good quality with 32° Brix.. You will notice, however, that we have been very conservative and chose a selling price far bellow that level: US $ 3,500.00. That is to say only 58% of the selling price for good quality product.

Nevertheless the transformation process show the astounding result that this venture can produce. It is a real and powerful Income Building Power capable of driving upward the economic development of any regional territory of an African country as here extensively exposed.

We Dr. Quenum & Associates have the expertise to producing Feasibility Study / Business Plan covering all operational aspects (plantation establishment and processing of pasionfruit to fruit-juice's concentrate); that is to say: soil analysis; seeds and species selection; nurseries setup, plantation organization and management; plantation's production planning; processing plant sizing, engineering coordination; operational staff training organization and startup assistance; marketing in Europe / Americas and Asia of processed fruit juice. Business-to-Business online marketing website designing, setup/ hosting and management's training; additional business operations organization to using byproducts(rinds and seeds) and so on. For any interested party contact Dr. Quenum & Associates.


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