Garlic Powder Production and Sales (Local and Export) in Nigeria; The Feasibility Report.

Garlic (Allium sativum) is a spice crop belonging to the family Alliaceae along with onion (A. cepa. L), leek (A. ameloprisum L.), chives (A. schoenoprasum L), and shallot (A. asaclincum). It is the second most widely used amongst cultivated Alliums after onions (Allium cepa). The crop consists of an underground bulb and vegetative shoot which consist of leaves and flower. They are 40 cm tall when fully grown.

The leaves of garlic are flat and very slender, in contrast to other alliums whose leaves are cylindrical and hollow. The garlic plant, both the green tops and the bulbs are used as spice, flavoring and seasoning vegetables and meat dishes. Its pungent smell could be very unpleasant when perceived fresh but when added to meals gives the meal a delightful fragrance. Today garlic is a widely recognized health enhancing supplement.

Fresh garlic is cultivated in large quantities by many farmers in Nigeria especially in the Northern stated like Kano, Kaduna, Kebbi, Sokoto, Jigawa, Bauchi, Katsina and Zamfara States.

Garlic has digestive, carminative and anti-rheumatic properties. It is used in aurvedic formulation since ancient times for curing muscular pain, giddiness, lungs, heating intestinal ulcer, etc.

Garlic is consumed as green as well as dried in the spice form and as ingredient to flavour the various vegetarian, non-vegetarian dishes and pick­les. Good tasty pickles, chut­neys, curry powders are pre­pared from Garlic cloves. Garlic is also used to disguise the smell and flavour of salted meat and fish. Dehydrated Garlic in powdered or granulated form is being used in place of fresh bulbs in many countries.

The main advantages of preparation of value added products from Garlic are to increase the storage life and also to reduce the transportation cost and earn more foreign ex­change. Garlic is being exported either in the form of dehydrated flakes or dehydrated powder. Now-a-days the dehydrated Garlic is gaining considerable im­portance in the world. Also, the dehydrated products are more uniform in flavour than the stored bulbs.

Garlic powder is ground, dehydrated garlic. It is a very common seasoning. Applications include pasta, pizza, and grilled chicken. Garlic salt is simply salt plus garlic powder. (Pre-made products usually include an anti-caking agent.) Garlic powder is a common component of spice mix. It is also a common component of seasoned salt.

The market for the product is very widely spread and bulk of the household’s restaurants, eateries, caterers, and clubs use it regularly. The demand for the processed products is increasing day by day due to its convenience to handle and use. There are good export prospects as well.

This report is to examine the financial viability or otherwise of establishing a garlic powder production and packaging plant in Nigeria.

The production capacity of the proposed business is twelve (12) tons for garlic powder per day of three (3) shifts of eight (8) hours each working at eighty percent (
80%) of the installed capacity in the first, second, third, fourth and fifth year of operations respectively.

Table of Contents

EXECUTIVE SUMMARY 1.0 Business Overview 1.1 Description of the Business 1.2 Vision and Mission Statement 1.3 Business Objective 1.4 Value Proposition 1.5 Critical Success Factor of the Business 1.6 Current Status of Business 1.7 Description of the Business Industry 1.8 Contribution to Local and National Economy 2. Marketing Plan 2.1 Description of product 2.2 Product Packaging and delivery 2.3 The Opportunity 2.4 Pricing Strategy 2.5 Target Market 2.6 Distribution and Delivery Strategy 2.7 Promotional Strategy 2.8 Competition 3. Production Plan 3.1 Description of the Location 3.2 Raw Materials 3.3 Production Equipment 3.4 Production Process 3.5 Production Cost 3.6 Stock Control Process 3.7 Pre-Operating activities and expenses 3.7.1 Operating Activities and Expenses 3.8 Project Implementation Schedule 4.0 Organizational and Management Plan 4.1 Ownership of the business 4.2 Profile of the promoters 4.3 Key Management Staff 4.3.2 Management Support Units 4.4 Details of salary schedule 5. Financial Plan 5.1 Financial Assumption 5.2 Start- up Capital Estimation 5.3 Source of Capital 5.4 Security of Loan 5.5 Loan Repayment Plan 5.6 Profit and Loss Account 5.7 Cash Flow Analysis 5.8 Viability Analysis 6.0 Business Risks and SWOT Analysis 6.1 Business Risks 6.2 SWOT Analysis

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