Packaged fufu powder for local, export markets

What has prompted the writer about this project is a result of recent investigation carried out in which it was discovered that there has been tremendous change in the consumption pattern of people, both at home and abroad, on the need to eat fufu being prepared by them from the powder.

It was further discovered that existing producers in Nigeria couldn’t meet up with the demand of the users of this all-important product. Not only that, export market for fufu powder is widening every day. In this regard, forward-looking and aggressive investors can capitalise on this viable investment opening.

Investment justification

Raw materials for production of fufu powder are readily available in Nigeria, as the basic raw material is cassava. Nigeria is the second largest producer of cassava in Africa after Zaire and fifth in the world.

About 10 million metric tons of `raw cassava are produced in Nigeria annually. Nigeria has the potential (land and human resources) to produce more than 100 million metric tons per annum of cassava tubers.

The demand for fufu powder in Nigeria and abroad cannot be overemphasised. Fufu is very rich in carbohydrate and the smooth texture, when prepared, is an attraction. Fufu powder produced from factories and well packaged will gain instant acceptability from consumers. The profitability of the project is not in doubt as it costs a maximum of N80, 000 to produce a ton, which is currently being sold at N150,000 (minimum) in the market.

A profit of N70,000 per metric ton of fufu powder produced is therefore possible. Other social and economic benefits derivable are employment generation, rural income generation, import substitution (thereby conserving our foreign exchange) reduction in social vices and increase in value added non-oil export.

Production technology/technical information

Fufu powder can only be produced via good fermentation and the use of stainless steel equipment. Fufu powder processing involves washing and peeling of raw materials, chipping, fermentation, pulverisation, sieving, sedimentation, sieving, de-watering, drying and packaging. Implementation procedure involves feasibility study preparation (can be provided on request). Finance sourcing, plant and equipment sourcing, procurement of appropriate accommodation, recruitment of personnel, raw materials procurement and commercial production take-off.

Profitability

Daily net profit of N70,000 has been computed, working for a conservative figure of 200 days in a year will yield N14 million net profit on annual basis. This is no doubt a good source of livelihood for Nigerians, especially retired civil servants, public servants, bankers, corporate bodies looking for means of livelihood and diversification. Investors can be assisted in the establishment of the project.

OLUMAKINDE ONI