A feasibility study on the establishment of a fertilaid blending plant in the Philippines
The business that the project will be generally engaged in is in the production and marketing of organic fertilizer. Essentially, the project involves the setting-up of a blending plant for fertilaid soil activator and the sale of the same to end users via authorized dealer outlets. From a detailed...
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| Format: | text |
| Language: | English |
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Animo Repository
1976
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| Subjects: | |
| Online Access: | https://animorepository.dlsu.edu.ph/etd_masteral/455 |
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| Institution: | De La Salle University |
| Language: | English |
| Summary: | The business that the project will be generally engaged in is in the production and marketing of organic fertilizer. Essentially, the project involves the setting-up of a blending plant for fertilaid soil activator and the sale of the same to end users via authorized dealer outlets. From a detailed analysis of the market for Fertilaid, the 10,000 metric tons per year output can easily be absorbed by the market in the areas and crops specified. However, expansion plans at the end of the 10th year need to be reassessed inasmuch as the demand/supply gap during that time would have considerably narrowed in view of the increased capacity expected to be realized by large chemical fertilizer plants envisioned to be operational by the government. The selling price of P53.10 per 50 kg. bag also appears competitive compared to existing chemical and organic fertilizers. In fact, the price is lower than most organic fertilizers available while at the same time matching the attributes of chemical fertilizers in terms of crop yields. At the operating capacity of 80% of rated production or 10,000 metric tons per year, the technical study confirms the availability of local raw materials, qualified labor complement, power requirements and other basic components needed to support the project. The study also confirms the feasibility of adopting the process for the manufacture of Fertilaid locally using the various combination of machines recommended for a plant of this size. Finally, the choice of the plant site, being easily accessible to the immediate market and the sources of raw materials, appears to be ideal. On the over-all, therefore, the technical study for the Fertilaid project strongly indicates that the product can be manufactured in the form, manner, substance, quantity and quality specified by the licensor, John C. Porter Enterprises, Inc. The entire Fertilaid project, as priced out in the financial study, reveals that it is commercially viable to implement. The payback period for the project, at less than five years |
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