Introduction
We are proposing to develop a medium scale oil palm plantation with maize and plantain production in Iwo Local Government in Osun State, Nigeria. 50 hectare (125 acres) of land is to be acquired for this purpose. 47 ha would be used for cultivation of oil palm and maize. These crops are crossbreed for 2 1/2 years. Plantain would be planted separately on 1 ha of land. The remaining 3 ha would oil palm processing and construction of farm storage.This project is expected to generate N10,000,000.00 per annum ($60,000). It is expected to have 2,700 litres of palm oil per hectare.
Objectives & Vision
This project would seek to support the vision of Federal government through increased production of these food and cash crops to ensure local food security and potential for future exports to boost the National Income. While the mission is poverty reduction and creation of employment for the populace as it would be revealed in this survey that agriculture is a profitable venture.
Keys to Success
The writer have identified three keys that will be instrumental in its success. The first is the implementation of strict financial controls. By having the proper controls, production efficiency will be maximized. The second key will be the never ending pursuit for the industry's training, research and development. The third key is the recognition and implementation of the philosophy that 100% customer satisfaction is required to ensure a profitable business. Profits are a by product of satisfying customers.
Strength Weakness Opportunities and Threats (SWOT) Analysis
Strength
Large land mass
Weakness
One of the noticeable weaknesses is the inability of the country to produce mechanized farming equipments. The latter are imported from abroad and this may add to the cost as the currency exchange rate is a bit unfavourable.
Opportunity
Enormous demand for all the proposed products, the availability of raw materials, availability of labor, availability of suitable climate, employment opportunity for the populace.
Threats
Foreign exchange instability which may affect the cost of farm equipments, Inappropriate agricultural policies that may restrain agricultural potential, Import tariffs that may put fertilizer out of producers’ reach thus leading to low yields.
Problem
Nigeria is highly blessed with natural resources and its economy had been traditionally dependent on agriculture. Nigeria’s soils and climate allow cultivation of a wide variety of food crops. Estimates indicate that 82 million hectares out of Nigeria’s total land area of about 91 hectares are arable. However, only about 34 million are being cultivated presently. Most agricultural activities take place in the northern states of Nigeria such as Kano, Kaduna, Sokoto, Jigawa, Bauchi and western states such as Oyo,Osun etc.
In the 1960s and early 70s, agricultural products had been the main source of income for Nigeria. Its economy heavily relied on agricultural products such as Cocoa, Palm Oil, Millet, Sorghum, Maize, Cotton, Groundnuts, Corn, and Cassava, besides Rice and Wheat.
However, with the discovery of oil, the then Government of Nigeria shifted its focus to crude oil exports. Eventually, the agricultural sector suffered from neglects and food situation became insecure in Nigeria. The food production over the past two decades has not been keeping pace with the Nigeria’s burgeoning population and the Food and Agriculture Organization (FAO) listed Nigeria among the food-deficit countries.
Eventually, the country moved from being a large net exporter of agricultural produce at the time of independence to a sizable importer. More so, the importation of agricultural products from abroad has directly contributed to the depleted state of our economy and brought about total deterioration in the agricultural sector.
To rectify this ugly situation, the Federal Government introduced the Green Revolution Program and Operation Feed the Nation in which there is a frantic effort to boost the agricultural sector. Hence, in an attempt to corroborate the effort of government, this project is initiated.
Our focus in this project shall be on three agricultural produce, two of which are food crops (production takes duration of 6 months to 1 year) and Cash Crop, Palm Oil (which is produced within 3 to 4 years using hybrid method).
Solution
1.The replacement of long gestation palm oil tree of ten years with new and improves palm oil tree of maximum of two to four years gestation period.
2.Solvent extraction plant method will be introduced to recovered palm oil that would have been lost as waste product.
3.By instituting a mechanism of monitoring and evaluating the strengths and weaknesses of our competitors in an on-going basis; instituting a mechanism that will enable the company to get regular and instant feedback.
4.Processing of palm oil and kernel in an hygenical ways.
5.Cost reduction and improvement in productivity
6. Palm oil seed will be procured from National Iinstitute for Oil Research Nigeria (NIFOR),this is going to assure quality seed.The gestation period can be reduced up to two years as seed will be placed in nursery for the period of one to two years.It will not only reduce gestation period but also reduce cost as maximum of 10% cost can only be incured in the nursery compared to the cost to be incured in the palm for period of one to two years.
7. We relied on skill of our staff and management.The project will provide job oppurtunities for the teeming population.It will also increase the income of the poor especially people in the rural region.Reduction in the price of palm oil,kernel oil and palm kernel cake.Processing of palm oil and kernel in an hygenical ways. Installation of 5 machines,production of palm oil Free of: Fatty Acid,cholesterol and smoke.The living standards will improve and solve community implementation infeasibility.
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