ACCORD MANAGEMENT CONSULTANTS
P O BOX 20809, DUBAI
EMAIL: [EMAIL PROTECTED]
Milk & Milk Products are daily necessities. Whether it is milk, yogurt,
milk powder, butter, cheese, or ice cream; these products have become a way of
life.
Sudan has a population close to 40 million people of which around 10
million are centered in and around Khartoum district.
All these years, milk & milk products were not in focus as commercial
venture. It's only in the last 3 years that this industry has opened up. At a
demand level, the following quantities are currently in demand;
Pasteurized Milk 100,000 liters per day
Yogurt 200 tons per day
Ice creams 50000 liters per day
This is just the beginning of the new consumer demand in Sudan and which is
expected to grow at the rate of 10% per year for the next 10 years. Against,
the above demand, 4 major manufacturers are able to generate production as
following:
Pasteurized Milk 45000 liters per day
Yogurt 26.5 tons per day
Ice creams 14,500 liters per day
This shows a gap between the demand & supply as under:
Pasteurized Milk 55000 liters per day
Yogurt 173.5 tons per day
Ice creams 35,500 liters per day
The existing manufacturers cannot increase their capacities since they had
planned for smaller capacities and have reached maximum capacity utilization
levels. Apart from Capo & Daima, the other two competitors have no strategic
marketing plans. Capo & Daima are more focused on Pasteurized Milk alone as
they have tied up their investments in this sector.
This leaves Yogurt & Ice creams as highly safe investment opportunity
today. No family in Sudan makes Yogurt at home and the deficit of 170 tons per day
is a huge market to operate with around 77.5% net returns.
Similarly, the gap in Ice cream production can be tapped very effectively
as the profit margins are 167%, but a heavy orientation & marketing strategy
is needed to increase the sales for Ice cream business.
The overall investments & expected returns are summarized below:
A) Yogurt Manufacturing only for proposed 10 tons per day
Plant Machinery & Equipment : US $ 540,000
Land & Building 20,000 sq.ft : at actuals
Working Capital requirements at 40 days' stock turnover : at actuals
Expected return per day : US $ 3000
Expected return per month : US $ 90000
Pay-back period for capital investment
On Capital with 2 months gestation from
Production commencement date : 10 months
B) Ice cream Manufacturing only for proposed 10000 liters per day and
100,000 bars per day
Plant Machinery & Equipment : US $ 1,125,000
Land & Building 30,000 sq.ft : at actuals
Working Capital requirements at 40 days' stock turnover: at actuals
Expected return per day : US $ 6500
Expected return per month at 50% sales : US $ 100,000
Pay-back period for capital investment
On Capital with 3 months gestation from
Production commencement date : 12 months
A complete detailed report is available which can be put into
implementation once investment acceptance & go-ahead signal is obtained.
In conclusion, the above two projects are the most potential in the next 5
years and it would be wise to invest in these specialized fast moving
consumer product market in Sudan.
AMC would see through the entire project from inception to commissioning,
trial runs, commercial runs and initial marketing of the product to achieve
the desired results. AMC expects the project to be operational within 140 days
from the date of opening LC on suppliers. Trial runs & Marketing would be
fully operational within 60 days of commercial production
AMC's role would be summarized as below:
· Prepare complete Project Report
· Identify milk-shed areas
· Determine price payable for bulk milk supply
· Formulate specifications for Equipment, Machinery & Finished products
· Identify suitable equipment suppliers
· Carry out inspection of equipment under fabrication
· Set up Total Quality Assurance programme
· Evaluate & Recruit various technical hands
· Impart training in Quality Control, Food Hygiene, Personal Hygiene,
Consumer Relationship, Sales & Marketing skills
· Develop suitable recipes/ formulae
· Carry out production trials
· Develop cost-effective procedures/processes
· Conduct market survey and study the current demand and trends
· Identify suitable retailers
· Carry out Test Marketing
· Carry out post-launch Market Feedback and incorporate relevant findings.
AMC's Consultation fees would be
US $ 60,000 for the YOGURT PROJECT ONLY,
US $ 75,000 for the ICECREAM PROJECT ONLY,
US $ 100,000 for A COMBINED ICECREAM & YOGURT PROJECT
Payable as follows:
25% at the time of signing of the contract:
25% at the time of LC opening of major equipment:
25% on Erection & Commissioning of Plant
20% upon successful trial production
Balance 5% on receipt of the 100th sales order
AMC personnel's travel, within & outside Sudan,
furnished accommodation in Sudan, Telephone, Fax and Internet charges towards the
Project and shall be to your account.
ACCORD MANAGEMENT CONSULTANTS
Accord Management Consultants (AMC) formerly known as Money Matters is a
Professional Management Consultancy Organization based in Dubai, UAE since
1986.
Our core competencies are as follows:
1. Business Set-Ups in :
Dubai, Sudan & United Kingdom
Business Trade License and Company Formation
Arranging Local Sponsors
Office, Warehouse Space Leasing
Residential Accommodation for Investor and Personnel
Business Visit and Residence Visa
Immigration and Permanent Settlement
All Municipal and Govt Department Formalities
Trade and Marketing Assistance
Trade Finance Arrangements from Financial Institutions
Property Purchases in Dubai and London
2.. Complete Project Set Ups on Turn Key Basis for the following business
Units
a. Milk and Milk Products Manufacturing and Marketing - Milk , Flavored
Milk, Butter , Cheese , Ice Creams , Yoghurt , Ghee .
b. Pharmaceutical and OTC and Cosmetics Products Distribution Networks ,
c.Manufacturing of Generic Pharmaceuticals like Tablets, Capsules ,
Ointments, Syrups and IV Fluids .
The AMC Team :
P. Rajshekhar- Chartered Accountant - Managing Partner
a. A. restructured 48 companies in Dubai, Tanzania,Thailand,Singapore and
B. revived 6 companies in the same region .
b. C. Working Capital Arrangements for 25 large/medium scale trading and
manufacturing companies in UAE.
D.. Set Up Distribution Network in Pharmaceutical Industry in Dubai,
Tanzania and Sudan by tying up with Manufacturers in India, Germany, United
Kingdom, Canada, Singapore and Thailand.
E.. Advanced Planning Stage of Manufacturing of range of Pharmaceuticals
under own brands
in Sudan for a reputed Pharma Distributor.
Vilas Kowjalgi -Msc in Dairy Science, 22 years of experience in Dairy
Industry
? Set up Milk Chilling Centres,
? Milk and Milk Products manufacturing,
? Ice Cream Manfacturing Units
Our Contact address
Accord Management Consultants, Dubai, UAE.
Telephone 00249-912-575828 Sudan
Email [EMAIL PROTECTED]
