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production of cassava chip for ethanol
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INDUSTRIAL PROFILE ON CASSAVA CHIPS PRODUCTION
Sep. 27 FIIRO Mandate no comments
INTRODUCTION
Cassava Chips and is a product derived from cassava. Nigeria is the largest producer of cassava in the world with a yield of about 54 million tonnes of cassava in 2012.
Cassava (Manihot spp) is a tropical perennial crop cultivated mainly for its edible root, is a staple food consumed worldwide and provides much economic benefit to the producers. Cassava can be processed in a variety of ways to arrive at different products including as gari, fufu, lafun, starch, chips and pellets, etc.
Cassava chips are unfermented white dried products of cassava with an average diameter of 3mm – 5mm often used as a carbohydrate base in the animal feed industry particularly in Europe, or milled into flour for other uses such as in the production of ethanol, cakes, dough-nut and biscuits.
MARKET INFORMATION
The demand for Cassava Chips as an industrial product is wide. It cuts across so many industries such as distilleries, pharmaceutical, food and most especially the animal feed industry. The estimated demand for Cassava Chips in Nigeria was found to be in excess of 1,500,000T/annum. There is a high export demand in China especially for ethanol production. In fact, Nigeria is planning to export chips to China to the tune of 1,100,000T this year. This is a clear indication that Cassava Chips has a high market potential.
RAW MATERIALS
The raw material for Cassava chips production is cassava roots. Cassava is grown in almost all the states in Nigeria with Nigeria being the highest producer of cassava in the world with an output of about 54 milion tonnes in 2012. The 1 below shows cassava production output between 2008 and 2012.
MACHINERY AND EQUIPMENT
The machinery and equipment for cassava chips production are: Chipping Machine, Tunnel Dryer and Packaging Machine.
PROCESS TECHNOLOGY
The process technology consists of the following simple basic unit operations:
SORTING AND WEIGHING: The cassava roots delivered for processing are sorted and the wholesome ones selected following by weighing.
PEELING: The roots are peeled manually or mechanically.
WASHING: The peeled roots are washed to remove dirt.
CHIPPING: The washed roots are chipped into thin slices of desirable sizes.
DRYING: The chipped slices are dried.
PACKAGING: The chips are packaged in sacks ready for the market..
PRODUCTION PROGRAMME
Production Days/Week : 6
Production Week/Annum : 50
Production Day/Annum : 300
Production Volume/Day : 10 Tonnes
Production Volume/Annum : 3,000 tonnes
Input – Output : 1 : 0.45
Based on the above assumptions, the proposed five-year production programme is shown below.
LABOUR REQUIREMENT
For efficient operation of this venture, both skilled and unskilled personnel are required. These consist of the production, administrative/account and marketing personnel. About twenty seven (27) personnel are required for the project to take-off.
NB: The initial fixed capital includes factory construction, machinery and equipment, project vehicle, generator, office furniture and equipment and a borehole for water supply.
PROFITABILITY INDICATORS
Return on Investment (Year 1) 54.7%
Return on Equity (Year 1) 136. 7%
Net Profit to Sales 11%
Gross Profit to Sales 15.7%
Profitability Index 2.3
Breakeven Point (Year 1) 49%
Payback Period 1.3 Years
Net Present Value @ 25% ₦10,566,040.00
SERVICES AVAILABLE AT FIIRO
1. Technology Transfer Training on Cassava Chips Production.
2. Fabrication and Installation of Cassava Chips Production.
3. Preparation of Bankable Feasibility Report/Business Plan on Cassava Chips Production
4. Quality Control Services
5. Technical Assistance Services (including machinery and equipment installation, commissioning and personnel training on installed plant).
FOR FURTHER ENQUIRIES, PLEASE CONTACT:THE DIRECTOR-GENERALFederal Institute of Industrial Research, Oshodi (FIIRO)2, FIIRO Road, Cappa Bus Stop, Oshodi, P.M.B. 21023, Ikeja, Lagos, Nigeria. Website: http://www.fiiro.gov.ng E-mail Address: [email protected], [email protected], [email protected], [email protected], [email protected] Telephone: +234-80-2341-5016, +2434-80-3720-1569, +234-80-3305-1427.