BUSINESS NAME: IJG FARMS LTD

BUSINESS: FRUIT MARKETING; PINEAPPLE MARKETING

INDUSTRY: AGRICULTURE (PLIN EAPPLE MARKETING IN RIVERS STATE)

BY: GROUP THREE, SUB GROUP ONE

INTRODUCTION

The scientific name of the pineapple is Ananas comosus. And it belongs to Bromeliaceae family.

Generally, in the tropical climatic zone, it is an important fruit crop. Generally, pineapple

cultivation demands high rainfall and humid atmosphere. However, you can grow pineapples

commercially in the interior plains with medium rainfall and supplementary protective

irrigations.

Some of the major pineapple producing countries are Costa Rica, Brazil, Philipines, Thailand,

Indonesia, India, Nigeria, China, and Mexico. In India, Assam, Meghalaya, Tripura, Mizoram,

West Bengal, Kerala, Karnataka, and Goa are the major producing states.

Generally, commercial pineapple farming demands sufficient area of land and proper irrigation

facility. In addition to that, the farm must have the proper arrangements for plant protection. In

this business, you can expect a substantial ROI and quick payback.

Economic Importance of Pineapple Farming

Currently, the pineapple fruit is the 3rd most important commercial tropical fruit crops after

banana and citrus. Additionally, the fruit is important as intercropping plants, canned food and

also fresh fruit consumption. Also, the pineapples contribute to over 20% of the world’s

production of tropical fruits.

Also, the Native Americans use pineapple for the preparation of alcoholic beverages for the

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production of beer, and for medical purposes. Even, this crop also cultivated as garden

ornamental. Some of the major pineapple importing countries are U.A.E., USA, Saudi Arabia,

Oman, and Nepal.

Health Benefits of Pineapples

 Pineapple can help in the treatment of gastrointestinal problems, such as slow

digestion, constipation, and Irritable Bowel Syndrome (IBS).

 Also, pineapple can help improve the symptoms of osteoarthritis.

 Additionally, pineapple is useful for treating hayfever and speeding up the healing of

the sunburned skin.

 Pineapple is a good source of vitamins A and B. Also, it is fairly rich in vitamins C,

calcium, magnesium potassium and iron.

 It is also a source of bromelain, a digestive enzyme.

 Along with the antioxidant compounds that protect against oral cancer, pineapple

also has astringent properties, which strengthen gums and teeth.

Agroclimatic Conditions for Pineapple Farming

The pineapple is a crop of humid tropics. Hence, you can grow the fruit well near the sea coast

as well as in the interior, so long as the temperatures are not extreme.

The optimum temperature for successful cultivation is 22° – 32°C. Leaves and roots grow best at

32°C and 29°C respectively. However, the growth ceases below 20°C and above 36°C. A high

temperature at night is deleterious and a difference of at least 4°C between day and night

temperature is desirable.

You can grow pineapples up to 1,100m above mean sea level if the area is frost-free. Although

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optimum annual rainfall for its commercial cultivation is 100-150 cm. Hence, it grows

remarkably well under a wide range of rainfall. In areas where the rainfall is less, you need to

provide the supplementary protective irrigations during the dry season.

Suitable Soil for Pineapple Farming

The plants come up well in any type of soil except on very heavy clay soil. Sandy loam soils are

ideal. The soil should be 45-60 cm in depth without hardpan or stones. However, you must avoid

low-lying areas with the high water table. The plants prefer a soil pH of 5.0-6.0.

Pineapple Farming Basic Steps

Propagation

Actually, the performance of the plant depends on vigor, growth rate, the time taken for bearing,

fruit size and quality of planting material. Besides type and size of plant material also results in

variation in the performance of plants.

So, if you use planting material of different types and sizes, it results in a poor rate of plant

establishment, uneven growth of the plants, uneven flowering and harvesting stretched over a

long time. Therefore, it is always advisable to use the uniform-sized material of monotype.

Hence, selection of right type and size of planting material is essential for commercial plantings.

Planting

Planting time is very important for the natural flowering period. However, it differs from region

to region. By the time of natural flowering, if the plant does not attain the optimum

physiological maturity, either it escapes flowering the next season or if flowering is induced in

the same season, the plant, bear very small fruits.

Hence, the ideal time of planting is 12-15 months before the peak flowering season under

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natural conditions. Generally, it varies from December to March in different regions. Time of

planting also varies from place to place depending upon the time of onset of the monsoon and

the intensity of its precipitation.

The plant density of 63,400 plants/ha (22.5 cm x 60 cm x 75 cm) is ideal for subtropical and

mild humid conditions. However, for hot and humid conditions a plant density of 53,300

plants/ha spaced at 25 cm from plant to plant within a row, 60 cm from row to row and 90 cm

from trench to trench (25 cm x 60 cm x 90 cm) provides a high yield.

Manuring

Pineapple is a shallow feeder with high N and K requirement. Before plantation, you must test

the soil to identify the nutrient deficiencies. However, you can apply fertilizer under rainfed

conditions when moisture is available.

Intercultural Activity

Some of the most important intercultural activities are earthing up, weed control, mulching, and

removal of suckers, slips, and crowns.

Actually, earthing up is an essential operation in pineapple cultivation aimed at good anchorage

to the plants. It involves pushing the soil into the trench from the ridge where trench planting is a

common practice.

Additionally, mulching with black polythene and saw-dust results in better growth of plants than

white polythene and paddy-straw.

Irrigation

Generally, you must try to grow pineapple under rainfed conditions. However, the

supplementary irrigation can help produce good sized fruits in areas having optimum rainfall.

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Irrigation can also help establish an offseason planting to maintain its year-round production. In

scanty rainfall and during hot weather irrigating pineapple once in 20-25 days is advisable.

Harvesting, Yield & Post Harvest Management

Pineapple plants flower 10-12 months after planting and fruits become ready 15-18 months after

planting. Irregular flowering results in the harvesting spread over a long period.

You can expect an average yield of 50 to 80 tonnes/ha. However, the per acre yield highly

depends on the plant density and cultivation practices. Additionally, you can expect an economic

life of 5 years from a pineapple plantation project.

With a slight color change at the base of developing fruits, it could be harvested for canning

purpose. But for table purpose, you need to retain the fruits till they develop golden yellow

color. You can keep the fruits with the crown without damage for 10-15 days harvesting.

Pineapple farming is a highly profitable business. And you can maximize the profit where you

can offer value-added products of pineapples.

Executive Summary

IJG Farms is an exciting new company that meets an unsatiated need for quality and fresh

pineapples. We have done our detailed market research and feasibility studies and we were able

to secure a hectare of land to start our pineapple business. Our pineapple business is going to be a

standard one hence will be involved in commercial cultivation.

We choose to start our pineapple farming business in Choba because that is where we had access

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to a rented land, and more so, the market will as well be accessible from this our location since

our primary target market area is Rivers State.

We have plans in the pipeline to start our fruit juice processing plant and also start exporting our

products to other parts of Nigeria where they have active taste for our products.

We are in the pineapple farming business because we want to leverage on the vast opportunities

available in the crop farming industry, to contribute our quota in growing the Nigeria economy, in

national food (crop) production, to export agriculture produce from Nigeria to other countries and

over and above to make profit.

IJG Farms is well equipped and well positioned to become one of the leading pineapple farming

business in Nigeria, which is why we have been able to source for the best hands and equipment

to run the business.

We have put process and strategies in place that will help us employ best practices when it comes

to crop cultivation farming processes.

IJG Farms is a group registered crop cultivation farming company that is owned and managed by

the group members. The company will be fully and single handedly financed by the owners at

least for a period of time before inviting other investors.

IJG Farms are Nigerians, undergraduates of university of Port Harcourt, decent that has robust

relationship with the vast communities throughout Rivers state and with companies who produce

pineapple juice, wholesalers and retailers of pineapple.

Our Product Offerings

IJG Farms is a licensed farming business that is committed to pineapple farming for both Rivers

market and the global market. We will also ensure that we operate a standard food processing

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plant as part of our complimentary business offering.

We are in the pineapple farming line of business cum crop production industry to make profits

and we are going to do all that is permitted by the law in Nigeria to achieve our business aim and

objectives.

Our Vision Statement

Our Vision is to become one of the leading pineapple farming and selling company not just in

Rivers state but in Nigeria at large.

Our Mission Statement

Our mission is to sell our produce (table size pineapple), in commercial quantities locally,

nationally and internationally. We want to build a pineapple farming business that will become

the pacesetter for pineapple farming and selling business in Rivers State.

Our Business Structure

IJG Farms is a crop cum pineapple farming company that intend starting small in a rented

property in Choba,because the intended first market to cover Choba market but hope to grow big

in order to compete favorably with leading crop farms in the industry both in Nigeria and on a

global stage.

We are aware of the importance of building a solid business structure that can support the picture

of the kind of world class business we want to own. This is why we are committed to only hire

the best hands in and around Choba.

At IJG Farms, we will ensure that we hire people not that are qualified, but capable,

hardworking, dedicated, customer centric and are ready to work to help us build a prosperous

business that will benefit all the stake holders (the owners, workforce, and customers).

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As a matter of fact, profit-sharing arrangement will be made available to all our senior

management staff and it will be based on their performance for a period of five years or more as

agreed by the management of the farm. In view of the above, IJG Farms have decided to hire

competent hands to occupy the following positions;

The ceo( the owner)

Secretary

Farm enginers

Security.

SWOT Analysis

We are aware that loads of people in Nigeria are not conversant with taking enough fruit, which

is why we want to do our due diligence before launching the business.

IJG Farms do not intend to launch out with trial and error, hence the need to conduct a proper

SWOT analysis. We know that if we get it right from the onset, we would have succeeded in

creating the foundation that will help us build a standard pineapple farming business and sales

that will favorably compete with leading crop farms in Rivers State and in the rest part of the

world in time to come.

As a pineapple farming business, we look forward to maximizing our strength and opportunities

and also to work around our weaknesses and threats. Here is a summary from the result of the

SWOT analysis that was conducted on behalf ofIJG Farms;

Strength:

Our strength as a pineapple farming business is the fact that we have healthy relationships with

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loads of major players (agriculture merchants, communities and companies who produce

pineapple juice) in the crop production industry; both suppliers and buyers within and outside of

Nigeria

We have some of the latest pineapple varieties and farming tools and equipment that will help us

grow pineapple in commercial quantities with less stress. Aside from our relationship (network)

and equipment, we can confidently boast that we have some the most experienced hands under

our payroll.

Weakness:

Aside from the fact that loads of people are not conversant with consuming more fruits and fruit

juices in Rivers State, one of our weaknesses could be that we are a new fruit business cum

pineapple in Rivers State and we may not have the required cash to pump into promoting of our

business and encourage people to consume more of pineapple and as well pineapple juices. We

are aware of this and from our projection, will overcome this weakness with time and turn it to a

major advantage for the business.

Opportunities:

Despite the fact that the average Nigerian is not conversant with the benefit and as well the

relevance of pineapple on health improvement and the daily necessity in daily consumption, the

opportunities that are available to us as a pineapple sellers cannot be quantified, we know that

there are loads of communities and companies that will source for pineapple from our pineapple

farms both here in River State, in Nigeria and other parts of the world in time to come.

Threat:

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Some of the threats and challenges that we are likely going to face when we start our fruit, cum

pineapple selling business are global economic downturn that can impact negatively on

household spending, bad weather cum natural disasters (draughts, epidemics), unfavorable

government policies and the arrival of a competitor within same location. There is hardly

anything you can do as regards these threats and challenges other than to be optimistic that things

will continue to work for your good.

MARKET ANALYSIS

Market Trends

We really are aware of the importance of doing a thorough market research. We have done just

that and that is why we are doing our best to see that the market trend favors us, come what may.

In Rivers State, In view of the above, people who are into pineapple farming ensure that they

target Nigerians or it is not trendy to find people who are conversant with the necessity of

consuming pineapple be it table sized or juice, except for a few Nigerians.

Lastly, pineapple farmers ensure that they leverage on health benefits of pineapple in marketing

their pineapple.

Our Target Market

It is really vital that any business identifies its target market. As we have just done and we are

optimistic that this singular act is able to fetch us a lot. As you would expect, the target market of

those who are the end consumers of pineapple and also those who benefits from the business

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value chain of pineapple farming is all encompassing; it is far – reaching.

Our Competitive Advantage

Competition isn’t new to the world. We are therefore poised to position well so as to compete

really favorably. It is important to state that pineapple farming especially for the purpose of table

sized production, is not a common enterprise in Rivers State, hence the level of competition is

not as stiff as it is amongst other line of business.

IJG Farms is fully aware that pineapple farming for the purpose table sized production is not a

popular line of business in Nigeria which is why we decided to carry out thorough research so as

to know how to take advantage of the untapped market in Rivers State and in other parts of the

world.

We have done our homework and we have been able to highlight some factors that will give us

leverage in the marketplace; some of the factors are effective and reliable pineapple business

processes that can help us sell our pineapple at competitive prices, good network and excellent

relationship management.

Lastly, all our employees will be well taken care of, and their welfare package will be among the

best within our category (startups crop cum pineapple marketing businesses in Rivers State) in

the industry. It will enable them to be more than willing to build the business with us and help

deliver our set goals and achieve all our business aims and objectives.

Our Pricing Strategy

getting the right pricing for your pineapple as the case may be, then you should ensure that you

choose a good location for your pineapple farm and markets, choose a good variety that will

guarantee steady and improved production, cut the cost of running your pineapple farm to the

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barest minimum and of course try as much as possible to attract buyers to your farm as against

taking your pineapple to the market to source for buyers; with this, you would have successfully

eliminate the cost of transporting the pineapples to the market and other logistics.

So also, we are quite aware that one of the easiest means of penetrating the market and acquiring

loads of customers for all our pineapples is to sell them at competitive prices hence we will do all

we can to ensure that the prices of our pineapple are going to be what other pineapple farmers

would look towards beating.

One thing is certain, the nature of pineapple farming business we are involved in makes it

possible for farmers to place prices for their pineapple based on their discretion without

following the benchmark in the industry. The truth is that it is one of the means of avoiding

running into loss. The easier you sell off your pineapples when they are mature the better for your

business.

Payment Options

The payment policy adopted by IJG Farms is all inclusive because we are quite aware that

different customers prefer different payment options as it suits them but at the same time, we will

ensure that we abide by the financial rules and regulation of Nigeria.

Here are the payment options that IJG Farms will make available to her clients;

 Payment via bank transfer

 Payment with cash

 Payment via online bank transfer

 Payment via check

 Payment via bank draft

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In view of the above, we have chosen banking platforms that will enable our client make

payment for farm produces purchase without any stress on their part. Our bank account numbers

will be made available on our website and promotional materials to clients who may want to

deposit cash or make online transfer for our live pineapple.

Publicity and Advertising Strategy

Any business that wants to grow beyond the corner of the street or the city they are operating

from must be ready and willing to utilize every available means (both conventional and non –

conventional means) to advertise and promote the business. We intend growing our business

which is why we have perfected plans to build our brand via every available means.

We know that it is important to create strategies that will help us boost our brand awareness and

to create a corporate identity for our farming business. Below are the platforms we want to

leverage on to boost our commercial fruit cum pineapple business brand and to promote and

advertise our business;

Place adverts on both print (newspapers and magazines) and electronic media

platforms

Sponsor relevant community based events / programs

Leverage on the internet and social media platforms like; Instagram, Facebook ,

twitter, YouTube, Google + et al to promote our business

Install our Bill Boards on strategic locations

Engage in road show from time to time in targeted neighborhoods

Distribute our fliers and handbills in target areas

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 Contact communities, pineapple juice producing companies in our target areas by

calling them up and informing them of IJG Farms Ltd and the farm produce we sell

List our pineapples in local directories / yellow pages

Advertise our pineapple farms in our official website and employ strategies that will

help us pull traffic to the site.

Ensure that all our staff members wear our branded shirts and all our vehicles and

trucks are well branded with our company logo et al.

FINANCIAL FEASIBILITY

Schedule 1

Table1: annual requirement for the establishment of a pineappleBusiness

s/n description Depreciation value quantity Unit cost A m o u n t

A C a p i t a l i n v e s t m e n t

1 L a n d 1 hectare 1 5 0 0 0 0 1 5 0 0 0 0

2 equipment

i. S p a 2 0 % 1 0 1 0 0 0 1 0 0 0 0

d e

ii. Mach 2 0 % 1 0 5 0 0 5 0 0 0

ete

H 2 0 % 5 2 5 0 1 2 5 0

o e

iv. Sundry

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 equipment

a. W 2 0 % 4 6 0 0 0 2 4 0 0

h ee l

barrow

b. k 5 0 % 5 1 5 0 7 5 0

n i f

Sub total 191000

B annual operational expenses

Table 2

S / n D e s c r i p t i o n Quantity U n i t c o s t A m o u n t

1 Pineapple crown 5 5 0 0 0 1 2 660 000

2 Fertilizer 8 6 0 0 0 4 8 0 0 0

3 Labour for 2 0 1 5 0 0 3 0 0 0 0

Clearing

4 Workers salary 5 1 2 0 0 0 720 000

5 Transportation 8 0 0 0 0 8 0 0 0 0

6 Miscellaneous 3 0 0 0 0 3 0 0 0 0

Subtotal B 974 000

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Annual revenue

Table 3

s / n Description Q u a n t i t y U n i t c o s t A m o u n t

1 Sale of table 5 5 00 0 1 5 0 8250 000

Size pineapple

Subtotal 8250 000

otal revenue = 8250 000

otal cost = 974000 + 191 000

=1165000

rofit = total revenue – total costs

8250 000 – 1165000 = 7085000

APPENDIX

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Mature table sized pineapple

CONCLUSION

ruit selling cum pineapple sales is one of the often overlooked agribusinesses that turn in high

evenues. IJG Farms is indeed a success. pineapple business is a highly developed industry but not

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enowned, its efficacy and productivity is a product of bringing together of all the available

ndustrial facilities, this can never be provided enough by just one individual or company, hence

JG Farms plan to collaborate with investors and experts. The industry works effectively as a

etwork with different specialisation, bringing in diverse inputs. Also, to avoid overcrowding of

deas and thinning of the limited resources, focus will be on pineapple production and sales for a

ong time under the supervision of an experienced consulting firm. Success is granted, God being

y our side. Rivers state has a reasonable population and strategically located to expand and serve

he rest of the nation and beyond.

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