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Business Plan on Cassava Production in Cameroon

Updated: Sep 2, 2022




I.          Industry Overview

Cameroon is a country whose economy is highly dependent on the agricultural sector, which employs about 68 % of the labor force, and represents a significant share of Gross Domestic Product (GDP) and about 15% of the government budget. Statistics show that the agricultural sector absorbs about 70% of the population of Third World Countries.  In Cameroon, cash crops such as coffee and cocoa are receiving promotional policies such as price policy more than food crops such as cassava, maize, sweet potato, plantains, and yams. These poor farmers abandoned themselves and lacked the finance to expand their production.


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Most farmers have developed a particular interest in cash crops more than food crops. This is one of the reasons why food crops are getting more expensive because of less production. Cassava is the main starchy staple food with about 80 % of rural and urban households consuming it and its derivatives daily. Food derived from cassava fits into the basic diet for seven to eight million Cameroonians in eight of the ten regions (North and Far North being exceptions). They contribute 7.6% of the total calorie intake of food at the national level and occupy the second position after plantain (9.77%) in the starch group. Cassava and its derived products have on average 60% of the market share for roots and tubers, 40% for processed products (dried fufu, garri, cassava stick, and water fufu), and 20% for the fresh root. 


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  Cameroon is one of the main cassava-consuming countries. The national production was estimated at 3.5 million tons in 2018 with an average yield of 14 tons/ha. The cassava sector is important and requires special attention given the consistent structure of its strategic position within Cameroonian agriculture. Cassava was initially known as the “poor man crop” but has recently become a multipurpose crop that responds to the priorities of developing countries, to trend

In the global economy and to the challenges of climate change. Cassava is high yielding as compared to cocoyam, plantain, and banana which are grown locally. When processed, cassava has a longer shelf life. For example, garri can live for more than a year when stored in good conditions. So cassava plays a very important role in the fight against food shortage in Cameroon.  With an increasingly dependent population (old and the young) in the rural and urban areas and an increase in rural exodus, there is a need to create economic activities that will absorb these youths.  With the soils losing their fertility and other negative impacts of climate change, there is a need to intensify the cultivation of cassava that is tolerant to drought and strives well in less fertile soils. Production of cassava will help provide the local population with locally produced garri. This will reduce the dependency on rice, plantain, and cocoyam which are getting more expensive.

 

II.          Executive Summary

 

COMPANY XX is a world-class and registered commercial farm that will be based on the outskirt of Buea, Cameroon. We have done our detailed market research and feasibility studies and we were able to secure well-situated and suitable farmland in the Southwest region to start our commercial cassava farming project.

 

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Our commercial cassava farming is a standard commercial cassava farm involved in both commercial cassava cultivation and cassava processing and packaging of cassava. We will be involved in both organic and non-organic commercial cassava farming.

 

We have put plans in place that will help us launch a standard and world-class cassava processing plant within the first three years of officially running COMPANY XX. We will process and package cassava flour, and cassava flour and ensure that they flood the market both in Cameroon and in other countries of the world; we want to compete with the best in the industry.

 

 


We have hired key employees and contractors who are currently working and undergoing training to fit into the ideal picture of the 21st-century commercial cassava farm workforce that we want to build.

 

We are in the commercial cassava farming business because we want to leverage the vast opportunities available in the commercial farming industry, to contribute our quota to growing Cameroonian and the world economy. We will embark on increasing food production, raw materials for other industries, and exporting our products worldwide.

 

COMPANY XX is well positioned to become one of the leading commercial cassava farms in Cameroon, which is why we have been able to source the best hands and farm machinery to run the farm. We have put processes and strategies in place that will help us employ best practices when it comes to commercial cassava farming processes and cassava processing and packaging as required by the regulating bodies in Cameroon.

 

COMPANY XX is a business that is owned by COMPANY XX. The business will initially be fully and single-handedly financed by COMPANY XX. As the business expands, we will evaluate our needs and make some financial decisions as needed.


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