Executive Summary
This business plan outlines the establishment of a profitable tomato farming business in Nigeria. Tomatoes are a staple in Nigerian diets, making them a high-demand crop. The plan focuses on production, distribution, and financial strategies to ensure long-term sustainability.
Business Description
● Business Name: RedGold Tomato Farm
● Location: Kano State, Nigeria
● Business Structure: Sole Proprietorship/Partnership (as applicable)
● Industry: Agriculture
● Products: Fresh tomatoes, tomato puree, and dried tomato products.
Objectives
1. To cultivate 20 hectares of tomato farmland within the first year.
2. To produce 300 metric tons of fresh tomatoes annually by Year 2.
3. To establish partnerships with major distributors and food processing companies.
4. To achieve a 25% annual growth in revenue through product diversification.
Market Analysis
● Industry Overview:
Nigeria is a major consumer of tomatoes, with demand spanning across households, restaurants, and food processing industries. Local production often falls short, leading to imports and creating a need for improved local supply.
● Target Market:
○ Local markets for fresh tomatoes.
○ Food processors for tomato paste and puree.
○ Export markets for dried and processed tomato products.
● Competitive Advantage:
○ Use of high-yield tomato varieties.
○ Efficient irrigation and pest control systems.
○ Focus on quality and consistent supply.
SWOT Analysis
● Strengths:
○ High market demand for tomatoes.
○ Favorable climate and soil conditions in Kano State.
○ Access to government agricultural programs.
● Weaknesses:
○ Perishability of fresh tomatoes.
○ High cost of cold storage and transport logistics.
● Opportunities:
○ Expansion into processed tomato products.
○ Use of greenhouses for year-round production.
○ Government incentives for reducing agricultural imports.
● Threats:
○ Pest and disease outbreaks.
○ Price volatility in local markets.
○ Competition from imported tomato paste.
Operational Plan
1. Farm Setup:
○ Acquire and prepare a fertile land.
○ Procure disease-resistant tomato seedlings.
○ Install drip irrigation systems for water efficiency.
2. Cultivation and Maintenance:
3. Harvesting and Processing:
Marketing Strategy
● Branding: Build a strong brand emphasizing quality and reliability.
● Sales Channels:
● Promotions:
Financial Plan
1. Startup Costs:
○ Land acquisition and preparation: NGN
○ Purchase of seedlings and fertilizers: NGN
○ Installation of irrigation systems: NGN
○ Processing facility setup: NGN
○ Total: NGN
2. Revenue Projections:
○ Year 1: NGN
○ Year 2: NGN
○ Year 3: NGN
3. Profit Margins:
ETC…
Tomatoes are common vegetable, it is consumed daily in every home not just in Nigeria but the world at large. Tomatoes are prepared in different ways, it can be consumed fresh, by slicing, dicing or it can be cooked, it all depends on how you choose to eat it.
Tomato is a high demand commodity because of its nutritional value, it helps in keeping blood pressure stabilized,
its helps with good eyesight, it helps in making blood sugar level to be stable, it gives good hair texture and, its good for the kidney and there are lots of other benefits.
Lots of people prefer fresh tomatoes than processed tomatoes usually called tomatoes paste.
Tomatoes in all round is good for the body and that is why the demand for surpasses the supply making it a good business to venture it to.
During the severe scarcity of tomatoes in the early 2016, Many people wished they had started tomatoes farm earlier.
The ones who did invest in tomatoes business smiled their way to the bank, but now, It is not too late to start.
Tomatoes business has a large market both here in Nigeria and internationally for export and one good thing about it is that it an be planted anywhere all you have to do is to prepare the soil for optimum growth.
There are different types of tomatoes, and each of this types has its own unique shape and size but all tomatoes are the same just that some has a higher level of pest resistant than other.
Types of Tomatoes
- Campari tomatoes
- Pear tomatoes
- Cherry tomatoes
- Oxheart tomatoes
- Tom berries tomatoes
- Beffsteak tomatoes
- Globe or Slicing tomatoes
- Grapes tomatoes
- Plum tomatoes
In starting a tomatoes farm, the first thing to get is a good location and in choosing a location there are some things you must take cognizance of if you want your tomatoes farm to be successful.
One of the first things you must ensure you have in your farmland is a good soil with a good water supply.
If there is a stream or river close by, good! but if not, you can dig a well or construct a tap, water is very important in tomatoes farming.
You should be able to have access to your farm land anytime you want both day and night
The farm land has to be rich in organic matter so you must take time to prepare the farmland. If the soil is not rich you can introduce fertilizers either organic fertilizers such as NPK or inorganic fertilizers like cow dung etc.
You must test for the acidity of the soil by using a test kit. The pH value of the soil should be between 6-7pH.
The area of the farm should be well secured to avoid invaders and also should be protected against pests.
Pest control is very important because this plant is very delicate. This farm is prone to diseases and pest invasion so it important you get a pesticide that can take care of the best. Please just don’t get any pesticide, ask questions and get the one that is recommended.
If you are growing your tomatoes in a greenhouse fine, the plant is already protected from insects, pests etc but for a large scale farming you will need a very big greenhouse or couple of greenhouses.
Once the land is ready, you must decide the best breed or type of tomatoes you want to grow. It is very wise that you grow the ones that are common in the market.
Tomato Farming Feasibility Study
Have you ever thought about starting a thriving and successful tomato business In Nigeria? My guess is yes, you may have at one point thought about it, but due to some constraint you may have your limitations.
Well if you have not thought about it before or you have, but not fully informed about the business idea, I am bringing you this opportunity to learn another new business concept which is capable of making you rich.
Our Tomatoes Farming Business Plan has been recently updated to give you the current Market analysis and comprehensive insight into Tomatoes Farming Business in Nigeria and this can be used for;
- Bank Loans
- Grant
- Business proposal Writing and
- Competition
For the remaining part of this Tomatoes farming business plan, including the detailed financial analysis, etc. To place an order, pay N15,000 to
GTBank (Guaranty Trust Bank)
Account Name – Uwadia Eyemeka
Account No – 0127561472
OR
OPAY
Account Name – Eyemeka Uwadia
Account NO. – 7036785443
After paying for your Tomatoes Farming Business Plan and Feasibility Study, send your email and payment details to 07036785443.
Do you also know that tomato is one source of vitamin A and E, which makes it important to your health and high in demand for.
If considering this fact, you will agree with me that the high demand for tomato has placed tomato farming and processing business at a significant spot in the agro-business ventures.
This is one reason tomato farming is one of the best agriculture business ideas smart entrepreneurs should seriously consider.
In planting tomatoes it is best when you first plant in a nursery before transplanting to the main farm. The nursery should be prepared from about 5 to 6 weeks.
The nursery bed should be protected against pests and one of the ways to do this is to cover it with a polythene sheet.
If you are planting during the dry season there should be proper irrigation, and constant water supply because tomatoes thrive well in a moist soil.
Planting of tomatoes is done with the seeds. To plant tomatoes you spray the seeds on the soil then cover. Germination starts after few days.
The seedlings of tomatoes are of two different types, there are determinate seedlings and indeterminate seedlings.
Determinate seedlings are the ones that will grow in a certain size, the indeterminate seedlings on the other hand will grow indefinitely so long every condition is right.
5 Things to Consider when Starting a Tomato Farm Business in Nigeria
Before you start a thriving and successful tomato business in Nigeria, these are things you have to put into consideration.
1. The Farmland
2. Getting the right variety of seeds
3. Planting your seeds
4. Harvesting your products, and
5. Marketing your products
Now let’s talk about them one after the other:
1. Getting a Farmland
Of course this is where you cultivate your seeds (tomato). Getting a farmland should not be a problem. You can get a lease from an individual or get a lease land from your state government…
You can be lease a hectare of land for as 15, 000 to 25,000 Naira in Nigeria, most especially in the Northern part of the country.
Though you should make your own research of how much is the price per hectare of land in your own region, but it should not exceed 30,000 at most.
You can as well discuss with land owners in your state and have a joint venture arrangement with them, while you farm on their land and share profits with them.
What this means is that you don’t have to spend money on getting a farmland. When this is met, you can go ahead with the next, which is getting the right variety of seeds to farm on.
2. Getting the Right Variety of Seeds
This is one important thing to note about. If you miss this, then you have succeeded in failing. This factor will determine the growth of your business and the return of investment, and also the resistance to diseases.
Some of the best and most common types of tomato species are the Roma Tomato, Cherry tomato, Beefsteak and Sauce tomato.
The Roma variety is characterized with low moisture content, red color, and has a bigger fruit.
3. Planting Your Seeds
After passing through the first two stages, the next on the line is to plant your tomato seeds. In planting, tomato seeds are first planted in a nursery. This is to provide adequate controlled conditions for the seeds to germinate well.
The transplanting process is done after five weeks because by then the tomatoes is strong enough to be moved to the farm. This process of transplanting is done with care.
All the tomatoes uprooted should be replanted that same day, if you waste too much time the plant will get dehydrated and die.
In transplanting tomatoes, uproot the tomatoes from the nursery bed by then the tomato farm should be ready in almost same way you prepared the nursery bed.
Once you have uprooted all the ones you can transplant that day, the replanting should be done as soon as possible.
After about two months of transplanting, your tomato farm should be due for weeding and application of fertilizers should follow immediately.
Please take note, fertilizers with high content of calcium, phosphorus, magnesium and other essential nutrient should be used, so as to replenish the soil nutrients.
The next process is the staking, training and pruning. This come after transplanting. To have an optimum harvest you must do this.
Tomatoes far needs extreme care because they are very fragile so you have to support them with stakes and when necessary and train them.
If planting is done during the rainy season, the work of always watering it will be reduced but if planting is done during the dry season, you must constantly water the farm so you can get the best produce. When watering the farm do not soak the farm land with water.
4. Harvesting your Products
Now you are ready to harvest your product, or should I say our products, lol..
Tomato is one fast growing crop which could be harvested after 3 months of planting. It starts to ripe and then what next? harvesting your products is sure.
It’s harvested in batches. You harvest the first and it continues like that till the plants dies off which is usually in dry seasons.
5. Marketing your Farm Produce
Tomatoes have a very short shelf life. This is one downside of tomato farming just as it is with other perishable crops. So when going into this business, marketing your produce should be put in place as it is a very important factor especially when looking at the durability of this cash crop.
One way of overcoming this issue is to find buyers even before the harvest time. Make a broadcast of what you do to potential buyers, of course everyone are potential buyer, but I mean the big buyers, if you understand what I mean.
When it is harvest time, you can make arrangements to supply directly to these buyers once you harvest. The tomato market is very large, spanning across most western and southern parts of the country. So locating buyers for your farm produce would not be much of a challenge.
Challenges of Starting a Tomato Farm Business in Nigeria
When starting a business generally, there should be some major challenges involve. This, as an entrepreneur, you should be prepared to meet and overcome. when starting a tomato farm business in Nigeria, you should be looking at these major challenge associated.
1. Capital
2. Competitions
3. Damages
Capital
When starting a business, sourcing for funds is one of the first challenge for every entrepreneurs, and as such, most entrepreneurs are limited especially if you have this big dream of having a large scale business. So it is with you starting a tomato farm business in Nigeria.
Though these challenges are real, and I understand, but as an entrepreneur, you are not going to sit down and do nothing or else you will lose money.
One best way of getting fund to your tomato farming business is to have a good business plan. With these, you can attract good investors and win you loans to start your tomato business.
I know writing a business plan is like a pain in the ass to some people. Here is my tip, when writing a business plan, you should state categorically and concentrate mostly in your experience and the benefits of this business to you and to them and also to the general consumers.
Business plan is basically useless if you have no experience to carry out the plan and it’s of no benefits.
Competition
This is another great challenge for any newbie entrepreneur. You will have to deal with branding as to the case of the big players in the game. But do not worry about them. Just do your thing. Learn how to provide quality and quantity with enticing packaging in other to stand in the game.
Damages
This is one constraint to most people in this business, looking at the perishable nature of this tomato. To overcome this, get your clients or buyers ready even before it is finished harvested.
Conclusion
Little step of water makes a mighty ocean. What I mean is that, everything great today started small at the beginning. You can start small and grow your business into a thriving one.
So start making preparations to starting a thriving tomato farm business in Nigeria, no matter how small the scale. If this is one business you may consider doing, I had advice you; don’t just read and leave, make it happen.
Tomatoes Feasibility Study. To place an order for our updated Tomatoes Farming Business Plan in Nigeria, pay N15,000 to
GTBank (Guaranty Trust Bank)
Account Name – Uwadia Eyemeka
Account No – 0127561472
OR
OPAY
Account Name – Eyemeka Uwadia
Account NO. – 7036785443
After paying for your Tomatoes Farming Business Plan and Manual, send your email and payment details to 07036785443.