1.

0 INTRODUCTION
The project on vegetable powder is new and innovative in Bangladesh. The number of business
person and service holder is increasing in a notable rate though Bangladesh is an agricultural
country. This clearly indicates that the business of urban people prevents them in doing
household as they done previously. Women are also careful and concern to establish and
gradually improve their career. This also hinders them in caring their family and children. They
dont have enough time to cook which is time consuming as a result they face mall nutritious
problem. People lose energy to work and get tired to go through. As developing country most of
the people is in mall nutritious problem. So its a demand of modern age to innovate an
alternative source of providing nutrition with which people can offset the lacking due to the busy
life. VEZ powder is that kind of product which can be used as an alternative of a green vegetable
vitamin supplement which supplies the body with the nutrients it needs to function at its best, in
combination with the reduction of unhealthy foods. Market demand as well as technical,
financial, economic and environmental viability of the project indicates that it may be a
profitable project and customer oriented which can meet the customer demand of alternative
vitamins.
1.1 Objective:
The objective of the report tells about the alternative source of nutrition named VEZ Powder in
a low cost and easy way to make the busy and complex life Easy and Healthy. This project has
high potentiality in future to make people healthier, nutritive and energetic as alternative sources
of vegetables by providing ample amounts of vitamins to support immune strength and
antioxidant protection against radical damage. Our VEZ support all the functions of the body
with a quality supplement of vegetable powder.
We are especially eager to implement this project to provide the source of vitamins and nutrition
for children and patient as vegetables are perishable and channel of distribution is so complex.
1.2 Scope of business:
1.
2.
3.
4.

To assess the financial and technical viability of the project.

To analyze the market demand.
To assess the socio-economic and environmental implication of the project.
To generate new type of product by the project.

5. To introduce alternative product to the market within the limited resource.

1.3. Rationale:
This report helps us to understand about the project making, project evaluation, and financial
parameter. We have tried to innovate alternative sources of vegetables like- Cauliflower,
Karalla, Tomato and Carrot as they are not available and fresh throughout the year. Moreover
our powder mix renders various types of uses not only for general people but also for
children, hospital, restaurants. For working women these powder mixes are saving their time
and work load.
1.4 Methodology:
We use both primary & secondary data for the preparation of this project. We have made
questionnaires consisting of 10 questions about the market potentiality of the product. We
interviewed 10 different persons for their opinion. We also collected other information from
internet, articles and books.
The report has been prepared with the following ways:
1. Idea generation: Idea is generated througha) Group Discussion: First all group members have presented their own ideas with
their logic on how much that could be implemented practically.
b) Information collected from Internet: Based on the idea, information is collected to
judge whether it can be implemented or not.
2. Instruction from the course teacher: The valuable instructions from our honorable
course teacher Dr. Shahid Uddin Ahmed helps us to develop our project in a proper way.
3. Text Book: The format of the Project given in chapter three Project Appraisal of our
text book help us mostly to present our innovative idea in a way that is easy to
understand, attractive and according to terms and conditions.
1.5 Limitations:
Making a project is time consuming work and it requires many information and effort. The major
difficulty faced in carrying out the study was collection of data/information for estimation of
demand and market prospect of vegetable powder business. People are very busy as well as they
dont know about the product. It is difficult because different organizations like-Khaddo Pusti
Bevag, Khaddho Pusti institute, BSTI and information and communication technology are not
cooperative to us.

2.0

BUSINESS IDEA

VEZ is the countrys first nutrient vegetable powder brand which produces vegetable powder
from different kinds of perishable vegetables available in local market. VEZ powder is a new
option for the common vegetable customers of Bangladesh. As all kinds of vegetables are
perishable customers face great problem with purchasing these in time and prepare it in due time.
Also there is a problem in transporting it. In local market all kinds of vegetables are so available
that most of the time a huge amount of it goes in waste as these are perished within a shortest
period of time. VEZ identifies these top problems as opportunity and combines two solutions
into one direction which is producing powder from vegetables to introduce non-perishable
nutrition source in Bangladesh market as a new offering.
2.1 Product offerings: Our firm offer four types of vegetables powder are
i.

Karela or Bitter gourd Powder

ii.

Carrot Powder

iii.

Cauliflower Powder

iv.

Tomato Powder

2.2 Features and unique selling proposition (See A1)

Tomato Powder
Description: Tomato Powder is made from all natural pure sweet tomatoes. Ideal for the cook
who doesnt need a whole can of tomatoes. This powder can be made into a flavorful sauce or
paste in just minutes. This classic tomato ingredient represented our core business for years,
having served customers within all areas of the food industry.
Pack Size & Strength:
Powder 100g, 250g, and 500g

Ingredients:
Farm fresh Tomato Contains no added salt, no added sugar, no preservatives, no colors and no
flavor enhancers.
Usage:

Soups, stews, tomato sauces, casseroles, pasta tomato paste, curries and pizza. Tomato powder
can be used as coloring and flavoring substance in food such as fresh pasta, noodle, bread dough,
yeast bread, muffins, salads, sandwiches and several other food items. The tomato powder can be
used to thicken the sauces, and some more products in your kitchen or restaurants.
Benefits:

The presence of antioxidants in tomatoes is said to be helpful in cleansing toxic

compounds from the body.

Lycopene, present in tomatoes, has been known to neutralize free radicals in the body and

cut the risk of prostate cancer.

Being a natural antiseptic, tomatoes can help protect the body against various common

infections
Reduction Heart Disease Risk
Prepare a cream of tomato soup in minutes by just mixing the tomato powder with hot

milk!
Reduce suffering from liver disorders, night blindness, obesity and urinary tract infection,
try having tomatoes every day.

Karela / Bitter Melon/ bitter gourd

Description:
Karela or commonly known as bitter gourd contains a polypeptide that is very similar to bovine
insulin. Karela or the bitter gourd fruit is often used in the Indian subcontinent as a diet and is
well-known as a folk medicine for the most speared life style disorder commonly known as
diabetes mellitus. It is also helpful in increasing the body resistance as it contains high mineral
and vitamin content.
Pack Size & Strength:
Karela Powder 100g, 250g, and 500g
Ingredients: Momordica Charantia (Karela), no preservatives, no colors and no flavor
enhancers.
Usage: Adults (14 yrs and above) 1 or 2 teaspoons once a day after a meal with water in the
morning.
Benefits:

Bitter gourd is extremely beneficial in treating Diabetes mellitus.

Bitter Melon helps in lowering blood sugar levels

Bitter gourd is an outstanding blood purifier and helps in maintaining good and clear skin
Bitter Melon treats worm infestations and also helps in evading parasitic attack
Evades blood impurity

Carrot Powder:
Description:
Carrot is an edible root vegetable which is originated from Asia. it has been regarded as the best
dishes for its outstanding nutritional and medicinal values. Even Dutch have listed carrot as one
of their national dishes. Carrot contains a very complete nutrition to provide our body the
essential enzymes, vitamins and minerals. The carrot is an excellent vegetable as it has both
nutritional and medicinal values which are essential for our optimum health.
Pack Size & Strength:
Carrot Powder 100g, 250g, and 500g
Ingredients: Fresh Carrot, no preservatives, no colors and no flavor enhancers.
Usage: Soups, curries and Carrot powder can be used as coloring and flavoring substance in food
such as fresh pasta, noodle, and several other food items. This powder can be used in some more
products in your kitchen or restaurants.
Benefits:

Useful for Hypertensions Patient.

Those who are engaging with diseases or those with serious health or physical problems
can use this powder.

Carrot juices beneficial for Those Who Have Constipation

Doctors prescribed carrot for Those Who Have Night Blindness or Dry Dull Eyes.

Carrot powder effective for Who Suffer from Scalp Itching and Dandruff.
Carrot juice is prescribed by doctors for the Following Diseases- Scurvy, Adenoids,

Rheumatism, Acne, Tumors, Brights Disease

Cauliflower Powder

Description: Cauliflower, a highly nutritious vegetable, contains many nutrients that can help
prevent a range of diseases from cancer to cataracts. Cauliflower is an excellent source of
fiber, which helps to improve colon health and can even help prevent cancer. And, most
recently, it has been discovered that cauliflower contain indole-3-carbinol, a substance that
can affect the metabolism of estrogen in the body, and prevent breast and other female
cancers.
Pack Size & Strength:
Cauliflower Powder 100g, 250g, and 500g
Ingredients:
Farm fresh Cauliflower Contains no added salt, no added sugar, no preservatives, no colors and
no flavor enhancers.
Usage: Soups, curries and Cauliflower powder can be used as coloring and flavoring substance
in food such as fresh pasta, and other food items. This powder also can be used in some more
products in your kitchen or restaurants.
Benefits:

Natural alternatives, to use for Improving Skin Tone, and Reducing Effects of Aging
Cauliflower Powder Anti Eostrogen related alternative medicine supplements and

vitamins.
There are two main ingredients in cauliflower and all of the cruciferous family that are
the main disease fighters. These are indole-3-carbinol, or 13C, and the photo nutrient

sulforaphane
Cauliflower also contains vitamin C and folate. Folate helps the blood work more
efficiently and is often recommended for preventing anemia.

2.3 Business model:

Vezs business model is entirely production or manufacturing-based. Vezs production process
transforms and adds value to the quality vegetables and produces vegetables powder of various
flavors. Vez will:
Produce powder in its own operational plant using eco-friendly production process.
Sell powder in the local market.
How Vez makes money is shown in the following business model:

Valued
Inpu
ts

Vez
Firm

Produc
es

Sale
s

Gives

custo
mer

3.0 GOALS AND OBJECTIVES

3.1 Vision: Vezs vision is to create healthy nation providing balanced diet vegetables.
3.2 Mission statement: Vez is offering different vegetable powder of carrot, kerela, tomato,
cauliflower. This will helpful for reducing vegetable spoilage, making vegetable available
throughout the year, proper utilization of nutrition of vegetables. Vez is using much updated
technology to produce powder from vegetables.
3.3 Short-term goals:
To offer balanced alternative for vegetables with competitive lower price.
To encourage target customers about the benefit of vegetable powder.
To offer solution as substitute who are not interested in vegetables.
3.4 Long-term goals:
To broaden market potential within 5 years and further approach to export in different

countries especially in India and America.

To develop product line into fruit powdering business.
To establish new industrial unit.

3.5 Objectives:

Proper utilization of vegetables in powder making in order to reduce spoilage.

To attain 15% growth within 3 years.
To earn profit margin of 28 %
To repay loan within 10 years that was taken @ 15%.

4.0 TECHNICAL APPRAISAL OF PROJECT

4.1 Selection of process/technology:
For any kind of production project choice of the technology depends on the quality and quantity
of the product proposed to be manufacture. If the quantity required to be produced is large, mass
production techniques should be used followed and relevant technology should be adopted.

Hence sophisticated production technology is required to achieve desired quality. In the choice of
technology possible the latest technology should be chosen. For our VEZ project we select such
technology that is more viable in our country and for our project selected machineries are
Peeling machine, Slicing machine, Dryer, Blender, Steam Boiler, and Electronic scale. All these
machineries are technologically enough sophisticated for production.
4.2 Scale of operation:
Scale of operation is signified by the size of operation. The plant size mainly demands on the
market for the output of the product. Economic size of the plant varies from project to project.
Economic size for the given project can be arrived at by an analysis of capital and operating
costs as the function of the plant size. The increase in efficiency of production as the number of
goods being produced increases. Typically, a company that achieves economies of scale lowers
the average cost per unit through increased production since fixed costs are shared over an
increased number of goods. There are two types of economies of scale one is external economies
- the cost per unit depends on the size of the industry, not the firm and internal economies - the
cost per unit depends on size of the individual firm. For our selected VEZ project our economic
size of operation is exactly meeting up the promoters ability to implement the project.
The starts up expenses are projected to be BDT 1,725,000. Initial capital expenditures for starts
up assets are projected to be BDT 10808600.The firms project cost is BDT 12,533,600.The
project cost is financed by 20% equity provided equally by the partners and 80% debt provided
by financial institution
4.3 Raw material:
A product can be manufacture by different processes and by using alternative raw materials. If
the product is manufactured by alternative raw material, the raw material that is locally available
should be chosen. We should also consider some other factors for chosen the right raw material
by analyzing some crucial factors like cost different raw material available, the transportation
cost involved, and the continuous raw material available. Hence the cost of investments required
to plant and machinery should also be studied before arriving the decision on the choice of raw
material.

For our product we have chosen four raw materials and those are carrot, cauliflower, tomato, and
Karela. Our project is in Ghorashal that area is environmentally favorable for our chosen
project due to availability of raw material, smooth transportation facility and cheap labor cost. At
first we collect raw materials from local wholesalers directly.
4.4 Technical know-how:
When technical know-how for the project is provided by the expert consultant, it must be
ascertained whether the consultant has the requisite knowledge and experience and he has
already executed similar projects successfully. For our VEZ protect we have already completed
different agreement between project us and the know hope supplier incorporating all essential
features of the know-how transfer. Our agreement is related for specific factor like: successful
trial run, acceptable quality of final product, imparting necessary timing to employees in the
production process, taking out successful commercial production, performance guarantee for a
special number of years. In production we use various machineries like: Washer machine,
Peeling machine, Slicing machine, Dryer, and Electronic scale. And machine suppliers are
Global Agri Tech Engineer, Honey Comb Products and Ambica Boiler & Fabricators etc. we
have enough technical experts who solve the complexities of these machineries during operation.

4.5 Product mix

As customers differ in their needs and preferences, variations in size and quality of products are
necessary to satisfy the varying needs and preferences of customers. To enable the project t o
produce goods of varying size nature and quality as per the requirement of the customers the
production facilities are planned with an element of flexibility. Having such flexibility will help
the organization to change the product mix as per customer requirements that is vey essential for
the survival and growth of any organization. For example , we have products of various sizes
for the convenience of the consumers such as: Karela Powder 100g, 250g, and 500g, Carrot
Powder 100g, 250g, and 500g, Cauliflower Powder 100g, 250g, and 500g.

4.6 Selection and procurement of plant and machinery

Technology is the determining variable that requires machinery and equipment for a project.
Capacity of machine is also to be decided by making a rough estimate. The following points are
considered for selection of machinery:
a) Equipments necessary for supply of utilities, quality control, efficient disposal, material
handling equipments are also purchased and stocked along with process machine.
b) Adequate number of tools and spares are also purchased besides the purchase of main
machinery
c) Stand by arrangements may be made in case of critical necessity.
d) Since availability of power is limited in Bangladesh, care is exercise d in selecting power
intensive equipments so that their power requirement matches with the power ability.
4.7 Plant layout
The efficiency of production wholly depends upon the modern plant and machinery. The
arrangement of the various production facilities within the production area is known as plant
layout. (See A2)
a) The plant layout is done to enable any prompt alteration of the existing layout
b) The layout is facilitated effective supervision of work
c) There is adequate clearance between adjacent machinery and between the wall and
machinery to enable undertaking of regular inspection and maintenance week
d) The plant layout provides proper lighting and ventilation
The plant layout properly accommodate utilities like power and water connections and
provisions for easy disposal
4.8 Location of the project
The study for plant location is done in two phases.
1. Regional factors
2. Site selection
1. Regional factors :
a. Raw materials
To procure raw material at minimum cost the plant is located nearer to the place where raw
material is available so that transportation cost will be reduced and the number of middle men
involved in the procurement process also will be reduced. Since ours are an agro-based industry
our plant is located at sharsha, jessore which is abundant in agricultural products such as tomato,
cauliflower, karela and carrot.
b. Proximity to markets

When the transportation of the finished product is more difficult than transporting the raw
material and also if the cost of transporting the finished product is more as compared to the
transportation cost of raw material, it is convenient to locate the plant nearer to the consumers.
c. Availability of labor:
Availability of skilled labor is the criterion rather than availability of unemployed who are
unemployable. People can be recruited and trained to the requirement. As the project needs
skilled worker, there are skilled worker.
d. Availability of supporting industries
As an industry needs cooperation of other supporting activities the availability of supporting
industries is also significant.
e. Availability of infrastructural facilities
An industry is also needs power, water, and transport facilities to be considered important.
Uninterruptible power supply, water and transport facility to transport the product is also very
important factors.
4.9 Project scheduling and implementation
Project scheduling includes the arrangement of activities of the project to be completed within
the time limit. The activities included are:

Land acquisition

Site development

Preparing building plans, estimates, designs, getting necessary approvals and entrusting the
construction work to contractors. Construction of building, machinery foundation and other
related civil works and completion of the same.
a) Placing order for machinery
b) Receipt of machinery site
c) Erection of machinery
d) Commissioning of plant and taking trial runs
Commencement of regular commercial production
4.10 Social Desirability of Bangladesh from any Project
If any innovative project is going to be implementing in Bangladesh, that project is considered if
that one is socially desirable or not? As a developing country project that creates more
employment opportunities, hamper the environment least, introduce/ improve local technology
and expertise etc. are mostly desired here in Bangladesh.

The key fields influence in considering whether an innovative or new project is socially desired
or not are

Employment Opportunity Creation: Since the number of unemployed people is

increasing at a higher rate, the negative consequences of it is manifold, development is
hindered twice and the Government is unable to provide expected employment facility, a
project that creates more employment facility is welcomed in the developing countries

like Bangladesh.
Use of Local Resources: Use of local resources ensures two-way benefits one is local
improvement and another one is hindrance of import of raw material which prevent
losing foreign exchange. So, project that manufacture product from local recourses is

mostly desirable.
Improvement of Backward Areas: Our development is now a days urban centric which
is not socially desirable as it creates imbalance in national development. Project that
shows interest to work with the people of backward areas is welcomed in Bangladesh all

the time.
No/Least pollution of Environment: Technology used and the wastage of the industry
pollutes the environment most. So, the project which can go through no/least pollution is

expected.
Use/Introduction of Local Technology & Expertise: Use/introduction of local technology
& Expertise fosters national development in a faster scale. This saves foreign exchange
not to import machineries from abroad and also save by not hiring experts to install &
repair when necessary. This also creates opportunities to show the local experts and

innovator their expertise. So, that project is desired which confirm this.
Helpful to Earn Foreign Exchange: Project that directly or indirectly earns foreign

exchange is desirable.
Prevent to pass Foreign Exchange Abroad: The project that prevents to pass away the

foreign exchange abroad is desirable though it doesnt earn directly.

Energy Consumption: Since Bangladesh has a shortage in power supply, projects are

desirable which consume less energy.

Social Desirability Judgment of VEZ Firm
VEZ Firm an innovative project in Bangladesh which produces different kinds of vegetable
powder from fresh vegetables is going to be launched as a manufacturing firm. This project is

considered as a socially desirable project since it covers most of the criteria mentioned above.
Significant positive influences of this project in the society are

Employment Opportunity Creation: Project VEZ is considered as a socially desirable

project, as it creates more employment opportunity in different stages of this project. This
project ensures employment ina. Production of Vegetables: VEZ Firm will collect fresh vegetables directly from the
farmers of Ichakhali, Taltoli, Cholona, Sadarchor, Charnagardi, Gojaria, Goyeshpor,
Malian, Paishka, raban, jinardi, and barartek for ensuring better quality. The firm
contracts with them. This helps to create a huge employment facility in those areas which
is expected to develop that locality and decrease the pressure of national unemployment
problem.
b. Worker & Employee in Factory: People who work in the factory as worker &

employee are also the portion of employment creation of this project.

c. Distribution Channel: Distribution channel related to this firm ensure employment

facilities for a mentionable number of people.

Use of Local Resources: VEZ Firm ensures the use of local resources- fresh carrot,
cauliflower, kerala, and tomato as these are collected from Ichakhali, Taltoli, Cholona,

Sadarchor, Charnagardi, Gojaria, Goyeshpor, Malian, Paishka, raban, jinardi, and barartek.
Improvement of Backward Areas: Project VEZ is interested in working with village
farmers. Their improvement directly and indirectly fosters the improvement of that backward

locality.
No/Least pollution of Environment: Project VEZ ensure least pollution bya) Filtering- To minimize pollution level we manufacture our product using filtering
process that control emission of black smoke.
b) Removal of wastage- The firm sale the wastage as feed of domestic animals to
the interested parties near the factory.

Use/Introduction of Local Expertise: This project will produce products using

machineries from abroad and available of the local experts when necessary.
Helpful to Earn Foreign Exchange: As it produces export quality product and has a
strong oversea market it has a future plan to earn foreign exchange by exporting products
in abroad.

5.0 COMPETITOR ANALYSIS

For our mentioned project we have selected vegetable powder as our main product. The actual
demand for vegetable is more than the supply so we have decided to produce some products that
ultimately meet up the nutrition which can be used as the alternate of actual vegetables. But in
Bangladesh there is no any company that engaged to produce this kind of vegetable product. So,
actually we have no established competitors in this area.
5.1

MARKET POTENTIAL

We have surveyed 10 people about the penitential market for the vegetable powder. It is a good
sign for our launching products. People are very much interested about our products. They have
shown interest in our products as well as they suggested for new one. Some people are very
mush supportive to our products pointing that these products have various uses, availability
throughout the year, balanced nutrition, reasonable price etc.
We have chosen four vegetables for VEZ projects. Actually product is vegetable powder for
that purposes we have used four types of vegetables. They are carrot, tomato, cauliflower and
karalla. These raw materials are normally grows in our country but unfortunately the productions
of these vegetables are not enough to meet demand for our whole population. All of we know
that vegetables are important for food security in Bangladesh. Nearly 100 different types of
vegetables, comprising both local and exotic types, are grown in Bangladesh. However, the
availability of vegetables is only about 20 percent of the recommended requirement of 200
g/person/day. From here we clearly notice that our nutrition demand of vegetables is not in
required level. So if we produced something alternative product those are nearly same as carrot,
tomato, cauliflower and karalla than hopefully we can meet up the demand for vegetables. So for
this reason our product has a huge potentiality to flourish in the market easily.
5.2 Competitive forces analysis: (See A 03)
Porters five forces model is very well-known model for measuring for overall competitive
position in the market. By analyzing all these five factors we noticed some important view. We
have noticed that

The rivalry among existing competitors is very low,

Threats of new entrants is high,

Threats of substitutes product is moderately high,

Bargaining power of suppliers is low, and finally

The bargaining powers of customer are very low because there are very few suppliers in
market.

6.0 RESOURCE REQUIREMENT

6.1 Capital investments:
The starts up expenses are projected to be BDT 1725000
Initial capital expenditures for starts up assets are projected to be BDT 10808600
The firms project cost is BDT 12533600
The project cost is financed by 80% equity provided equally by the partners and 20% debt
provided by financial institution.
6.2 Personnel requirements:
Staffing needs at the initial phase, the operation of VEZ is monitored by three department
heads categorized as procurement and storage, production and sales and administration.
Employee needs the head of the departments are taken from the partners and requirement for
labors, supervisors and managers are fulfilled from outsource. (See A6)
6.3 External resources:
Suppliers, distributors, superstores and lenders.

7.0 RISK ASSESSMENT

7.1. General risks: The project is associated with following general risks:
Demand risk the price of substitute and other options production cost lowering may shiver
the demand of VEZ powder.
Supply risk the main raw material of VEZ powder is abundant in Bangladesh but the other
ingredients supply may impede the production.

Regulatory risk the standard testing of the product and business approval is highly regulated
by our government but the sector is going to be the thrust sector so regulatory risks are going to
be lessened.
7.2. Risk from PEST analysis: The project is associated with following risks analyzed from
PEST analysis:
Political risksthe political variables hamper are strikes, terrorism, instability etc.
Economic risks the project is affected by economic parameters such as inflation rate,
consumer price index, recession etc.
Socio-psychological risks Vez powder is a new product in peoples lifestyle so it may has
setback regarding peoples acceptance.
Technological risks Technological changes, invention of new alternative VEZ powder may
cause problem.

8.0 SWOT ANALYSIS (See A7)

1. First brand of non perishable

vegetable items
2. Vezs main raw material is
abundant in the local market
3. The price is relatively low as
cost
effective
conversion
process.
4. Strong management team

1. There

is

good

demand
2. Abundant raw material supply
3. Government encourages agrobased industries
4. High rate of Market growth

1. Vezs production and distribution

is dependent on dealers.
2. Highly complex of conversion
process
3. Any interruption of any sub
system may cause disturbance of
whole production process.

1. Acceptance is only in
the urban areas
2. Threat from popular substitute
that is vegetables
3. Economic recession may lessen
the purchase power of potential

5. It can be exported in abroad

meeting local demand

customer

1.0 PRODUCTION PLAN

1.1 Products proposed to be manufactured: Powdered shake mix thats made from nothing
but finely ground vegetables that are. (See A 04)

Carrot Powder

Karela Powder

Cauliflower Powder

Tomato Powder

Vegetables powder Production: Our procured vegetables powder conforms to the international
quality standards and bears certain features. With compelling benefits for consumers in just about
every walk of life, Vez could be a good addition to any retail store, health-focused or otherwise.
Varieties vegetables come in powdered form, ready for mixing with water into a healthy shake.
Our

range

is

hygienically

packaged

and

processed

to

retain

its

freshness.

Cauliflower, tomato, carrot all these are winter season vegetables but tomato, carrot, karela
grown all year round. The production of VEZ is done in the own operational plant because the
availability of raw-materials as well as the convenient transport and communication. The
operation of VEZ would consist of three phases procurement and storage, production and
packaging phase.
Procurement and storage the pre-production is run by the procurement and storage unit. The
procurement unit is responsible for purchasing 200 tones of each vegetable of Karela, Carrot,
Cauliflower, Tomato and other ingredients in FY 2010-11, 115 tones of Karela, Carrot,
Cauliflower.
Production phase the production phase transforms the each vegetables into powder which is
the finished product. The production unit produces 115 tones powder in FY 2009-10.
Packaging in this phase produced powder is packed in tetra packs of 500 gm, 250gm and 100
gm.

1.2 Placement of order: The distributors and dealers can place orders by using order form or
through internet. The customers can place orders through the website, physically.
1.3 Delivery: Powder is delivered in 1 dozen retail pack or 50 pcs wholesale pack. The local
dealers are responsible for home delivery with extra commission.
1.4 Billing: Powder distributors are required to make payment within 45 days. Accounts payable
would be paid within next year.
1.5 Quality control: Internal quality control is closely monitored by the production manager and
supervisors and low quality outputs are disposed. The weight of each pack is automatically
checked.
1.6 Manufacturing process: Research and development team has developed and refined its
manufacturing technology for vegetable powder production, resulting in powders with a longer
shelf life, simpler packaging and lower transportation costs than its competitors. This reduces
waste and lowers manufacturing costs for end product manufacturers. Vegetable powders can be
combined with other ingredients to improve production efficiency while retaining the original
flavor and nutrition of the end products. Our manufacturing technology, strong distribution
network and cost benefits set us apart from domestic competitors and allow our Company to
establish a strong footprint in this rapidly growing market
2.0 MARKETING PLAN
2.1 Marketing goals and objectives:
To meet up the required demand of vegetables we have started this project that is VEZ
because there is enough shortage of actual vegetables needs and to evaluate the

competitive environment and continue to establish a differential advantage.

To establish an effective and profitable marketing mix of product, place, price and

promotion.
To establish a powerful market for this product within 2020.

2.2 Marketing strategies:

Making people aware about alternative use of vegetables, its nutritious value, taste

and benefits.
Focusing price, taste and unique selling propositions while developing marketing
campaign.

Building brand proposition to different consumers according to their perception.

Creating customer loyalty and making customer delight by proper quality assurance
campaign.

2.3 Target customer :( appendices)

Geographic location: Dhaka city for first 5 years
Demographic: 1. Social classmiddle class and high end consumer 2. Children and
Patients are two prospective buyer segments for powdered Vez. Housewives who are
interested in offering and preparing new delicious dishes for family health maintenance.
Prospective buyers: Around 3,000,000 throughout Bangladesh.
2.4 Market positioning:
Since vegetables production is not available in Bangladesh our project will have huge
potentiality to sustain in the market. As actual demand for vegetables is not in required level and
those vegetables price is moderately high our product can be achieved greater popularity for its
comparatively lower prices and the same level of nutrition can be gained by this vegetable
powder. So hopefully we can say market position for product will be stronger in future.
2.5 marketing mix
Marketing mix: Vezs combination of product, price, promotion and distribution and other
marketing activities needed to meet the marketing objectives is
Product: In Vez there are different types of vegetables powder are

Karela Powder

Carrot Powder

Cauliflower Powder

Tomato Powder

It uses modern technology for packing its offers. The shelf life of Veg is 2-3 years.
Price: The following price list shows the wholesale and retail price of product lines:
Karela Powder
100gm

250gm

Carrot Powder
500
gm

100gm

Cauliflower Powder

250gm

500
gm

100gm

250gm

500
gm

Tomato Powder
100gm

250gm

500
gm

Wholesale
price
(BDT)
Listed
price
(BDT)

30

60

120

30

60

120

35

70

140

40

75

150

33

65

125

33

65

125

38

75

145

42

80

155

Distribution Channels: VEZ follows simple distribution channel with zone-wise distributors.
The Dhaka city has divided into 6 different zones. There are different types of Intermediaries are
Manufacturers sales force, Manufacturers representatives, Distributors
Integrated marketing communication: VEZs marketing communication mix or promotion
mix includes all the typical elements like advertising, sales promotion, public relations, personal
selling and direct marketing to activate pull strategy.
Some of the tools arei.
ii.
iii.
iv.

FM radio ads, Newspaper ads

Buzz Marketing (opinion leaders: Doctors)
Vez goes to school campaign
Vezs quality assurance campaign

2.6 Marketing budget:

2011-12
Advertising
Sales
promotion
PR and
personal
selling
Direct
marketing

2012-2013

2013-2014

2014-2015

2015-2016

50000
50000

100000
50000

100000
50000

150000
50000

150000
50000

30000

30000

60000

70000

70000

70000

70000

70000

80000

100000

200,000

250,000

280,000

300,000

320000

2.7 Customer service and control:

We have internet facilities telephone service, fax service to know the first hand information of
the consumers. The total marketing plan is flexible and open for any required contingencies. We
have also decided to establish call center for the convenience of customer.

3.0 ABOUT THE PROMOTERS OF THE PROJECT

VEZ firm is a partnership of 10 capital providers. VEZs organization structure is top-down
hierarchical structure with same authority among peers. (See A5)
Name of the Promoter(s)

Age

Net Worth

Smn Ikbal

24

1003360

Riyad

22

1003360

Tasmia

24

1003360

Toma

24

1003360

Tushar

23

1003360

Tahsin

24

1003360

Munna

23

1003360

Tapas

25

1003360

Minhaz

24

1003360

Farhad

24

1003360

4.0 IMPLEMENTATION PLAN

4.1 Project implementation schedule:
Product development
Land
License & Approval

Building

Installation

Machine purchase

Pilot production
Quality testing

Premise beautification

Commercial operation

Illustration: Project Timeline

(Indicate the month and year by which each activity will be commenced and completed)
Acquisition of land
: August 11
Land development

: October 11

Construction of buildings

: August 11

Procurement of plant and machinery

: September 11

Erection of plant and machinery

: September 11

Trial production

: November 11

Commercial production

: December 11

4.2 Resource ramp-up: With a view to implement the project, resource ramp-up is very vital.
The financial resources (equity and debt) and human resources are the key elements. Financial
resources are vital for uplifting capital investments and working capital. Human resources are
significant throughout the entire business process.
4.3 Product roll-out plan:

Vez
Product

Product

Dry
sectio
n

Preservativ
e

Cras
h
Secti
on

Storage

Vez
Powder

Qualit
y
contro
l
Packaging

5.0
5.1

RAW MATERIALS REQUIRED

5.1 Raw materials required: Since our product is agro-based thats why we need only the
following raw materials:
a)
b)
c)
d)

Kerala
Tomato
Carrot
Cauliflower

5.2 Sources of supply:

We collect raw materials from the following village firms:
a)
b)
c)
d)
e)
f)

Perozpur
Shilock
Shafi Nagar
Guthuma
Haildor
Rajapur

g)
h)
i)
j)
k)
l)

Kolapara
Kanchanpur
Marki
Kalocho
Chunoti
Rasholpur

5.3 Minimum purchase quantity, lead time, seasonality etc:

Minimum purchase quantity from the individual villagers or wholesalers is 2 mon or 80 kgs . the
order must be supplied within seven days from the order date. In winter the raw materials are
produced abundantly. Then the raw materials are purchased in large volume and stored in the
warehouse or cold storage for the year round.
5.4 Arrangement made for regular supply of the required quality of raw material:
Before the pre determined date of supply, communication is maintained with the suppliers
through firm visit, phone calls to remind about the quantity of the supply of raw materials.

6.0 MAN POWER REQUIREMENT

Production
Marketing
Finance and Accounting
General Management
Supervisory staff
Skilled workers
Administrative staff
Unskilled workers
Others
Total

No. of persons

Comments on availability

required
40
20
05
05
05
10
10
03
05
103

Available
Available
Available
Available
Available
Available
Available
Available
Available

7.0 DETAILS OF FIXED ASSETS REQUIRED FOR THE PROJECT

a) Land:
The total area of the plant and total factory area encompassing 6 acres.
b) Land development
The land must be developed and that should be prepared for preparing building.
c) Building
There would be several buildings in the plants. There is administrative building, quality
control department, marketing department, laboratory building, and power room for
continuous power supply.
d) Factory building
The factory building would be encompassing 1.5 acres.
e) Raw material go-down
There should be two raw material go-downs for preserving the finished goods as well as
raw materials. The go-downs should encompass 2 acres.
f) Finished stock go-down
There would be separate go-down for both finished stock and raw materials
encompassing 2.5 acres.
g) Office and administrative buildings
There would be separate office and administrative building for maintaining the
administrative work.
h) Laboratory

There would be a high standard laboratory for the evaluation of the quality of the product.
There would be specialized chemist for evaluating the food standard and nutrition
amount.
i) Power room
The unit would necessitate utilities like water, electric power and fuel. 25000 litres water,
125 HP power and 5 MTPD coal/FO as fuel, would be a mandatory requirement on per
day basis for the proposed unit.
j) Treatment plants
As there is no harmful chemical in the content of the food so there is no requirement of
treatment plant. So there will be no treatment plant for this project.
k) Plant and machinery
Sl. No
1.

Particulars
Washer machine

Quantity
2

Supplier
Global Agri Tech Engineer, Vadodara

2.

Peeling machine

Shriram Temp Exchangers, Vadodara

Honey Comb Products, Ahmedabad

3.

Slicing machine

Economode Food Equipment (India)

Ambica Boiler & Fabricators, Ahmedabad

Hind Pulverizer works, Ahmedabad

Shivaom Machine Tools, Noida

1
1
1

SSP (PVT) Limited, Haryana

Sadanand Approtech Pvt. Ltd, Mumbai
Ajinomoto India Pvt Ltd, Chennai
Avery India Ltd, Kolkata

4.
5.
6.
7.

Dryer
Steam Boiler
Sealing machine
Electronic scale
8.0

PROJECT COST: (summarized)

Initial Investments

Amounts in BDT

Total startup expenses

1725000

Total startup assets

10808600

Total Requirement

12533600

9.0

MEANS OF FINANCE

Amount in BDT
10,033,600
2,500,000

Equity
Debt
10.

% of Total
80%
20%

PROJECTED FINANCIAL STATEMENT

Income statement (summarized)

2011

2012

2013

2014

2015

15555000
7036000
8519000
587545

19060000
7800000
11260000
757545

21130000
9920000
11210000
1,217,545

23420000
11050000
12370000
1317545

25890000
12300000
13590000
1392545

expenses
Income from operations
Less: Interest expense @

7931455
375,000

10502455
352,863

9992455
327,404

11052455
298,128

12197455
264,459

15%
Net income before tax
Less: Income tax @ 40%
Net income after tax

7556455
3,022,582
4533873

10,149,592
9665050.518
4,059,837
3,866,020
BDT 6,089,755
5799030

10754327.3
4,301,731
6452596

11932995.59
4,773,198
7159797

Operating revenue
Sales
Less: cost of goods sold
Gross margin
Less: Total operating

Balance sheet (summarized)

2010-11
30914535
10533155
41447690
24380217
2,500,000
14567473
41447690

Total current assets

Total long term assets
Total assets
Total current liabilities
Long term liabilities
Total equity
Total liability and equity

2011-12
26862181.47
10258600
37120781.47
18645009
2,352,417
16123355.47
37120781.47

2012-13
21743673.78
9983600
31727273.78
13711947
2,182,697
15832630.31
31727273.86

2013-14
27778232.16
9793600
37571832.16
19098118
1,987,518
16486196.38
37571832.41

2014-15
26379491.51
9056600
35436091.51
16479631
1,763,063
17193397.35
35436091.09

11. PROJECTED CASH-FLOW STATEMENT

Cash-flow statement (summarized)
Net cash provided by operating
activities
Net cash provided by investing

2011
2012
2013
2014
2015
-2718582
-1534699.53 -2495924.69
-2442858.623 -2401157
11322100

activities
Net cash provided by financing

12011017

-522583

-522583

-522583

-5225

activities
Net increase in cash
Cash balance at the beginning of

20614535
500,000

-2057282.53
21,114,535

-3018507.69
19,057,252

-2965441.623
16,038,745

-2923740
13,073,3

21,114,535

19,057,252

16,038,745

13,073,303

10,149,5

year
Cash balance at the end of the
year

12. 0 FINANCIAL PARAMETERS

Initial Investment

12533600

Net Present Value (NPV) at 15% discount rate

7075562

Internal Rate of Return (IRR)

37%

Pay Back Period (PB)

2.8 years

Discounted Pay Back Period

2.1 years

12.1 BREAK EVEN ANALYSIS

2011
2012
2013
2014
2015
17569155
18058600
19903600
20843600 21356600
130
130
130
130
130

Total costs
Per unit selling
price (Tk.)
Break even selling

135147

138912

153105

160335

2014

2015

164282

unit
12.2 RATIO ANALYSIS
2011
Current ratio

2012
1.27

2013
1.44

1.59

1.45

1.60

Quick ratio

1.11

1.20

1.55

1.09

1.12

Net working

6534318

8217172

8031727

8680114

9899861

capital (Tk.)
Total asset

0.38

0.51

0.67

0.62

0.73

turnover ratio
Debt-equity

0.17

0.15

0.14

0.12

0.10

ratio
Debt-total asset

0.06

0.06

0.07

0.05

0.05

ratio
Interest burden

0.05

0.03

0.03

0.03

0.02

Gross margin

55%

59%

53%

53%

52%

Net profit

29%

32%

27%

28%

28%

margin
5Return on

11%

16%

18%

17%

20%

asset
Return on

31%

38%

37%

39%

42%

equity

Net profit margin indicates how mach the

firm generate net profit from its sales
considering all expenses. The higher the
net profit margin the better. Project VEZ
generate higher net profit margin for the
first two fiscal years and then fall. But
from the year 2014 it again start to recover
this decline in this margin.

Return on equity indicates how mach the

firm generates net profit from its equity
investment. The higher the ratio the better.
Project VEZ is in a better position in terms
of return on equity. There is a gradual
improvement from fiscal year 2011-2015
while 2012 generate the highest return.

13. FINDINGS
Preparing the project, things that seem the project is an influencing one to the development of the
economy of Bangladesh are

The project is beneficial for both customers as it fulfill their satisfaction with minimum
cost and the economy by decentralizing the tendency not to search job instead of
entrepreneurship.

The products have a potential high demand among the customer.

The rivalry among existing competitors is very low,

Main raw material is abundant in the local market

Customers need to be educated about the product as this is the new concept in the market.

This demand creating activity can be a time consuming one.

Target market of the product can be expanded after fulfilling the demand of the local
market by exporting abroad.

As the product will be used both as food and food supplement there is much opportunity
of being profitable.

Since the project is labor oriented, it seems to have a positive influence to foster the
economic growth.
14. CONCLUSION

Considering all the steps of this project, it is found that this project is financially profitable as
there are few competitors in the market being an innovative idea and society supportive as VEZ
powder is that kind of product which can be used as an alternative of a green vegetable vitamin
supplement which supplies the body with the nutrients it needs to function at its best, in
combination with the reduction of unhealthy foods. Market demand as well as technical,
financial, economic and environmental viability of the project indicates that it may be a
profitable project and customer oriented which can meet the customer demand of alternative
vitamins. Another thing that can have a big consideration is if this kind of labor oriented &
customer centric project get succeed it will obviously work as a salient inspiration for the new
entrepreneurs which helps to reduce the tendency of educated to find jobs & to develop the
country in a multiple way.

15. REFERENCE
1. Questionnaires
2. Project Management By K.Nagarajan
3. http://www.greenfield.waw.pl/en/food_industry/fruit_powder?
gclid=CNfGi6_1rasCFQbwzAod6HW7Ig
4. http://www.amazon.com/Barry-Farm-Carrot-Powder-oz/dp/B0001BGTTY
5. http://www.food-ingredients.com/suppliers-Cauliflower+powder.htm
6. http://www.food-manufacturer.com/freeze-dried-cauliflower-powder.html
7. http://www.alibaba.com/showroom/cauliflower-powder.html
8. http://mrscion.tradeindia.com/Exporters_Suppliers/Exporter15376.231432/DehydratedBitter-Gourd-Powder.html
9. http://www.indiamart.com/primeherbonix/herbal-and-botanical-products.html
10. http://www.prettytomato.cn/?gclid=COHHqen4rasCFQMYzQodyl2QIA