Citrus
The One Pager Business Plan for Ginger
The One Pager Business Plan (Citrus)
Presented in bite size and easy to understand language, The One Pager Business Plan highlights the basic insights and considerations that helps you to decide if and how to engage in agricultural ventures.
World Citrus Production
Among the main fruits produced in the world, citrus is highlighted. The citrus fruits were the second most produced fruit worldwide in 2021, accounting for 161.8 million tonnes produced in more than 10.2 million hectares. Only bananas and plantains combined exceeded this amount, reaching more than 170.3 million tonnes. Oranges world production is the most significant within citrus, reaching 75.57 million tonnes (46.7% of citrus fruit production) in a harvested area of 9.93 million hectares.
The second most important fruit is tangerines, with a production of 41.95 million tonnes (25.9% of citrus fruit production) in a harvested area of 3.11 million hectares. Otherwise, limes and lemons reached 20.83 million tonnes (12.87% of citrus fruit production) in a harvested area of 1.34 million hectares. Besides, pomelos and grapefruits (C. paradisi and C. máxima) and other fruits (Citrus medica, Citrus bergamia, Citrus myrtifolia and Fortunella spp.) are also notorious. Pomelos and grapefruits have a production of 9.56 million tonnes while other citrus fruits have a production of 13.90 million tonnes.
Citrus Production in Nigeria
In 2021, citrus fruit production for Nigeria was 4.11 million tonnes. Citrus fruit production in Nigeria increased from 1.5 million tonnes in 1972 to 4.11 million tonnes in 2021 growing at an average annual rate of 2.20%. The states with the major citrus production in Nigeria include Benue, Nassarawa, Kogi, Ogun, Oyo, Osun, Ebonyi, Kaduna, Taraba, Ekiti, Imo, Kwara, Edo, and Delta.
Ginger Value Chain
Goverment AID Multilateral, etc.
Seed Fertilizer services, etc.
You-Farmer Labour services, etc.
Manufacturer Marketing Distribution, Export etc.
Industry Consumer Export Trader, Etc.
Calendar Pattern for Ginger Production
Citrus Farming in Nigeria
In Nigeria, citrus production is more concentrated in the Guinea and Sudan savanna zones, with Benue state giving the highest annual commodity production. The commonly grown citrus species such as oranges, grapefruits, limes and pomelos belong to the family Rutacceae, with about 150 genera, while the largest grown in Nigeria is oranges.
SWOT Analysis
Strength: Available base resources of land, labour and technical know-how, well known in local and international markets.
Weakness: Financing of new entrants may be difficult and climate change is a weakness.
Opportunity: A growing market with an increase in population.
Threat: Global economic downturn, bad weather cum natural disasters (draughts, epidemics), the arrival of a competitor through the importation of fruit juice.
PESTLE Analysis
Political
Economic
Social
Technology
Legal
Environment
Technical Consideration
The establishment of citrus is done by purchasing seedlings from a research institute or a reputable seedlings dealer as the process of nurturing the seeds to seedlings might be too technical. Seedlings are produced from the seeds in the nursery. The seeds are raised in seed trays by October- December in loamy soil, rich in organic matter and the seeds are sown at a spacing of 3cm ×3cm and 2cm depth. The seedlings are moved from the seed trail to the nursery around April – May where they are replanted at 60cm x 60cm spacing.
Watering, weeding and shading are provided. Budding and grafting are done a year later. After one year of budding, the seedlings are transplanted to the field at a spacing of 7.0m x 7.0m. Maturity is between 2-7 years depending on the varieties and the plant gets to full production after 3-4 harvests
Marketing and Distribution
Online Customers
Households
Individuals
Hotels
Restaurants
Fast food eateries
Agriculture merchants (wholesalers and retailers)
Operations
A medium holder farm can be managed with a lean operational framework of not more than 5 people, mostly contract with little overhead cost. Most administrative tools for such tasks as bookkeeping, project management and reporting can be sourced freely.
As farms grow, headcount may grow, however, it is advised to keep operations lean and overhead low by using contract workers for most of the farm tasks while growing capacity in managerial areas.
As farms grow, headcount may grow, however, it is advised to keep operations lean and overhead low by using contract workers for most of the farm tasks while growing capacity in managerial areas.Risk
Unfavourable environments such as land issue, insecurity, and pastoralism
Mitigant
High Probability
Poor technical knowledge on tomato production.
Mitigant
Low Probability
Outbreak of pest and diseases.
Mitigant
Medium Probability
Incedence of drought or flood
Mitigant
High Probability
Lack of funds or poor funding
Mitigant
Medium Probability
Product rejection and ripping off by middlemen
Mitigant
Low Probability
Poor pricing of commodity
Mitigant
Medium ProbabilityEconomics of Production (October 2023)
TAO Market Survey
It is advised that capital expenditure is avoided at this stage and all capabilities are sourced as services. Labour and services costs may vary per state or region and are amortized per hectare.Profitability of Production (October 2023)
TAO Market Survey
Funding
There are funding sources for medium-scale tomato farming if capacity and capability are demonstrated. Typical funding sources from formal financial institutions include:
Out Growers
Investors and partnerships
Development interventions
Grants
Banks: Microfinance and commercial
Funding considerations will require that feasibility and viability are demonstrated, some track record in agriculture will also support a positive funding outlook.
Who is Suited for This?
Anyone interested person that has the knowledge or is ready to acquire knowledge on citrus production. The best-suited are agriculture students, graduates, professional farmers, side hustle farmers, and enthusiasts.
Consideration Score
- Viability --- High
- Feasibility --- High
- Profitability --- High
- Ease of entry --- High
- Aggregate Risk --- Medium
- Probability for Growth --- High
- Resilience and Sustainability --- High
- Aggregate Consideration Score --- High
Conclusion
The global citrus industry is a major component of contemporary agriculture, supplying food to billions of people, plus a host of non-food products that include cleaning products. Citrus is highly profitable and has a long productive lifecycle of about 25-30 years, followed by diminishing returns.
