Indusland Farms - an investment proposal to set up a dairy farm and an agri-marketing company

JOINT DAIRY FARM, AGRI-MARKETING COMPANY AND BRAND

PROPOSAL

Email: [email protected]

A project of Training Pakistan Private Limited (TPPL) www.trainingpakistan.com

To be the trusted local, home delivery, provider of daily fresh milk and grocery items.

A project of Training Pakistan Private Limited - www.traininigpakistan.com - [email protected]

http://www.traininigpakistan.com/

mailto:[email protected]

Establish a dairy farm on premises (as entry strategy) for direct-to-consumer milk sales at premium prices

Create an agri-marketing company with its own brand

Leverage the existing infrastructure, location and most importantly the 5km radius premium market with localized, B2C, online ordering trends with grocery items.

Provide farmers (fruit/veg/grain and livestock producers) training and product buy-back agreement

Ensure marketing and sales of farmers’ products




1. Local / Neighborhood retailers2. B2C – home delivery3. Payment on Delivery (PoD) successful4. Online orders5. Preference for Fresh and Organic products




1. Invest in own dairy farm and start with dairy milk sales as entry strategy

2. Phase in additional products3. Build a farmers network 4. Build and test systems (database, sales etc)5. Replicate model in other regions / areas

Build TRUST with fresh,

quality milk




1. Dairy – fresh milk (unpasteurized, sealed glass bottles/PP bags)

2. Fruit and Vegetables 3. Value added products4. Poultry (eggs – chicken, duck etc.)5. Meat (Chicken, Mutton, Beef, Quail)6. Bakery Items7. Organic and Natural Foods Range8. Processed Food Items

Provide a trusted milk brand and be the ‘neighborhood

dairy farm’




Indusland Farms

Training Pakistan Private Limited

Investor(s)

Training Pakistan will hold 50% of shares

Investor(s) will hold 50% shares




1. Unmatched accessibility to higher-end society buyers & consumers

2. Location of facility inside Lahore3. 15 acres with developed

infrastructure4. 50,000,000 PKR of dairy/livestock

infrastructure (minus land) in place

5. Industrial Electrical Connectivity -valued at 5 million PKR

Here’s what Training Pakistan brings to the table










6. A staff of leading veterinary experts and student body undertaking Livestock Assistant courses

7. Leading animal nutrition experts8. Network of Fruit and Vegetable

(F&V) farmers9. Experience in F&V marketing10. Network of organic and natural

foods producers and processors

Here’s what Training Pakistan brings to the table




11. Solar Powered electricity support12. Network of farmers & entrepreneurs

trained to produce required products to set standards
















1. Company incorporated with SECP2. Member of Lahore Chamber of Commerce

and Industry (LCCI)3. Affiliated with University of Veterinary and

Animal Sciences (UVAS) (http://www.uvas.edu.pk/affliation.htm)

4. Registered with National Training Bureau (NTB) and registration for TEVTA under process


http://www.uvas.edu.pk/affliation.htm



Updated activities can be viewed at:

1. www.trainingpakistan.com2. www.facebook.com/trainingpakistan


http://www.trainingpakistan.com/

http://www.facebook.com/trainingpakistan



1. Park View Villas2. DHA EME Housing Society 3. Bahria Town4. Green Forts 25. Izmir6. Tricon Village7. Rajput Town / Muhafiz Town / Eden8. Later on: Johar Town, Wapda Town,

Valencia, NFC etc.




1. Retail stores: F&V, Meat, Poultry, Natural/Organic foods, Processed Items

2. Caterers: Meat3. Canteens: F&V (b and c grade F&V)4. HORECA: F&V (b and c grade F&V and

meat)




Market at doorstep: Accessibility to growing high-end housing societies within a 5 km radius

15 acre facility that can be used to scale up Expertise in livestock rearing, fruit and veg, and

grocery items sectors On-campus expertise of veterinarians and

animal nutrition experts Expertise in agriculture production Experience in livestock and agri production Modern slaughterhouse next door for value

addition of meat cuts




Capital investment Limited experience in running an actual dairy

farm




1. Local retail stores or businesses have been a global trend with strong sales over mega stores/businesses

2. Online sales3. Home delivery sales are growing and a proven model4. Payment on Delivery (PoD) has been successful in

Pakistan and growing5. Rapid growth in organic, natural, fresh and health foods6. Daily grocery items have inelastic demand 7. Far too much adulterated & harmful dairy milk being sold8. Farmers (F&V/Grains and Livestock owners) fail to get

premium market prices due to lack of marketing exposure9. Farmers are interested to learn new technologies if they

can get higher returns and marketing channels are provided to them




Competitors: setting up online portal Ease of entry for home deliveries like F&V




1. Dairy: Milk (unpasteurized, in glass bottle/PP bag, branded)

2. Fruit and Vegetables3. Value added products 4. Bakery Items5. Meat & Poultry6. Grains & Pulses (wheat flour, rice, lentils etc.)7. Organic / Natural / Healthy

40-50% of monthly

household retail budget




60

80

120

0

10

20

30

40

50

60

70

80

90

100

Milk Processors Open Milk Sellers (Gavala) B2C Model

Milk Sale Prices (PKR / Liter)

Milk Processors Open Milk Sellers (Gavala) B2C Model




40% 20%

Monthly Household Budget % Groceries

# of Households Rev Gross Profit

30,000.00 12,000.00 1000.00 12,000,000.00 2,400,000.00

Monthly Household Budget for core grocery products of target market area (non-dairy):




1. Seasonal products: Dates (ramzan), meat (eid)

2. Off-seasonal products: a) frozen fruit, b) vegetables

3. Beverages




Citrus Banana Apple Mango Strawberry Papaya Tropical Dates

Potato Onion Tomato Garlic Ginger Leafy: corriander, mint,

lettuce Peas Eggplant Saag, Palak Okra

Fruit Vegetables




Mutton Chicken Beef Fish Quail Turkey Eggs




Bread Buns Cakes




Organic Wheat Flour Organic Rice Organic Chicken Meat Grain-fed meat Gluten-free Specialty flours: moringa, and other

ingredients Honey




Jam & jellies Pickles Dehydrated onion / ginger / garlic powder

and paste etc Juices Fries Select meat cuts




Dehydrated products:

Coriander powder

Garlic powder / paste

Ginger powder / paste

Potato products Organic Jam / Jelly Olives and Olive products




Dairy: Milk F&VMeat & Poultry

BakeryOrganic &

Natural Foods

Processed Foods


Company will operate its own dairy farm for milk sales



Cash flow from Dairy will be used to add components of:

F&V

Meat and Poultry

Bakery

Natural/Organic foods

Processed Food Items




1. Ramadan sales:

Dates

Meat

2. Eid ul Azha

Sacrificial animal sales: male calves of dairy farm

3. Sunday Bazaar Market: Specials for registered customers

4. Post harvest product sales (specialty products: fusion honey, frozen fruit etc.)




B2C – build 1,000 target consumers via dairy milk sales

Sales pitch: consumers will have 24/7 IP camera access to dairy milking parlor / chiller / packaging unit

Start building network of farmers and initiate short training courses




Reduce Dairy Milk profits to 50% of total profits

Add HORECA – 20% of total revenue Add additional geographical locations within

Lahore (expand B2C) Expand farmers networks




HORECA expanded to 50% of total revenue Contract farming and locking suppliers

networks Expand distribution network Add dairy cooperative Add new cities for B2C




Expand dairy cooperative with range of value added products

Retail? Across the line range of branded grocery

products




1. Dairy Milk Sales as Entry Strategy2. Business Model of train farmers – buy back

products at better prices – sell to online buyer base / HORECA




Farmers produce products of

required quality standards

TPPL buys / contracts produce from its trained

farmers

Conduct Training Courses for

Farmers

A project of Training Pakistan Private Limited - www.traininigpakistan.com

Critical Support Components

Online Portal Optimize: SEO

Online marketing

Sales & Order Processing Team Database Management Farmers training and support network Logistic and Supply Chain Management Customer Service Team CCTV Cameras – 24 hour access

Online / web presence is crucial to building trust with client base




1. Dairy animals – minimum of 65 purebred Holstein cows2. Milking parlor 3. Small Bottling plant4. Pasteurization unit (if needed)5. Chiller6. Chiller transport van7. 8 months of farm operational costs including for dedicated staff,

manager, and most of all feed + fodder requirements 8. Additions to infrastructure to ensure high yields

Climate Controlled walls for existing shed with negative pressure fans set up

Spray fans, head catchers etc. 9. Miscellaneous items: CCTV cameras, IP connectivity, etc. 10. Marketing and Sales budgeting




Dairy Investment: 4 – 6 crore PKR (40-60 million rupees or approx. US $550,000) Holstein cows: USA 400,00o PKR (European if

available are priced at 300,000 or so PKR) Chiller Chiller Van Milking Parlor Bottling Plant Add climate control walls and controls with existing

shed Generator set




1. Share division of new brand/company: 50% TPPL and 50% Investor(s)

2. Joint management of company with assigned roles/responsibilities

3. Exit Clause (in case of worst case scenario): Investor’s 1st

generation livestock and movable investments (chiller, chiller van, bottling plant etc) will be assets the investors can walk away with. 2nd

Generation livestock will be assets equally shared between TPPL and Investor(s)

4. Additional terms can be discussed




Email: [email protected]

Phone: +92 423 7512649 or +92 300 846 9255

Website: www.trainingpakistan.com

FB: www.facebook.com/trainingpakistan.com



http://www.trainingpakistan.com/

http://www.facebook.com/trainingpakistan.com



THANK YOU


