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Tomato Farming: Business Plan, Cost, Revenue and Profit

April 4, 2022

To grow tomato, you need to assess and analyse the expected cost, expected revenue and expected profit. This can only be done by writing a business plan.

This post shows a business plan for tomato farming in Nigeria. It shows all the factors you need to consider including the financial implication before you start your tomato farming venture.

Cost, Revenue and Profit Analysis of a One Hectare Tomato Farm (₦)

Farm set-up for one hectare of tomato farming venture, notes/assumptions.

The profit analyses above were done using three scenarios (best case, mid case and worst case).

Drip Irrigation : N625,000 is taken as the cost of drip irrigation per hectare. You can get the drip irrigation kits from us.

Fertilizers : Whilst N200,000 is taken as the total cost to be spent on fertilizer per hectare. You should note that the volume and type of fertilizers to use will depend on the result of your soil analysis. If you have a soil with good nutrients, you may spend less on fertilizers. If your soil is poor and spent, you may spend more on fertilisers.

Pesticides : N70,000 is expected to be spent on pesticides (fungicides, insecticides and nematicides) per hectare of tomato. This figure can increase or decrease as per the intensity of pest and disease pressure.

Sales Revenue : The price of tomato goes through a cycle every year in Nigeria. At some times of the year, the price can increase by as much as 300%. For example, a 60kg basket of tomatoes can go for N20,000 between June and July in Mile 12 market, Lagos. Between January and February, same basket of tomatoes can go for as low as N5,000 per basket in Lagos.

I have assumed that if you implement good agronomic practices, you are expected to harvest up to 500 baskets of tomatoes (50-60 kg basket) per hectare. This is about 25-30 tonnes per hectare. Some farmers in Nigeria do well above this yield per hectare.

Manure : The soil in sub-Saharan Africa is not rich in nutrients. There is a misconception that the soil in Nigeria is rich in nutrients and organic matter, this is not true, except for newly deforested land. Chicken manure is advised to be added to your soil before farming. N50,000 is expected to be spent on chicken manure. You can however get it free of charge from some poultry farms.

Hybrid Seeds : N120,000 is taken as the cost of hybrid seeds per hectare. Please note that this cost can vary as per your location and the variety of hybrid tomato seeds you want to plant. If you use open pollinated tomato seeds like Roma, the cost is lesser but it has a lesser yield too.

Cost of Labour : N240,000 is taken as the cost of labour throughout the term of the tomato farm. This can be lower or higher as per your location and other factors. You can also use machines to reduce your need for human labour.

Knapsack Sprayer : One knapsack sprayer is N5,000 while the cost of a motorized sprayer is N150,000.

Farm Tools : The cost of other farm tools is expected to be N10,000.

tomato farming

Business Description of Tomato Farming

Tomato farming is planting of tomato seeds, transplanting and managing the tomato plants till they fruit and the farmer harvests. The cycle ends when the farmer sells his tomatoes in the market. Tomatoes can be sold in the open markets in Nigeria like the Mile 12 market in Lagos; they can also be sold in the more organized markets like Shoprite, Spar and hotels etc.

Market Analysis

Market Trend : The huge population of Nigeria is a plus for tomato farming. Almost all Nigerians consume tomatoes directly or indirectly every day. Tomatoes are used in making foods, soups and other edibles in Nigeria. As a matter of fact, I have never seen a Nigeria who says he does not eat tomatoes.

All through the year, the demand for tomatoes is fairly constant, however during the festive seasons in Nigeria, the demand for tomatoes skyrocket. The supply of tomatoes significantly reduces during the months of April to August because farmers in the north where a lot of tomatoes are farmed do not grow this crop during these months. Prices of tomatoes increase by as much as 200% during the months of April – August.

Target Market: The largest market for the supply of tomatoes in Nigeria is the Mile 12 market in Lagos. About 500 trucks of tomatoes are offloaded in this market every day. Other open markets in Nigeria also sell a lot of tomatoes, often in 50-60kg baskets.

A tomato farmer can also target the more organized market like shoprite, spar and hotels. The organized market has a more attractive market than the open market.

Competitive Analysis: A lot of farmers grow tomatoes in Nigeria. Ven a lot of people grow tomatoes in their home gardens. The good thing for a tomato farming investor is that 80% of tomato farmers in Nigeria do not get it right. They often get low yields because they do not use good agronomic practices. A lot of tomato farmers in Nigeria do not even use drip irrigation, they use old practices that are alien to modern science.

Cultivating tomatoes with the use of new technologies like drip irrigation can enable farmers to cultivate the crop all year round, especially during the lean months of April – August. Drip irrigation can enable a tomato farmer to make a huge profit.

tomato farming business plan in nigeria

Sales and Marketing Strategy

You need a sound sales and marketing strategy if you want to make good money from tomato farming in Nigeria. The sales and marketing strategy to use will depend on the market you want to sell your produce.

If a tomato farmer wants to sell in the open market in Nigeria, he has to use agents who will help him sell and charge a commission of 5-10%. The farmer can also sell himself in some open markets in Nigeria.

A tomato farmer who wishes to sell in supermarkets and hotels may use digital marketing techniques to give his produce better mileage. He can also do direct marketing.

Please note that this is not a financial advice, the onus is on you to do your own research before venturing into the business of planting of tomato.

If you need a business plan or feasibility study about tomato farming in Nigeria, you can contact us on [email protected] .

I really appreciate your write up it is very rich. I will be more grateful if you can help me with cost of setting up of standard green house on half actre of land.

Can I get an updated version for 2023. I love your write up

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tomato farming business plan in nigeria

The Complete Guide to Tomato Farming in Nigeria: Tips and Strategies for Success

  • by SME Guide

tomato farming business plan in nigeria

Tomato farming presents a very lucrative agriculture business opportunity across Nigeria, given rising consumption levels both for fresh and processed tomato uses. However, the country’s domestic production falls far short of meeting local demand annually.

Nigeria’s suitable tropical climate, arable land, and agricultural labour availability mean tomatoes can be grown profitably in nearly all regions. Adopting the best practices for soil management, varieties, crop care, and post-harvest handling is crucial to ensuring good yields and quality, along with firmly linking production to off-taker demand.

This comprehensive guide aims to provide tomato farmers in Nigeria with end-to-end knowledge spanning agronomy best practices, input optimisation, risk management, financing options, and linking with lucrative markets to improve productivity and profitability. Let’s explore Nigeria’s tomato farming potential and tips for success in detail:

Overview of Tomato’s Importance for Nigerian Agriculture

Before delving into the best practices behind cultivating tomatoes successfully, it is vital to understand why this crop deserves policymaker attention and farmer focus:

Supply Shortfall Against Rising Consumption:

Tomatoes are crucial to Nigerian food ecosystems and are widely consumed in diverse dishes, sauces, juices, etc. Annual demand today exceeds 2.5 million metric tonnes, but local production ranges between 1 and 1.5 million metric tonnes, despite suitable growing conditions countrywide. Curbing imports is critical for food security.

High Nutritional Value:

Tomatoes contain ample Vitamin C, A, and antioxidants like lycopene, which enhance health, skin, and hair quality and provide immunity, making rising affordability for mass consumption very important.

Income Generation:

Tomato farming provides steady livelihoods for over 4 million smallholder families across rural Nigeria, according to one estimate, directly through cultivation, and another 6 million are involved in trading, logistics, etc. along the supply chain.

Industrial Value Addition:

Tomato’s status as the major raw ingredient behind top food manufacturing categories ranging from pastes and ketchup to juices makes raising local sourcing vital for import substitution by FMCG majors including Dangote, Flour Mills, etc., thus catalysing industrial growth.

Government Focus:

Owing to tomatoes’ socio-economic relevance, Nigerian government agencies are finally prioritising long-needed R&D and infrastructure upgrades, ranging from new heat-resistant seed varieties under NACGRAB to large-scale irrigation visible through NALDA’s Gombe tomato project.

With fundamentals turning favourable, Nigeria’s tomato yields can multiply rapidly in the decade ahead through the adoption of progressive practices, as highlighted in this guide.

Nigeria’s Tomato Production Potential

Tomatoes grow well across a wide range of agro-ecological conditions present across Nigeria, whether there is scanty rainfall up north or heavy rainfall down south. However, each zone has optimal practices in terms of ideal planting times, suitable varieties, and targeted harvest months, which farmers must align with to boost productivity.

Nigeria’s main tomato-producing states currently include Kaduna, Katsina, Kano Jigawa, Sokoto, Taraba, and Plateau, representing the northwest breadbasket region, along with irregular cultivation happening countrywide on much smaller scales.

Combined, studies estimate these northern states can produce over 2 million metric tonnes of tomatoes a year through improved farming techniques and consistency in production cycles to avoid gluts and shortages.

Thus, Nigeria clearly possesses the potential to go from a net importer to a potential export powerhouse within the next decade, leveraging tomatoes’ versatile climatic adaptation.

Beyond the states listed earlier, opportunities also exist to expand off-season cultivation clusters around Ondo, Ekiti, Osun, Ogun, Anambra, Ebonyi, etc., leveraging southern rainfall patterns during the June–September months when fungus pressures slash northern yields.

Adopting a three-pronged cultivation strategy focusing on mechanised farmland preparation, quality input usage, including tested high-yielding seed varieties, and post-harvest storage R&D can quintuple national tomato outputs, transforming Nigeria’s self-sufficiency prospects.

Selecting the Right Tomato Variety

The foremost decision aspiring or experienced tomato farmers must make is choosing suitable cultivars that meet desired attributes across metrics like yields per hectare, harvest duration, pest resilience, shelf life duration, organic compatibility, etc.

With different end-market usages for fresh salads, cooking, and processing into pastes, sauces, or value-added products in Nigeria, growers must define usage preferences first before researching ideal tomato types. Let us explore key options:

A popular hybrid variety bred by a world-leading vegetable seed firm known as EastWest specifically for tropical West African cultivation conditions, offering a sturdy nature, an oval shape, and medium sizes, averaging 65 grammes of tomato weight, along with tolerance towards foliage diseases.

Another prime variety gaining traction from global seed leader Syngenta provides enhanced protection against destructive Tuta Absoluta pests thanks to inbuilt genetic resistance along with reliable yields of 62 metric tonnes per hectare. Ideal for open-field farming

Well suited for greenhouse farming infrastructure funded under NALDA given its compact plant size, elongated fleshy fruits, and few seeds, making it apt for sauces and puree processing, along with the potential for high yields between January and March planting in Nigeria’s northern half.

Rio Grande:

A chef’s favourite round tomato variety offers delectable taste while having a long shelf life spanning 25–30 days after harvest, making it ideal for fresh market usage. However, susceptibility to various blights requires preventive spraying regimes. Potential yield at 40 tonnes per hectare.

This determinate, early-maturing tomato variant allows growing cycles as short as 75 days while still producing oval, firm fruits averaging 75 grammes, making it ideal for produce markets seeking such attributes. However, Septoria leaf spot vulnerability necessitates treatment.

The above list, while not exhaustive, covers suitable varieties ignoring local landraces for farmers targeting commercial-scale cultivation, whether intercropping with other vegetables or focused tomato farming.

Sourcing high-quality, certified seeds along with onboarding reputed agronomy partners ensures ideal crop performance and preventability guidance against diseases like bacterial wilt, etc., adding to working capital but boosting peace of mind by mitigating overall risk factors.

Land Selection and Land Preparation

Once suitable cultivars are selected, factoring in end-market linkages, evaluating optimal farmland constitutes the next key step for maximising potential tomato yields on a per-acre basis while lowering associated water requirements. Key aspects for securing tomato fields encompass:

Soil Testing: Taking samples across the intended field, followed by laboratory analysis, checks the presence of loamy, sandy soil with elevated organic content along with neutral pH levels of 6 to 7 and adequate micronutrient availability. Soil improvers can amend gaps.

Topography and Drainage: Focus on securing flat or gently sloping land plots, allowing uniform irrigation. The site must not be prone to waterlogging or flooding since tomato plants are highly vulnerable to excess moisture, which increases root rot and foliage disease risks.

Previous Croppings: Obtain prior history encompassing crops grown over the past 3–5 years and any major disease episodes. The plot must be free from nematodes and soil-borne pathogen accumulation over successive harvests. Avoid lettuce, brassica, and potatoes preceding tomatoes.

Proximity to Markets: While not fully dependent on infrastructure due to processed usage, sitting tomato fields between 50 and 250 kilometres from major cities, and manufacturing hubs aid with transportation logistics and foster linkages.

Plot Shape and Size: Target rectangular plots over 5 acres, allowing ease of mechanised operations later. If greenhouses are chosen, ensure suppliers customise polyhouse sizes accordingly.

Upon land finalisation between own holdings, leases, etc., ensure complete removal of debris, weeds, and crop stubble, followed by deep ploughing up to 60 cm, allowing excellent initial root development and soil aeration, while also burying lingering pest eggs or larvae from previous harvests, if any.

Solarization techniques using polythene mulch help sterilise soil further when ample lead time exists prior to sowing while avoiding chemical fumigants.

Field Preparation

With clean, nutrient-rich farmland secured, the focus shifts towards field preparation focused on enriching soil fertility, moisture retention, and erosion control, helping seedlings establish vigorously. Major steps ahead of nursery bed development:

Install Drip Irrigation: Drip lines with emitters placed every 30 cm allow uniform water application, preventing foliage wetness, and also cut wastage by 40–60% through precision supervision vs. flood methods. A microspray works for smaller clusters.

Apply Organic Manure: 20 tonnes per hectare of well-decomposed farmyard manure or compost mixes is crucial for adding organic matter and boosting water holding capacity for this water-loving crop.

Add inorganic fertilisers: NPK grades of 12–24, urea, etc., ensuring 180 kg nitrogen, 100 kg potash, and 60 kg phosphorous before sowing satisfies nutritional requirements, aiding cell growth and flowering.

Develop Nursery Beds: Raised beds of 1 to 1.2 metres in width by 10–20 metres in length work well, allowing ease of netting. Mixing soil with river sand for drainage is crucial for seedling health.

Install Tomato Trellises: Sturdy wooden or metal angular or T-shaped racks properly secured allow tying plants vertically, easing monitoring vs. sprawling bushes. It is useful for greenhouse cultivation. Allows sunlight permeability and air movement, as well as checking for infection transfer. However, manual harvesting becomes trickier, and training is essential.

With irrigation, fertilisation, and support systems deployed, the focus shifts to procuring quality seedlings suitable for field transfers after attaining 4 weeks of maturity or 15 cm of height, including 3–4 leaf stage growth. Timely nursery development is key for harvest scheduling later. Let’s understand seedling production next.

Nursery bed preparation and seedling production

To enable cost-effective field transplantation at scale, setting up nursery beds specifically for germinating tomato seeds and nurturing seedlings is highly recommended before final transfers to cultivation plots, even as some opt for direct sowing approaches instead, especially when pursuing organic practices. Key aspects of quality seedling production include:

Media Mix Preparation: Combine 2 parts of fertile garden soil along with 1 part well-rotten organic manure or compost and 1 part coarse river sand. Sterilise the mix with hot water.

Filling Polybags: Affordable polythene bags with dimensions of 4×6 inches and drainage holes prove most effective in terms of root development and ease of planting.

Seeds Sowing: Appropriate tomato seeds calibrated for traits like days to maturity, heat tolerance, etc. can then be sown 1/4 inch deep, spaced 2 inches apart, optimising germination rates.

Irrigation Needs: Watering twice daily in the mornings and evenings is crucial through using rose cans, and avoiding foliage overspill since moisture-loving pathogens like late blight thrive in such conditions.

Sunlight and Ventilation: Tomato nursery beds need 6–8 hours of sunlight for optimal growth. Ensure air circulation and ventilation by not overcrowding beds. 50–60% polyshade nets can be installed, providing bright sunlight while cutting heat and moisture.

Hardening Off: 10–14 days before anticipated transplantation to fields, reduce watering while exposing seedlings to direct sunlight for a few hours daily over a week, hardening them off, and checking shock risks later upon final transfer.

If quality benchmarks across metrics like plant height, leaf numbers, and stem girth are achieved, seedlings stand a high chance of maturing into productive plants upon field transplantation, with survival rates exceeding 85%.

Field Transplantation Process and Planting Geometry

The transfer of nursery-grown tomato seedlings into open cultivation fields constitutes a delicate stage where plant mortality can spike due to handling shocks or climatic factors. Follow suitable precautions.

Avoid Rainy Days: Pick dry days with no rainfall forecast, ideally just after irrigation to keep soil moist, aiding recovery.

Timing Windows: Early mornings or late afternoons with reduced sunlight intensity are recommended rather than risking peak sunshine hours.

Monitor Seedling Heath: Just before uprooting from the nursery, verify foliage status and root ball development before finalising candidates for transplantation.

Dig Planting Holes: In destination fields, excavate holes of 45 cm by 45 cm, giving adequate width for root expansion. Ideal triangle spacing is 75x60x60 cm for popular determinate cultivars, which is crucial geometry for yields and manual picking later.

Mix Compost: Loose soil with added buckets of compost or manure augments nutrient availability, aiding establishment.

Root Ball Care: Uproot carefully from the nursery and plant quickly into holes without leaving seedling roots exposed to air for a longer duration, and avoid root damage through rough handling, leading to higher mortality rates.

Water Immediately: Hydrate transplanted seedlings right after placing them within holes, ensuring no air pockets exist around roots, followed by pumping the required levels across the field, preventing moisture stress, which smaller plants struggle to counter. Water again after a week if no rain.

Provide Shade: Erect small polytarp covers around central zones, blocking excessive sunlight and heat during the initial 10 days, reducing climate acclimatisation pressures for nursery graduates, and allowing pickup in growth momentum after 3–4 weeks only.

Adhering to these protocols supports maximum field survival rates, boosts uniform stand establishment, and elongates growing duration, translating into higher yields.

Crop Care Practices

With seedlings now transplanted at optimised geometries and irrigation infrastructure deployed, farmers need to uphold robust crop care regimes spanning fertilisation, spraying, pruning, and trellising focused on both maximising tomato fruit production parameters like size, colour, etc. while also safeguarding against biotic pressures like pests and diseases that can decimate entire plantations.

Fertigation Needs

Tomato plants exhibit high fertilisation needs owing to constant flowering and fruit development right through the harvesting months. Drip fertigation solves precision delivery, allowing optimal absorption.

Nitrogen is critical for foliage, shoots, and stem growth. Deficiency marks are visible through chlorosis and stunted plants. Recommended application levels: 130 kg/acre split over the crop cycle

Phosphorous: Drives strong root development, vitality, and flowering outcomes. Apply at 60 kg/acre doses mixed with NPK grades.

Potassium’s significance lies in improving tolerance towards water scarcity, disease resilience, and skin quality, achieving a deeper red ripening colour crucial for fresh market appeal. Application levels are around 100 kg/acre.

Micronutrients: Blended liquid formulations containing manganese, zinc, boron, etc. sprays every third week generate higher fruit yields, translating into bigger yields plus concentrated flavours.

Manual Pollination

Open-pollinated and heirloom cultivars benefit from manual flower pollination interventions using vibrating equipment, which drives fruit-setting percentages beyond 90% and allows the growing of hybrid seeds.

Pruning and trellising

Removal of lower leaves and auxiliary shoots reduces the chances of soil-borne disease transfer while supporting air movement. Angled T-shaped 6-foot stakes allow tying central stems, easing harvesting later. Prune above the first flower truss.

Weeds Control

Weeds provide nutrition, sunlight, and moisture meant for plants while also potentially hosting insect larvae or molluscs like snails. Weed by hand with protection gloves biweekly, while spot chemical applications using approved herbicides are also possible.

Pest and disease management

Tomato cultivation faces multiple risks, ranging from Tuta Absoluta moth larvae strikes to late-blight infection spread, impacting farming success. We explore key ANPM approaches:

Field Hygiene: Eliminate infected plants immediately through deep burial, while disinfecting tools between uses and rotating farming to new plots annually disrupts pest buildup.

Resistant Varieties: Newer cultivars possessing genetic tolerance provide low-cost environmental means for tackling fungi, nematodes, and tomato fruit worms.

Neem Spray: a potent botanical insecticide for a preventative shield against whiteflies without toxicity. Repeat the application every 10–14 days. Tank mix with biopesticides for increased efficacy

Biopesticides: Natural antagonists like Trichogramma pretiosum and Bacillus thuringiensis curb egg-laying moth populations, while Beauveria bassiana fungus manages greenhouse whitefly density efficiently.

Sticky Traps: Installed throughout the field for early warning against potential infestations, helping initiate a counter-response and preventing exponential creep through pheromone attraction.

Integrated Approach: Rather than chemical dependency alone, amend soil biology, uphold field hygiene, and inspect plants daily for a faster response, complemented by neem usage that keeps pest populations below economic thresholds.

The above crop care and protection protocols, when diligently implemented, ensure prolific flowering conversions into ripe tomato fruits that are continuously available for picking and sale well before the onset of deadly blight attacks around late season.

Harvesting, maturity determination, and picking

Tomato ripening represents a gradual process typically spanning 30–45 days from first set to full colouration. Tracking days to maturity rates as per variety seed specifications helps farmers determine ideal harvesting timetables for maximising shelf life and flavour while meeting market needs, whether relying on manual picking or initiating mechanical harvests.

Key aspects of harvest planning encompass:

Tracking Flowering Patterns: Note down dates when first flowering commenced across plots post-transplantation. Depending on variety specifications, there are 30, 60, and 90-day versions available; harvest windows can be predetermined.

Test Picking: Randomly sample fruits close to their projected maturity dates by slicing. Internal colouration turning light red indicates the onset of ripening. Conducting test picks from 60-day cycles helps perfect peak maturity forecasting.

Harvest in the Morning: Pick ripe tomatoes in the early mornings when temperatures are lower, avoiding exposing fruits to the full sun immediately, minimising field heat uptake, and extending shelf life.

Use Sharp Knives: Employing clean, sterilised stainless steel knives improves precision, ensuring complete fruit removal without uprooting plants or leaving damaged tissue vulnerable for disease entry and additional manual handling risks.

Placement in Baskets: Harvested ripe tomatoes need to be gently placed inside plastic crates lined with cushioning, avoiding piling and preventing bruising—crucial for premium fresh market sales.

Ideally, farmers must pick ripe tomatoes every 2-3 days during key months, ensuring none overripen, attracting nitidulid beetles, and taking care that no immature, unripe fruits get mixed with ripe harvest picks, improving marketability.

Post-Harvest Practices for Maximising Market Linkages

The final crucial segment within the tomato farming value chain encompasses post-harvest practices spanning cleaning, sorting, packing, and storage, helping to retain optimal commodity shelf life and quality—essential for accessing the most lucrative domestic and export B2B market channels:

Cleaning: Using tap water, clean individual tomatoes, getting rid of field dust and visible dirt particles. Damaged fruits with cracks and holes should be discarded. Avoid drenching or oversoaking the harvest.

Grading: basis weight, diameter, shapes—grade fruits into A, B, and C buckets for meeting specific buyer preferences. Uniform-sized tomatoes command premium pricing, cementing the market’s reputation.

Sorting: Carefully scrutinise harvested batches, removing damaged, immature fruits showing any ripening unevenness or physiological defects that affect overall buyer batches.

Packing: Grade A tomatoes meant for fresh salads and retail usage should be ideally packed in perforated crates, allowing ventilation and minimising moisture accumulation and decay. Single-layer placement is advised.

Labelling: Affix stickers clearly categorise farm identity, contact details, date of harvest, variety, and grade, helping traceability, earning buyer trust, and boosting repeat business potential.

Pre-Cooling: Bringing field-heated harvested tomatoes to sub-ambient levels between 5 and 10 degrees Celsius arrests ripening, slows metabolic activities, and adds 5-7 extra shelf-life days crucial for distant market transportation.

Storage: Precondition cold rooms to desired temperatures and humidity before batches arrive. Avoid piling crates, which facilitate uniform cooling and are beneficial for moisture-sensitive fruits like tomatoes. Integrate ethylene scrubbers to prevent ripening.

By diligently executing post-harvest protocols spanning cleaning, sorting, and storage using affordable technologies like cooling chambers, wax coatings, etc., tomato farmers can substantially slash qualitative losses while improving saleable volumes.

This also allows smallholders to integrate into modern value chains targeting hospitality sectors and food processing, versus dependence on volatile spot vegetable mandi prices alone.

Tomato Farming Profitability Assessment

When exploring any crop cultivation opportunity, analysing indicative income streams and cost structures provides vital insight on viability and longer-ranging profitability, impacting youth willingness for agriculture entrepreneurship. Let us evaluate the basics of the money-making potential of tomato farming:

Revenue Drivers

In terms of income components, the FOB prices secured for harvested tomatoes on a per-kg basis comprise the focal point for gauging return potential. Benchmark trends over the last 5 years suggest average rates of N100/kg around Southwest Nigeria to N250/kg within key Northern states on a seasonal basis, primarily through fresh tomato sales.

However, deeper integration with processors allows for capturing prevailing pulp and paste market rates, adding revenue diversity. Likewise, value-added products also reward farmers with superior margins, although they necessitate extra investments.

Cost Components

When estimating tomato farming operational expenditures from planting to post-harvest, key elements constituting cost stacks encompass land leasing, labour fees, irrigation setup, seedlings, fertilisers and pesticides, packaging, transportation, and harvest management-related outlays.

In terms of indicative values, the production cost per hectare hovers around N600,000, while investment payback on greenhouse options is realisable within a 9–12 month duration.

Profitability Analysis

Drawing inferences from the above income and expenses variables at an average open cultivation scale of 3 hectares, a small farm net income of around N1.3 million seems achievable within 5 months at attainable yield rates of 32 tonnes per hectare.

Likewise, protected greenhouse tomato infrastructure allows year-round production, boosting IRR metrics to above 33%, making it highly viable for entrepreneurial youth despite higher initial capital requirements.

Innovative Value-Addition Opportunities

Tomato’s extensive usage across multiple staples, snacks, and health products beyond simple salads or stews continues to catalyse new value-added concepts for aspiring agripreneurs seeking to maximise market potential.

Solar Dried Tomatoes: preserve flavour and nutrition for off-season usage, earning premium pricing, ideal for the SME sector. Using solar biomass dryers allows microentrepreneurs to leverage niche appeal among urban consumers.

Tomato Powders: A viable import substitution opportunity exists for commercial-scale dried tomato powder production, finding applications across major and minor food segments substituting red colourant usage with health benefits upside.

Tomato Flakes: Retains texture, positive attributes, and aroma for usage within snacks and seasonings categories by FMCG majors, packaged food brands seeking natural ingredients benefiting export market development

Tomato Sauces: Beyond large brands, the SME sector is still underpenetrated across assorted organic, blended, and hot sauces, where domestically processed tomatoes can drive import substitution.

Tomato Wines: Tapping into the growth potential of Nigeria’s emerging wine sector across aspirational urban adults allows diversifying usage by leveraging tropical adaptability for lowered costs.

Each of these value-addition models harnesses segmented food or nutraceutical industry demand worth over $500 million annually for processed tomato products alone, signposting the immense scope for investing within downstream areas and offering stability against primary crop vulnerabilities to boost farmer incomes.

Financing Options for Tomato Cultivation

Amidst Nigeria’s strategic prioritisation of the agriculture sector, including cultivated land expansion and agro-processing zone development, a key constraint limiting smallholder farmers transition into commercial-scale ventures involves access to financing for securing vital farm equipment, technologies, and post-harvest infrastructure to minimise product losses.

Thankfully, today’s evolving digital agricultural financing ecosystem is throwing up innovative mediums that youth can leverage to fund their tomato farming dreams or expansion drives based on tailored repayment schedules aligned with harvesting timelines and flexibility credentials.

Government Schemes

Federal and state programmes like the CBN/NIRSAL-funded Anchor Borrowers Programme allow tomato farmers and cooperatives to secure necessary agronomy inputs, including hybrid seeds, fertilisers, etc., on an it-to-harvested rep repayment basis.

Crowdlending

Online platforms like Farmcrowdy and ThriveAgric provide working capital financing for preapproved tomato farms, enabling vital preseason investments in irrigation, bird netting, etc. against agreed repayment models from harvesting proceeds.

Fintech Apps

Startups like Okowo and Trove Finance offer quick, flexible microloans digitally after evaluating limited documentation within days, making them well suited for financing urgent needs like fuel, packaging, etc. without elaborate application procedures.

FMCG Contracts

Partnerships with FMCG processing leaders around captive tomato farming contracts are also emerging, allowing young farmers to mitigate price volatility risks and access subsidised inputs, packaging, and crop insurance, securing overall income sustainability.

Thus, the adequacy of financing remains crucial for catalysing Nigeria’s tomato productivity leap, backed by private sector partnerships centred on securing steady upstream to augment national self-sufficiency.

Adopting climate-smart practices for sustainable tomato farming

In light of Nigeria’s high vulnerability to adverse climatic events ranging from droughts to erratic rainfalls, etc., building resilience against weather volatility will determine long-term farming viability and profitability across focus crops like tomatoes.

Water Conservation: Adopting precision irrigation encompassing drip fertigation combined with lagoon construction allows for slashing water usage by up to 60% compared to wasteful flood irrigation, protecting against drought seasons.

Soil Enrichment: Boosting organic matter content through green manuring and compost incorporation techniques aids moisture retention, reducing reliance on irrigation alone. It also elevates soil nutrient density, boosting plant vigour.

Pollination Services: Leverage manual pollination for open-pollinated cultivars to achieve fruit setting rates exceeding 90% during extended rainy or winter seasons, countering declining natural pollination.

Weather Index Insurance: Specifically designed policies against extremes of low and high rainfalls help farmers stabilise income shocks, making repayment obligations more endurable and improving eligibility for financing.

Protected Cultivation: Investing in net houses and poly greenhouses allows cultivation even in harsh summers via drip cooling while also enabling regenerative organic practices without chemical usage through a complete microclimate command.

Hence, climate reality calls for urgent adaptation initiatives across Nigeria’s tomato farming segment, ensuring long-term sustainability and food security contributions built around more precise irrigation, hardy cultivar adoption, etc. for stabilising yields and safeguarding rural livelihoods against disruptive weather patterns.

Tomato Farming Best Practices Summary

We have comprehensively assessed every key facet across Nigeria’s promising tomato farming opportunity spectrum, spanning ideal agronomy protocols around land preparation, transplantation, care, risk management, and post-harvest linkages with emerging food processing industry demand drivers.

As key takeaways, here are 10 commanding best practices for aspiring youth seeking excellence in commercial-scale tomato cultivation:

1) Embrace drip irrigation, achieving 60% water use efficiency against outdated flooding practices. 2) Install mosquito nets to lower pest infestation pressures, driving higher productivity. 3) Adopt greenhouse nurseries, ensuring quality seedlings are ready for mechanical transplantation. 4) Scout fields daily catch diseases like early blight before destructive epidemics 5) Leverage NPK 15-15-15 grade fertilisers, supplying balanced nutrition for rich Brix and colours. 6) Implement auxiliary manual pollination techniques for improving flower-to-fruit conversion rates. 7) Follow soil health enrichment strategies via composting, boosting conservation and microbial activity. 8) Use macro tunnels during the rainy season to protect vulnerable seedlings and ripening fruits. 9) Seek protected cultivation learning from Israel and the Netherlands for climate resilience practice transfer. 10) Strategize end-market linkages right from the cultivation planning stage through contract farming models.

We trust this definitive guide provides Nigerian tomato farmers, especially progressive youth, with vital insights and practical tips towards harnessing lucrative potential faster, backed by conducive policy initiatives like CBN’s Anchor Borrowers Programme supporting agricultural entrepreneurship ecosystem transformation at scale.

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Dry Season Tomato Farming (The Ultimate Guide)

Dry season tomato farming is one of the most lucrative farming ventures in Nigeria. It is not unusual for investors or farmers who practise dry season tomato cultivation to make more than 100% Returns on Investment (ROI) on their capital or investment.

The prices of tomato in Nigeria between the months of May – July increases by as much as 200%. This trend has been happening for the past 50 – 100 years. No matter what, the prices of tomatoes in Nigeria must rise in the months of May to July every year.

Why does the price of tomato increase in the months of May, June and July in Nigeria? This post will reveal all you need to know about dry season tomato growing.

tomato farming in nigeria

What is tomato farming?

Tomato farming is the cultivation of tomato for the purpose of harvesting the fruits for consumption, processing and sales.

Tomato farming involves the preparation of farmland, installation of irrigation system and water supply infrastructure, planting of the tomato seeds, usage of fertilizers and pesticides, harvesting of the matured tomato fruits and marketing.

Most of the tomato farmers in Nigeria cultivate tomatoes in order for them to sell the fruits to buyers. Most if not all Nigerians consume tomatoes directly or indirectly every day.

A large percentage of tomato farmers in Nigeria own less than 2 hectares of tomato farms. However, there are large tomato farmers in Nigeria namely GB Foods, Dangote Foods and Olam etc.

tomato farming

Dry Season Tomato Farming Business Plan

Farm Set-Up for a One Hectare Dry Season Tomato Farm

Profit Analysis for a One Hectare Dry Season Tomato Farm

Factors to consider before embarking on dry season tomato farming in Nigeria

The following are the factors to consider if you want to practice dry season tomato growing in Nigeria:

Technical Knowhow

Before you embark on dry season tomato farming, you need to acquire the skills needed for the cultivation of tomato. Do not rely on what you read on the web or what you learn from local tomato farmers who grow tomato in the old archaic ways.

You need to know how to use precision farming techniques for the cultivation of tomato. If you do not have these skills, you can hire experienced people who do.

Do not hire people because they have big paper qualifications in agronomy or crop science. Engage only people who have hands on experience.

Farm Location

We advise that you situate your farm in locations with a good road infrastructure; this will make it easy for you to evacuate your produce.

Also, do not use farmland with a bad topography or farmland that gets flooded always. You need to decide if you want to practice dry season tomato farming in the southern or the northern part of the country.

Do you want to grow tomato near a big city or you prefer to grow in rural areas? You need to consider this factor.

Engagement of staff

If you want to practice dry season tomato farming big time, you will need to hire staff. It is always better to hire people who are experienced in farming and also those who are teachable.

You will need to hire a farm manager who should be educated and unskilled labourers who may not be educated.

Water and Power

To practice dry season tomato farming in Nigeria, you will need water for irrigation like drip irrigation . You will also need a source of power. You may access power from the public grid or you use a power generator.

You can use any source of water, be it a borehole, well, river or dam.

Soil Preparation

You may need to plough, harrow and ridge your farmland. A tractor can do these tasks easily. If your soil is acidic, you may need to add lime in order to increase the pH of the soil.

Fertilizers and manure can also be added to the soil while doing soil or farmland preparation.

Soil and Water Analysis

Do not engage in dry season tomato farming venture if you have not done a soil analysis. A soil analysis will show the nutrients profile of your soil. It will also show the pH and the microbial count of your soil.

With a soil test report, you can know what to do to improve your soil.

Selection of Tomato Seed

A lot of tomato farmers in Nigeria plant only open pollinated tomato seeds. We do not advise you plant open pollinated seeds.

If you want to get great yields from dry season tomato farming, you are advised to plant only hybrid seeds.

You should also plant only the types of hybrid tomato seeds that are resistant to dry season pests and diseases. Examples of these hybrid seeds are Cobra F1, Platinum F1 , Tylka F1 and Padma F1 etc.

Platinum F1 hybrid tomato variety is well known for its resistances to a lot of tomato viral diseases prevalent in the dry season.

Drip Irrigation

Drip irrigation is a must for dry season tomato farming. Though, other types of irrigation can be used, drip irrigation is still the most effective and efficient type of irrigation for the cultivation of tomato in the dry season.

Drip irrigation ensures that water gets to the root zone of plants. The root zone is where plants really need water not their foliage.

Drip irrigation also enables Fertigation and Chemigation. Fertigation is the passing of soluble fertilizers to the root zone of plants through the drip irrigation pipes. Chemigation is the passing of chemicals like pesticides to the root zone of plants through the drip irrigation hoses.

With drip irrigation, the yield of tomato can increase by 100 – 200%.

Nursery trays are better used for the nursing of tomato seedlings. Substrate like cocopeat can also be used as part of the things needed to raise tomato seedlings.

The use of seedlings trays and substrate is advised.

Transplanting

Transplanting should be done after 3-4 weeks of raising the seedlings in the nursery. Hardening of the seedlings should also be done before transplanting.

Seedlings should be transplanted in the morning or in the evening when there is no sunlight.

Fertiliser/Humate/Manure Selection

The types of fertilisers to be used should be picked after a careful analysis of the soil test result.

The quantity of fertilizers, humates and manure to be used should also be assessed after analyzing the soil test report.

Pesticides Selection

To successfully practice dry season tomato farming in Nigeria, pesticides must be used. You can use inorganic pesticides, organic pesticides or both.

You should only purchase the pesticides you need from credible dealers. You should also store your pesticides under the prescribed conditions.

Disease and Pest Prevention and Control

Cultural practices and the use of pesticides can be used for the prevention and control of pests and diseases.

This is very important for dry season tomato cultivation.

To guard against the incidences of diseases and to ensure good yield and good quality of produce, tomato plants should be staked.

Staking enables the tomato plant to grow upright. It stops the tomato plants from crawling on the soil where they can get infected with diseases.

When the tomato fruits are matured, they should be harvest on time. Tomato fruits are usually harvest every 2-5 days.

Harvested tomatoes should be placed in trays. The raffia baskets are not too good for the transporting of harvested tomatoes.

Marketing of produce

Before planting, you must find a way to sell the harvested tomatoes. Do you want to sell in the organised market like Shoprite or hotels?

Do you want to sell in the unorganised market like Abeokuta Oja Oba Market, Akure Oja Oba Market, Mile 12 market Lagos or any other traditional market around you?

If you prefer to sell in the organized market like Spar, you will have a constant and expected cash flow all year round.

A 60kg basket full of fresh tomatoes that can sell for N5,000 in other months of the year may sell for N25,000 in months of May - July.

Do you want to know more about dry season tomato farming in Nigeria? If yes, why not post your questions on the comments’ section or send an email to [email protected] .

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How to start tomato farming in Nigeria

Editorial staff

  • Updated March 23, 2024
  • Read Time 6 mins

Tomato farming business

Tomato is a popular food commodity in Nigeria. Eaten by millions of Nigerians from different walks of life, tomato is used to prepare different meals, soups and stews. Due to the high demand for tomato, the tomato farming business in Nigeria is a very profitable one. Tomato is eaten everyday in many Nigerian homes without fail.

Tomato is also very rich in nutrients and an essential food ingredient. If you start tomato farming in Nigeria, a constant demand for your tomato is guaranteed. You could never run out of customers buying your tomato every day. So, how can you start tomato farming business in Nigeria? Here is the essential guide you need..

Follow these steps to start tomato farming.

1. Do some research

The first step in ensuring the success of tomato farming in Nigeria is to engage in detailed research about tomato farming in Nigeria. Set up meetings with other tomato farmers and find out what works and what doesn’t.

Learn about what mistakes to avoid in tomato farming in Nigeria. Ask for the tomato farmers’ genuine opinions about the tomato farming business in Nigeria and draw necessary conclusions.

2. Write a business plan

Write out a detailed business plan for your tomato farming in Nigeria. A business plan is an official written document containing business goals, the methods on how these goals can be attained, and the time frame within which these goals need to be achieved. Outline your budget and capital needed to start your farming and return on investment .

3. Rent/lease/buy a piece of land

To start tomato farming in Nigeria, you have to rent, lease or buy a piece of land. This could be several plots, acres and hectares of land depending on your capital. Find an ideal site for your tomato farm. Make sure the land documents are verified if you are buying the land or leasing the land.

Also, ensure that you meet the landowner personally to avoid fraud. Hire a lawyer to ensure the proper documentation of land documents. There should be trouble-free transportation facilities available, in other to have an easy way to transport your tomatoes after harvesting.

Ensure that there are good roads leading to your tomato farm. More than a few state governments in Nigeria typically have incentive programs to encourage tomato farming in Nigeria. One of these incentives is the availability of land for tomato farming.

Make enquiries from the Ministry of Agriculture in your state about such land incentives and how you stand to benefit as a tomato farmer. You can also have negotiations with land owners in your state and have a joint venture agreement with them, where you plant tomatoes and farm on their land. Then, share profits with them. The advantage is that you don’t spend money on buying a piece of land.

4. Prepare the soil for planting

As a tomato farmer, it is very important to carefully choose a good soil for planting your tomato. This is because good soil will largely determine the type of tomato that will be harvested. This in turn will also determine the profit from your tomato farming business.

The soil should be preferably rich sandy loamy soil. This is because the best tomato is obtained from deep, well-drained sandy loamy soil. Make sure the soil is rich in organic matter. The soil should also be endowed with plant nutrients, with a pH value of 6 to 7.

The soil should be loose. You should till the ground and level it. Make sure all the weeds are cleared properly and ploughed for about one to three times to make it light weight. When you have an acidic soil, apply lime. Spray insecticides and fungicides.

5. Get the correct variety of tomato seed

The species of tomato seed you choose to plant should be any of the following varieties; Roma tomato, Cherry tomato, Beefsteak tomato, Plum tomato, Slicing or Globe tomato, Grapes tomato, Campari tomato, Tom berries tomato, Oxheart tomato, Pear tomato or Sauce tomato. However, the best tomato seed to plant is the Roma tomato. Roma tomato has little moisture content, deep red color and larger fruits.

The tomato seed you choose to plant will largely determine; the eventual growth of your tomato fruit, its resistance to diseases and the overall yield of your tomato after harvesting.

6. Plant your tomato seeds

The best time to start tomato farming in Nigeria is around March/April/May during the beginning of raining season. The tomato seeds should be planted in a nursery. .  Prepare the nursery bed for 5 weeks.

The nursery provides a sufficient environment for the tomato seeds to germinate successfully. Use fertilizers with high content of calcium, phosphorus, magnesium. Plant it first in the nursery, then transplant later to the field.

Cover the tomato with a polyethylene sheet to prevent fungi and bacteria infestation. Make sure you apply organic manure and fertilizer before planting your tomato seeds. Place the tomatoes seeds on the soil. Cover the seeds with a quarter inch layer of soil. You may cover the soil with dry grasses so as to prevent loss of moisture.

After planting, you will see them growing in the next 5-7 days. Remove the dry grasses to allow for proper plant growth. Then, allow the plants grow for about one month or 5 weeks before transplanting to the field.

7. Harvest your tomato

Tomato grows very fast. Your tomatoes should be ready for harvesting after 3 months. Tomato is typically harvested in batches. When you harvest the first batch of tomatoes, you can harvest tomatoes continuously from your tomato farm. Do this till the plants die off in the dry season.

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How To Start A Lucrative Tomato Farming Business In Nigeria And Africa: The Complete Guide + eBook

Tomato farming is a profitable agricultural venture in Nigeria and Africa with huge export potentials. Tomatoes are widely consumed both locally and globally and are used in the production of various food products. In Nigeria, tomato farming is a major source of income for many rural farmers, with the country being the second-largest producer of tomatoes in Africa and the 14th largest in the world.

However, despite the huge potentials of tomato farming in Nigeria and Africa, the sector is faced with several challenges, including poor storage facilities, inadequate irrigation systems, diseases and pests, and poor transportation network. These challenges have led to post-harvest losses and reduced profitability for farmers.

In recent years, the Nigerian government has made efforts to boost tomato farming and processing in the country through various initiatives, including the establishment of tomato processing plants and the introduction of high-yielding tomato varieties. These efforts have increased the production of tomatoes and created opportunities for farmers to generate more income through exports.

Overall, tomato farming in Nigeria and Africa presents a significant opportunity for investment, job creation and food security. With the right support and investment in the sector, farmers can increase productivity and profitability, while also meeting local and international demand for tomatoes and tomato-based products.

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What Is A Tomato?

Tomato (Solanum lycopersicum) is a fruit vegetable that is widely cultivated for its edible fruit. It belongs to the nightshade family (Solanaceae) and is native to South America but is now grown worldwide. Tomatoes are rich in vitamins and minerals and are commonly used in a wide range of dishes, including salads, sauces, and soups. They can be consumed both raw and cooked, and come in a variety of colors, shapes, and sizes, including cherry tomatoes, Roma tomatoes, and beefsteak tomatoes. In Nigeria and Africa, tomato farming is a significant agricultural practice, with the crop grown both for local consumption and export.

What Is Tomato Farming In Nigeria and Africa About?

Tomato farming is the practice of cultivating tomato plants for their fruit, either for commercial or subsistence purposes. It involves planting, nurturing, and harvesting of tomato plants, and can be done on a small or large scale.

Tomato is a widely cultivated and consumed vegetable in Nigeria and Africa, with significant demand for it in local and international markets. As such, tomato farming is a potentially profitable agricultural venture, with many opportunities for farmers and investors in the sector. Successful tomato farming requires knowledge of good agricultural practices, appropriate land selection, and the use of high-quality seeds and inputs.

With the right techniques and practices, tomato farming can be a sustainable source of income for smallholder farmers and a key driver of food security and economic development in Nigeria and Africa as a whole.

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Benefits of Tomato Farming In Nigeria  and Africa

  • Economic opportunities: Tomato farming creates economic opportunities for farmers, traders and other players in the value chain, contributing to income generation and poverty reduction.
  • Nutritional value: Tomatoes are rich in vitamins and minerals, which are essential for a healthy diet.
  • Health benefits: Tomatoes contain antioxidants and anti-inflammatory properties, which have been linked to a reduced risk of chronic diseases such as cancer and heart disease.
  • Job creation: Tomato farming creates job opportunities for farm laborers, processors, marketers, and other stakeholders in the value chain.
  • Food security: Tomatoes are a staple food crop in many parts of Nigeria and Africa, and increasing production can help ensure food security for the population.
  • Export potential: Nigeria has a significant potential to export tomatoes to other African countries and beyond, contributing to foreign exchange earnings.
  • Climate resilience: Tomato farming can help build climate resilience in Nigeria and Africa by promoting the use of climate-smart agricultural practices and technologies.
  • Diversification: Tomato farming can be integrated into other cropping systems, providing farmers with options for diversification and risk management.
  • Community development: Tomato farming can contribute to community development by promoting social cohesion, employment, and local economic development.
  • Reduced imports: Increased tomato farming in Nigeria and Africa can help reduce the high importation of tomato products and reduce the country’s dependence on imports.

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Health Benefits of Tomatoes

Tomatoes are a popular and nutritious fruit that can be consumed in a variety of ways. Here are 15 health benefits of tomatoes:

  • Good source of vitamins and minerals: Tomatoes are rich in vitamins A, C, and K, as well as potassium and folate. These nutrients are essential for maintaining overall health.
  • Boosts immunity: The high levels of vitamin C and antioxidants in tomatoes can help to strengthen the immune system and protect against disease.
  • Reduces the risk of cancer: Tomatoes contain lycopene, an antioxidant that has been linked to a reduced risk of certain types of cancer, such as prostate cancer.
  • Promotes heart health: The potassium in tomatoes can help to lower blood pressure, while the lycopene can reduce the risk of heart disease.
  • Reduces inflammation: The antioxidants in tomatoes have anti-inflammatory properties, which can help to reduce inflammation in the body.
  • Improves digestion: Tomatoes are high in fiber, which can help to regulate digestion and prevent constipation.
  • Promotes healthy skin: The high levels of vitamin C and lycopene in tomatoes can help to keep skin healthy and prevent skin damage.
  • Lowers cholesterol: The fiber in tomatoes can help to reduce cholesterol levels in the blood.
  • Regulates blood sugar levels: Tomatoes have a low glycemic index and can help to regulate blood sugar levels.
  • Reduces the risk of stroke: The high levels of potassium in tomatoes can help to reduce the risk of stroke.
  • Improves eyesight: Tomatoes are a good source of vitamin A, which is essential for maintaining healthy eyesight.
  • Enhances brain function: The antioxidants in tomatoes can help to protect the brain from damage and enhance cognitive function.
  • Prevents urinary tract infections: Tomatoes contain compounds that can help to prevent urinary tract infections.
  • Aids weight loss: Tomatoes are low in calories and high in fiber, making them a great addition to a weight loss diet.
  • Promotes bone health: The vitamin K in tomatoes can help to improve bone health and reduce the risk of osteoporosis.

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Business opportunities in tomato farming in nigeria and africa.

Here are 10 business opportunities in tomato farming in Nigeria and Africa:

  • Tomato production: You can start your own tomato farm, which involves growing and harvesting the fruit to sell.
  • Processing: You can process fresh tomatoes into tomato paste, sauce, and ketchup, which are widely consumed in Nigeria and Africa.
  • Exportation: The high demand for Nigerian tomatoes in foreign markets makes it an excellent opportunity to export the fruits to other countries.
  • Sales and distribution: You can set up a distribution network for tomatoes and supply them to markets, grocery stores, and supermarkets.
  • Tomato packaging: You can start a tomato packaging business by purchasing and packaging fresh tomatoes into different sizes and weights.
  • Tomato seedlings production: You can produce tomato seedlings, which can be sold to other tomato farmers.
  • Tomato farming equipment supply: You can supply equipment and tools required for tomato farming such as fertilizers, insecticides, irrigation systems, etc.
  • Agricultural consultancy: You can provide consulting services to tomato farmers on modern farming techniques, new technology, pest control, and crop management.
  • Agro-tourism: You can turn your tomato farm into an agro-tourism site, attracting tourists interested in visiting your farm and experiencing the farm life.
  • Tomato processing machinery supply: You can supply processing machinery to companies producing tomato paste, sauce, ketchup, and other tomato products.

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Facts About Tomato Farming In Nigeria and Africa

  • Nigeria is one of the largest tomato-producing countries in Africa and is the 14th largest producer of tomatoes globally.
  • The tomato farming industry in Nigeria generates billions of naira in revenue annually.
  • Tomato farming is a major source of employment in Nigeria, providing jobs for millions of people.
  • The major tomato-growing regions in Nigeria include the northern states of Kaduna, Kano, and Jigawa.
  • Tomato farming is typically done using both traditional and modern methods in Nigeria.
  • Insects and pests are a major challenge in tomato farming in Nigeria, leading to significant crop losses.
  • Tomato farmers in Nigeria often face challenges related to access to credit, transportation, and storage facilities.
  • Tomatoes are a major ingredient in many Nigerian dishes and are a staple in the country’s cuisine.
  • Nigeria is also a major exporter of tomatoes to neighboring African countries.
  • Tomatoes grown in Nigeria include both local varieties and hybrid varieties.
  • The tomato farming industry in Africa is valued at over $10 billion.
  • Drought and disease are major challenges to tomato farming in Africa.
  • The use of pesticides and fertilizers in tomato farming in Africa is not always regulated, leading to concerns about food safety.
  • Some African countries, including Nigeria, have implemented initiatives aimed at improving tomato farming practices and increasing production.
  • There is significant potential for growth and investment in the tomato farming industry in Africa, particularly in modernizing farming methods and increasing exports to global markets.

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Types Of Tomato Farming Businesses In Nigeria and Africa

There are different types of tomato farming businesses in Nigeria and Africa, some of which include:

  • Open-field tomato farming: This involves growing tomatoes in open fields using natural or artificial irrigation systems.
  • Greenhouse tomato farming: This method involves growing tomatoes in a controlled environment, such as a greenhouse, using drip irrigation or hydroponics.
  • Container tomato farming: This method involves growing tomatoes in pots, containers or grow bags, which can be done in small spaces or urban areas.
  • Vertical tomato farming: This involves growing tomatoes on vertical structures, such as trellises or stakes, which maximizes space and allows for easier management.
  • Processing tomato farming: This involves growing tomatoes that are intended for processing into products like tomato paste, puree, and canned tomatoes.
  • Organic tomato farming: This involves growing tomatoes without the use of synthetic pesticides or fertilizers, and may involve the use of natural pest control methods and crop rotation.
  • Hybrid tomato farming: This involves the cultivation of hybrid tomato varieties, which are developed by crossing two or more tomato varieties to create desirable traits, such as disease resistance, high yield, and early maturity.

These are just a few examples of the different types of tomato farming businesses that exist in Nigeria and Africa, each with its own unique advantages and challenges.

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Types Of Tomatoes Used For Tomato Farming In Nigeria and Africa

There are various types of tomatoes used for tomato farming in Nigeria and Africa. Some of these types include:

  • Roma Tomato: This type of tomato is oval or egg-shaped, with a meaty texture and low seed count, making it ideal for making sauces and canning.
  • Cherry Tomato: This type of tomato is small, round, and sweet, and is often used in salads or as a snack.
  • Beefsteak Tomato: This type of tomato is large and meaty, making it ideal for slicing and using in sandwiches or burgers.
  • Plum Tomato: This type of tomato is oblong or cylindrical and is often used for making sauces and pastes.
  • Heirloom Tomato: This type of tomato is known for its unique flavor and appearance, and is often grown for specialty markets.
  • Hybrid Tomato: This type of tomato is a cross between two or more tomato varieties, and is often bred for disease resistance, productivity, and other desirable traits.
  • Grape Tomato: This type of tomato is small, oblong, and sweet, and is often used in salads or as a snack.

These are just a few examples of the types of tomatoes used for tomato farming in Nigeria and Africa.

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The Planting & Harvesting Seasons For Tomato In Nigeria and Africa

In Nigeria, tomato farming takes place in two major seasons: the dry season and the rainy season. The dry season runs from November to April, while the rainy season runs from May to October. However, the majority of tomato production takes place during the dry season when irrigation is possible.

The best time to plant tomatoes in Nigeria and Africa is from October to December during the onset of the dry season. This ensures that the plants get enough sunlight and warmth for growth. The ideal temperature for tomato growth is between 20 to 30 degrees Celsius. The plants take between 70 to 90 days to mature, depending on the variety.

The harvest season for tomato in Nigeria and Africa is from March to June for the dry season crop, and from August to October for the rainy season crop. Proper timing is crucial in tomato farming, as delayed harvesting can lead to spoilage and loss of yield.

How To Start Tomato Farming In Nigeria: Step-By-Step Guide

Here is a step-by-step guide on how to start tomato farming in Nigeria and Africa:

  • Land preparation: Select a suitable piece of land and clear it of all debris, rocks, and weeds. Then, plow, harrow, and level the land.
  • Seed selection: Choose the right variety of tomato seeds suitable for your local climate and soil type. Buy high-quality seeds from reputable sources.
  • S eedbed preparation: Prepare the seedbed by mixing soil with organic matter like compost, manure, or peat moss to improve soil quality.
  • Planting: Plant the tomato seeds in rows, following the recommended spacing and depth for the variety.
  • Irrigation: Water the plants regularly, especially during the dry season, to ensure proper growth and fruiting.
  • Fertilization: Apply fertilizer to the plants at regular intervals to provide essential nutrients.
  • Pest and disease control: Protect your crop from pests and diseases by using appropriate control methods such as crop rotation, biological control, and chemical control.
  • Weeding: Remove weeds around the tomato plants regularly to prevent competition for nutrients and space.
  • Pruning and staking: Train the tomato plants to grow upright by pruning and staking them.
  • Harvesting: Harvest the tomatoes when they are fully ripe, and sell them at the market or process them for export.

With the right knowledge, resources, and dedication, starting a successful tomato farm in Nigeria and Africa is possible.

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How To Process & Package Tomatoes In Nigeria or Africa

The following is a step-by-step guide on how to process and package tomatoes in Nigeria and Africa.

  • Harvesting: Tomatoes should be harvested when they are fully ripe, but not overripe. This is to ensure that the fruits are fresh and of high quality. Farmers should use sharp knives or scissors to cut the stalks of the tomatoes.
  • Sorting and grading: The harvested tomatoes should be sorted to remove damaged, diseased, or overripe fruits. The remaining fruits should then be graded based on their size, shape, and color. This process ensures that only high-quality tomatoes are used for processing and packaging.
  • Washing: The sorted and graded tomatoes should be washed thoroughly with clean water. This removes any dirt or debris that may have accumulated on the fruits during harvesting and sorting.
  • Blanching: Blanching is the process of immersing the tomatoes in boiling water for a short period, usually 1-2 minutes, and then transferring them to cold water. This process helps to remove the skins of the tomatoes, making it easier to package and process.
  • Slicing and Dicing: After blanching, the tomatoes are sliced and diced according to the desired size and shape. This process makes the tomatoes more manageable and easier to process.
  • Packaging: The sliced and diced tomatoes are then packed in clean, airtight containers such as jars, bottles, or cans. The containers should be sterilized before use to prevent the growth of bacteria.
  • Preservation: The packaged tomatoes should be stored in a cool, dry place away from direct sunlight. This helps to preserve the quality and freshness of the tomatoes.
  • Transportation: The packaged tomatoes should be transported carefully to prevent damage or spoilage. The transportation process should be done in a refrigerated truck to maintain the desired temperature.

Proper processing and packaging of tomatoes are essential for their marketability and profitability. By following these steps, farmers can produce high-quality tomatoes that meet the demands of local and international markets.

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Types Of Equipment & Tools Used In The Tomato Farming Business In Nigeria or Africa

Processing and packaging tomatoes in Nigeria and Africa requires specific equipment to ensure quality and efficiency. Some of the equipment required include:

  • Sorting Machine: This machine is used to sort tomatoes according to size, color, and quality. It removes any damaged or diseased tomatoes and ensures that only the good ones go for further processing.
  • Washing Machine: This machine is used to wash the tomatoes before processing. It removes dirt and any foreign materials that may be on the tomatoes.
  • Drying Machine: This machine is used to dry the tomatoes after washing. It ensures that the tomatoes are completely dry before processing, which helps to prevent spoilage.
  • Grading Machine: This machine is used to grade the tomatoes according to size and shape. It ensures that the tomatoes are uniform in size and shape, which is important for packaging and presentation.
  • Pasteurizer: This machine is used to pasteurize the tomatoes to ensure that they are free from harmful bacteria. Pasteurization also extends the shelf life of the tomatoes.
  • Filling Machine: This machine is used to fill the processed tomato products into containers. It ensures that the containers are filled accurately and efficiently.
  • Sealing Machine: This machine is used to seal the containers to prevent air and moisture from getting in. It also helps to preserve the quality and freshness of the tomato products.
  • Labeling Machine: This machine is used to label the containers with product information, such as the name, weight, and expiry date.

Target Market For The Tomato Farming Business In Nigeria or Africa

  • Local markets: Tomatoes are in high demand in local markets in Nigeria and other African countries. They are a staple food item in most households and are used in various dishes. Local markets are the main distribution channels for fresh tomatoes, and farmers can sell their produce directly to wholesalers, retailers, or consumers.
  • Food processing companies: Large food processing companies that produce tomato products such as tomato paste, canned tomatoes, and tomato sauce are significant buyers of fresh tomatoes. These companies purchase large quantities of fresh tomatoes to produce their products, making them important players in the tomato market.
  • Export markets: Nigeria and other African countries are also important exporters of tomatoes to other countries. Export markets for tomatoes include countries in Europe, the Middle East, and other African countries. Nigerian tomatoes are known for their unique taste and are in high demand in international markets.
  • Fast food restaurants and hotels: The fast food industry and hotels are also important markets for tomatoes. Tomatoes are used in various dishes served in these establishments, and farmers can sell their produce to them at competitive prices.

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How To Sell or Market Tomato Products In Nigeria or Africa

  • Sell directly to local markets: Smallholder farmers can sell their tomato produce directly to local markets where there is high demand for fresh produce.
  • Cooperate with wholesalers: Another option is for farmers to cooperate with wholesalers to sell their produce in bulk, potentially securing a better price.
  • Sell to food processing companies: Food processing companies in Nigeria and Africa require a steady supply of tomatoes for their operations. Smallholder farmers can tap into this demand by selling to these companies.
  • Establish a farm store: Farmers can establish a farm store where they can sell their produce to buyers who come to the farm.
  • Online sales: Smallholder farmers can also use online platforms to sell their produce to consumers who are not able to go to local markets.
  • Supermarkets and grocery stores: Large supermarkets and grocery stores are another potential market for smallholder farmers.
  • Food delivery services: Farmers can partner with food delivery services to get their products to consumers.
  • Canning and packaging: Farmers can process their tomatoes into canned or packaged products, such as tomato sauce or paste, for sale.
  • Exporting: Nigerian and African farmers can export their tomatoes to countries with high demand, such as Europe and the Middle East.
  • Contract farming: Farmers can participate in contract farming programs where they supply their produce to a particular buyer, ensuring a steady market for their products.

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Challenges Of Tomato Farming In Nigeria and Africa

Here are 15 potential challenges of tomato farming in Nigeria and Africa:

  • Pest and disease management: Tomatoes are susceptible to a range of pests and diseases that can significantly impact yield and quality.
  • Climate variability: Erratic rainfall and extreme temperatures can make it difficult to grow tomatoes consistently and can increase the risk of crop failure.
  • Access to water: Tomatoes require regular irrigation to grow properly, and many regions in Africa have limited water resources.
  • Limited access to high-quality seeds: Many small-scale farmers lack access to good quality tomato seeds, which can limit productivity and yield.
  • Poor soil quality: Soil fertility is a key factor in tomato growth and yield, but many regions in Africa suffer from soil degradation and nutrient depletion.
  • Limited access to finance: Small-scale farmers may struggle to access credit or investment to expand their tomato farming operations.
  • Post-harvest losses: Inadequate storage and transportation infrastructure can lead to significant losses of tomatoes after harvest.
  • Lack of technical expertise: Many small-scale farmers lack access to the necessary technical expertise to grow tomatoes effectively.
  • High labor costs: Tomato farming can require significant labor inputs, which can be costly and difficult to manage for small-scale farmers.
  • Lack of market access: Small-scale farmers may struggle to access markets for their tomatoes, limiting their ability to earn a decent income.
  • Competition from imported tomatoes: Many African countries face competition from imported tomatoes, which can be cheaper than locally produced tomatoes.
  • Lack of infrastructure: Poor transportation and storage infrastructure can make it difficult to get tomatoes to market or to consumers in good condition.
  • Limited access to information: Small-scale farmers may struggle to access information on new technologies, best practices, and market trends in tomato farming.
  • Climate change: Increasingly unpredictable weather patterns due to climate change can make it challenging to grow tomatoes in certain regions.
  • High energy costs: Energy costs for irrigation, processing, and storage of tomatoes can be prohibitively high, particularly in areas with limited access to reliable energy sources.

See Also:   How To Start A Lucrative Potato Farming Business In Nigeria Or Africa: The Complete Guide

To Sum It Up

In conclusion, tomato farming is a profitable agricultural business in Nigeria and Africa. It is an important source of income and food for millions of people in the region. With the right skills, resources, and market opportunities, tomato farming can be a sustainable and lucrative venture. However, tomato farming faces various challenges in the region, including pests and diseases, market fluctuations, and climate change. Despite these challenges, tomato farmers can adopt innovative strategies such as greenhouse farming, irrigation, and post-harvest processing to mitigate risks and improve their yields. In addition, tomato farming presents several business opportunities, including tomato paste production, exporting, and retailing.

The Nigerian government has recognized the potential of tomato farming and has implemented policies to support smallholder farmers and promote local processing and value addition. As a result, the tomato industry is poised for growth and development, and more entrepreneurs are encouraged to invest in this promising sector.

See Also:   How To Start A Business In Nigeria and Africa: The Complete Guide

I Want To Start Or Learn Tomato Farming Like A Professional. Is There A Book With A Comprehensive Step By Step Guide?

This e-book is perfect for beginners, as it will take you from a novice to a tomato farming professional, and help you either make money by starting your own tomato farming business, or by becoming a tomato farming consultant.

You can follow the link below to learn more and purchase one for yourself.

Tomato Farming Business Plan eBook

Offer: A Professional Tomato Farming Business E-Book

Book Author: The StartupTipsDaily Team

Book Format: E-Book

How To Get One:   Click Here

Professional Business Plan Writing Service Writing a bank and investor ready professional TOMATO farming business plan can be challenging. If you need a professional and affordable business plan service, STARTUPTIPSDAILY’S MBA STANDARD PROFESSIONAL BUSINESS PLAN WRITING SERVICE  is perfect for your business. All you have to do is request an understanding of your proposed business model, and you’d have a professional MBA standard business plan ready for you in anywhere from 5 to 14 days.  YOU CAN CLICK HERE TO GET STARTED WITH USING STARTUPTIPSDAILY’S PROFESSIONAL BUSINESS PLAN WRITING SERVICE TO CREATE THE PERFECT BUSINESS PLAN THAT’D GET ACCEPTED ANYWHERE.

What are your thoughts on how to start Tomato farming in Nigeria, Africa, or any other part of the world? Let me know by leaving a comment below.

Image Source:

Stan Edom

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36 Comments

Thank you for this wonderful piece… Very informative

Please i am more interested in tomato paste production… Could you please share with me how to go about such venture?

Warm regards, Austin

I’ll post a future article sometime later detailing how to go into tomato paste production itself.

Please subscribe to the mailing list, so you can get first-hand information when it’s posted on the blog.

Thank you for your comment.

Good morning. a very informative piece. please can I also get the post on tomato paste production itself.

Hi Abimbola,

There’s no article on that on the blog yet.

When there is, we’ll do well to let everyone know.

Thank you for asking.

Informative…

Thanks for the commendation David.

very nice atticle,iam interested in tomatoe and onioin farming in Nigeria, i need some advice from you

Overtime, we’ll publish a series of agricultural e-books on all farming methods.

Do stay on the lookout.

But a snail farming and a plastic recycling e-book should be available next week.

Good information you have provided well done as I am very interested in kick starting a tomato farm on 6plots of land. I need a feasibility study can we discuss more

We can prepare you a standard business plan with the feasibility study.

Do send an email to [email protected]

Thank you for asking Omololu.

Thanks, I appreciate this information, I take on, by God’s grace from my yard.

I’m glad you found value in the article Yemi.

Wish you success in your new venture.

Stan Edom,you the best, may God reward you for these.

Thank you for the kind words Joe.

God bless you too.

Thanks for this post. I am presently into tomato farming and my tomato is actually producing nut suddenly it started going yellow and withering What can I dO? Also, is there any farm cooperative I can join? God bless you.

There’d be a tomato farming eBook available on the website soon.

Do lookout for it.

I am most encouraged by your article on tomato production. I am seriously considering tomato production on medium to large scale but would require a lot more information.

I intend to start as early as next year during the planting season. However, I would love to meet with you in person as there are some burning issues I would like to discuss with one as knowledgeable as yourself in this venture.

Thank you for the kind words Longe.

You can reach me via email at [email protected]

Also, a tomato farming eBook would soon be available for purchase on the blog.

Highly insightful! Really looking forward to reading your future posts on this as you have promised to share.

Thank you for the commendation Ifedolapo.

Pending more tomato farming articles, a tomato farming eBook would soon be available for order on the website.

Do lookout for it while you have a great time!

Nice info. I am interested in tomatoes paste

hi Stan thanks for this avenue you have created.I am a youth Corper from IMO state.I have an oil mill but need capital to expand the production of palm oil,I am serving in the north already and I have seen the market viability of the palm oil biz.please can I get advice on how to go about this,thinking of loan of around 300 thousand

Hi Nnaemeka,

I’d advice you approach the bank of industry for a loan. They’re currently aiding agricultural startups.

Pay a visit to the nearest office in the state you want to start up in and find out their requirements.

Good day,your article is quite educative especially for people like me who are looking forward to going into farming soon.please tell me approximately how many acres of land do I need for a commercial tomato farm,how do I get the seeds for planting.

The size of the farmland you choose to use can differ.

But if you must decide, anywhere from one acre and above can work, depending on the scale of your farm.

You can also purchase your seeds in some local tomato farms or markets close to large farms.

assuming u plant tomato at large scale any link to sale it .if there is call 07050238692

It was really helpful….I want to know if it’s possible to start a tomato farm on one plot of land (for commercial purposes ) , and also how to go about the nursery

Yes, you can. But the margins would be very low.

your article is quite educative. How can I get feasibility studies on tomatoes farming?

Hi Kolawole,

Please send an email to [email protected]

Sir thanks very much for this article. I need a feasibility study on tomatoes farming.

Thank you for the comment, Kenneth.

How can we preserve tomatoes? Presently am working on a Project that will preserve tomatoes for at least 5 months as we all know spoilage of tomatoes is a globa challenge and at the same time contribute to a lot of Loss on the part of the farmers. I don’t know if you will be interested about that. I love it if we can work together Sir.

Do send me more details about the project to [email protected] .

Have a great time.

Good morning sir, Please is your book on tomatoes production and processing out yet? Thanks for all you do here, may God bless you much more.

Only the tomato farming book is available for purchase.

Comments are closed.

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How To Start A Tomato Farming Business In Nigeria

Tomato farming is one agricultural sector that seems to have been neglected and left to only farmers in the northern part of Nigeria . However, people fail to see the profitability and potential in the tomato farming business.

Every year, tomato becomes very scarce, and most times, four tomato balls go as high as 500 Naira. This is a challenge that is caused by scarcity and high demand. Therefore, investing in tomato farming will help reduce this scarcity, thereby contributing to the nation’s economic growth while making profits from it.

Page Contents

What Is A Tomato?

A tomato is a red or yellowish, round or oval fruit that belongs to the Solanum genus within the Solanaceae family. Botanically known as Solanum lycopersicum, it’s native to western South America but is now cultivated worldwide. Tomatoes are a versatile ingredient in many cuisines, used in salads, sauces, soups, and more. They are rich in essential nutrients, particularly vitamin C and lycopene, and are a key component of various dishes and condiments.

Benefits of Tomato Farming In Nigeria

  • Economic Opportunities : Tomato farming in Nigeria and Africa offers significant economic opportunities for farmers. The crop has a high demand in both domestic and international markets, making it a profitable venture. It provides a source of income and employment for many people, contributing to poverty reduction and economic growth.
  • Nutrition and Food Security : Tomatoes are a rich source of essential nutrients, including vitamins, minerals, and antioxidants. Increased tomato production helps improve local diets and enhances food security, reducing the risk of malnutrition.
  • Crop Rotation and Diversification : Tomato farming can be part of a crop rotation strategy, improving soil fertility and reducing the risk of soil degradation. Diversifying crops through tomato cultivation can mitigate the impact of pests and diseases on other crops.
  • Export Potential : The surplus of tomatoes can be exported to international markets, generating foreign exchange for the country. Africa’s proximity to Europe makes it a potential supplier to meet the demand in global markets.
  • Agro-Processing Opportunities : The tomato value chain includes opportunities for agro-processing, such as tomato paste and canned tomato production. This adds value to the crop, extends its shelf life, and creates more jobs in the processing industry, contributing to economic development.

Is Tomato Farming Lucrative?

Nigeria is one of the highest importers of tomato paste products. This shows you how important tomato is to Nigeria’s hungry population. Over 500 million dollars is spent yearly on the importation of tomato products in Nigeria.

Considering the fact that about 70% of the world population makes use of tomatoes and their products shows you how lucrative tomato farming is . 

Young people, investors, and businessmen are advised to go into tomato farming as it is very lucrative if done right. However, always consult the services of a consultant to guide you through.

This article was carefully written after a lot of research to provide you with steps on how to start a tomato farm business in Nigeria . Below is the step by step process:

  • Land Acquisition.
  • Land Preparation.
  • Choose a particular tomato variety.
  • Start tomato nursery.
  • Transplanting to field.
  • Weeding and Fumigation.
  • Watering and Fertilizer Addition.
  • Harvesting.
  • Sales.              

1. Land Acquisition

Acquire land in a good location.  Tomato grows best in loose, well-drained soil.  The land should have good drainage properties and should not be prone to flooding. Land should be well fenced and secured to prevent intruders into the farm and also to avoid theft . The planting location should not be far away from the market since tomato is a perishable product.

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2. Land Preparation

Land preparation can be done using cutlass, hoe, or tractors.  Trees and grasses should be cut to expose the soil to sunlight. Land can be allowed to mulch, and organic matters mixed with the soil to improve its nutrient composition.

If soil is acidic, apply lime to reduce the acidity. Tilling should be done to make the soil loose and easy to plant on. A good and healthy soil determines the yield of tomatoes.  Soil should be rich in organic matter and can have a PH of 6 to 7. 

3. Choose a particular tomato variety

Tomato has different variations, and one of the factors that determine your tomato yield is the variety planted. Select the best variety for your farm. Seed should be healthy and disease-free. There are so many varieties of tomatoes, some of which are:

  • Adoration species.
  • Big rainbow species.
  • Dester species.
  • Enchantment species.
  • Juliet species.
  • Azoychka species.
  • Beef steak tomato species.
  • Alicante species.
  • Great white species , etc.

You can get recommendations from other tomatoes farmers to ascertain the best species to plant.

4. Start a tomato nursery

Tomatoes are best planted from the nursery to ensure a good yield. Plant your tomatoes in a nursery or pots and grow bags, but you will need a more intensive feeding regime due to the restricted root space. 

Make sure the bags hold at least 40 liters and only plant 2 plants in a grow bag. These conditions are not ideal but may be the only option for a small garden. Use the best compost you can and feed with a generous amount of poultry manure pellets.

Wait till rainfall has gone and soil temperatures have warmed to about 60°F before setting tomatoes into the field. 

5. Transplant to the field

Tomatoes are ready to be transplanted to the field two weeks after nursery care.  Transplanting should be done carefully to avoid damage to tomato seedlings. Use a trowel to dig a hole about twice the size of the tomato seedling and its root ball; set the seedling into the ground at the same level as it grew in its nursery.

Make sure to cover the root ball entirely. To reduce transplant shock and hasten the establishment of seedlings, irrigate the newly-set transplant well with water.  Spacing should be 45 by 30cm or 30 by 30cm for maximum production.

6. Weeding and Fumigation 

Weeding should be done about two to three weeks after planting in the field.  Be careful while weeding to avoid damaging the roots of tomatoes. The farm should be fumigation regularly to protect the tomato stands from rodents and pests.

Original pesticides and fumigants should be obtained to achieve an effective result. Some of the diseases that may affect tomato plants are:

  • Bacterial Wilt:  This is caused by bacteria and leads to rapid wilt of plant, brownish and yellowish ooze in the stem of the infected plant. It can be controlled by crop rotation, destroy all infected plant, plant disease-free varieties.
  • Early blight:  This disease is caused by fungi. It causes lesions on the stems, tissue around the spot turns yellowish. It can be controlled by using resistant varieties, encouraging crop rotation spacing plant to avoid touching.
  • Tomato spotted wilt:  This is caused by insects called thrips. It causes stunted growth in plants, dark spots on leaves, yellow spots on fruit. It can be managed by eliminating weeds in the garden, which might attract thrips, removing the old crop debris, and planting resistant varieties of tomato seeds.

7. Watering and Fertilizer Addition

After weeding, watering should be carried out on the farm to moisten the soil and allow tomato plants to flourish. Keep the soil evenly moist, not too wet, and not too dry. Too much water will drown the plants; too little water will stop fruit production. 

During periods of drought, deep-water tomatoes once a week and slow soil moisture evaporation by mulching with aged compost or straw.

Fertilizer should also be added to plants at this stage. Use fertilizers that supply all the vital nutrients, which are nitrogen, potassium, and phosphorous. In the absence of fertilizer, you can apply the plants with organic manure such as cow dung, and compost. Fertilizer and manure addition allows plants to yield better fruits.

8. Harvesting

Tomato grows in batches and is best harvested in batches too.  The first harvest is within three months of planting. Harvest time for tomatoes should ideally occur when the fruit is a mature green and then ripen off the vine. 

Ideally, ripe tomatoes should be kept at room temperature on the counter away from sunlight. Ensure they’re in a single layer, not touching one another, and the stem side should be up.

Immediately after harvest, you can make arrangement to haul the tomato to the market for sales. You can sell your products at local food markets or sell to retailers, and other tomato vendors. Tomatoes are perishable goods and may not last long outside its storage facility.

Therefore, you can get cold room service and other storage facilities to preserve your tomatoes. Furthermore, you can consider processing the fresh tomatoes into tomato pastes and other useful products at home.

One good thing about the tomato business is that it continues to yield fruit whether you own a big or small farm. This means there is an opportunity for everyone to make money from this business , irrespective of their capacity.

Conclusively, tomato farming is a profitable business that has the potential to bring profits and returns on investment to the farmer or entrepreneur involved. This article is a comprehensive guide on what you need to know about tomato farming. Young people are advised to give a thought to this money bank that has been ignored over the years.

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ProfitableVenture

Tomato Farming Business Plan [Sample Template]

By: Author Tony Martins Ajaero

Home » Business Plans » Agriculture Sector

Tomato Farming Business

Do you want to start a tomato farm and need to write a plan? If YES, here is a sample tomato farming business plan template & FREE feasibility report.

Interestingly, tomato is a universal vegetable or fruit because it is grown and eaten around the world. It is used in diverse ways, including raw in salads or incorporated into a variety of dishes, or processed into ketchup or tomato soup. Unripe green tomatoes can also be breaded and fried, used to make salsa, or pickled.

Tomato juice is sold as a drink, and is used in cocktails such as the Bloody Mary. It is important to state that starting a tomato farming business comes with its own fair share of challenges, but that does not rule out the fact that it is indeed a profitable business venture. An aspiring entrepreneur can either choose to start on a small or large scale depending on their financial status.

A Sample Tomato Farming Business Plan Template

1. industry overview.

Tomato farming is a niche idea in the Hydroponics and Vegetable farming industry and operators in this industry grow a wide variety of vegetables in open fields and in greenhouses. But in actual sense, when it comes to commercial cultivation of tomatoes, hydroponic technique is often used in hostile growing environments, as well as high-density plantings.

A tomato is 95 percent water, contains 4 percent carbohydrates and less than 1 percent each of fat and protein. In a 100 gram amount, raw tomatoes supply 18 calories and are a moderate source of vitamin C (17 percent of the Daily Value), but otherwise are absent of significant nutrient content.

According to statistics published by Wikipedia, in 2016, world production of tomatoes was 177 million tonnes, with China accounting for 32 percent of the total, followed by the European Union, India, the united states, and Turkey as the major producers. Global tomato exports were valued at 85 billion US dollars in 2016.

Tomatoes are easy to preserve whole, in pieces, as tomato sauce or paste by home canning. They are acidic enough to process in a water bath rather than a pressure cooker as most vegetables require. The fruit is also preserved by drying, often in the sun, and sold either in bags or in jars with oil.

If you are a close observer of the vegetable farming industry, you will agree that the industry is anticipated to increase due to increasing consumer health consciousness, which has led to increasing demand for fresh produce. While per capita fruit and vegetable consumption has remained stable over in recent time, the price of vegetables have increased as consumers demand premium, fresh vegetables.

So also, the number of both small and large farms have been increasing. Small, local farms are benefiting from the organic, local movement, while large, commercial farms are improving labor efficiency. Going forward, players in the vegetable farming industry will continue to increase revenue generation for their business.

The companies that have the lion share of the market in this industry are NatureSweet Ltd., Houweling’s Tomatoes and Village Farms International Inc. but smaller tomato farms can successfully make profits in the industry.

Statistics has it that in the united states of America alone, there are about 44,900 registered and licensed vegetable farms (tomato farms inclusive) responsible for employing about 132,048 people and the industry rakes in a whooping sum of $20 billion annually. The industry was projected to enjoy -0.7 percent annual growth between 2014 and 2019.

A recent report published by IBISWorld shows that over the five years to 2019, revenue for the Hydroponic Crop Farming industry has mostly decreased. During the five-year period, while overall vegetable prices have increased, industry revenue has been limited by years with significant drops in vegetable prices.

However, extreme weather conditions damaged many crops for fresh field farmers, so grocery stores and farmers’ markets quickly turned to hydroponic farmers to meet their demand.

In particular, drought throughout many parts of the United States over the past five years harmed agricultural industries across the board, presenting an opportunity for hydroponic crop farmers. Over the five years to 2019, industry revenue is expected to decrease at an annualized rate of 0.9 percent to $830.8 million.

As a matter of fact, with the recent advancement in technology, farmers can now comfortably grow varieties of vegetables in a country where such crops can hardly survive and in places where there are few farming land, people can make use of the rooftop (basement) of their houses to cultivate vegetables even for commercial purposes.

One thing is certain when it comes to tomato or vegetable farming in general, if you are able to conduct your market research and feasibility studies before choosing a location for cultivating your tomato, you are more likely not going to struggle to grow the business and also to sell your tomatoes because there are always food processing companies and consumers out there who are ready to buy from you.

2. Executive Summary

Philip Clinton® Tomato Farms, LLC is a registered and licensed commercial vegetable farm with bias in tomato cultivation that will be based in the outskirt of San Antonio, Texas – United States. We have done our detailed market research and feasibility studies and we were able to secure 25 hectares of land to start our tomato farm.

We will always leverage on both field and greenhouse farming to cultivate tomatoes in commercial quantities hence we will construct a structure with walls and roof made essentially of transparent material in which plants requiring regulated climatic conditions are grown.

At Philip Clinton® Tomato Farms, LLC we will be involved in the cultivation of different species of tomatoes such Beefsteak tomatoes, Plum tomatoes, Cherry tomatoes, Grape tomatoes, Campari tomatoes, Pear tomatoes and Oxheart tomatoes et al both in organic and non – organic forms.

We are in the tomato farming business because we want to leverage on the vast opportunities available in the agriculture industry, to contribute our quota in growing the U.S. economy, in national food production, to export agriculture produce from the United States to other countries and over and above to make profit.

Philip Clinton® Tomato Farms, LLC is well positioned to become one of the leading tomato farms in the United States of America, which is why we have been able to source for the best hands and machines to run the business with. We have put processes and strategies in place that will help us employ best practices when it comes to tomato farming and packaging as required by the regulating bodies in the United States of America.

Philip Clinton® Tomato Farms, LLC is a private registered commercial vegetable farm that is owned by Philip Clinton and his immediate family members. The company will be fully and single handedly managed by the owner – Philip Clinton and his immediate family members at least for a period of time.

3. Our Products and Services

Philip Clinton® Tomato Farms, LLC is a commercial vegetable farm that will be involved in cultivating different species of tomatoes via greenhouse and land farming for both the United States’ market and the global market. We are in business to produce tomatoes in commercial quantities.

We will also ensure that we operate a standard tomatoes processing and packaging plant as part of our complimentary business. We will be involved in the;

  • Cultivation of different species of tomatoes such as; Beefsteak tomatoes, Plum tomatoes, Cherry tomatoes, Grape tomatoes, Campari tomatoes, Pear tomatoes and Oxheart tomatoes et al both in organic and non – organic forms
  • Processing and packaging tomatoes

4. Our Mission and Vision Statement

  • Our Vision is to become one of the number one tomato cultivator and exporter not just in Texas, but also in the United States of America.
  • Our mission statement as a commercial tomato farming business is to go into full – time cultivation of tomatoes that will not only be consumed in the United States of America, but also exported to other parts of the world.
  • We want our well – processed and packaged tomatoes to flood the nooks and crannies of the United States.

Our Business Structure

Philip Clinton® Tomato Farms, LLC is a commercial tomato farm that intends starting small in San Antonio – Texas, but hopes to grow big in order to compete favorably with leading commercial tomato farms in the in the United States. We are aware of the importance of building a solid business structure that can support the kind of world class business we want to own.

At Philip Clinton® Tomato Farms, LLC, we will ensure that we hire people that are qualified, hardworking, dedicated, customer centric and are ready to work to help us build a prosperous business that will benefit all the stake holders.

As a matter of fact, profit-sharing arrangement will be made available to all our senior management staff and it will be based on their performance for a period of five years or more as agreed by the management of the farm. In view of the above, Philip Clinton® Tomato Farms, LLC have decided to hire qualified and competent hands to occupy the following positions;

  • Chief Operating Officer

General Farm Manager

Administrator/Accountant

  • Field Workers
  • Sales and Marketing Executive
  • Front Desk Officer

5. Job Roles and Responsibilities

Chief Executive Officer – CEO:

  • Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results
  • Creating, communicating, and implementing the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
  • Responsible for fixing prices and signing business deals
  • Responsible for providing direction for the business
  • Responsible for signing checks and documents on behalf of the company
  • Evaluates the success of the organization
  • Responsible for the planning, management and coordinating all farm activities across the various sections on behalf of the organization
  • Supervise field workers
  • Ensure compliance during project executions (especially in the construction of greenhouse and hothouse et al)
  • Providing advice on the management of farming activities across all sections
  • Responsible for carrying out risk assessment
  • Using IT systems and software to keep track of people and progress of crops
  • Responsible for overseeing the accounting, costing and sale of farm produce after harvest
  • Represent the organization’s interest at various stakeholders’ meetings
  • Ensures that farming goals desired result are achieved, the most efficient resources (manpower, equipment, tools and chemicals et al) are utilized and different interests involved are satisfied.
  • Carrying out induction for new team members
  • Responsible for training, evaluation and assessment of employees
  • Oversee the smooth running of the daily farming activities across the various farming sections.
  • Responsible for overseeing the smooth running of HR and administrative tasks for the organization
  • Defining job positions for recruitment and managing interviewing process
  • Carrying out staff induction for new team members
  • Responsible for preparing financial reports, budgets, and financial statements for the organization
  • Responsible for financial forecasting and risks analysis.
  • Responsible for developing and managing financial systems and policies
  • Responsible for administering payrolls
  • Ensuring compliance with taxation legislation
  • Handles all financial transactions for the company
  • Serves as internal auditor for the company

Farm Workers

  • Responsible for planting and harvesting tomatoes as required by the manager or supervisor
  • Responsible for weeding in and around the tomato farm
  • Responsible for watering and applying manure (organic fertilizer) or inorganic fertilizer as instructed
  • Assist in loading tomatoes meant for deliveries
  • Work closely with the General Manager to achieve the organizations’ goals and objectives

6. SWOT Analysis

Philip Clinton® Tomato Farms, LLC do not intend to launch out with trial and error hence the need to conduct a proper SWOT analysis. We know that if we get it right from the onset, we would have succeeded in creating the foundation that will help us build a standard commercial tomato farm that will favorably compete in the United States of America.

We are quite aware that there are several tomato farms all over San Antonio – Texas and even in the same location where we intend locating ours, which is why we are following the due process of establishing a business.

We know that if a proper SWOT analysis is conducted for our business, we will be able to position our business to maximize our strength, leverage on the opportunities that will be available to us, mitigate our risks and be equipped to confront our threats.

Philip Clinton® Tomato Farms, LLC employed the services of an expert HR and Business Analyst with bias in the commercial farming industry to help us conduct a thorough SWOT analysis and to help us create a Business model that will help us achieve our business goals and objectives.

Here is a summary from the result of the SWOT analysis that was conducted on behalf of Hankins Philip Clinton® Tomato Farms, LLC;

Our strength as a tomato farming company is the fact that we have healthy relationships with loads of major players in the agriculture industry both within and outside of the United States.

We have some of the latest farm tools and equipment that will help us cultivate tomatoes in commercial quantities with less stress. Aside from our relationship and equipment, we can confidently boast that we have some the most experienced hands in the business under our payroll.

Our weakness could be that for now we lack economies of scale and we don’t have our own tomato processing plant (we hope to build one within the first 12 months of operation). We have been able to put up structures that will help us overcome this initial setback within the shortest time frame.

  • Opportunities:

An increase in the price of vegetables positively affects returns at the farm gate; as the price of vegetables increases, farmers collect higher revenue because changes in price do not drastically affect demand. Price fluctuations reflect supply levels, downstream processing activity, global demand activity and several other factors.

With all other things equal, an increase in the price of vegetables will garner higher revenue for industry operators, so long as cost increases can be passed on to consumers to protect profit margins. The price of vegetables is expected to rise this year, representing a potential opportunity for the industry.

Vegetables (tomatoes) require a steady amount of soil moisture to grow and produce, but they cannot tolerate standing water from excessive rainfall. Periods of intense rain or harsh drought can destroy crops, drastically affecting industry production and revenue levels.

Average annual rainfall in the United States typically does not move far from its annual mean; still, unpredictable weather patterns can have drastic effects on the industry. Average annual precipitation is anticipated to decrease this year, posing a potential threat to the industry.

7. MARKET ANALYSIS

  • Market Trends

If you are conversant with rising technology and scientific development in the agriculture industry, you will quite agree that vegetable and fruits farming via greenhouse commercial farming model is at the front burner. Greenhouse commercial farming is rapidly gaining entrance in our world today.

Greenhouse farming gives room for greater control over the growing environment of various crops. Dependent upon the technicality and specification of a greenhouse design, some of the important factors which may be controlled include temperature, levels of light and shade, irrigation, fertilizer application, and atmospheric humidity et al.

Basically, Greenhouses are used to overcome shortcomings in the growing qualities of a piece of land, such as a short growing season or poor light levels. In essence, they are designed to improve tomatoes production in marginal environments.

Please note that while per-capita consumption of vegetables has trended down, especially among teenagers, population increases, better quality and higher prices have allowed the industry to hold its ground in revenue terms and achieve growth.

Retail giants like Safeway and Wal-Mart have placed an emphasis on expanding their selection of fresh produce, especially of organic varieties. However, these large chains have used their market power to impose higher quality standards and drive down returns to growers.

The damage has been somewhat mitigated by bringing produce to a wider consumer base, but there is limited scope for growing sales by expanding access. The strong performance of the industry over the years to 2008 drew many new participants in.

Over the last two years, however, IBISWorld estimates that the number of farms and greenhouses growing vegetables has shrunk.

So also, if you are a close observer of the trends in the hydroponics and vegetable farming industry, you will agree that the vegetable farming industry is anticipated to increase due to increasing consumer health consciousness, which has led to increasing demand for fresh produce.

While per capita fruit and vegetable consumption has remained stable over in recent time, the price of vegetables have increased as consumers demand premium, fresh vegetables.

So also, the number of both small and large farms have been increasing. Small, local tomato farms are benefiting from the organic, local movement, while large, commercial tomato farms are improving labor efficiency. Going forward, players in the hydroponics and vegetable farming industry will continue to increase revenue generation for their business.

8. Our Target Market

The end consumer of tomatoes or vegetable farm produce and also those who benefit from the business value chain are all encompassing. Every household consumes tomatoes in different forms. In essence a commercial tomato farmer should be able to sell his or her farm produce to as many people as possible.

We will ensure that we position our business to attract consumers just in the United States of America alone but also other parts of the world which is why we will be exporting some of our tomatoes either in raw or processed form to other countries. In essence, our target markets are;

  • Tomato paste production companies
  • Restaurant operators
  • Pizza production companies
  • Ketchup production companies
  • Juice production companies

Our Competitive Advantage

Philip Clinton® Tomato Farms, LLC is fully aware that there are competitions when it comes to selling vegetables and tomato, which is why we decided to carry out thorough research so as to know how to take advantage of the available market.

We have done our homework and we have been able to highlight some factors that will give us competitive advantage in the marketplace.

Other competitive advantage lies in the power of our team; our workforce. We have a team of hardworking and highly proficient tomato farmers. Aside from the synergy that exist in our carefully selected team members, we have some of the latest and efficient farm machines and equipment and we will be guided by international best practices in the industry.

Another competitive advantage that we are bringing to the industry is the fact that we have designed our business in such a way that we will operate a standard commercial farm that will be involved in diverse areas such as tomatoes cultivation, processing and packaging. With this, we will be able to take advantage of all the available opportunities within the industry.

Lastly, all our employees will be well taken care of, and their welfare package will be among the best within our category in the industry. It will enable them to be more than willing to build the business with us and help deliver our set goals and achieve all our business aims and objectives.

9. SALES AND MARKETING STRATEGY

  • Sources of Income

Philip Clinton® Tomato Farms, LLC is in the tomato farming business for the purpose of maximizing profits hence we have decided to explore all the available opportunities within the industry to achieve our corporate goals and objectives. Below are the sources we intend exploring to generate income for Philip Clinton® Tomato Farms, LLC;

  • Processing and packaging tomatoes (the production of tomato paste).

10. Sales Forecast

From the survey conducted, we were able to discover that the sales generated by a commercial tomato farm depends on the size and nature of the farm.

We have perfected our sales and marketing strategies and we are quite optimistic that we will meet or even surpass our set sales target of generating enough income/profits from the year of operation and build the business from survival to sustainability.

We have been able to examine the hydroponics and vegetable farming industry, we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. Below are the projections that we were able to come up with for the first three years of running Philip Clinton® Tomato Farms, LLC;

  • First Fiscal Year (FY1): $250,000
  • Second Fiscal Year (FY2): $350,000
  • Third Fiscal Year (FY3): $900,000

N.B : This projection was done based on what is obtainable in the industry and with the assumption that there won’t be any major economic meltdown that can impact negatively on household spending, bad weather cum natural disasters, and unfavorable government policies . Please note that the above projection might be lower and at the same time it might be higher.

  • Marketing Strategy and Sales Strategy

We are quite aware that the reason why some vegetable cum tomato farms hardly make good profits is their inability to sell off their farm produce as at when due. In view of that, we decided to set up a standard tomato processing plant to help us maximize profits.

Our sales and marketing team will be recruited based on their vast experience in the industry and they will be trained to meet their set targets and the overall business goal of Philip Clinton® Tomato Farms, LLC.

We have perfected our sale and marketing strategies first by networking with agriculture merchants, hotels, restaurants, supermarkets, grocery stores and companies that rely on raw materials from the industry. In summary, Philip Clinton® Tomato Farms, LLC will adopt the following strategies in marketing our tomatoes;

  • Introduce our business by sending introductory letters alongside our brochure to stake holders in the food processing and tomato paste production industry, supermarkets, grocery stores, hotels and restaurants and tomato merchants et al.
  • Advertise our business and tomatoes in agro – allied and food related magazines and websites
  • List our commercial tomato farms on yellow pages ads
  • Attend related agriculture and food expos, seminars, and business fairs et al
  • Leverage on the internet to promote our business
  • Engage in direct marketing
  • Encourage the use of Word of mouth marketing (referrals)

11. Publicity and Advertising Strategy

Any business that wants to grow beyond the corner of the street or the city they are operating from must be ready to utilize every available means to advertise and promote the business. We intend growing our business which is why we have perfected plans to build our brand via every available means.

Below are the platforms you can leverage on to boost our tomato farming brand and to promote and advertise our business;

  • Place adverts on both print (newspapers and magazines) and electronic media platforms
  • Sponsor relevant community – based events/programs
  • Leverage on the internet and social media platforms like; Instagram, Facebook, twitter, YouTube, Google + et al to promote our business
  • Distribute our fliers and handbills in target areas
  • List our tomato farms in local directories / yellow pages
  • Advertise our commercial tomato farms in our official website and employ strategies that will help us pull traffic to the site.
  • Ensure that all our staff members wear our branded shirts and all our vehicles and trucks are well branded with our company logo et al.

12. Our Pricing Strategy

Some of the factors that will help you sell your farm produce at the right price that will guarantee that you make profits is dependent on your strategy while some of the factors are beyond your control. For example, if the climatic condition is unfavorable and if there are natural disasters in the location, then it will directly affect the prices of your goods.

If you want to get the right pricing for your farm produce, then you should ensure that you choose a good location for vegetable farm, choose good breeds/seeds that will guarantee bountiful harvest, cut the cost of running your farm to the barest minimum and of course try as much as possible to attract buyers to your farm.

In view of that, our prices will conform to what is obtainable in the industry but will ensure that within the first 6 to 12 months our tomatoes are sold a little bit below the average price in the United States of America. We have put in place business strategies that will help us run on low profits for a period of 6 months; it is a way of encouraging people to buy into our tomato farming business

  • Payment Options

The payment policy adopted by Philip Clinton® Tomato Farms, LLC is all inclusive because we are quite aware that different customers prefer different payment options as it suits them but at the same time, we will ensure that we abide by the financial rules and regulation of the United States of America.

Here are the payment options that Philip Clinton® Tomato Farms, LLC will make available to her clients;

  • Payment via bank transfer
  • Payment with cash
  • Payment via online bank transfer
  • Payment via check
  • Payment via Point of Sale Machines (POS Machines)
  • Payment via mobile money transfer
  • Payment via bank draft

In view of the above, we have chosen banking platforms that will enable our client make payment for tomatoes purchase without any stress on their part. Our bank account numbers will be made available on our website and promotional materials.

13. Startup Expenditure (Budget)

When it comes to calculating the cost of starting a tomato farm, there are some key factors that should serve as a guide. The most important expenses is the construction of the farm. In view of that, here are some of the basic areas we will spend our startup capital in setting up our commercial tomato farm;

  • The total fee for incorporating the business in United States of America – $750.
  • The total cost for payment of insurance policy covers (general liability, workers’ compensation and property casualty) coverage at a total premium – $9,400
  • The amount needed to acquire / lease a farmland – $50,000
  • The amount required for preparing the farmland – $20,000
  • The cost for acquiring the required working tools and equipment / machines / fencing et al – $10,000
  • The amount required for purchase of the first set of tomato seedlings, manure (fertilizer) and pesticides et al – $15,000
  • The amount required to set up a standard vegetable (tomato) processing plant within the farm facility – 80,000
  • Operational cost for the first 3 months (salaries of employees, payments of bills et al) – $10,000
  • The cost of launching an official website – $600
  • The amount required for payment of workers for a period of 3 months – $80,000
  • Additional Expenditure (Business cards, Signage, Adverts and Promotions et al) – $2,000

Going by the report from detailed research and feasibility studies conducted, we will need an average of three hundred and fifty thousand dollars ($350,000) to start a standard commercial tomato farm in the United States of America.

Generating Funds/Startup Capital for Philip Clinton® Tomato Farms, LLC

Philip Clinton® Tomato Farms, LLC will be owned and managed by Philip Clinton and his immediate family members. They decided to restrict the sourcing of the startup capital for the business to just three major sources.

  • Generate part of the startup capital from personal savings and sale of his stocks
  • Generate part of the startup capital from friends and other extended family members
  • Generate a larger chunk of the startup capital from the bank (loan facility).

N.B: We have been able to generate about $100,000 (Personal savings $80,000 and soft loan from family members $20,000) and we are at the final stages of obtaining a loan facility of $250,000 from our bank. All the papers and documents have been duly signed and submitted, the loan has been approved and any moment from now our account will be credited.

14. Sustainability and Expansion Strategy

Part of the plans we have in place to sustain Philip Clinton® Tomato Farms, LLC is to ensure that we continue to make available different sizes and species of tomatoes, deliver quality services, improvise on how to do things faster and cheaper.

We are not going to relent in providing conducive environment for our workers and also the required trainings that will help them deliver excellent services at all times.

We are quite aware that our customers are key component to the growth and survival of our business hence we are going to continuously engage them to give us ideas on how to serve them better and the products they want to see in our store.

We will not waste time in adopting new technology, best practices and diversifying our services. Philip Clinton® Tomato Farms, LLC will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare are well taken of.

Our company’s corporate culture is designed to drive our business to greater heights and training and retraining of our workforce is at the top burner. We know that if that is put in place, we will be able to successfully hire and retain the best hands we can get in the industry; they will be more committed to help us build the business of our dreams.

Check List/Milestone

  • Business Name Availability Check : Completed
  • Business Incorporation: Completed
  • Opening of Corporate Bank Accounts: Completed
  • Opening Online Payment Platforms: Completed
  • Application and Obtaining Tax Payer’s ID: In Progress
  • Application for business license and permit: Completed
  • Purchase of Insurance for the Business: Completed
  • Leasing of farm land in San Antonio – Texas (preparing the farm land inclusive): Completed
  • Conducting Feasibility Studies: Completed
  • Startup Capital generation: Completed
  • writing of business plan: Completed
  • Drafting of Employee’s Handbook: Completed
  • Design of The Company’s Logo: Completed
  • Printing of Packaging and Promotional Materials: Completed
  • Recruitment of employees: In Progress
  • Building /construction of greenhouse and hothouse facility: In Progress
  • Purchase of the needed working tools, machines and equipment: Completed
  • Creating Official Website for the Company: In Progress
  • Creating Awareness for the business (Business PR): In Progress
  • Farm land Treatment, Health and Safety Arrangement : In Progress
  • Establishing business relationship with key players in the industry (agriculture farm produce merchants, tomato paste and ketchup production companies, suppliers of seeds, fertilizers, pesticides and insecticides): Completed

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You may think that only the northern part of Nigeria grows tomatoes, but I can tell you that tomato farming can be done anywhere in Nigeria.

Here are the steps on how to start your own tomato farming in Nigeria;

1. Find A Perfect Site For Your Tomato Farming

The first step you need to take is for you to find a perfect site for you tomatoes farm. Choose a site that is not too far from the market.

Read Also: Top 10 Tomato Producing States in Nigeria

11 Steps to Start Tomato Farming Business in Nigeria

And also there should be an easy transportation access available, in other to have an easy way of transporting your tomatoes when the time comes; after harvesting.

Read Also: 7 Steps to Start Commercial Tomatoes Production in Nigeria

2. Choose A Healthy Land/Soil For Your Tomato Farming

It is important to carefully choose or select a good soil for planting your     tomatoes because a good and healthy soil will determine the type of tomatoes that will be produced and the overall productivity of your tomato business.

The soil could be a well-managed sandy loam and heavy clay loams free of    hardpan but know that the best tomatoes are obtained from deep, well-drained loam.

Top 15 Agro-Commodities Exported by Nigeria in 2023

Keep in mind that the soil should be rich in organic matter and it should be endowed with plant nutrients, with a pH value of 6 to 7.

In preparing your land; the soil should be well prepared, loose and in good tilt. The soil should be cleared of all weeds and might be ploughed (if heavy) for about 1-3 times to make it light weights. In any case where you have an acidic soil; you can reduce or level it by applying lime in an appropriate quality.

3. Choose The Right Tomato Variety

Another good way of getting the best form your tomatoes farming  is to plant the right tomato varieties. The different varieties of tomatoes grown in the world generally are;

  • Beefsteak tomatoes
  • Cherry tomatoes
  • Plum tomatoes
  • Grapes tomatoes
  • Campari tomatoes
  • Tom berries tomatoes
  • Oxheart tomatoes
  • Pear tomatoes
  • Slicing or Globe tomatoes

But in Nigeria, the varieties of tomatoes in Nigeria can be classified with their shapes, local names and places of cultivation.

Though if you are confused on which variety to plant, it is recommended that you plant the Roma tomato (which is a plum tomato because of its slender and firm nature). It is commonly used in Nigeria, also popular and has no objection with climate.

Read Also: 6 Problems of Tomatoes Production in Nigeria

4. Plant Your Tomatoes

The best way to plant your tomato is by first planting it in nursery, then later transplanting to the field. Make sure you prepare the nursery bed for a period of about 5 weeks.

This is done by covering them with a polyethylene sheet to prevent weed growth, fungus, nematodes, pests, and bacteria. You should consider applying organic manure and fertilizer before planting. Know that your seedbed should be 55-65cm wide, 5-6cm long and 20-25cm high.

On how to plant your tomatoes; planting your tomatoes can be done around March/April during the beginning of raining season. Plant by placing the tomatoes seeds on the soil and cover with a quarter inch layer of soil and press it with your hand or handle (you may cover it with dry grasses if you want. This is to prevent loss of moisture).

After planting, you will see them growing in the next 5-7days (you can then remove the dry grasses to allow for proper growth) then allow it to grow for about one month and or 5 weeks before transplanting to the field.

Note: Your tomato nursery can be done on a small farm or on your garden; if you have one. Just make sure that the soil is healthy and cared for.

5. Transplant Your Tomatoes (moving your tomato plant to the plant)

After one month or five weeks of planting your tomato in the nursery then you can now freely plant them in the field. Tomatoes are very tender and fragile, it is best transplanted the same day you uprooted it from the nursery to avoid dehydration and fatigue.

You should do the transplanting with hand to prevent damages (do not use any machines for this). If your farm is large, then you should consider employing more labors to assist you in this.

On how to transplant you tomatoes; you should open the soil of where you want to transplant with a piece of small wood, insert the seedling into the hole and cover it with loose soil. The soil where you intend to transplant your plant should be moist.

Note: After transplant, the seedbeds should be irrigated regularly after sowing and until the seedlings reach a height of 5 to 7cm. do not just leave it like that or else, it will die.

Read Also: 8 Varieties and Types of Tomatoes Grown In Nigeria

6. Irrigate Your Tomato Farm

If you want to get the best of your crop; the ensure you supply your plant with enough water. During the dry season (these are the critical times), between the month of October and February, make sure you constantly supply your plant with enough water, like in every 3-7days interval (depending on the type of soil). Know that you should put too much water on it to prevent them from cracking.

7. Weed and Fertilize Tour Tomato Farm

After one to two months of transplanting your tomato from the nursery, you should consider weeding your tomato farm. You should be careful as you weed to prevent damages on your tomato crop.

You can also use chemical weed control, by applying registered chemicals. If you intend to use mechanical method to weed, it should be shallow and not too close to the plant; to prevent damages to the plant.

Fertilizer should be applied after the first weeding. This is to help restock the soil nutrients taken or affected by the weeds. The fertilizer should have contents like nitrogen, phosphorus, potassium, potash, molybdenum, calcium and magnesium, along with other trace minerals, all in adequate quantity. Tomatoes requires these minerals to grow and flourish.

8. Control Pest And Diseases In Your Tomato Farm

Apart from weed control, you should also control your tomato plant from pests. Examples of some tomato pest and diseases are;

  • Plusia looper
  • Red spider mite
  • Leaf miner/potato tuber moth/bacterial wilt
  • Fusarium wilt
  • Late blight
  • Erinose mite
  • Bacterial canker

These pests and diseases can controlled by;

  • Practicing crop rotation.
  • Always destroy infected plants and throw them away from the field.
  • Using registered chemicals.
  • Practicing of proper sanitation.
  • Controlling drainage.

9. Harvest Your Tomatoes

Your tomatoes will mature after 3 months that is about 8-12 weeks. By then, you should start picking them. The color should also tell you that it is ripe. You should pick your ripe tomatoes according to size, color and quality.

Read Also: How Profitable is Tomatoes Farming in Nigeria

10. Store Your Tomatoes

If you are not taking your tomatoes to the market immediately, you may choose to store your tomatoes. Pack your tomatoes in wooden boxes, baskets or cartons. Store them in a room which temperature is about 12 o C and 86% to 90% relative humidity.

11. Market Your Tomatoes

After harvesting and storing, then its time to market your tomatoes. Its very important you’ve identified the best market or sellers to sell your tomatoes to because tomatoes are very fragile and perishable.

Unlike rice, cocoa, etc, you cannot store tomato for a long period of time, so the market must be ready, even before you harvest your tomatoes.

This is the end on how to start your own tomato farm in Nigeria. When this steps are practiced accordingly, then you will get a profitable outcome.

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How to grow tomatoes in Nigeria

How To Start Tomatoes Farming Nigeria [Beginners Kit]

tomato farming business plan in nigeria

Tomato farming is not a tedious activity. Almost anyone can do it, whether in their backyard or in commercial quantities. Tomato cultivation is far more rewarding than you could have imagined. Interestingly, tomatoes can be grown all year, especially where there is a dedicated irrigation system, and or adequate rainfall.

The steps involved in tomato farming in Nigeria include farmland preparation, tomato species acquisition, setting up a tomato nursery, planting, weeding, and fertilizer application.

We will emphasize more on the steps highlighted above shortly, ensure you read through them from beginning to end.

Table of Contents

Going straight to our discourse on how to start tomato farming in Nigeria, we have discussed intensely the major steps you need to follow from start to finish.

Step 1: Farmland Preparation

First, you must acquire farmland with loose loamy soil and access to 8 hours of sunlight per day.

Plowing to “till” or dig up, mix, and overturn the soil; harrowing to break the soil clods into smaller masses and incorporate plant residue; and leveling the field are common farmland preparation methods.

In addition, you must create a canal system in the soil through which water will flow.

Step 2: Tomato Species Acquisition

The best tomato species grown in Nigeria are Roma and hybrid tomato varieties.

The Roma tomato, known for its size and redness, is a plum tomato that is very popular in Nigerian markets. This species is suitable for both canning and making tomato paste. It is also widely available in supermarkets in some countries, such as the United States.

Roma tomatoes are also referred to as Italian tomatoes and Italian plum tomatoes. What distinguishes the Roma species is its long shelf life, hardback, and low water content, which allows it to last longer after harvest.

Step 3: Planting/Setting Up Tomato Nursery

Nursery preparation is best done in March/April when most of the country is just getting started with rain. You can use your backyard part of your farmland, or any other suitable piece of land for the nursery.

Tomatoes grow well in most soil types in Nigeria, but they thrive in black loose loamy soil. Clear the grass and rubble from the ground and loosen the soil with a hand trowel and hoes.

Remove the tomatoes’ seeds and scatter them on the prepared soil. You can cover it with dry grasses to prevent moisture loss from the soil and to keep birds, ants, and fowls from eating the tomato farming seeds.

It should germinate within 5-7 days. Wait about five days before removing the dry grasses to allow for proper growth. Allow the plant to grow for another month before you transfer them to the main farm.

Step 4: Transfer of Nursed Tomato Plants

This is the stage at which you move the already sprouted plants from the nursery to the permanent farm, where they will mature and produce. After 6 weeks of seed growth on nursery beds, transplanting is performed. You now move the seedlings to the main field you’ve prepared.

To avoid dehydration, tomato seedlings should be transplanted the same day they are uprooted from the nursery bed.

Tomato seedlings are extremely delicate and tender. As a result, should be handled with caution. With a small knife or cutlass, open the soil, insert the seedling, and cover with soil.

Step 5: Weeding & Application of Fertilizers

After two months after the transplant, it will be time for weeding.   This process is necessary to prevent unwanted grasses from competing with tomatoes planted for soil nutrients, space, water, and other resources.

After weeding, you need to apply fertilizer to help replenish soil nutrients depleted by weeds Tomatoes require nitrogen, phosphorus, potassium, potash, calcium, magnesium, and other trace minerals to grow successfully. It’s always a good idea to have your soil tested for nutrient levels and pH. It is best to use a fertilizer that contains those essential nutrients – N-P-K ratio fertilizer can be very beneficial to tomatoes.

Importantly, you need to grow companion plants such as carrots, onions, and the rest to help ward off pests. Also, stake the farm beds so that the tomato plant stems can rest and curl around them.

Step 7: Adequate Watering

Ensure you supply adequate water to the tomato plants early morning and late noon. Be careful not to overflood the farm so that the tomato root won’t rot.

Step 8: Harvesting the Tomatoes Produce

Tomatoes are harvested in batches. Three months after planting, the first harvest begins. That means that if you plan by April, you should have your first harvest by June/July. It will then continue until November/December.

How Much Does It Cost To Start A Tomato Farm In Nigeria?

Start-up costs for tomato farming range from N100,000 to N1,000,000. It all depends on your budget and the size of your property.

The cost of land is the major expense and it is determined by the location and state in which it is purchased. A plot of land in Nigeria typically costs between N250,000 and N800,000 and up.

How Long Does It Take To Grow Tomatoes In Nigeria?

Most tomato species can take anywhere from 54 to 100 days to mature after being transplanted. Some mature quickly, while others take their time. When ripe, it turns from green to red. During this stage, the farm should be checked regularly to ensure that the ripe ones are picked as soon as possible to avoid contamination.

What Is The Best Time To Plant Tomatoes In Nigeria?

Both the rainy season and dry season weather favor tomato farming in Nigeria. However, during the dry season, it is necessary to irrigate. The best irrigation system for tomato farming is drip irrigation.

For dry season planting, December to February is favorable, while March (the early rainy season) is the best season to start planting tomatoes in the rainy period.

How Can I Start A Tomato Business In Nigeria?

In Nigeria, tomato farming is possible everywhere. The steps to starting your tomato farm in Nigeria are listed below.

  • Locate the right farmland
  • Select the right tomato species
  • Prepare the farmland
  • Plant in nursery farm
  • Transplant tomato plants into farmland
  • Irrigate your farmland
  • Weeding and fertilizing activities
  • Pest and disease control

How Much Is A Basket Of Tomatoes In Nigeria?

The price of a basket in Nigeria is between 4,5000 Naira to 5,000 Naira.

Is Tomato Business Profitable In Nigeria?

The tomato business is highly profitable in Nigeria. Mainly because of the high demand by consumers of different sizes.

Which Month Is Best For Tomato?

The best month for tomatoes is March.

Which Month Do You Plant Tomatoes?

The ideal month to plant tomatoes is between December to March.

Which Month Is Good For Tomatoes?

The ideal month that is good for tomatoes in February. This is because it is the beginning of the early raining season which is very much ideal for tomato planting.

How Do You Prepare Land For Tomatoes?

Land preparation is essential when planting a tomato because it is the key to growing healthy plants that produce healthy tomatoes.

Begin by tilling the area where you intend to plant your garden. Then, test the soil for nutrient content and pH levels so you can add compost and fertilizers to create the best growing medium for your plants. You can plant your tomatoes after you’ve amended the soil’s nutrient content.

How Much Is An Acre Of Tomatoes Worth?

Per acre of tomatoes is worth up to N3,500,000.

How Many Tomatoes Can You Plant Per Acre?

Generally, you will get about 3000-50000 tomato plants per acre.

Where Can I Sell Tomatoes In Nigeria?

The tomato market is round the year in Nigeria. This means there is no time that you cannot sell tomatoes.

How Do Tomatoes Farmers Make Money?

there are different ways tomatoes farmers can make money. The majority of the farmers make money from tomato sales. Additional money is made from the leasing of farming inputs, sales of high-yield tomato seeds, and tomato processing, among others.

How Can I Make Money With Tomatoes?

You can make money with tomatoes by selling the product to customers who need them. You can also process the tomato fruits into pastes and sell them as well.

How Much Is Tin Tomatoes Carton In Nigeria?

In Nigeria, the price of a cartoon of tin tomatoes ranges from N15,000 to N27,000, depending on the brand, size, and cartoon size.

How Much Is Tomato Paste In Nigeria?

The smallest tomato paste costs between N70 and N120, while the medium and large sizes cost between N200 and N300 in Nigeria.

How Many Kg Is A Basket Of Tomatoes?

A basket of tomatoes Kg ranges from 10kg (smallest size) to 60kg (largest size

How Lucrative Is Tomato Farming?

Tomatoes are in high demand on the market. And because the demand for tomatoes exceeds the supply, the business is profitable and lucrative.

Can I Plant Tomatoes In July In Nigeria?

You can plant tomatoes in July in Nigeria. However, make sure you don’t plant on water – logged land because this will make the root rot. Also, make sure the farm site is located where there will be sufficient sunlight.

Modern Tomato Farming Techniques

Modern tomato farming techniques are not complex. It is just an improvement to the existing tomato farming technique.

Modern tomato farming techniques involve

  • Planting the seedlings in a nursery first before transplanting them to the farmland.
  • During the farmland preparation stage, you have to test the PH level to be sure it has the necessary PH level desired. If not, you can prep up the PH level.
  • During farm leveling, ensure you introduce manure or fertilizer as well as spray the farmland to keep it safe from pests and insects.

How Profitable Is Tomato Farming In Nigeria

Tomato farming in Nigeria is very profitable, and you will have no trouble marketing your products because of the high demand for the farm produce on daily basis.

Dry Season Tomato Farming In Nigeria

Dry season farming in Nigeria is increasing intending to meet the increasing demand for food production in Nigeria.

The process of dry season farming is not different from when it rains. However, an irrigation system is employed for soil and plant watering.

There are considerations to be made before embarking on dry season farming. these are farm location, water and power, soil preparation, selection of tomato seeds, drip irrigation, nursery, transplanting, pesticides selection, and staking of the farm beds.

Hybrid Tomato Farming

Hybrid tomato farming includes nursery preparation and planting, adding manure to the irrigation, fertilizer application, staking, intercropping, pest management using fungicide and pesticides, and harvesting.

When Is Tomato Cheap In Nigeria?

The cost of a basket of tomatoes is typically low in Nigeria from September to March each year. However, prices frequently increase from May to July.

Tomato remains one of the most demanded vegetables in Nigeria. This venture is highly profitable and it is a means to make money. Ensure you follow the steps outlined and discussed in this material for optimal results.

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tomato farming business plan in nigeria

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5 replies to “ how to start tomatoes farming nigeria [beginners kit] ”.

plz mr adeweb i need to lean more on tomato farming im in nigerie

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tomato farming business plan in nigeria

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Tomato Jos: Empowering Nigerian Farmers and Producing Food Products Locally

tomato farming business plan in nigeria

Tomato Jos 1 believes in the power of local food production for local consumption. Their business and operating models are rooted in the idea that successful, profit-driven small and mid-sized companies can help Nigerians improve their livelihoods by creating jobs, local economic growth, tools/infrastructure, and innovation/training. Tomato Jos has effectively aligned this vision, business model, and operating model to produce tomato paste by Nigerians, for Nigerians.

Business Model & Value Proposition: Tomatoes are a staple in West African cuisine, particularly in rice dishes and stews. While tomatoes grow well in northern Nigeria, bad infrastructure and lack of transparency in the market means 45-60% of tomatoes rot instead of reaching customers. Since shipping goods by road from Kano to Lagos costs the same as shipping goods from China to Lagos, Nigeria has become one of the largest importers of tomato paste in the world ($400 million per year) even though an abundance of fresh tomatoes are grown locally.

The Business Model is to build a processing plant and produce tomato paste in Keffi (in close proximity to the tomato farmers) that generates positive financial returns. The average Nigerian consumes $14/month of tomatoes and $2.25/year of tomato paste, implying a current tomato paste market of $391 million. However, as Nigeria’s economy grows its consumption rates could increase. Based on US consumption rates ($20/year of tomato paste), the market opportunity could reach $3.5 billion. Tomato Jos also creates value for its suppliers (farmers), customers (Nigerian consumers), and Nigeria’s local economy. The company ensures a market for the farmers’ produce and a fair price, which increases farmers’ earnings from $1,000 to $5,000 for a single harvest and smooths out bumps in farmers’ income. Nigerian customers receive a high quality, organic tomato paste for use in their everyday favorite meals that provides health benefits (tomatoes have high concentrations of lycopene, which is a powerful antioxidant). The Nigerian economy benefits from increased domestic production and consumption (reducing the need for tomato paste imports), direct and indirect job creation, and tax revenues.

Pathways to Just Digital Future

Operating Model : Distinct features at each step of the operating process create a competitive advantage for Tomato Jos and value for stakeholders:

  • Innovate & Share Knowledge: Tomato Jos created a demonstration farm where they partner with local farmers to innovate new farming processes to achieve the best quality and highest yields to feed the processing plant. They test the soil composition, fertilizer, seeds, pest control techniques, irrigation methods, and harvesting techniques. The partner farmers who work on the demonstration farm then convince other local farmers to change their farming methods based on proven results
  • Purchase: Tomato Jos develops relationships with local farmers to purchase large volumes of high quality tomatoes at harvest time (April). Producing tomato paste requires lots of tomatoes: since tomatoes are 95% water and 5% solid and a paste is typically 28% solid material (also known as its Brix). You need 5.6 kg of tomatoes to create 1 kg of tomato paste. The plant requires a constant supply of fresh tomatoes so that the processing line can operate at max capacity, which is vitally important. If utilization drops below a certain threshold, production has to stop completely while all machinery is cleaned (this would lead to a lot of waste between the tomatoes in process and waiting in trucks outside). So they are partnering with local farmers to help increase yields from 7 to 35 metric tons.
  • Receiving: tomatoes arrive in trucks and are directed to the offloading area where an operator uses a tube or boom to pipe water into the truck. Tomatoes float out of a special opening at the back of the truck and into a collection channel. Floatation avoids damage to the tomatoes during the handling process
  • Sorting: Water is continuously pumped into the collection channel to carry tomatoes onto the roller elevator and convey them to the sorting station. Staff remove any other material that is present and any green/discolored/damaged tomatoes. A reject conveyor carries rejects away to a storage unit
  • Chopping: Suitable tomatoes are pumped to the chopping table and chopped to a pulp
  • Cold Break Heating: The tomato pulp is heated to 65-75 degrees C
  • Juice Extraction: The tomato pulp is pumped through an extraction unit composed of a pulper and refiner (large sieves) to remove fibers, skins, and seeds to the customer’s specification (coarser or smoother). Typically 5% of the pulp is removed as waste and is sold as cattle feed
  • Holding Tank: The juice is stored in a holding tank that feeds the evaporator
  • Evaporation: Water is extracted from the juice. Juice enters at 5% Brix and is concentrated into 28-36% Brix tomato paste. The operator only has to set the Brix value, the rest of the process is automatically regulated. The entire process takes place under vacuum conditions
  • Aseptic Filling: Finished product is packaged into aseptic bags, so that the product never comes in contact with air until it reaches the consumer. The paste is pumped from the evaporator directly to the aseptic tank, through the aseptic sterilizer-cooler (flash cooler), through the aseptic filler, and into large pre-sterilized aseptic bags
  • Transport & Storage: the plant’s location near farmers solves the problem of tomatoes not being sold. However, Tomato Jos will need to transport the tomato paste from Keffi to customers by land over bad roads. The tomato paste has the advantage of a 24 month shelf life, but it will still need to be competitive on cost and quality compared to other imported international brands.

Conclusion : Tomato Jo’s tomato paste processing plant is effective at creating value for multiple stakeholders in rural Nigeria. Doing so creates shared prosperity through profitability for the firm and economic empowerment for local farmers. As competitors potentially enter the local market (Dangote is rumored to be considering tomato production in the region), Tomato Jos will need to provide superior quality and competitive prices for its customers and continue to evolve its operating model to navigate the risks of operating in northern Nigeria posed by Boko Haram, poor infrastructure, and corruption.

  • The name Tomato Jos is a play on words referencing the tomato products they produce, the city they started in (Jos), and the term of endearment used for pretty young girls (tomato Jos)

Greenhouse demonstration farm

  • Greenhouse at the Demonstration Farm
  • Seedlings transplanted to demonstration farm
  • Drip irrigation system from Israel
  • Evaporation
  • Aseptic Filling
  • Company website: http://www.tomatojos.net/
  • Harvard Magazine, August 2015: http://harvardmagazine.com/2015/08/business-for-the-other-billions
  • Interview with Tomato Jos Founder Mira Mehta on Odeshi: https://www.youtube.com/watch?v=AV23wcrEqMA#action=share
  • Food & Agriculture Organization of the United Nations, Agriculture and Food Engineering Technical Report, 2006: ftp://ftp.fao.org/docrep/fao/009/a0651e/a0651e00.pdf
  • Tomato Jos Kickstarter Fundraising Campaign: October 2014: https://www.kickstarter.com/projects/599756125/tomato-jos-making-tomato-paste-in-nigeria
  • Tomato Jos’s Youtube Channel: https://www.youtube.com/channel/UCrPd1pBfKVzlvI0jDV4GxjA

Student comments on Tomato Jos: Empowering Nigerian Farmers and Producing Food Products Locally

This is a very interesting business model and allows the Nigerians the ability to capture more of the value inherent in their consumption of tomato paste. I see two primary areas that Tomato Jos must master after reading this summary. First, they must develop a tomato paste process which at least matches the competitor’s quality and efficiency of production. Second, they must master the distribution to overcome the inefficiencies of third-world infrastructure and distribution networks. The first and the second require different types of talent and capital to master. I think that it would be smarter for there to be two separate companies: one to master efficient quality production of tomato paste, and one to master getting the tomato paste and other possible value-add to local produce cheaply through the local infrastructure to the retail point, much like we saw with the ITC eChoupal case. With other oil-rich West African States facing the same issues with depressed import prices, Tomato Jos could easily export both models to neighboring countries such as Ghana or Liberia.

Batman is a fan of tomatoes and is heartened by demand from is Nigerian friends!

Great post on a supply side intervention that creates a “buffer” to smooth out infrastructure challenges in the marketplace. Converting tomato to paste arguably solves for an information asymmetry in market demand and pricing for farmers, given that there is a ready buyer in place now. My one large concern is that Tomato Jo’s is distorting the marketplace for raw tomatoes. Often times, public agencies which play a similar role end up “promising” price floors for fresh produce and end up with large amounts of perishable inventory. With rise in yields, Tomato Jo’s has to be able to keep buying larger harvests every year which requires working capital investment. Perhaps more concerning is finding a distribution network for its finished products – if infrastructure remains a challenge, then the market risk is now essentially passed on to the processor without actually removing the risk.

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How to Start Greenhouse Farming in Nigeria: Business Plan, Cost, Profit, Subsidy, and Challenges

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Greenhouse farming in Nigeria is an excellent way to produce fresh fruits and vegetables all year round. Greenhouse farming protects crops from the environment using a structure made of materials that allow sunlight and other radiation to pass through but limit the loss of heat. Greenhouses allow farmers to grow crops year-round, regardless of the weather conditions outside. 

How to Start Greenhouse Farming in Nigeria

How to start greenhouse farming in Nigeria

It is an agriculture sector where crops are grown in an enclosed environment. Greenhouse farming in Nigeria is a new concept, but it has the potential to revolutionize agriculture in the country. Greenhouse farming requires less water than traditional farming methods, and the enclosed environment can help to conserve water. This is especially important in Nigeria, where water resources are scarce.

  • The first step is to choose a suitable location for your greenhouse farm. The location should be close to a water source and have access to sunlight.
  • Once you’ve chosen a location, you must build the greenhouse structure. There are different greenhouses types available on the market, so make sure you choose one that’s right for your needs.
  • After the greenhouse structure has been built, the next step is soil preparation inside it for planting. This involves adding nutrients and ensuring that the soil has the right pH.
  • Once the soil is ready, you can start planting your crops. Make sure you choose plants suited to being grown in a greenhouse environment.
  • Greenhouse farming in Nigeria is planting and growing crops in an enclosed environment. The main advantage of greenhouse farming is that it allows farmers to environment control in which crops are grown. 
  • Farmers can protect crops from pests, diseases, and extreme weather conditions. Greenhouse farming is becoming increasingly popular in Nigeria as more farmers realize its benefits.
  • Finally, you must carefully monitor your greenhouse’s environment and make adjustments. This includes controlling temperature, humidity, and ventilation levels.

In case you missed it: How to Start Dairy Farming in Nigeria: Business Plan, Breeds, Cost, Profit, and Schemes

Greenhouse Farming in Nigeria2

It is a rapidly growing industry. The country has a large population and a rapidly growing economy, making it an attractive market for greenhouse farmers. Nigeria also has a climate conducive to greenhouse farming, ample sunlight, and rainfall. The Nigerian government has supported the greenhouse industry’s growth, providing farmers with subsidies and tax breaks. This has helped spur the industry’s growth, with more farmers setting up greenhouses and increasing production.

The government is also improving infrastructure, such as roads and power supply, which will further boost the sector’s development. There are currently around 1,000 hectares of greenhouse farmland in Nigeria, with most farms located in the northern part of the country. The main vegetables grown in greenhouses are tomatoes, cucumbers, peppers, and eggplants. These crops are in high demand from both local and export markets.

Tomatoes are the most widely-grown crop in Nigerian greenhouses, accounting for almost 60% of total production. Cucumbers are the second most popular crop, followed by peppers and eggplants. Farmers are using modern techniques and inputs to improve yields and quality. For example, hydroponic systems grow crops in nutrient-rich water. This allows for higher yields and a shorter growing season.

  • Greenhouse farming in Nigeria has several benefits over traditional farming methods. The most obvious benefit is the increased yield achieved with greenhouse farming. With the controlled environment of a greenhouse, crops can be grown year-round, meaning a greater harvest is possible.
  • Another benefit of greenhouse farming is the reduction in water usage. In a traditional farm, much water is lost to evaporation and runoff. However, in a greenhouse, the water used to irrigate the plants is recycled and reused, meaning less water is needed overall. This is especially important in areas where water resources are limited.
  • Greenhouses also protect crops from extreme weather conditions, pests, and diseases. The controlled environment of a greenhouse means that farmers can more easily control these factors, leading to healthier plants and higher yields.

Greenhouse farming can be a very profitable business in Nigeria. There are different factors to consider when starting a greenhouse farm, such as the type of crop you want to grow, the climate, and the market for your product. If you are planning on starting a greenhouse farm in Nigeria, it is important to research the market for your product.

Find out what crops are in demand and what prices they are fetching. You will also need to consider the climate when choosing your location. The weather in Nigeria can be unpredictable, so it is essential to choose a location with stable weather patterns. With proper planning and execution, starting a greenhouse farm can be a very profitable endeavor.

Firstly, you must obtain a permit from the Nigerian Agricultural Ministry. Second, you will need to purchase or build a suitable greenhouse. And third, you will need the right skills and knowledge to grow crops successfully in a controlled environment.

In case you missed it: How to Buy Agricultural Land in Nigeria

Greenhouse Farming in Nigeria3

Types of greenhouses in Nigeria

This is built with a plastic sheet. It is the common type of greenhouse in Nigeria. The sheet prevents elements of the weather from affecting the crops in the greenhouse. The most common greenhouse type in Nigeria is the plastic tunnel greenhouse. These greenhouses are relatively cheap and easy to construct, which makes them popular among small-scale farmers. However, they can be vulnerable to high winds and are not very durable in the long term.

This is covered with glass. It is a common greenhouse type in the Netherlands and other temperate countries. Glass greenhouses are the most expensive option but offer the best protection for your crops from the elements. They are also easy to ventilate and keep cool in hot weather.

This has a dome shape. The shape makes it appropriate for some places. These are the most expensive but durable options and offer the best protection from the elements.

Nigeria’s top greenhouse farming states are Kaduna, Kano, Katsina, and Sokoto. These states have the ideal climate for greenhouse farming, with high temperatures and plenty of sunlight. The soil in these states is also suitable for greenhouse farming, as it is rich in nutrients and can retain moisture.

Greenhouse farming can produce various fruits, vegetables, and flowers. In Nigeria, some common crops grown in greenhouses include tomatoes, peppers, cucumbers, and roses. Greenhouse farming can be an important tool for small-scale farmers who want to improve their yields and income.

Some common crops grown in greenhouses in Nigeria include Tomatoes, Cucumbers, Sweet Peppers, and Eggplants. These crops require little water and can tolerate high temperatures. Other popular choices include Beans, Okra, and Squash. These vegetables do best in a cooler climate with ample water availability. Other plants that can be grown in greenhouses in Nigeria include:

Nigeria is one of the largest greenhouse growers in the world. The country has a large number of smallholder farmers who grow a variety of crops in greenhouses. These farmers typically use traditional methods, such as manual labor and simple tools. However, some large-scale commercial greenhouse growers are beginning to adopt more modern methods, such as hydroponics and automated systems.

In case you missed it: 16 Key Rules for Effective Greenhouse Farm Management: From Planning to Reducing Production Cost

Greenhouse Farming in Nigeria4

These growers produce many crops, including tomatoes, cucumbers, peppers, and eggplants. The Nigerian government is encouraging the growth of the greenhouse industry by providing subsidies and tax breaks to farmers. In addition, the government is investing in research and development to improve greenhouse technology.

Greenhouse farming in Nigeria is a new and exciting way to produce crops. Farmers can grow crops year-round and protect them from pests and diseases by using a controlled environment. This type of farming is especially well suited to Nigeria, where the climate is hot and humid. Greenhouse crop production in Nigeria has many benefits. For one, it allows farmers to grow plants all year round, which is impossible with traditional outdoor farming. Farmers can get two or even three crops annually, which greatly increases their income.

In addition, greenhouse farming protects crops from pests and diseases, which are common in Nigeria. Finally, greenhouse farming uses less water than traditional farming, which is important in a country with limited water resources. Firstly, you will need to build a greenhouse. Second, you must purchase seeds or seedlings from a reputable supplier. And third, you will need basic knowledge of how to care for your plants. With a little effort, you can start on your way to becoming a successful greenhouse farmer in Nigeria.

  • The size of the greenhouse – Greenhouses can range in size from small backyard models to large commercial operations. The cost of building a greenhouse will depend on the size you need.
  • The materials used – Greenhouses can be made from wood, metal, and plastic. The material type you choose will affect the cost of construction.
  • The location of the greenhouse – The cost of land and building permits can vary depending on where you want to build your greenhouse.
  • The type of climate control system you need – Depending on the climate in Nigeria, you may need to invest in a heating or cooling system for your greenhouse. Then, this will add to the overall cost of construction.
  • The type of crops you want to grow – Some crops require more space or special growing conditions. This can impact the size and type of greenhouse you need and the equipment you’ll need to purchase.

The cost of about 240 square standard greenhouse systems in Nigeria goes between N2 million and N2.5 million. 

  • Decide what type of greenhouse business you want to start. There are many different types of greenhouses, so it’s important to select the one that best suits your needs.
  • Research the climate in Nigeria and the type of plants that grow best. This will help you determine what type of greenhouse you need to build and what plants you can grow.
  • Find a suitable location for your greenhouse business. The location should be close to a water source and have good drainage.
  • Draw up a business plan and consider the costs of building and running the greenhouse and the potential income from selling the plants growing inside it.
  • Apply for any necessary licenses or permits from the Nigerian government before starting construction on your greenhouse.
  • Build your greenhouse using high-quality materials to withstand the harsh Nigerian climate. Please ensure the structure is strong and secure so it doesn’t collapse in heavy rains or windstorms.
  • Install an irrigation system to water your plants easily and efficiently.
  • Fill your greenhouse with soil and plant your chosen crops, making sure to space them out properly, so they have enough room to grow.

In case you missed it: Greenhouse Farming in Kenya: How to Start, Crops, Construction Cost, Profits, and Subsidy

Greenhouse Farming in Nigeria5

  • Greenhouse farming in Nigeria is a relatively new concept with great potential. There are many opportunities for those interested in greenhouse farming to get involved in this rapidly growing industry.
  • Nigeria is a large country with a population of over 180 million people. The climate is tropical, which is ideal for greenhouse farming. The country has a large amount of arable land, but only a small percentage is currently used for agriculture. This leaves a lot of room for growth in the sector.
  • The Nigerian government supports agriculture and has implemented policies to encourage investment in the sector. Incentives are available for those who want to set up greenhouses, and there are tax breaks for agricultural businesses. There is a growing demand for fresh produce from consumers and the hospitality industry in Nigeria. This creates a good market for greenhouse farmers to sell their products.
  • Greenhouse farming offers many benefits over traditional farming methods. Farmers can get more harvests yearly, and crops will not be lost to bad weather conditions.
  • Water usage can also be controlled better in greenhouses, which helps to conserve this valuable resource. Pest and disease control is easier in greenhouses, too, as they can be isolated from the outside environment.

The Government of Nigeria is committed to developing the country’s agricultural sector and promoting greenhouse farming to achieve food security. To encourage the adoption of this technology by farmers, the government provides a subsidy on the cost of constructing a greenhouse. The subsidy is available to any farmer who wishes to construct a greenhouse on their farm.

The subsidy will cover up to 50% of the construction cost, with a maximum subsidy of 200,000 nairas. Farmers must submit an application to the Ministry of Agriculture to access the subsidy. The application must include a business plan for the proposed greenhouse project. Once approved, farmers will receive a cheque for the amount of the subsidy from the ministry.

The government aims to have 5,000 greenhouses constructed across Nigeria within three years. This would increase the production of vegetables and fruits by 15-20%, helping to meet the product demand in Nigeria. In addition, it is hoped that this initiative will create jobs and help reduce poverty in rural communities.

Nigeria’s biggest challenge facing greenhouse farming is the high construction and operation cost. However, if the government were to invest in this type of agriculture, it would have the potential to transform the country’s agricultural sector. The challenges of greenhouse farming in Nigeria are many and varied. The main challenge is the lack of access to affordable electricity. This is a major problem as greenhouses require a constant electricity supply. Other challenges include the high cost of greenhouse materials, lack of trained personnel, and limited knowledge about greenhouse farming among farmers.

In case you missed it: High Yield Tomato Varieties in India: A Farmer Guide for Good Profits

Greenhouse Farming in Nigeria6

Despite these challenges, there are different opportunities for greenhouse farming in Nigeria. The country has a large population with a growing demand for fresh vegetables and fruits. Nigerians also have an increasing awareness of the benefits of eating fresh produce. If more farmers can overcome the challenges associated with greenhouse farming, they will be able to provide Nigerians with healthy, fresh food all year round.

Greenhouse problems in Nigeria include high initial costs, lack of technical knowledge, and unreliable power and water supplies. Greenhouse farming can be an important tool for smallholder farmers in Nigeria, but these farmers face significant challenges in adopting the technology. Lack of technical knowledge is another challenge faced by smallholders interested in greenhouse farming.

Commercial greenhouses are typically operated using sophisticated equipment and materials that are not widely available in Nigeria. As a result, smallholders often do not have the necessary skills or resources to construct and maintain a greenhouse. Unreliable power and water supplies are also major hurdles for smallholder farmers attempting to adopt greenhouse agriculture.

Power outages in many parts of Nigeria are common, making it difficult to operate irrigation systems and other farm equipment. Even when power is available, it is often too expensive for smallholders to use regularly. Similarly, water shortages are a frequent problem in Nigeria, making it difficult to irrigate crops effectively.

The climate in Nigeria is tropical, with hot and humid weather year-round. This climate is well suited for greenhouse farming as long as the greenhouses are designed to withstand high winds and heavy rains. Greenhouse farming allows for year-round crop production, which is beneficial in a country like Nigeria, where the climate can be unpredictable. Crops grown in a greenhouse are also protected from pests and diseases, which can wreak havoc on traditional farms.

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Very rich information. I am interested in starting a greenhouse. How do I get a guide or a reliable consultant to partner with?

I appreciate the information on this site. Though it’s written in 2022, but I’m optimistic there’s little or no changes at all. I have about 14 plots of land around Epe, Lagos that I’m looking to use for integrated farming and I will certainly be needing a greenhouse that I can afford.

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Business Plan

Tomato Paste Production Business Plan in Nigeria

by BusinessPlan 3 Comments

  Tomato Paste Production Business Plan in Nigeria

Our sample tomato paste production business plan in Nigeria can be used to access bank loans, proposal writing and grant applications. This business plan was complied after a proper feasibility study on tomato paste production in Nigeria was carried out. Furthermore,this article will be answer the following questions for you in tomatoes production in Nigeria:

Also Read: Tomato Farming Business Plan in Nigeria

  • Tomato paste business in Nigeria
  • Tomatoes farming in Nigeria

To get your own Tomato Paste Production Business Plan in Nigeria, pay N50,000 to:

BANK NAME: FIRST BANK PLC

ACCOUNT NAME: CHIBUZOR TOCHI ONYEMENAM

ACCOUNT NUMBER: 3066880122

After payment, text your full name, email address and title (business plan for tomato paste production) to 07033378184. Your business plan will be sent to your email within 15 minutes.

Nigeria is over 180 million people and statistics have shown that the country imports over 68 million tonnes of processed tomato paste from all over the world and Nigeria is also Africa’s   largest producer of tomatoes; this means in a nutshell that the Nigerian tomato farmers cannot satisfy the demand of consumers or Nigerians in general.

Tomato is a vegetable that cannot be preserved in its original form for a very long time and because a lot of people do not want to go through the stress of processing their tomato after purchasing it from the market or farm but just want to go straight to using it (ease of usage) this makes processed tomato paste a great investment for you at this time.

Note that processed tomato paste can last 10 times longer than raw tomato and most homes find it handy to cook a quick meal especially because of the rate of consumption of rice and pasta in the Nigeria.

Pros and cons of a tomato processing factory and tomato paste.

  • Processed tomato has reduced taste and less nutrient compared to the fresh unprocessed vegetable.
  • It is capital intensive though you don’t have to be the richest man in Nigeria town a tomato processing factory but you need a lot of money.
  • Processed tomato reduces wastage of food because you will use just enough per time and don’t have to deal with rotten tomatoes.
  • This eases the stress on farmers locating market for their product; they can sell to both market people and tomato factory owners.

HOW TOMATO PASTE IS MADE.

Here is a step by step process on how to make processed tomato paste; this is a generalized process so there could be some alterations in other methods of making the paste.

SORTING AND SELECTION

This is the first and one of the most important steps of all because this helps to keep quality and improve the general marketability of your tomato paste. In this process you will need to sort the good tomato from the bad ensuring that only the tomato of excellent quality is been allowed in the mix. Ensure that the ones you use are ripe and mould-free. Good sorting enriches the overall quality of the tomato paste.

Weighing the batch

Weighing of the sorted batch is important because it help to know the exact weight and nutritional value of the batch; this in itself helps for record keeping, fortification and adequate addition of preservatives.

Washing the batch

Hygiene is very important so the process of washing the batch after weighing is very important so as to get rid of sand and other pathogens that can be lurking on the vegetable.

The process of blanching is also known as pre-processing of the tomato, this helps in removing the seeds, skin and any bad odour from the tomato. In this process the tomato is put in boiling water for about 5 minutes to peel off the skin.

This process is called pulping or mashing of the tomato. This is when the tomato is made into paste form just like you using a blender to blend tomato for home use. You can use the manual method or motorized pulping machine to make it faster.

Boiling, sieving and heating

In that order, after blending the tomato paste is been boiled and sieved. A material that is like a white cotton sack is used to separate the water from the main mix, then the acidity level of the tomato paste is being increased by adding lemon juice while it is boiling which reduces the pH level to around 4.5 to prevent bacteria from festering on it. Heating it removes more water from it and ensures that the tomato paste is concentrated.

Packaging and Preservation process

There are several containers for packaging which are tins, sachets (which are most popular in Nigeria) and bottles. Packaging is important; even though people are buying the content but the container attracts and people will pay more for proper packaging. If the packaging is done properly then this singular process can significantly increase the shelve life of the product. Consult a nutritionist for the best form of preservation method to use.

When marketing you need to also consider doing it both in the country and outside the country depending one you financial reach. If your product are up to international standard that also gives you an edge because it means that you won’t have much trouble marketing and distributing it all over. You could make supplies to supermarkets, restaurants and other vendors.

Use advertisement means like social media, print media and other forms to ensure that your product reaches the right people.

Steps to Starting out the Factory

FEASIBILITY STUDY

To make sure that you are on the top of your game in starting the tomato paste factory, you will want to get all necessary facts and figures right and to get that right you need to do lot of research and feasibility studies. This keeps you away from unnecessary pitfalls and avoidable unfortunate events. Knowledge they say is power, this context it can be called safety. A concise research will put you on an overdrive to success.

A properly carried out feasibility study will enlighten you on the entire cost implication of starting, building and running the business. Cost of raw materials, man power, machineries, etc

You will also know the pros and cons of the business so you prepare yourself for or avoid certain eventuality. Overall a good feasibility study helps you to make good decision both in good times or bad times.

LEGAL REQUIREMENTS

When it comes to manufacturing most especially things that are edible the legal paper works are usually so much. Getting the licenses and permits are one of the most vital things that need to be considered before setting up the manufacturing plant. All the necessary requirements need to be met; consult all relevant bodies for necessary approvals e.g NAFDAC. Make sure you have an experienced legal adviser this will save you from unseen pitfalls and traps set for you to run out of business before you even start.  With all relevant paper work in process you can now move unto other things.

One of the major factors that affect the success of a business venture in a growing society like Nigeria is the location of the business. A good business location  like a tomato factory plant must have a few key features which are:

  • The factory must be located in a place where it is easy to get raw material and in this business the major raw material is tomato so the factory must be located very close to a major tomato farm that produces all year round to ensure stable production.
  • It must be located in a place where it is easy to get man power. If people cannot access the factory to get to work then this will definitely as some point halt or slows down the production process.
  • There should also be the availability of a ready market not too far from the factory so it has to be located in place that is as busy as lagos.

Procurement of Adequate Machineries

For continued and uninterrupted production it is therefore important to note that complete equipment need to be bought and these equipment need to be of good condition preferably of foreign origin.

  • Fine Pulper
  • Steam Jacketed Kettles
  • Tomato Paste Form Fill and Seal Machine
  • Steam Piping
  • Steam Pressure Reducing Station
  • Product Piping and Valves
  • Cooling Tower Pump and Piping
  • Water Piping
  • Water Chiller
  • RSSP Cooler
  • Storage Tank
  • Delivery Trucks
  • Fruit Washer
  • Power generating set/plant

The prices of these equipment varies in price because of foreign exchange so we cannot say for sure how much they will cost but you should be looking at spending huge sums of money that will run into tens of millions. So get yourself ready. Also ensure that the equipment is installed properly.

ADEQUATE MANPOWER

After installing such expensive equipment you need to employ or hire capable hands to manage the equipment. They must be qualified and well trained to ensure the safety of the equipment and lives. It will be a big mistake hiring unskilled workers as this singular action may just be the beginning of the end for the factory.

Raw Material

If the first suggestion about the location of the business is followed strictly then you shouldn’t have much challenge procuring raw materials for the manufacturing of the tomato paste. If that is the case then you must always ensure that the tomatoes been supplied to your factory are healthy, fresh and rot free tomatoes. This will improve the overall quality of the products. Don’t be also afraid to change supplier if for any reason the person supplying the raw material is not giving you quality product. There is no sentiment if you want to succeed in business.

Marketing By Packaging

Let you content be of great quality but let your packaging be WOW! This means that you need to pay close attention to the final packaging. Quality product doesn’t just cut it alone, your packaging must also be of high standard. If possible it should have international quality especially if you intend on exporting your product to other countries. They say “ you don’t have a second chance for first impression ” and the first impression you give the customer before they ever get to actually consume your product is the packaging. If it is appealing to their eyes then they will most likely buy into it before they get a taste of the good stuff; make a lasting impression if you want to stay in business for a long time. Use the best packaging for your product depending on your market; you could either use tin, bottle or sachet.

Know Your Market

Knowing your market means knowing who your likely customers are before you have products on ground. Ensure you have made good market research and have a list of the people that you intend to supply your goods to or people that will buy from you. This helps you to know how to plan for production so that you don’t over produce or under produce your tomato paste because both extremes could be catastrophic in nature. What is your target market? Here is a list of possible target market:

  • Hotels and Restaurants
  • Market Women
  • Households and individuals
  • Food processors
  • Supermarket and grocery stores
  • This could also include international market if you so wish.

UPS unique selling point is a term that refers to your nitch, what you do differently that gives you that edge in the market. Why people prefer your product to others, when you know this it is advisable for you to improve on it to ensure that you are on top of the food chain of production.

OUTSMART THE COMPETITION

Before you came into the tomato processing business there are definitely others there before you and these manufactures have probably captured the market before you came in. this means that you must gradually learn to outsmart them, buy their product and do a reverse engineering in this case it may just mean tasting it and using it to know how well you can improve you product and push them down the production chain or off it totally. Send scouts to look at what kind of raw material they are using, how they process or make their paste, what kind of machineries they are using, how they market, who they market to, just ensure you know why they are a competition to you and look for means to out play them. This may also mean that you will likely need the help of a professional to help in this process.

In conclusion they say “ the taste of the pudding is in the eating” we can say a lot of thing here right now but you need to get your hands dirty to know how it really works and what you stand to gain.

Get your Tomato Paste Production Business Plan in Nigeria today.

To order the business plan, pay N50, 000 to:

BANK NAME: GUARANTY TRUST BANK (GTB)

ACCOUNT NAME:  CHIBUZOR TOCHI ONYEMENAM

ACCOUNT NUMBER: 0044056891

After payment, send your full name, email address and topic (i.e. business plan for tomato paste production) to 07033378184. Your business plan will be sent to your email within 15 minutes.

 Tomato Paste Production Business Plan in Nigeria © www.businessplan.com.ng

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