The following economic study is for the establishment of a modern cassava starch factory with a capacity of 24 tons of dry starch per day. The study includes the estimated required investment and working capital for the establishment and the operation of the factory as well as the estimated operating costs and the expected profitability of the project (see Tables 6-9). The factory is supposed to be established in a tropical region where all basic industrial requirements such as water, power, transportation facilities and raw materials are available. The total investment in such a factory is estimated at $736 340 and the working capital is estimated at $142 000 for the operation of the factory for a period of three months. The project is expected to give annual profits of $108970, which is equivalent to 14.8 percent of the estimated invested capital. TABLE 6. - ESTIMATED TOTAL CAPITAL INVESTMENT FOR THE ESTABLISHMENT OF A CASSAVA STARCH FACTORY (24 TONS PER DAY) U.S. dollars ...
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