The target market is international market as most of the products will be manufactured or processed for exports.
Grains – as a commodity the grain market will assimilate 38163 MTN corn available in the winter period for 30% higher price. It will serve as base for auxiliary production and processing. Target market is EU and Asia. There is no competitors. Distribution: 39836 MTN to bio fuel plant, 72000 MTN flower processing plant, 38163 MTN export.
Ethanol and Bio Fuels – out of 2960000 MTN consumed in 2009, 12193 MTN will equal to 0.41% of total market, we shall consider the 10% market target for biofuels to 2020.
Fresh Fruits and Vegetables – most of harvest in RM is sold from field to consumer, this habit was due to fact that eastern bloc were buying by means of cheapest and quality neglect. Through years the quality and the science behind agriculture degraded to marks we have nowadays, which are low, inefficient and non profitable. Processing industry is very weak and the quality of products is less than desired. A cold storage for 150000 MTN will serve as foundation and guarantee to farmers that they can store their products in correct technological way, this way they will not be pushed in selling their harvest by cheapest means, they will get access to bigger profits. This will directly benefit the rise of quality and diverse the range of products, a path to be followed to gain competitiveness. The export market will raise its interest as a cold storage this size and quality will become a very important part of international supply chains.
Processed fruit and veg – as mentioned above the cold storage will create a vast foundation for processing of fruits and veg just because of the fact that the supply of raw material will be constant and existing throughout the year. Secondly we shall gain momentum at harvest time when raw material prices are lowest. According to statistics in 1980s RM accounted for 45% of processed vegetable production in USSR. The capacity to process 60000MTN a year will develop and stimulate export market, it will again bring glory days to RM. Considering the minimum consumption per day for local population, will bring up the amount of 219000MTN use just for local market, this is 365% of capacity we plan to build. This is 27% of local consumption needs. As we aim for quality and diversification of products 80% of capacity will work for export.
Spare parts and machinery – this is the ultimate and most important direction of this project, it will set up the engineering concept in connection with science and applicability in the field of manufacturing. SP&M will undertake the duty of spare parts production for the whole project and its future demand. This will cover its activity to an extent of 10%. The rest will concentrate in few directions. One is the manufacturing and design of fruits and vegetables sorting lines and packaging, the other in irrigation equipment. This fields are regarded as main points for a sustainable development of the project as this is a must do for the economy of the country and will cover the internal demand.
[17:31:33] Spectrum Consgroup: Main competitors – for 20 years the economy of the country is undergoing the destructive process as result of collapse of Soviet Union. All its infrastructure and buildings and knowledge is proving to be useless. The vacuum created is due to lack of expertise and knowledge and inaction or disability of governments to face and address the vectors of development. Secondly is due to lack of good specialists and educated or trained work force.
That is why we shall find difficult to point to competitors, if existing, they are not prepared for competition to the level of international business.