07.09.2020
$300000
Liquid fertilizer production
2516
Ukraine
Pavlohrad
In progress
more than 3 years
Small production and distrubution of liquid mineral fertilizers
Project summary
Our production aims to produce a high-quality, environmentally friendly product. Project stage - plant built, put into operation; Project idea - own production and profit generation.
To implement the project, we have a land resource, storage space with the right of redemption, patent, equipment, product certificates, customer base, concluded contracts. Total number of employees is 12; Sum of the required investments is 300,000 euros; Payback period - 7 years.
Fertilizer production project initiator
1. PE "Prom-Agro-Khim".
2. Director of legal entity: Director Omelchenko А.I;
Address of legal entity (legal/factual): Ukraine, Dnepropetrovsk Region, Pavlograd.
The main types of activity are:
a) Manufacture of fertilisers and liquid compounds;
b) Mediatorial activity in trade of agricultural raw materials;
c) Wholesale trade of chemical products.
The amount of credit needed to support production is 300,000 € (three hundred thousand euros). With these finances, already in 2021, the production of UAN and UAN will be at least 10,000 tonnes (ten thousand tons) per year. The dividends from the sale of self-produced fertilizers will begin to accrue at the end of the spring season (May 2021), and the start of the fall season is August 1, 2021. The payback period and return on investment is 5-7 years.
We are ready to cooperate on terms of equity participation in the project or payment of dividends.
Competitiveness
In five years, agricultural demand for fertilisers will increase 1.5-2 times, experts predict. Compared to bulk fertilisers, production of liquid fertilisers grows every year, with their distinctive qualities for producers: cost effectiveness and profitability. To date, our main competitors are Dnepr Azot and Cherkassy Azot, but these companies are working to reduce the cost of the product, adding ammonia water and nitric acid to UAN solutions, which leads to exchange reactions and release of free ammonia in the solution. This violates all the permissible technological deviations.