Professional Documents
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BUSINESS OVERVIEW
Snail business in Africa is a very lucrative and profitable business venture even at its crude and
traditional level. In Africa we rely heavily on wild snail hunting during rainy seasons for supply of snails,
which has drastically affected snail population in the wild. Commercial scale snail production is
absolutely necessary if we must meet the increasing demands for snails and make snails readily available
all season.
The economic potentials of the snail business globally cannot be over-emphasized. Snail products are
viable export commodities in the food, cosmetic and healthcare industries. Top snail producing
countries like Italy, France, China, Australia, and Korea sell and export processed snail products such as
frozen snails, canned snails, canned snail eggs, etc. They also process and export snail extracts such as
the slime and serum to international cosmetic and healthcare industries.
Snail is largely available during wet seasons and scarce during the dry season. This trend has made sales
to be exorbitant and out of reach of the common masses. Snail has over time been regarded as a
delicacy for the elite and middle class.
The potentials of the snail business is glaring and conspicuous for all to see, as the hunters, wholesalers
and retailers all make profits to get the meat to end consumers.
The key to unlocking the full potential of the snail business in Africa is successful and sustainable large-
scale farm production of snails, and this can only be effective with adapting technically sound and viably
controlled production measures in artificial confinements.
For decades in Africa we lack viable technical system of farming snails in large-scale. Snail farmers have
found it difficult to produce snails at the scale of fish and poultry production in Africa. No snail farmer
has been able to farm snails in millions or hundreds of thousands and this is primarily owing to the
technical short coming in understanding the elusive nature of snails in captivity.
Snail farming still holds high and viable prospects and is regarded as having the most export value in
livestock commodity in Africa. Africa can tap into the massive wealth of the snail industry by developing
and harnessing effective and adequate technological structures in the production of African snails.
Executive Summary
ASFAC Consult is a specialized snail farming organization based in Lagos Nigeria. They have developed
the most viable snail farming technique that will guarantee successful commercial production of snails
like has never-been-achieved-before.
ASFAC is the custodian organization of the revolutionary snail rack technology. The Rack is purpose-built
to optimize snail production in a controlled and well regulated compartment.
ASFAC is pioneering a Revolutionary Cluster Snail Farming Project, that will jump-start the snail industry
and will be utilizing their innovative snail rack and Greenhouse Achaponics farming system. In this
project, we will subscribe to the cluster farm network and acquire snail farming racks from ASFAC. The
racks will be installed on the ASFAC Greenhouse Achaponics farm facility and managed by ASFAC for a
stipulated period.
During this period ASFAC will engage our company in skill acquisition and snail management technology
transfer in order to prepare us for management of our own independent snail farm, which ASFAC will
also setup for our company in future.
ASAFC has the unique advantage to birth landmark solutions to age-long challenges that have beset
traditional production of snails in Africa. Their world class approach to snail production will redefine the
snail industry and serve as a quality and viable industry model and standard for successful commercial
scale snail farming.
It is not just about farming snails, it is the unique and innovative way we go about it- Achaponics (a
combination of achaculture and hydroponics). We believe this is the ideal model for quality snail
production in Africa.
PROJECT DESCRIPTION
With our cluster racks installed and managed by ASFAC in the ASFAC Achaponics cluster farm
The business objective is to setup a Snail Cluster Farm with a production capacity of 1 million snails
annually, in different rural and urban communities in Nigeria and West Africa at large, starting with the
project model at Agbara.
This will be followed with a production factory for fabrication of the snail racks and other snail
accessories and general snail farming and production products.
OBJECTIVE
We are in the snail farming business because we want to leverage on the vast opportunities available in
this immensely profitable industry, to contribute our quota in growing the Nigerian economy, in national
food (meat) production, to export a variety of viable snail produce from Nigeria to other countries and
over and above to make sustainable profit.
ASFAC Consult is well equipped and well positioned to be the leading snail business producers in Nigeria
and invariably Africa at large, as the custodian organization and inventor of the revolutionary snail rack
technology. Our superior technical farming abilities, sets us on a whole different level from other snail
farming organizations.
Our technology is simply the first highly efficient, controlled and measured snail production process that
will guarantee an unprecedented high production of snails in captivity.
TECHNICAL ANALYSIS
ASFAC ACHAPONICS CLUSTER SNAIL FARM
The ASFAC cluster farm project will consist of rack assets of members of ASFAC and stakeholders in the
ASFAC project. The requirement for participation is to secure the ASFAC snail farming rack facility. The
racks of all participating stakeholders in the project will be collectively managed and run by ASFAC snail
farming team.
Sales of stakeholders snails stock will be collectively sold by ASFAC, but the respective stocks will be
taken into account and evaluated by every stakeholder before stocks are sold. Revenues generated
from sales of stakeholders snails stocks will be and paid into each stakeholders respective accounts.
ASFAC will embark on technology and skill transfer for managing the snail rack and Achaponics system of
farming snails to its members and stakeholders after the maturation of project.
ASFAC will also undertake the setup and establishment of privately owned snail farmers for cluster farm
participating stakeholders/members after transfer of technology.
FARM OPERATIONS
ASFAC will run the farm in two sections
GROW-OUT SECTION
The grow-out is a revolving production activity that involves the regular acquisition snail stocks to be
fattened specially and sold out on a regular basis. The grow-out operation is meant to temporally
generate funds from the process of fattening and selling out the snails stock that are sourced from the
wild or from snail dealers, as a means to sustain business operations at inception.
BREEDING SECTION
The breeding section of the farm operation is the long-term production that involves reproduction of
snails on the farm from an initial breeding stock of snails. Breeding stocks will reach maturation and be
ready for sales in a period of six to 12 months depending on the specie of snails and the targeted weight
of stocks.
MARKET ANALYSIS
Market Trends
Snail business is a highly profitable venture even at the traditional level. 99 percent of snails supplied in
the market are hunted from the wild. Snail hunters in the rural region sell to the retailers, who then sell
to the end consumers.
Snail consumption is popular amongst the middle class and the elite. The common masses view snail
meat as a delicacy for the rich. Yet they relish every opportunity to eat snails that are not sold at
exorbitant cost.
The primary reason for the high cost of snails is the scarcity and unavailability during dry seasons.
The ASFAC cluster farm project will greatly influence the market trend as it aims to ensure readily
availability of snails by producing a target of 1 million snails annually from every cluster farm.
ASFAC aims at creating and influencing a niche snail market from the introduction of variety of snail
products into the food market.
In Nigeria we have seen niche markets become established and prosperous overtime. For instance
consumables such as Sharwama, Pizza etc are alien to the African food market until recent years. A
product such as Quail eggs that until very recently was in such high demands was alien to the African
market. But these products did very well in the market because of high acceptability.
With this innovative approach to marketing, we are optimistic that the market share will cut across the
following;
Introduce our revolutionary snail farming and snail food products innovations/business by
organizing monthly seminars and workshops to enlighten and mobilize farmers and stakeholders
and investors.
Introduce or novel snail products innovations by sending introductory letters alongside our
brochure to stake holders in the agriculture industry, restaurants and hotels that rely on live snail
from the snail farms cum livestock farming industry, Nigeria cum African communities, and
agricultural produce merchant et al.
Advertise our business and livestock farms in agro – allied and food related magazines and
websites
Conduct comprehensive interviews on local and international TV stations.
Print out fliers and business cards and strategically drop them in Hotel lobbies, fast food eateries,
Shopping Malls, Airports et al.
Attend related agriculture / livestock and food expos, seminars, and business fairs et al
Leverage on the internet to promote our business
Engage in direct marketing of our food products using mobile kiosk.
As a stakeholder and participant In the ASFAC cluster farm project, our company will profit immensely
from these strategic business packages.
Publicity and Advertising Strategy
We know that it is important to create strategies that will help us boost our brand awareness and to
create a corporate identity for our snail farming business. Below are the platforms we want to leverage
on to boost our commercial livestock cum snail farm brand and to promote and advertise our business;
Place adverts on both print (newspapers and magazines) and electronic media platforms
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
Contact Nigeria cum African communities, hotels and restaurants and residence in our target areas
by calling them up and informing them of ASFAC and the farm produce we sell
List our snail farms in local directories / yellow pages
Advertise our snail 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.
One very effective startegy for publicity of our novel snail products is the focus and emphasis on the
highly nutritional and life-saving health benefits of the snail meat.
The once popular Quail eggs was heightened by the acclaimed health benefits of the eggs. There was so
much buzz about quail eggs because of the need for people to consume healthy foods.
Our novel snail products can thrive in the market by highlighting the multifarious health benefits of snail
consumption in the treatment, management and prevention of diabetes, stroke, hypertension, etc.
In China snail meat is called the “food-of-life” for its usefulness to human healthiness. It contains zero
fat and cholesterol. Its also rich in all the amino acids and nutirments needed in the developement of
human body.
FINANCIAL ANALYSIS
DIRECT COSTS OF FARM SETUP
Raw Materials Quantity Cost Total
Breeding Snail Stock 1500 snails 300 450,000
Shelf Racks 2 100,000 200,000
Flap Racks 4 120,000 120,000
Incubator Racks 1 30,000 30,000
Greenhouse Shelter 1 150,000 150,000
Hydroponics setup 150,000 150,000
Borehole 1 300,000 300,000
Tank 1 100,000 100,000
A plot leasing 1 year 150,000 150,000
Total 1,650,000
Total 720,000
FINANCIAL PROJECTIONS
REVENUE PROJECTION
YR 1 YR 2 Yr 3 Gross Total
Snails Products 30,000 snails @ 90,000 snails@ 250,000 snails @
N300 N250 N200
N9,000,000 N22,500,000 N50,000,000 N81,500,000
Snails Grow-out 24,000 snails @
sales N300
N7,200,000 N7,200,000
A net profit of N12.9 million, N18 million and N40 million naira is generated in the first, second and
third year respectively, making a total profit of N71 million naira in three years period.
RETURN ON INVESTMENT (ROI)
This will be calculated to show how much profit will be made in relation to the capital employed.
ROI= profit/capital employed x100
Our net profit for the four year period under consideration
YEAR 1
(12,900,000/3,300,000) x 100 - 390%
YEAR 2
(18,280,000/4,220,000) x 100 - 433%
YEAR 3
(40,560,000/9,440,000) x 100 - 429%
YEAR YR 1 YR 2 YR 3
The table above shows that by the first year the business will cover all its expenditures and even make
profit of over 50%
RACK PRODUCTION
We will engage production of 100 racks monthly for the first three months making a total of 300 racks,
increasing to 300 racks from the fourth month, making a total of 1200 racks in 6 months.
BREEDING SNAILS
We assume an estimated breeding stock of 100 snails/rack, for a total of 600 rack owners (50% of total
rack owners), making a total of 60,000 breeder snails. At a production estimate of 30 snails/breeder
snails in a year, this will give a total 1,800,000 snails in first year of production for 1200 rack owners in
the cluster farm.
We assume that the snails are processed and sold as a variety of snail food products.
BREEDING STOCK
Sales of 1,800,000 snails at N300/snail - N540,000,000