Grain Bag (U) Ltd is proposing to set up a grain mill and store to service the Tororo district of Uganda. Grain Bag will buy grains such as maize, millet, sorghum, rice, among others, and process grains ready for consumption. Current grain available in this area can see as much as a 15% cost increase due to transportation surcharges if and when available.
Grain Bag estimates processing 20,000 tons of grain annually to produce 42,000 bags of grain for consumption. Peak sales season is December through to March. First-year expenses are estimated at $200,000 with gross sales of $250,000. Startup expenses are estimated at $150,000.