Fruit and Vegetable Processing

Fruit and Vegetable Processing

Photo by UNDP Tanzania

Fruit and Vegetable Processing
SectorMost major industry classification systems use sources of revenue as their basis for classifying companies into specific sectors, subsectors and industries. In order to group like companies based on their sustainability-related risks and opportunities, SASB created the Sustainable Industry Classification System® (SICS®) and the classification of sectors, subsectors and industries in the SDG Investor Platform is based on SICS.
Food and Beverage
Food and Agriculture
Business Model Description

Provide and operate machinery and technology for the commercial processing of fruits and vegetables, such as mangoes, oranges, pineapples and avocados, into high value added products, such as juices concentrates, organic pulps and purees. Raw material supply comes from smallholder farmers through a contract farming model.

Expected Impact

Improve nutritional levels, provide employment opportunities and enhance industrialisation towards regional trade and integration.

Indicative ReturnDescribes the rate of growth an investment is expected to generate within the IOA. The indicative return is identified for the IOA by establishing its Internal Rate of Return (IRR), Return of Investment (ROI) or Gross Profit Margin (GPM).
10% - 15% (in GPM)
Investment TimeframeDescribes the time period in which the IOA will pay-back the invested resources. The estimate is based on asset expected lifetime as the IOA will start generating accumulated positive cash-flows.
Short Term (0–5 years)
Market SizeDescribes the value of potential addressable market of the IOA. The market size is identified for the IOA by establishing the value in USD, identifying the Compound Annual Growth Rate (CAGR) or providing a numeric unit critical to the IOA.
USD 100 million - USD 1 billion
Average Ticket Size (USD)Describes the USD amount for a typical investment required in the IOA.
USD 500,000 - USD 1 million
Direct ImpactDescribes the primary SDG(s) the IOA addresses.
No Poverty (SDG 1) Zero Hunger (SDG 2) Industry, Innovation and Infrastructure (SDG 9)
Indirect ImpactDescribes the secondary SDG(s) the IOA addresses.
Good health and well-being (SDG 3) Decent Work and Economic Growth (SDG 8) Responsible Consumption and Production (SDG 12)
Sector Sources
  • 1) East African Community (EAC) Secretariat, 2020. Fruits and Vegetable Strategy and Action Plan, 2021-2031. 2) World Bank Group, 2019. Transforming Agriculture, Realizing the Potential of Agriculture for Inclusive Growth and Poverty Reduction. 3) United Republic of Tanzania, 2021. Third National Five-Year Plan (FYDP 3). 4) United Republic of Tanzania, 2020. Agricultural Sector Development Plan 2 (ASDP-2). 5) Research on Poverty Alleviation (REPOA), 2021.Enhancing Competitiveness of Horticultural Industry in Tanzania, Policy Brief. 6) United Nations Development Programme, 2018. Mainstreaming, Acceleration and Policy Support (MAPS). 7) Empower Women, 2013. Women's Economic Leadership in Agriculture Markets. 8) Tanzania Horticulture Association, 2021. Horticulture Industry Markets Access Strategy (HIMAS). 9) EAC Secretariat, 2019. AfriTrade and Enterprise Advisory Services, A Sector Guide for Processed Fruit Juice in the East African Community. 10) Tanzania Horticulture Association, 2021. Horticulture Industry Markets Access Strategy (HIMAS). 11) World Bank Group, 2018. Horticulture Mapping Study – Tanzania.
IOA Sources
  • 12) World Agroforestry Centre and Wild Research Alliance, 2008. A Feasibility Study on Production of Indigenous Fruit Juice Concentrate at Tabora, Tanzania. 13) World Bank Group, 2018. Horticulture Mapping Study – Tanzania. 14) Mordor Intelligence, 2022. Tanzania Fruits and Vegetables Market - Growth, Trends, Covid-19 Impact and Forecasts (2022 - 2027). 15) Tanzania Invest, 2022. 16) AfriTrade and Enterprise Advisory Services, 2019. Sector Guide for Processed Fruit Juice in The East African Community. 17) International Trade Centre, 2019. Value Chain Analysis for Processed Avocado in Tanzania. 18) Mordor Intelligency, 2022. Tanzania Fruits and Vegetables Market - Growth, Trends, Covid-19 Impact, and Forecasts. 19) Institute of Rural Development Planning, Lake Zone Centre, 2022. Feasibility Study for Establishment of a Facility for Processing Canned Green Beans at Tengeru Area in Arusha City. 20) United Republic of Tanzania, Vision 2025. 21) Tanzania Horticulture Association, 2021, Tanzania Horticultural Development Strategy 2012- 2021. 22) United Republic of Tanzania, 2013. National Agricultural Policy. 23) National Parliament of Tanzania, 2020. 24) Government of Tanzania, 1999. Plant Protection Act. 25) Government of Tanzania,2009 Crops Laws (Miscellaneous Amendments) Act. 26) European Union / Government of Tanzania 2021: Joint Press Release. 27) East African Community, 2019. United Republic of Tanzania, Standard Incentives for Investors. 28) United Republic of Tanzania, 2011. Tanzania Agriculture and Food Security Investment Plan (TAFSIP, 2011‐12 to 2020‐21). 29) Tanzania Laws, 2022. Food Control of Quality Act. 30) USAID, 2022. Agriculture and Food Security. 31) ILO, 2022. Tanzania. 32) SHU, 2022 .Tanzanian Food Security and Health. 33) Tanzania Horticulture Association, 2020. Industry Position Paper. 34) USAID, 2022. 35) International Trade Centre, 2018. Trademap. 36) UN STATSHUB, 2022. Tanzania.