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A. Dear
Arthur,
Thank you for your question and subscription to PowerHomebiz.com
newsletter.
Two inescapable things are death and taxes. Hunger? No. It can be
avoided. In fact, some people go on diet but not hungry.
Anyway, let's talk about your project. As in any kind of business, try to
make a business plan in order that you can see how you will go into the
business. So many businesses fail because of lack of careful planning. The
business plan can help you solve problems before you decide to invest your
hard earned money.
I remember that there are companies in the Philippines, like Century
Canning, Philips Foods, Pure Foods, RFM, California Manufacturing, etc.that used
to can paksiw na lechon, Mechado, Caldereta, at iba pa. Nowadays, we also
see, canned Laing, Bicol Express, and other vegetable delicacies.
Jarred food is not very much in use because of the difficulty in getting
glass jars and also the degree of breakages, both during the manufacturing
process and during transport. Glass jars are expensive, too and supply may
not be readily available.
The preserving of food without preservatives is done by creating a vacuum
inside the jars or cans after sealing, and this is achieved by heating the
jars or cans at high temperatures usually through the use of pressure
cookers or steam cauldrons driven by steam boilers. Perhaps, you can arrange
a survey or a visit to one of the food manufacturers I listed above. From
them you can have an idea how commercial food processing is done. Depending
on the capacity of the volume you plan to go into, the equipment costs are
staggering. You will need, mixers, steam boiler, seaming machines, packaging
machines and many others. (Labor cost can also hurt you in the beginning).
How will you distribute your products? You will need delivery trucks.
Another way is by freezing. Many companies also use this process and they
use vacuum sealing machines that can keep food preserved for long periods of
time as long as they are kept frozen. However, the cost of freezers and
electric consumption may also be a deterrent for small time operators or
beginners in the business.
The Department of Trade and Industry used to have pamphlets about
different ways of preserving food. You can inquire for more information from
there. In fact, they used to have classes and training sessions for those
who want to venture into food processing, in particular, Sardines (Spanish
Style) similar to Victorias and La Ilonga from Negros Occidental. Also check
with TLRC in Buendia Ave- I know they have some publications on this topic.
You may want to ask them if they have made business case studies on this
type of business.
If you are serious about your plan, maybe you can think of a specialty
dish to start the business. For example, you start with just one product. -
Paksiw na Lechon - and see how it goes. But, I suggest that you make a
thorough study of the whole business before anything else. Study the Market.
Costing. Selling prices, Distribution Outlets, Handling, Shipping. Raw
material supplies, Labor, etc.
Make a plan, then let us know what you think. If you have limited
resources, maybe the best alternative at the moment is to book orders and
deliver in styrofoam lunch packages in offices in Makati or Ortigas. Here
you can learn what customers really want, and whether a demand for such type
really exists in metropolitan Manila.
Regards and good luck.
About
the PowerHomeBiz.com Guide:
 Nach Maravilla is
the Publisher of Power Homebiz Guides. He has over thirty years
experience in sales and marketing of various products, which
covered as he jokingly describes, "from toothpicks to
airplanes" He also had extensive experience in
International trading and he always excelled in special promotional
ideas for retail outlets.
The opinions expressed in this column are
those of the author, not of PowerHomeBiz.com.
Users
should not treat the Guide's response as legal, accounting, or
professional advice as all answers are intended to be general in
nature. Such advice can only be properly given by qualified
professionals who are fully aware of a user's specific geographical areas or circumstances, such
as
an attorney or accountant.
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