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Commercial Production of Sesame

 

1.      Product Description: Sesame is one of the oil seeds which is considered as a cash crop in all parts of the country. The western and the northwestern parts of the Amhara Region are naturally suitable for the production of sesame. The crop is usually produced for the export as there is always demand for it in foreign markets.

 

 

2.      Market Potential: As an oil seed, edible oil is extracted from sesame crop. The by- product of the extraction process is used as animal feed. In further processing the oil, it is also possible to obtain vegetable ghee from sesame. In our country sesame is mostly exported to foreign countries. During the last 10-15 years, the production of sesame in the northwestern parts of the country has been increasing every year. As a basic consumption commodity there is always a market for sesame in foreign countries. Even in our country, the market for edible oil from sesame will grow as the income of the people increases. Apart from some ups and downs in prices, the international market for sesame is rarely affected by supply glut like other agricultural commodities such as coffee or cacao. As a cash crop, commercial production of sesame will reduce units costs thereby increasing the profit to the farmer. At the national level, producing and exporting sesame will generate much needed foreign exchange.

3.      Source of Raw material: In the context of this project idea, "Source of raw material" refers to source of land to produce the crop. Suitable land for sesame farming is available in the northwestern parts of the Region.

 

4.      "Process and Technology":- The process here involves the acquisition of land preparation of the land, sawing, weeding (if necessary), harvesting cleaning and packing. Tractors and other farm implements and tools are what are required for growing sesame.

 

5.      Estimated Investment: For a rice commercial farm with about 300 hectares of farm land, the estimated investment will be:-

 

§  Buildings 200m2 at Birr 2000/ m2       =  Birr       400,000

§  Machinery …………………………  =  Birr       500,000

§  Working capital ……………………  =  Birr       200,000

Total …….                              = Birr     1,100,000

 

6.      Benefits : Generates foreign exchange, increase income of farmers in the Region.

 

7.      Location :  Western and Northwestern parts of the Region.


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