FULL-FLEDGED PRE-FEASIBILITY ANALYSIS
Production of Jojoba Oil
Market
| Targeted market | Export of jojoba oil for industrial application such as cosmetics industry as well as bio-diesel production purposes. By-products can be sold as animal feed in the local market. |
| Project description | Cultivation of jojoba using ground water (or possibly through treated waste water) followed by the production of oil using cold pressing of the seeds. Seeds and other by-products can be sold as animal feed. The jojoba plant can grow in desert and can tolerate irrigation with various types of water including treated wastewater and brackish water. Jojoba tolerates salinity up to 6000 ppm without any impact on yield. |
| Competitive edge |
Egypt has the suitable climate, soils, and brackish water which are the most important factors for the success of the cultivation of jojoba. There will be no competition with other food crops on the land or in the use of water. This project may be eligible for carbon credits. |
| Market features | 259 Million USD market 2022 - Growth 8.4% (between 2020 and 2027) |
Financial Features
| Land area | Scenario 1 100 Feddans |
Scenario 2 500 Feddans |
| Investment | 105 million EGP | 266 million EGP |
| IRR | 35% | 73% |
| Simple payback | 6.9 years | 4.7 years |
Process
| Required Input | Desert land for cultivation. Ground water for irrigation or possibly treated waste water. Land area for oil factory in the project location. |
| Process/Technology | Cold pressing, Filtration, Storage and Packing. |
| Equipment | Agricultural Equipment, Cold presser, Oil filter, and Packing Machine. |
| Human Resources | Farmers, Technicians, Machines operators, and Drivers |
Risks and Mitigation Measures
| Risks and Mitigation Measures | Risk of fungal diseases which could be mitigated by using bio-based pesticides. Risk of low-yield production of seeds and oil which could be mitigated by improved management, strong QA/QC and use of automation. |
Impacts
| Environmental impact | Absorption of carbon dioxide and production of oxygen. Thus, reducing the negative impacts of climate change. The use of brackish ground water preserves fresh water and waterways. Combats desertification. |
| Social impact | Provides direct and indirect job opportunities. Raises the standard of living for small farmers in desert and remote areas. |
Location
| Location of Supply | Optimally in desert lands – for instance to the West of Cairo-Alexandria Road or South of North Coast (Matrouh). |
Studies
| Serial | File name | Download |
