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Document: Report – Market Survey & Market Strategy

Period Covering: January – March 2011

Project: Household Enterprise Development and Women Entrepreneurship

Development Projects, Abbottabad

Report Submission Date: 24th February 2011

Prepared by: ECI Private Limited [email protected] – www.eci.com.pk

mailto:[email protected]


http://www.eci.com.pk/







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List of Acronyms

CCB Citizen Community Boards

ECI Empowerment thru Creative Integration

FGD Focus Group Discussion

HARS Hazara Agriculture Research Station

HED Household Enterprise Development

KPK Khyber Pakhtunkhwa

NGO Non Government Organization

PASSCO Pakistan Agricultural Services and Storage Corporation

PIP Programme Intervention Plan

PKR Pakistan Rupees

SME Small Medium Enterprises

SMEDA Small Medium Enterprise Development Authority

SRSP Sarhad Rural Support Program

UC Union Council

WED Women Entrepreneurship Development

ZTBL Zarai Taraqiati Bank Limited



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i. Table of Contents

Page #

i. Table of Contents

ii. Acknowledgements

1. Executive Summary

2. Background

3. Methodology

4. Overall Findings

4.1 Center Assessment & Market Research

I. General Profile

II. Business Profile

III. Market Research

4.2 Feasibility and Marketing Strategy for Selected Businesses

4.3 Operational Manual for Outlet

5. Lessons Learnt and Recommendations

List of Annexes

Annex 01 Project Terms of Reference

Annex 02 List of Documents Reviewed

Annex 03 Research Implementation Plan

Annex 04 Center Assessment Toolkit

Annex 05 Market Research Toolkit

Annex 06 List of Focus Group Discussion Participants

Annex 07 List of Individuals Interviewed

Annex 08 List of Persons met for Market Research

Annex 08 Bookkeeping System



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ii. Acknowledgements



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1. Executive Summary

Executive summary to be provided after the approval of the submitted draft.



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2. Background

In the Abbottabad district, particularly Nathiagali and the adjacent mountainous areas, unequal opportunitiesand access to education has resulted in the creation of marginalized communities who are deprived of opportunities due to the rough terrain. Under these circumstances, the attempt to secure livelihoods can

demand diverse ways of generating income. While many choose labour migration in order to escape thepoverty trap, the challenge lies in raising household and individual incomes in the local setting.

World Vision is working in Pakistan since 1992, with initial efforts primarily being focused on relief interventions. In 2003, the organization added a programming component to its activities and begancollaborating with other aid groups in the Khyber Pakhtoonkhwa and Punjab Provinces, on communitydevelopment initiatives. World Vision Pakistan is operational since 2001, and has made significant efforts foremergency relief and recovery in district Mansehra after the earthquake of 2005. Now, it has realigned itspriorities from relief to recovery and sustainable livelihood development in the areas where it has anestablished presence. In particular, it has been working on the dual goals of Women Entrepreneurship

Development (WED) and Household Enterprise Development (HED).The WED goals are “toenhance economic empowerment of women”; “address gender disparities in four UCs of Tehsil Abbottabad”,

namely Bagnoter, Namli Maira, NathiaGali and Nagri Bala; and “ensure availability of resources for

expenditure on child well being.” The HED goal is “to increase sustainability of community/householddevelopment initiatives and educational opportunities in the area”.

Empowerment thru Creative Integration (ECI) Pvt Ltd1 was contracted by World Vision Pakistan toconduct a Market Survey for household and women enterprise development in 10 villages of area integratedprogramme Nathiagali, contributing towards the achievement of the HED and WED goals. This was on thebasis of the organization‟s two decades of experience in capacity building for enterprise development andgender mainstreaming. ECI conducted a market survey and center assessment to formulate a Market StrategyPlan for the area. The Survey consisted of a Centre Assessment exercise from 27 th January to 2nd February2011, and a Market Research exercise from 11th-12th February 2011. This included identification of localmaterial resources, necessary skills and opportunities within the context of the 10 villages located within thevicinity of the 4 union councils, and potential markets in Abbottabad, Peshawar and Rawalpindi. Specialemphasis has been placed on supporting the activities of potential female entrepreneurs, as well as raising

household income. (This has already been explained but can be moved here?)

The research has been designed to achieve the following objectives:

Identification of existing resources and potential for enterprise

development.

Identification of potential products or production schemes based on

market demand.

Develop complete product feasibility reports and cost benefit analyses

of each enterprise.

Develop a marketing strategy and mechanism for producers.

1Please see Annex 01 for Project Terms of Reference



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3. Methodology

The assessment process for research consisted of three activities:

1 2 3

A Center Assessment in 4 UCs

spanning 10 villages

Identification and Selection of Four

Suitable Subsectors

Value Chain Analysis and Market

Survey

The following activities were undertaken by ECI in order to complete the above:

Desk Review

Three days were allocated for the review of project documents as well as relevant studies and data from the

field.2

Research Plan

Based on the proposal and the document review, a Research Plan3 was formulated and the followingteams were deployed:

Conceptualization

& Design

Field Research

Analysis &

Project Documentation

Shahnaz Kapadia Rahat

Saleem Jahangir

Tasneem Raza

Bakhtiyar Ahmed

Mohammad Mushtaq

Tasleem Akhter

Sobia Sarwar

Amrat Saeed

Shahnaz Kapadia Rahat

Saleem Jehangir

Zainab Feroz Kapadia

Amrat Saeed

Madeeha Ansari

Toolkit design

Two different toolkits were developed for the Centre Assessment and Value Chain components of the MarketSurvey research activity. A Focus Group Discussion Guide was developed for the research team, along withInterview Protocols for different stakeholders. An orientation to the research tools was conducted for field

research and documentation teams on 26 th January 2011, at the ECI Complex.

The Centre Assessment Toolkit4 consisted of guidelines for the Focus Group Discussions (FGDs) andindividual interviews, conducted in each village. The FGDs were designed to collect information for developingan area profile and poverty profile for each village, as well as identifying opportunities for enterprisedevelopment. The individual interviews served as generate generic profiles for individuals belonging to specifictarget groups, based on the activities of randomly selected participants.

The Market Research Toolkit5 consisted of separate questionnaires for different actors present in the valuechain. These included questionnaires for raw material vendors; wholesalers; retailers; designers; boutiques;

2Please see Annex 02 for List of Documents Reviewed

3 Please see Annex 03 for Research Implementation Plan 4 Please see Annex 04 for Centre Assessment Toolkit 5

Please see Annex 05 for Market Research Toolkit



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exporters; credit providers; technical training and business service providers; support service providers; andtechnical questionnaires for agriculture, mushroom farming, food processing and poultry farming.

Center Assessment

Centre Assessment is similar to need assessment, the analysis of which defines the current situation, andpotential for socio-economic change. The study conducted in 4 Union Councils identified existing and potentialincome earning opportunities, available skills and existing resources. The assessment tools were designed toprofile the resources, constraints and opportunities in the area and household levels for enterprisedevelopment. Special attention was paid to identifying the potential for women entrepreneurship development.

General Profile Business Profile

Area ProfilePoverty ProfileResources and Problems

Existing BusinessIncome ProfileMarket ProfileNew Opportunities

The Center Assessment was carried out through focused group discussions and individual interviews withwomen entrepreneurs (existing or potential), and other value chain stakeholders. As a result of theassessment, those sub-sectors were identified, havingthe potential to enhance incomes of the majority of thepeople in the 10 selected villages in 4 Union Councils.

Market Research & Value Chain Assessment

Using the „Value-Chain Approach to EconomicDevelopment‟ a market research was conductedfor those sub-sectors that had economic potentialfor the selected villages. For each selected sub-sector, an assessment was undertaken aroundthree major components of value chain framework i.e. enabling environment, value chain actors and

support service providers.

The Value Chain survey required research beyondthe UCs, i.e. at the district level and even in somemajor neighboring markets, Peshawar andRawalpindi.



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Project Implementation Plan

Based on the above research, ECI has evolved a Programme Intervention Plan (PIP), with step-by-step detailsof how the project would be rolled out over a 2.5 year period to ensure community buy-in, innovation andprofitability, participation of women and marginalized groups, and long-term replication and sustainability. Thefollowing enterprise development framework, and critical requirements at each level of implementation, i.e.

pre-intervention, intervention and post intervention have guided development of the PIP.

Post

Interventions

Evaluation

Monitoring

Counseling

I n t e

r v e n t i o n s

Providing Access to:

Linkages with

Credit

Markets and outlets

Technology (and Institutions)

Technical (Skills/Inputs/Trainings)

Raw material inputs

Collective Efforts for

Packing, packaging

Distribution, transportation, sale

Savings & lending, ROSCAs

Stocking/Inventory

Production

Purchase of input supplies

Improving Production through

Quality Control

Improved Raw Material

Skill Enhancement

Designing

Financing through

Credit

Rental

Leasing

Provision of Raw Material

Saving/Internal Lending

Opportunity Identification through

Technology videos

Field visits and exposure

Catalogues and publications

Training, Counseling &

Handholding

Technical

Enterprise Development Training

Micro finance and micro credit

Business Creation Enterprise (BCE)

Demonstration through

Exposure (Video/Tours/Visits)

Pilot Project

Incubation

Provision of Infrastructure

Land/Building/Electricity/Gas/Water

Pre-

Interventions

Business Opportunity Counseling

Selection of Clients

Development of Feasibilities or

Project Profiles

Center Assessment

Identification of Income Earning

Opportunities

Identification of Deserving Clients

Overview of Socio-Economic Profile

of the Center

Stakeholder workshop



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A one-day stakeholder workshop is planned to be held in Abbottabad to share the research findings and theProject Implementation Plan (PIP) with key stakeholders, so that their feedback and input can be taken onboard to validate the findings and finalize recommendations for future action.

Documentation & Report Writing

The Report consists of following three parts as an outcome of the study;

1 2 3 4

Findings - Center

Assessment & Market

Research

Feasibility and Marketing

Strategy for Selected

Businesses

Operational Manual for

Outlet

Lessons Learnt &

Recommendations



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4. Overall Findings

The following sections present findings of the extensive research conducted in the ten villages and surroundingmarkets. A Centre Assessment was conducted to obtain a general profile of the region in terms of existingresources as well as prevalent problems in the area; and a business profile mapping existing skills businesses

and new opportunities. The market research was carried out with objective to create a market profile andidentify sub-sectors for intervention, within which feasible businesses could be developed. This provided basisfor generating detailed technical feasibilities for specific businesses within each sub-sector. Finally, anoperational manual has been provided, which recognizes the constraints in terms of backward and forwardlinkages in the ten villages and provides an intervention plan.

4.1 Centre Assessment and Market Research

I. General Profile

A Center Assessment was conducted in the 10 selected villages of the 4 different Union Councils from 27 th Jan2011 to 1st Feb 2011.

A total of 20 Focus Group Discussions6 and 80 individual interviews7 were conducted to gain information withregard to existing resources in terms of income earning opportunities for the people and available skills as wellas the existing problems and constraints.

VillageFGD Male

Participants

FGD

FemaleParticipants

Individual

Male

Individual

Female Total

Mera Khurd 18 17 4 4 43

Mera Kalan 21 22 4 4 51

Bandi Mera 17 21 4 4 46

Samundar Khatta 18 11 4 4 37

6 Please see Annex 06 for List of Focus Group Discussion Participants 7

Please see Annex 07 for List of Individuals Interviewed



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VillageFGD Male

Participants

FGD

Female

Participants

Individual

Male

Individual

FemaleTotal

Pangoora 21 21 4 4 50

Kalaban 21 20 4 4 49

Soka Kas 21 21 4 4 50

Nagri Bala 22 28 4 4 58

Tatreela 15 15 4 4 38

Sangi Mera 6 16 4 4 30

Total 180 192 40 40 452

01 - Mera Kalan

Village Mera Kalan is located at a distance of 22 km from the Abbottabad city by the Namli Mera road. Theroad to Mera Kalan is a dirt road which is dangerous and travel has proven to be fatal in the past. Mera Kalanis spread over an area of 2000 acres, out of which 20% is residential, 50% is cultivated and 30% is unused.

Total population of the village is 6000-7000 people and the most prevalent tribal affiliations in the village areKarlal (95%) followed by Turks (4%). Approximately 45% of the village population falls between the 20-40 agebracket (or say group?), while about 30% are in the age bracket of 40 and above. According to the locals, lessthan 1% of the population is disabled, suffering from disabilities such as polio, mental abnormality and deafness.

The rate of primary education is high - almost 95% at least have a primary education. Moreover 15% have abachelor‟s degree and 6% females have a bachelor‟s degree.



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02 - Mera Khurd

Surrounded by mountains, Mera Khurd falls in Union Council Namli Mehra. Mera Khurd is located at adistance of 30 km from the Abbottabad city and the easiest access is through the Namli Mera road. This roadis a concrete road but dangerous because of some sharp turns. The village is spread over an area of 250 acres,out of which 20% is cultivated, 30% is residential and almost 50% is uncultivated.

Out of the 1000 residents, approximately 90% villagers belong to Karlal cast and the remaining 10% are Rajas.Almost 35% villagers are in the age bracket/group of 30-40 and 23% are above 40. Less than 1% population isreported disabled by the locals and these disabilities include mental abnormality, blindness, and physicalhandicap. As far as education is concerned there is a distinct gender disparity, as 75% of the female populationis illiterate as compared to 25% of the male population.

03 - Bandi Mera

Bandi Mera is a village in Union council Bagnotar, located at a distance of 18 km from the Abbottabad city. It isconnected with Abbottabad by the Bandi Mera road, which is a concrete route providing safe and easy accessto the village. Bandi Mera is a valley village and is blessed with scenic beauty and fertile soil. The total area of

the village is approximately 500 acres8.

Total population of the village is 4000, with primary ethnic affiliation being Karlal (70%). Others include Awan(10%), Abbasi (10%) Rajpoot (8%) and Saatii (2%). Moreover, 30% population is in the 20-40 agebrackets/group whereas 20% population is above 40 and approximately 40% population is below 20 years of age. Disability rates are low, but include deafness, dumbness, polio etc. The education profile of locals showsthat more than 85% women and 90% men have at least primary education. Moreover 30% males havebachelors‟ degree as compared the 35% females.

8Information on land usage could not be found



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04 - Samandar Khata

Samandar Khata is a village in Union council Nagri Bala and is located at a distance of 30 km from theAbbottabad city. Primary mean of access to the village is the Bara Gali - Samandar Khata road. The village isspread over an area of approximately 500 acres. The population of the village is 2000 residents, out of which99% are a Karlal and 1% are Awan.

Moreover 30% population is in the age bracket/group of 20-40, 50% less than 20 and 20% villagers are abovethe age of 40 years. The villagers reported that there are less than 1% disabled/differently abled people in thearea and their disabilities include polio, broken joints, deafness and dumbness. According to the localsapproximately 95% locals have at least primary education, 15% females and 30% male have bachelor degree.

05 - Sungi Mera

Sungi Mera is a village in Union council Namli Mera and located at a distance of 20 km from the Abbottabadcity, which is also the primary market for the village. The village is spread over an area of 500 acres in whichapproximately 40% land is cultivated whereas almost 40% is residential area and 20% is unused. Population of the village is approximately 1500 and the entire population belongs to Awan tribe. Approximately 40% villagersare in the age bracket/group of 20-40, 25% are below 20 and 35% are above 40. Literacy rate in the village ishigh with approximately everyone having at least primary education and 10% males and 15% females withbachelor‟s degree.



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06 - Pangora

Pangora is a small village in Union Council Namli Mera and district Abbottabad. The village is at a distance of 25 kilometers from its primary market Abbottabad city. The road which connects Pangora with is the Dhakan-Pangora road. This is a dirt road with some very sharp turns, which have been fatal in the past. The village isspread over an area of 500 acres, 30% of which is cultivated, 50% is uncultivated and 20% is residential.

Population of the Pangora is approximately 1600; this includes 700 registered voters. The entire population is

Awan9. The literacy rate in the village is high with almost every one having primary education and more than60% females and 75% males having at least bachelor‟s degree.

07 - Tatreela

Tatreela is a village in Union council Nagri Bala in the District Abbottabad. The village is at a distance of 40kilometers from the Abbottabad city. Easiest route to Tatreela is the Sajan Gali road. This is a dirt road whichhas seen accidents in the past due to sharp twists and turns. Total area of the village is approximately 500acres, 30% of which is residential, 20% is cultivated and remaining 50% is unused.

Population of the village Tatreela is approximately 2500 people, out of which more than 95% people belong to

the Karlal cast, while 5% residents are Awans10. The locals reported that less than 1% people in the villagehave disabilities such as mental incapacity, paralysis and blindness. According to the locals, approximately 13%females and 38% male population has at-least primary education educated.

9 Data on the age distribution of the village was unavailable10

Data on the age distribution for Tatreela was unavailable



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08 - Nagri Bala

Nagri Bala is a village in Union council Nagri Bala and at distance of36 kilometers from the Abbottabad city.The village is spread over an area of 1000 acres and according to the locals, 80% of land is being cultivated, 10% is residential and remaining 10% is unused. Total population of the village is 3500. Major cast of the village is

Karlal (80%), whereas Awan are 20%11.

The villagers reported a total of 23 disabled/differently abled people such as mental problems, deafness,dumbness and blindness. According to the locals, approximately 99% male population and 95% femalepopulation has at least primary education. However, the rate of higher education is much lower as only 8%male population are graduates or above.

09 - Suka Kas

Suka Kas is a village in Union council Nathiagali and located at a distance of 36km from the Abbottabad city.The Suka Kas-Kala Ban road is the main travel route for the villagers. The village has a total area of 400 acresand according to the locals, 65 % land is being cultivated, 30 % is residential and remaining 05% is unused.

Total population of the village is 1300 residents, and approximately everyone has the tribal affiliation of Karlal.30% people are in the age bracket/group of 20-40, 45% are below 20 and 25% are above 40.Approximately 60% male population and 50% female population has at least primary education. 20% male and15% females are graduate(bachelor degree).

11Data on age distribution was unavailable



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10-Kala Ban

Village Kala Ban is in Union council Nathiagali, located at a distance of 35 kilometers from the Abbottabad cityand connected to the main route to Abbottabad by the Kala Ban road. Kala Ban is spread over an area of approximately 500 acres, out of which 25% is residential, 70% is cultivated and 05% is unused.

Total population of the village is 2500. Majority of the population is Karlal (95%) and remaining are Gujars 12.The locals reported a total of 30 disabled/differently abled people, including mental disability, blindness andpolio. According to the villagers 100% population has at least primary education and approximately 3% femaleand 10% male population has a bachelor‟s degree or above.

12Data on the age distribution was unavailable



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Poverty Profile

During the focused group discussions, a set of questions were put forward with the objective of knowing fromthe locals to describe and analyze living conditions of less fortunate families in the village. The aim was toidentify those hurdles which poorest families in the village are facing vis-à-vis their social and economiccontext. To summarize, it was found that the average monthly income of households coming under the

category of destitute is Rs. 4050, whereas expenses are up to Rs. 7600. Average income of poor families wasrelatively higher in Pangora, Teetrela, Nagri Bala and Suka Kas.

These families are mostly involved in different forms of labor. . The difference between earning and expensesaccording to the FGDs is filled in by financial aid in form of loans and charity. As majority of the villagersbelong to the same tribal affiliation therefore community relationships of less fortunate families is generallygood. The only substantial asset owned by these families is the house they live in and the land on which it isbuilt. They do not face any serious health problems, however they cannot access health facilities due to lack of economic resources. In terms of social services, they have access to government educational institutions.

According to the focus group discussions, each village has defined the living conditions of their poor as shownbelow.

Poverty

Indicators at HH

level

M e r a K a l a n

M e r a

K h u r d h

B a n d i M e r a

S a m a n d a r

K a t h a

S u n g i M e r a

P a n g o r a

T e e t r e l a

N a g r i b a l a

S u k a k a s

K a l a b u n

No regular Source

of Income at HH

level

No Savings

No property

Limited household

assets

No access to health

care

No access to

education

Non-conducivehousehold e

Environment

Bad communal r

Relations

Lack of confidence

Bad reputation

Absence of Skills/

and Capabilities



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Household Profile

The aim of the household profile was to collect information and assess living conditions of people belonging tothese 10 villages. Houses are entirely self -owned and there are no indoor courtyards. However every househas a space available outside its boundary wall.

Village

No of

Household

s

Average

size of

household

Concrete

houses

Mud

buildings

Mud/

concrete

Large

houses

(Dera)

Mera Kalan 600 10 16% 66% 25%

Mera Khurd 150 7 33% 67%

Bandi Mera 500 8 80% 15% 5%

Samandar Khata 200 10 80% 10% 10% 30%

Sungi Mera 200 8 60% 20% 20%

Pangoora 150 11 30% 20% 50% 20%

Tatreela 250 10 10% 40% 50%

Nagri Bala 550 6 10% 10% 80%

Suka Kas 82 16 70% 30%

Kala Ban 250 10 95% 5%

The average income of a household is approximately 12000-13000The primary sources of incomeinclude government jobs, driving, farming and general stores. As a secondary source of income,villagers keep poultry and livestock on a very small scale.



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Existing Problems

The research identified a set of problems for each village, as hurdles to enterprise development in past and can

be potential constraints in any future enterprise development initiative13. The most common problem was a

general lack of access to the village. Approximately 90% villages had problems of seasonal inaccessibility and

70% had problems all around the year. The reason for general lack of accessibility is dangerous roads mostlybuilt through rugged terrain as these are all mountain villages, with only the Bandi Mera and Samandar Katha

being valley villages.

Problems of seasonal accessibility arise due to snowfall during the months of December, January and February.

Harsh weather conditions such as strong winds and sub zero temperatures were also reported as a primary

problem by 50% villages. Approximately 40% villages have the issue of lack of water, which is a primary input

for businesses such as farming and livestock. All the villages reported lack of institutional support. Except the

project of Sarhad Rural Support Programme (SRSP) in Samandar Katha no other project has been undertaken

anywhere in these villages. Unemployment levels were found generally high in the village. Approximately 70%

reported problems related to unemployment. However, literacy is generally high as only 30% have problems of

illiteracy.

A micro credit scheme was launched by SRSP which was eventually discontinued, because SRSP faced

problems in repayment of loans. These defaulters belonged to Nagri Bala and Nathiagali. Sangi development

organization and Khushali bank currently doesn‟t extend any credit facilities in the region because of

accessibility issue.

Problems

M e r a K a l a n

M e r a

K h u r d h

B a n d i M e r a

S a m a n d a r

K a t h a

S u n g i M e r a

P a n g o r a

T e e t r e l a

N a g r i b a l a

S u k a k a s

K a l a b u n

Inaccessibility

Seasonal

inaccessibility

Rugged terrain

Unavailability of

water

Harsh weather

conditions

Unemployment

Illiteracy

Community health

Issues

Absence of

institutional

mechanism for

development

13The section 2.1 (a) in Center assessment tool kit Annex 04



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Existing Resources

The most commonly found resources were telecommunication and electricity as every village has access to

electricity. Physical access however, is relatively difficult as only 40% have access through concrete roads. 14.

Human resources were available in 90% villages along with a high literacy of 70%. Local access to educationfacilities and health facilities was relatively low with 50% and 30% respectively. The center assessment teamfound limited social barriers to women mobility in the region and communal harmony was on the high side. Asis further elaborated in the table below, all villages except Nagri Bala reported natural resources foragriculture. Nagri Bala has problems of strong winds which can potentially harm crops in harvest seasons.

Resources

M e r a K a l a n

M e r a

K h u r d h

B a n d i M e r a

S a m a n d a r

K a t h a

S u n g i M e r a

P a n g o r a

T e e t r e l a

N a g r i b a l a

S u k a k a s

K a l a b u n

Previous

development

project in area

15

Access to village

via concrete roads

Access to health

care facilities

Access to

education

facilities16

Access to

veterinary facilities

Availability of

human resource

(Labor)

Natural resources

for agriculture

Natural resources

for livestock

Electricity

Telecommunication

services

Literacy

Women‟s mobility

Communal

harmony (gath-jor)

14 This is part of center assessment tool kit under section 2.1 (b) in Annex 0415 SRSP16

At least Middle School



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Existing Skills

As illustrated by the attached table, embroidery and stitching skills are present among females in 90% of the

villages, although they have not been refined and developed on larger scale. A small number of women in 50%

of the villages also reported having crochet and knitting skills, which would be useful in the local context.There is also production of cane handicrafts like baskets, chabbas, stools and handfans at the household level.

Among males, masonry, woodcutting and carpentry were listed as skills. 80% of the villages also considered

driving as a skill to be reported, possessed by males who can facilitate transport. Bee-keeping is a special skill in

certain villages, while traditional skills associated with crop cultivation and livestock rearing are present to

some extent in the entire area.

Existing Skills

M e r a K a l a n

M e r a

K h u r d h

B a n d i M e r a

S a m a n d a r

K a t h a

S u n g i M e r a

P a n g o r a

N a g r i B a l a

T e t r e e l a

S u k a k a s

K a l a b a n

Stitching

Embroidery

Crotchet

Knitting

Fabric painting

Handicraft

products(baskets, hand

fans, stools,

chhabay)

Driving

Masonry

Woodcutting

Carpenter

Painting

Barber

Tailor

Beekeeping

Electrician

Plumber

II. Business Profile



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The business profile was generated to give an idea of existing income-earning activities; existing businesses; andpotential business opportunities. This was then used as a basis for the next stage of research – the marketsurvey.

Individual Profile

The following individual profile was constructed/developed by interviewing 4 men and 4 women from eachvillage to gauge their income earning opportunities and potential. The candidates for interview were selected

at random17.

Male Interviews

The number of male individuals interviewed from the age bracket/group of 20-30 was 13. The average incomefor this age bracket/group was Rs. 2884. This is because most individuals were currently students orunemployed. Major responsibility of unemployed individuals is to help family with daily chores whereasemployed individuals were in decision making roles. There was a general lack of ambition to start a business inthis age group. The most common ambition was to get a job or pursue further studies. Villagers reported novocational or technical skills and approximately 10% reported book keeping as their expertise which couldhelp them start a business.

There were 8 respondents between the ages of 30-40 and their average income was 9,375. The individualswere mostly head of their families and had the responsibility of earning, purchasing household items andrunning chores. The ambition to start or expand a business was relatively high. Approximately 50%respondents showed interest in running a business. Almost 40% showed interest in running a livestock andpoultry business whereas 10% wanted to start a general store. Skills such as poultry farming, driver and shopkeeping were reported by individuals.

Individual interviews of 10 villagers were conducted for males between 40-50 years of age bracket/group.Average income was Rs. 11,000. The respondents in this age category were mostly head of their families. Theirprimary responsibility is to provide for education and household expenditure of their family. Approximately50% candidates showed interest in starting or expanding a business. 20% expressed interest in starting ageneral store in the area, whereas 30% showed interest in poultry and livestock. Level of skill however, was

low, as only 30% reported having any technical or vocation skills. These skills included teaching, horticultureand tailoring.

Number of respondents above the age of 50 was 8 and average income of this age bracket/group was Rs. 8312.This age bracket included mostly retired individuals. Their primary responsibilities included earning for thefamily and running household chores. Approximately 60% candidates showed interest in starting or expandinga business. Almost 25% showed interest in running a general store whereas 37% wanted to start a livestock orpoultry business. Skill level was relatively low in this age bracket and only 12.5% had any technical skills e.g.maintaining water supply.

Female Interviews

Number of female respondents below the age of 20 was 4 and there was no earning individual in this age

bracket. Primary responsibility included studying and running household chores. Everyone showed interest instarting a business of tailoring and embroidery. None of these individuals had any skills of either but showedinterest in learning.

21 individuals interviewed were between the age of 20 and 30, and this was the largest demographic stratum.Only two individuals reported any personal earnings in the age bracket, others were dependent mostly ontheir husbands or fathers. Running of household chores e.g. washing, cooking, cleaning and taking care of children was identified as primary responsibility. Moreover almost everyone showed interest in starting orexpanding their business. 80% respondents wanted to start tailoring and embroidery business, 9% teaching, 4%general store and 4% wanted to start a parlor. Level of skills was relatively high in this age group asapproximately 61% reported technical skills. The most common skill was tailoring and embroidery (57%).

17Interview questionnaire attached as Section 2.5 in Annex04



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There were 9 respondents in this category was 9 and none reported any earnings. The major responsibilitiesinclude running household chores and taking care of the kids. The ambition to start a business was very strongin this age category as everyone showed intention to start embroidery and tailoring business. The skills levelswere also very high as 71% had skills of tailoring and embroidery.

There were 7 respondents in the age bracket of 30-40. There was no income reported by individual in this

category. Responsibilities of individuals included daily household chores and taking care of livestock.Entrepreneurship ambition was high in this age category as everyone showed intent to start a business.Tailoring and embroidery was the most popular business (approximately 42%), followed by 28% each forgeneral store and livestock farming. Approximately 57% respondents reported any skills, with 28% reportingtailoring and embroidery and 28% reporting livestock farming as their expertise.

There were 2 people above age of 50 years and they reported no personal income. The major responsibilitiesincluded decision making and running of household chores. The entrepreneurship ambition was high in this agebracket as they wanted to start or expand a business. Out of two, one wanted to start a handicraft businessand the other wanted to run a general store. One woman reported technical skills of poultry and the otherwas skilled in running a general store.



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Existing Businesses

As elaborated in the table below, most common existing businesses were general (karyana) store keepingand livestock, being practiced in approximately 70% villages. Farming was also common as almost 60% villagesgrew potato and wheat while corn was prevalent in 40% villages. In addition to livestock and vegetables, 60% of the villages had existing businesses in poultry and herbs. Embroidery was a common household occupation for

women, however only 30% of the surveyed villages had women/households that had made a business of producing or selling embroidered garments or products. Essential services such as electrical works, carpentryand barber business were only present in 10% villages.

Existing

Business

M e r a K a l a n

M e r a K h u r d h

B a n d i M e r a

S a m a n d a r

K a t h a

S u n g i M e r a

P a n g o r a

T e e t r e l a

N a g r i b a l a

S u k a k a s

K a l a b u n

Tailoring

Barber

General Store

Carpentry

Electrical Works

Embroidery

Fruit Farming

Wheat farming

Potato Framing

Corn Farming

Herbs

Livestock

Poultry



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Business Opportunities

According to respondents of the focused group discussion held in each village, the following businesses hadmaximum potential to be developed as sustainable micro-enterprise. These business opportunities wereidentified on basis of FGDs, individual interviews and resources.

Potential

Businesses

M e r a K a l a n

M e r a

K h u r d h

B a n d i M e r a

S a m a n d a r

K a t h a

S u n g i M e r a

P a n g o r a

T e e t r e l a

N a g r i b a l a

S u k a k a s

K a l a b u n

Tailoring

Handicrafts

Barber

General Store

Embroidery

Fruit Farming

Vegetable

Farming

Wheat farming

Potato Framing

Corn Farming

Food Processing

Herbs

Livestock

Poultry

Bee Farming

Dairy

Candle-making

Furniture



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III. Market Research

A market survey and research was conducted in Rawalpindi, Abbottabad and Nathiagali to assess the demand

for goods in four specific sub-sectors, identified on the basis of the center assessment:

Milk, meat and eggs are a substantial part of the diet in this region, so a demand for this sub-sector exists

locally. Moreover goats, cows and buffalos are in high demand in adjoining markets of Abbottabad, Rawalpindi

and Nathiagali especially in Eid-ul-Azha season. The meat of cow, goat and chicken is available at PKR/kg 240,

430 and 165 respectively which is also an indicator of its demand.

Residents of these villages keep poultry and livestock for household consumption. This shows that they havebasic skills of livestock and poultry farming, however running livestock and poultry as a business would require

more training. There are no social barriers to this sub-sector as 70% villages already practice livestock farming

as a business. The animals are used for both meat and milk. Moreover every FGD concluded that livestock

and poultry was a potential business for their region.

The sub-sector of livestock and poultry includes goats, buffalos and poultry. Poultry includes broilers, layers

and „Desi‟ poultry. The most common item of this sub-sector is „Desi‟ poultry. Goats are being used primarily

for fattening and and buffaloes are the primary source of milk in the region.

Inputs required for livestock include feed and veterinary medicine. Feed for livestock is grown locally as

transportation costs are high. Inputs for poultry include hatchlings, medicine and poultry feed. The feed forpoultry can be bought easily in Abbottabad and can also be made locally using different grains and seeds.

Only micro producers of livestock and poultry exist in the region. Poultry and livestock are mostly raised in

the region to satisfy household needs. Buffaloes are used for milk but do not even satisfy local demand and dry

milk is used as a substitute. In the ten villages, covered under the study, there were no farms of broiler. A large

number of household however kept their own „Desi‟ poultry for eggs and meat. The eggs of the „Desi‟ Chicken

are a popular commodity and are twice as expensive as a layer‟s egg. Eggs are sold at the village outlet for local

consumption, but no micro producers reported any supply of eggs to markets outside the village. Missing link

in this value chain is the „consolidator‟. Micro producer does not have access to large markets due to lack of

economies of scale.

The source of livestock meat is Abbottabad market. Meat of chicken is imported both from the Abbottabadmarket and is also bought directly from the farmer. Meat or livestock is supplied or traded at local village

outlets. The goats and buffalos are sold to livestock whole sale (Mandi) after fattening.

Accessibility is one of the primary constraints in enterprise development of livestock and poultry. Pickup

trucks are needed to transport young livestock and poultry to the village. Eggs can be transported to markets

on jeeps or pickups, but the high transportation cost adds to the cost of production and brings profit down.

Packing and packaging is required for eggs. Special paper or plastic packing can be bought from the Abbottabad

market to transport eggs. Due to rugged roads, softer paper packing is more affective.

Technical training covers the areas of breeding, disease control, feed and living environment. Primary goat

breed in the region is a non-descript breed which the locals call Burberry. Training is required to createcrosses of Beetal which has a high average reproductive rate. Currently no technical training or business



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development program exists in the region under assessment. The Jabba Sheep Farm Mansehra provides

technical insight and training to goat and sheep farmers and the HARS (Hazara Agriculture Research Station)??

provides technical expertise on poultry farming. However neither institution has any past or current training

and development programs for the region under research.

The prices of meat are regulated by the Ministry of Livestock and Dairy development along with the provincial

food department. Livestock sector is being regulated by the government however poultry is still an

unregulated segment. That is one of the primary reasons behind erratic prices of poultry in the Pakistan

market. The Ministry of Commerce plays an important role in determining the prices of livestock as it controls

international export of livestock.

Feasible businesses that have been identified for household and women enterprise development in this sub-

sector are livestock and dairy farming; poultry farming; and goat fattening.

Apart from local demand, there is high external demand for embellished local handicrafts in markets of the

Nathiagali, Abbottabad and Rawalpindi. Main demand in the Abbottabad and Nathiagali is for warm clothes,,

whereas, during the seasons of weddings and festivals, there is demand for embellished formal clothing.

Boutiques in the urban centers sell these products at high prices - the average bridal dress with embroidery in

the Rawalpindi market can range anywhere from 75,000 to 100, 000. Apart from garments there is also

considerable demand for products like bed sheets and home accessories; bags; pouches; mobile phone covers

etc,, which is currently being filled by products from China. Due to the presence of a large tourist industry in

Nathiagali and Abbottabad, there is a great potential market for value-added local products.

In Abbottabad, embroidered products are sold at handicraft stores as well as at boutiques. Most boutiques are

not currently dealing directly with home-based workers, but purchase ready-made products from urban

markets. A small number of handicraft stores also place direct orders with female workers, giving specific

instructions with regard to design, colour and raw materials. While the interviewed designer expressed a

willingness to work with women in neighbouring rural areas, the artisans must arrange for products to be

transported to the store.

Nathiagali is a popular tourist resort, making it a suitable outlet for the retail of local handicrafts. While there

is no separate shop for embroidered products, they are available at 60% -70% of handicraft shops, which bring

in goods from as far away as Lahore, Rawalpindi, Swat, Azad Kashmir and Afghanistan. Main products are warm

shawls and decorative household items like bed sheets, and there is a large market for Kashmiri embroidery.

Most of the demand is for warm clothes but ironically sales increase in summer, as the routes are blocked by

snow in winter.

High end boutiques are present in the Islamabad-Rawalpindi region, which have stringent criteria for quality

and design. These can also represent a channel for clusters of producers to access exporters and tap the

international market.

Value chain for embellished products begins with the suppliers of raw materials, like cloth, thread, beads etc

Closest markets for raw materials are located in the Abbottabad, specifically in the Main Bazar. It was

discovered that there are no authentic wholesalers in the area, as vendors themselves procure their cloth

from Rawalpindi (Narankari Bazar), Faisalabad, Karachi, Multan or Lahore. However, they do sell in bulk in



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packets of either five or twelve suits. While a few revealed that they do give material on credit, it is generally

to those customers with whom they have an old association.

For thread, lace, beads, anchor etc, there are no wholesale markets in either Abbottabad or Nathiagali and

only two main retail outlets in the Abbottabad. Retailers bring items from Karachi, Lahore or Rawalpindi and

keep a profit margin of three to five percent. Out of the input supply sources that were explored during the

research, the largest variety of wholesale raw materials was present in Rawalpindi in markets like the

Narankari Bazar, Purana Qila and Mughal Saaray.

Embroidered products are primarily produced by female, home-based workers. Approximately 50% of the

females in the surveyed villages have basic levels of skill, but this is not being honed or developed for

commercial purposes in more than 30% of the villages. Potential female entrepreneurs will need skill and

technical training, as well as knowledge of enterprise development concepts in order to be connected to the

nearby markets. There is scope for design and production of new products like bags and accessories to

capture the tourist demand for local handicrafts.

In terms of outlets, potential female producers can either cater to local village demand or establish linkages

with wholesalers and retailers in the larger markets. Their access will need to be facilitated by either smalltraders or representative sales agents, who can take their products to markets in Abbottabad, Nathiagali or

Rawalpindi.

The main support services required by potential female entrepreneurs include skill and technical training;

guidance for product design and development; packing and packaging; transport and facilitation of access to

markets; and business development services for establishment of linkages and expansion of enterprise. There is

also scope for the provision of credit or microfinance for the initial purchase of raw material.

Individual designers do exist in Abbottabad who are currently using design books and offering guidance to

female workers in terms of colour schemes, design and modern trends. Apart from a large Government

vocational centre which offers training courses for hand and machine embroidery,, there are also smaller

private institutions offering free training (e.g. Khidmat-e-Adam Society, Sungi). The government training centrecites a high success rate for its courses, with 30% women now successfully conducting business and about 60%

operating from home at a small scale. While the training is offered for a monthly fee, scholarship options do

exist.

The Sungi Development Foundation has its headquarters in Abbottabad and, along with SABAH, offers limited

business development services in terms of market linkages, recordkeeping and business plan development.

Although it also functions as a microcredit provider lending to women in groups of five, the organization is not

extending this to the ten surveyed villages. In fact although Khushali Bank, Kashf Foundation, Tameer Bank and

the Sarhad Rural Support Program are present in Abbottabad, there is a vacuum vis a vis microfinance

institutions in the ten villages due to their physical inaccessibility and risk of default.

Finally, the Small and Medium Enterprise Development Authority (SMEDA) has presence in Peshawar and

Haripur and has a project providing “hands-on support” to women entrepreneurs in the form of a Women

Business Development Centre. This offers membership to skilled females who wish to display their products;

receive business training; and develop market linkages. These services are available for fee.

The closest facility for display and market linkages is the Hazara Chamber of Commerce and Industry in

Abbottabad. Once the requisite skills are developed, female entrepreneurs can be encouraged to liaise with

the Chamber to expand their enterprises. Finally, once units of production are established and functional, the

possibility of eventual collaboration with the local Trade Development Authority can be considered, to

explore larger markets abroad.



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There is a high level of social acceptability for females to produce cloth-based products at home. When it

comes to women entrepreneurship development, there is huge scope to diversify these products and explore

feasible businesses for goods involving embroidery; bead-work and crochet.

Trade and services can emerge as an important sub-sector contributing to the goals of the Household

Enterprise Development (HED) project, as there is a distinct need for its expansion in all ten villages. The ten

targeted villages have a substantial average population of 2590 residents, whereas according to the research,

currently only 30% villages have tailor shops. Considering the fact that the average distance from the primary

market, Abbottabad, is 29.2 km and 90% villages face issues of seasonal inaccessibility, there is high local

consumer demand in this sub-sector.

Service-providers with village outlets would largely be catering to local consumer demand. However, there is

scope for expansion of tailoring businesses in the form of linkages with boutiques and designers placing orders

from outside the villages. Surprisingly, Nathiagali does not have any local tailor shops.

The generic value chain for trade and services is quite straightforward, consisting of input suppliers, service

providers and local customer base. Inputs will differ for different services, e.g. tailors will need access to raw

materials in terms of thread, lace, buttons etc. Space is a universal requirement for the service providers in this

sub-sector and this may require some initial investment, unless the space in the household setup is utilized.

The generic support services required by the trade and services sector include transport; skill and enterprise

development training; packing and packaging; promotional materials like visiting cards; skill and enterprisedevelopment training. They can also require additional support in form of product design and exposure to new

trends.

Tailor services require substantial skill training. The skill of tailoring was reported by approximately 50.8 %

female and none of the male villagers. Once established, these enterprises have the potential to become family

ventures, with skills being transferred to other productive family members. They can also complement the

work of female artisans producing embroidered, crocheted or beaded garments.

After analyzing the resources available in the ten villages, it was found that there was particular scope for thecreation of enterprise in the sub-sector of home accessories. While products like candles can be easilyproduced at the household level, there is huge scope for value addition in wood-based products, fromfurniture to small handicrafts.

There is demand for candles both in the local villages and in markets of the Abbottabad, Nathiagali andRawalpindi. This demand greatly increases as summer season approaches, because load shedding hours



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increase during the summer season. Candle making is a simple process which can be managed by the localfemales along with their household chores. It does not require bulky raw material or very high levels of technical expertise. Most candles are made from paraffin but can also be made from beeswax, soy, plant waxes, and tallow (a by-product of beef-fat rendering). Gel candles are made from a mixture of paraffin and plastic. InPakistan the Iranian Wax is the most recommended type of wax for candles.

Furniture is an important component of home accessories. Demand for traditional heavy and light woodenfurniture is increasing in the domestic market as well as in the international market, due to its durability and

visual appeal. Traditionally wooden furniture is given as dowry, which accounts for a major portion of furniture

sales in Pakistan. As a result, demand for household furniture increases substantially in wedding season. At the

same time wooden crafts i.e. key holders, key chains, frames, handles, fridge magnets and hangers are also in

high demand by low-end and high-end markets throughout the year.

As per the center assessment, 50% targeted villages have carpentry and furniture making skills. These skilled

persons provide their services in cities like Abbottabad so local communities buy furniture for routine use and

dowry from the same markets. It would be more viable for individuals or households to start with light

furniture and wooden crafts businesses, because a large unit will require a considerable investment and

distribution will also be difficult and costly.

Apart from local demand, the survey revealed that buyers for light furniture and wooden products exist in

Nathiagali, Abbottabad and Rawalpindi markets. The price range for such products varies according to size,

shape and design.

A household including male and female members can be involved in the business from 4 to 8 hours on daily

basis. The prepared feasibility covers a one-year cycle for the furniture and woodcrafts business.

http://en.wikipedia.org/wiki/Paraffin

http://en.wikipedia.org/wiki/Beeswax

http://en.wikipedia.org/wiki/Soy

http://en.wikipedia.org/w/index.php?title=Plant_waxes&action=edit&redlink=1

http://en.wikipedia.org/wiki/Tallow

http://en.wikipedia.org/wiki/Plastic









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4.2 Feasibility and Marketing Strategy for Selected Businesses

The center assessment and market research identified business for both HED and WED. The centerassessment identified resources available in the region along with the interest of local residents. The marketresearch was instrumental in analyzing the demand of local markets. Moreover markets research also identifiedthe different backend services along with raw material available in the markets of the Abbottabad, Nathiagaliand Rawalpindi. Technical assessment of each business was aimed at identifying the process of production andtechnical information required to start a business. Information gather from market research, centerassessment and technical experts was crucial in formulating a feasibility of each product. The followingbusinesses have been identified for HED and WED:

Household Enterprise Development Women Enterprise Development

Light Furniture and Woodcraft

Livestock Rearing and Milk Production

Poultry Framing

Bead Work and Chrochet

Embroidery

Goat Fattening

Tailoring

Candle Making

Feasibilities and marketing strategy was formulated for each of the selected businesses. The followingaspects were covered in the feasibility:

Target market

Materials required

Cost estimation

Estimated sales

Estimated profit

Risk assessment and mitigation

The marketing strategy covers the following:

SWOT

Marketing MixMarketing strategy for each product was formulated on basis of its feasibility. Feasibility and

marketing strategy for each business are presented below.



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Household Enterprise Development

Light Furniture and Woodcraft


Poultry Framing



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Feasibility and Marketing Strategy for:

Light Furniture and Wooden Crafts

1. Introduction

Furniture is an important component of home accessories. Demand for heavy and light furniture is increasing

in domestic market as well as in the international market due to its traditional appeal and durability despite the

introduction of new materials in furniture manufacturing. Traditionally wooden furniture is given as dowry

which is a major portion of furniture sales in Pakistan. As a result, demand for household furniture increases

substantially in winter and spring season due to weddings. At the same time wooden crafts i.e. key holders, key

chains, frames, handles, fridge magnets and hangers are also in high demand by low-end and high-end markets.

As per the center assessment, 50% targeted villages have carpentry and furniture making skills. These skilled

persons provide their services at Abbottabad and other different cities so local communities buy furniture for

routine use and dowry from the same markets. Initially it would be more viable if individuals or households

would start light furniture and wooden craft business because a large unit will require a huge investment and

distribution will also be difficult that will result in high cost.

The proposed business is capable of manufacturing the making range of light wooden furniture and other

wooden products to meet demand of local and neighboring markets. A household including male and female

members can be involved in the business from 4 to 8 hours on daily basis. This feasibility covers one-year cycle

of this business.

2. Target Market

According to the survey, the buyers for light furniture and wooden products are in Nathiagali, Abbottabad and

Rawalpindi markets and there is also a local demand for such products. Price range of such products varies as

per size, shape and design. Project outlet and shops of Nathiagali, wholesale & retail furniture sellers at

Abbottabad and Rawalpinid, Sungi outlet Abbottabad and Behbud Association in Islamabad can be potential

buyers.

3. Technical Feasibility

Technical Aspects Status Reasons

Skills

Ok For light furniture and wooden products, some specific skills

will be required. These can be imparted in a one month on job

trainings and mentoring. So representative of each household

will receive technical/skill training from expert and eventuallytrain other family members or producers.

Technology

Ok Electric saw, drill, planner/sharper and molders are the tools

involved in this business. Skill/technical training will also cover

use and maintenance of these machines.

Environment/healthOk This business is environment and health friendly and also

socially acceptable.

Overall suitability Ok

4. Required Resources

Inputs required for this business include procurement of place, machinery, tools, raw material, finishing

material and transportation etc. An assessment of the resources is as follows:



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Machinery

and Tools

Electric saw, drill, planner/sharper and molders are the key tools and machines required

for the business. All of these machines and tools are available from Railway and

Sumandary road, Faisalabad.

Raw Material

The basic raw materials for manufacturing of furniture are wood. Wood obtained from

the forest is of prime quality. Therefore, it is recommended to use dry wood from theforests for manufacturing of quality wooden furniture. Forest wood is easily available in

the market.

Furniture manufacturing units in Pakistan mostly use sheesham wood. Other

types of woods used in manufacturing furniture Teak wood, Walnut wood and

Keekar wood. Besides this, substitute material like lasani, winboard are also

used in the manufacturing of furniture. Raw material wood is easily available

from Abbottabad and Rawalpindi markets.

Other material used in furniture manufacturing process are nails, screws, glue/solution,

spirit, lakh, thinner, lacquer, sealer, hardener, etc. These raw materials are easily

available in the market. As compared to the Abbottabad, required material is available at

comparatively low cost from Mochi Bazaar Rawalpindi.

Human

Resource

This business will require three full time human resources for manufacturing and finishing

of the products.

Work Place

This business will require a proper place for different processes. A room for raw

material, tool and finish product while a space/adda (10x12 feet) in the courtyard for

manufacturing and finishing processing. In the target villages it can be initiated at house

level.

5. Cost Estimation

Description Units Rate Months Amount

Capital Cost:

Wood Cutting Machine 1 5,000 1 10,000.00

Planer/Sharper Machine 1 20,000 1 20,000.00

Hand Chapka – designer 1 15,000 1 15,000.00

Drill Machine (wood & concrete) 2 3,000 1 6,000.00

Rooter – Molding Machine 1 5,000 1 5,000.00

Tools – hand tools & other 1 10,000 1 10,000.00

Installation & fixing 1 25,000 1 25,000.00

Total capital cost 91,000.00

Variable Cost:

Wood 16 f 1200/f 12 230,400.00

Lasani Sheets 2 sheets 2,000/sheet 12 48,000.00

Waste Wood 40 kg 7/kg 12 3,360.00

Raw material (nails, screw, glue,magnet, paint etc)

1 5,000 12 60,000.00



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Total Variable Cost: 341,760.00

Other Cost:

Labor Cost – Senior 1 400/day 12 124,000.00

Labor Cost – Assistants 2 200/day 12 124,000.00

Electricity 1 4,000/mth 12 48,000.00

Transportation 1 800/mth 12 9,600.00

Repair & Maintenance 1 600/mth 12 7,200.00

Carriage 1 20,000 1 20,000.00

Communication 1 300/mth 12 3,600.00

Promotion – cards etc 1 1000 1 1,000.00

Depreciation:

Wood Cutting Machine (6-year) 1 70 12 840.00Planer/Sharper Machine (6-year) 1 278 12 3,336.00

Hand Chapka – designer (6-year) 1 208 12 2,496.00

Drill Machine (wood & concrete) (3-year) 2 83 12 1,992.00

Rooter – Molding Machine (6-year) 1 70 12 840.00

Tools – hand tools & other (3-year) 1 278 12 3,336.00

Total Other Cost 350,240.00

Total Cost of Project 783,000.00

6. Estimated Income

It is estimated that the household would be able to generate income whole year by manufacturing, selling and

repairing different products18. But sales are calculated for 11 months keeping in view harsh weather and access

to market in same season.

# Description Sales/mth Months Total Amount

1 Light Furniture 46,400 11 510,400.00

2 Wooden Craft 39,600 11 435,600.00

Total Income 946,000.00

18A product wise estimate of income is given as Annex-01



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7. Estimated Profit


Total Recurring Cost 783,000.00

Profit 163,000.00

Note: It is estimated that this business would generate, over a period of 12 months, a total income of

Rs.411,000 i.e. Rs.248,000 as labor of 3 persons and Rs.163,000 as profit. This works out to an average income

of Rs. 34,250/month, with a profitability analysis as follows:

1. Return on Sales: total profit/total sales x 100 = 17.23% 2. Return on Investment: total profit/total investment x 100 = 20.81%

8. Risk Assessment & Mitigation

Risks Risk Mitigation Strategy

Electricity Loadshedding Keeping in view the schedule an electricity generator can be used to ensuremanufacturing process continues unhindered.

CompetitorsLow price Chinese products can give a tough competition but quality

management, strong marketing, orders placement system can tackle this risk.

Extreme weather

Extreme weather will be a hurdle from sales point of view, so three months

can be allocated for production process. Entrepreneurs can secure orders

before this season.

9. Marketing Strategy

While this business is clearly profitable in financial terms, the Project must support the entrepreneurs to

evolve a long-term and sustainable marketing plan. A SWOT (Strength-Weakness-Opportunity-Threat)

assessment of the Project is as follows:

Strengths Opportunities

Wood seasoning facility centre is available Suppliers of raw material are available Local tools available Many big cities are linked up with this cluster

including Lahore, Islamabad, Sargodha, Jhang,Faisalabad and Gujranwala etc.

Outlet at Nathiagali Technical up-gradation Networking & linkages of cluster

players/stakeholders

Weaknesses Threats

High cost of production due to high rate of rawmaterial

Lack of educated, certified and professionallytrained work force

Unavailability of ready to use raw material No proper designing facilities available Unawareness of any quality control and

standards Unavailability of ready-to use seasoned wood Constraint of Technology Fluctuating prices of the raw material.

Raw material costs can increase (shortage in thestock of Sheesham wood)

Import of low price articles from China andIndia

Instable political set up of the country. Harsh Weather



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Above analysis shows a greater potential in this business. There is a need to overcome weaknesses and

increase the strengths, since opportunities and threats are external factors so they would be considered when

finalizing the overall strategy.

Marketing mix for furniture and wooden crafts manufacturing business includes the following:

a. Product

There are different potential products in light furniture and wooden crafts this project will focus on the

following:

Light Furniture Wooden Crafts

Stools Key Chains

Tappai Set (side tables) Key Holders

Refrigerator stool Clothes Hangers

Benches Bangle Stand

Fridge Magnets

Photo Frames

Above-mentioned are items are considered as furniture and home accessories. Stools and benches are mostly

used at business points or shops. These products can be directly sold to wholesale furniture manufacturers

and sellers. Project outlet will play important role for the marketing and selling of light furniture. Wooden

crafts are very important for routine use and also as gift item. It can be directly sold to the customers or to

different stores dealing with the home accessories items.

In each village, a Business Development Service Provider (BDSP) would be „created‟, through appropriate

training and business inputs, so that the quality of the „product‟ can be ensured. The support services would

include provision of technical training, supply of inputs and linkages building etc.

b. Place

This business will require a proper place for different processes. A room will be required for raw material,

tool and finish product while a space/adda (10x12 feet) in the courtyard for manufacturing and finishing

processing. In the target villages it can be initiated at house level.

c. Production Flow

Purchase of Wood:

Wood is purchased after a quality check. In determining quality following points are considered:

Wood Age Dryness Its surface, which should be plane without holes etc

Wood Cutting:

When purchased, the wood of natural form, this wood after purchase is cut into different sizes of blocks

and slabs.

Selection of Design:

Before start manufacturing of any furniture product, a desired design is selected. Selection of elegant design

is important to ensure attractive finished product. The seasoned wood blocks are cut into desired shape

and slices according to the requirement of design.

Molding:

The slices of wood are molded into the desired shape according to the design.

Carving: Carving means different elegant pattern carved in the wood. Quality of carving depends on the skills of the



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labor.

Assembling and Fitting:

Once the different pieces are carved & molded then these parts/pieces are assembled or fixed together to

give shape to the final product.

Finishing and Polishing:

Assembled product is grinded to make surface smooth. Once the surface is smooth, finishing material isapplied to make the surface ready for paint or polish. After the base is prepared final finishing is applied

depending on requirement in term of paint/polish. Upholstery of fabric is carried out according requirement

of design.

d. Price

Prices of different products are determined on the basis of survey conducted in the Nathiagali, Abbottabad and

Rawalpindi. Following is the price schedule for all products, in year one it is assumed that prices will remain

stable but entrepreneur can consider an inflation of 10% to re-determine price:

Products Price per itemLight Furniture:

Stools 600

Tappai Set (side tables) 5,000

Refrigerator stool 600

Benches (2x4 f) 2,200

Wooden Crafts:

Key Chains 15

Key Holders 150

Cloth Hanger 120

Bangle Stand 220

Fridge Magnet 40Photo Frame 150

e. Process

There are five different players involved in the process. The input supplier provides wood, nails etc to the

manufacturer. Recommended market for inputs is Mochi bazaar Rawalpindi. The manufacturer supplies the

furniture to the wholesaler. The wholesaler supplies the products to retailers. These retailers are located inAbbottabad, Nathiagali and Rawalpindi market. The manufacturer can bypass the wholesaler and provide

directly to the retailer in order to increase their profit margin.



43 | P a g e

f. Promotion

Nathiagali outlet will play an important role in promotion of furniture and wooden crafts, in year two or three

association of furniture manufacturers can brand different products. Entrepreneurs can directly promote

products using catalogue and visiting cards.



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Annex-01:

Estimated Sales/Income

# Products Qty/mth Price Amount

Light Furniture:

1 Stools 10 600 6,000.00

2 Tappai Set (side tables) 4 5,000 20,000.00

3 Refrigerator stool 12 600 7,200.00

4 Benches (2x4 f) 6 2,200 13,200.00

Sub-total light furniture 46,400.00

Wooden Crafts:

1 Key Chains 120 15 1,800.00

2 Key Holders 60 150 9,000.00

3 Cloths Hangers 60 120 5,400.00

4 Bangle Stand 60 220 13,200.005 Fridge Magnets 120 40 4,800.00

6 Photo Frames 36 150 5,400.00

Sub-total wooden crafts: 39,600.00

Total Sales per month 86,000.00

Estimate Cost

# Products Qty/mth Cost Amount

Light Furniture:

1 Stools 10 500 5,000.00

2 Tappai Set (side tables) 4 4,000 16,000.003 Refrigerator stool 12 500 6,000.00

4 Benches (2x4 f) 6 1,800 10,800.00

Sub-total light furniture 37,800.00

Wooden Crafts:

1 Key Chains 120 8 900.00

2 Key Holders 60 80 4,800.00

3 Cloths Hangers 60 80 4,800.00

4 Bangle Stand 60 150 9,000.00

5 Fridge Magnets 120 25 3,000.00

6 Photo Frames 36 110 3,960.00

Sub-total wooden crafts: 26,460.00

Total Cost per month 64,260.00



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1. Introduction

Businesses associated with livestock, in particular breeding, trading of animals, milk products, goat fattening,

and poultry farming emerged as high potential in all the 10 villages visited during this study. Milk and meat are a

substantial part of diet in this region and practically all households are traditionally engaged in keeping small

and large animals for their own consumption. However, currently this project target group is not undertaking

livestock as an „enterprise‟ or „business‟. In terms of livestock fattening, rearing and milk production breed of

buffalo that is currently reared is called „Azakheli‟, that has potential of reproduction and milk production if

effectively managed by a household. According to livestock experts, its current rate of milk production is 8 to

10 liter per day and it can survive in the valley of Hazara districts and surrounding areas of the KPK. Azakheli

buffalo is mainly localized in the Swat valley. Its color varies from complete albino animals to piebald to even

black. Azakheli have horns more similar to Mediterranean buffaloes. This buffalo breed has comparatively small

stature which makes it suitable for hilly area. Azakheli has very good ability to convert low grade feed stuff to

milk and meat. That‟s why Azakheli breed is located in hilly areas of Pakistan, especially regions with a harsh

climate and insufficient feed and fodder.

This feasibility focuses on a 2 years cycle of buying, fattening, milk production and trading of Azakheli buffalos,

where the female entrepreneur would begin with a unit of 3 buffalos and the local Business Development

Service Provider (BDSP) would facilitate for veterinary as a paid service.

2. Target Market

According to the survey, buffalo meat and milk is in high demand amongst the local communities, currently

available at Rs. 240 per kg. Buffalo milk is also popularly consumed and hence in significant demand. Buffalos

and kids are also in constant demand in neighboring markets of the Abbottabad and Nathiagali, given the hotel

business in the area. There is a significant demand for such livestock in the Rawalpindi market as well.

In the 10 villages visited during this study, it is clear that most targeted households meet their own

requirements for milk. There is insufficient surplus of buffalo milk to allow for assertive marketing of the

product. Generally people buy milk packs from local shop for their routine need. Local people afford to

purchase buffalo milk for Rs.35-40 per liter, producer can easily sell this milk in the Abbottabad and Nathiagali

markets at Rs.50 per liter.



Climate Ok

Azakheli buffalo is mainly localized in the Swat valley, so it can

survive in the valley of Hazara districts and surrounding areas of

KPK

Grazing/Vegetation Ok

It has comparatively small stature which makes it suitable for

hilly area. Grass, trees and dry fodder are available in the area,

as is feed in markets of the Abbottabad. It has very good ability

to convert low grade feed stuff to milk and meat

Water availability Ok The amount needed is available locally


4.

Required Resources



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Inputs required for this business include procurement of buffalos, fodder/feed, veterinary medicine, shed, etc.

An assessment of the resources is as follows:

Buffalos

Buffalos are available from livestock market/mandi in the Mansehra, Peshawar and

Rawalpindi. Over a 3 year of time period, it would be possible for the project to support a

local BDSP (Business Development Service Provider) who would initiate a smallmarket/mandi for supply of kids/goats within each village, thus acting as a consolidator.

Fodder and

Feed

Locally grown fodder, wheat, trees and corn constitute major source of food for the

buffalo. But the project can contribute to developing more nutritious feed for buffalos by

working with local BDSPs, who can introduce a local version of the „Khal or Wanda‟

available in bigger markets such as the Abbottabad.

HumanResource

Advantage of rearing livestock is that this does not demand a full time involvement, and

hence households can be engaged in other activities while benefitting from this business.

However, household associated with buffalos rearing and milk production must perceive it

as a business. It is proposed that those households in village who set up this business

come together as a „group‟, to do the following:

Get technical training Buy inputs together

Learn and solve problems together

Sell togetherWhile independent, each of the household would be a part of the group, to benefit from

economies of scale. In 2nd or 3rd year of business, these household would be encouraged

to form an association that would assist other household to start a business, and link up

with similar associations in other villages.

Medicines

Medicines and vaccines are available in the Abbottabad market (e.g. Meezan Veterinary

Services near Mezaeel Chowk), it would be critical to create a local service that is both

affordable and accessible by the women. Through appropriate training and support, a

local Business Development Service Provider (a male or female) would be trained as a

veterinary, and provided support to establish a medicine and input supply shop. The basic

veterinary training would be for duration of 1 month, followed by another 2 months of

advanced training.

Shed/Chappar

A well-constructed ventilated shed will be required for animals. A buffalo will require

15x20 square feet space, so the covered area will be 3 marlas. Both cross ventilation and

light will be considered in basic design of the shed.

Bucket and

Fodder tray

2 buckets and 3 fodder trays are needed to provide the buffalos with water and fodder

and collect milk. Both items are easily available in local market or bought from the

Abbottabad market.

5. Cost Estimation


Capital Cost:

Buffalos 3 80,000 0 240,000.00

Shed 1 40,000 0 40,000.00

Bucket-large 2 1,500 0 3,000.00

Fodder tray-wooden 3 2,000 0 6,000.00


Recurring Cost:

Feed – Khal etc 4 bag 1,200 24 115,200.00

Labor – one person 4 hours/day 40/hour 24 115,200.00



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Transportation 1 1000 24 24,000.00

Vaccination/med/vet 3 1,500 2 9,000.00

Depreciation:

Shed (10 years life) 1 333 24 7992.00

Bucket (2 years life) 2 63 24 3024.00Fodder Tray (4 years life) 3 42 24 3024.00



6. Estimated Income

It is estimated that entrepreneur would be able to generate an income from the 1 st month and onward till 9th

month, 6 months will be dry period, milk production will be started again from 16th month. On an average

lactation period will be 9 to 10 months. Calf will be sold on an average age of one year.

Month Description Units Rate Days/Month Total Amount1 Milk 18 kg 40/kg 30 21,600.00

2 Milk 18 kg 40/kg 30 21,600.00

3 Milk 18 kg 40/kg 30 21,600.00

4 Milk 18 kg 40/kg 30 21,600.00

5 Milk 18 kg 40/kg 30 21,600.00

6 Milk 18 kg 40/kg 30 21,600.00

7 Milk 18 kg 40/kg 30 21,600.00

8 Milk 18 kg 40/kg 30 21,600.00

9 Milk 18 kg 40/kg 30 21,600.00

12 Calf 3 10,000 - 30,000.00

16 Milk 20 kg 40/kg 30 24,000.0017 Milk 20 kg 40/kg 30 24,000.00

18 Milk 20 kg 40/kg 30 24,000.00

19 Milk 20 kg 40/kg 30 24,000.00

20 Milk 20 kg 40/kg 30 24,000.00

21 Milk 20 kg 40/kg 30 24,000.00

22 Milk 20 kg 40/kg 30 24,000.00

23 Milk 20 kg 40/kg 30 24,000.00

24 Milk 20 kg 30/kg 30 24,000.00

Calf 3 10,000 - 30,000.00

Total 524,400.00



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7. Estimated Profit



Profit 246,960.00

Note: It is estimated that a 3-buffalo unit would generate, over a period of 24 months, a total income of

Rs.362,160, i.e. Rs.115,200 as labor and Rs.246,960 as profit. This works out to an average income of Rs.

15,090/month, with a profitability analysis as follows:

1. Return on Sales: total profit/total sales x 100 = 47.09% 2. Return on Investment: total profit/total investment x 100 = 43.59%

8. Risk Assessment & Mitigation

Risks Risk Mitigation Strategy

Mortality A strong veterinary service is a must for the area. The project could explore

possibility of introducing insurance coverage for animals or having a system

whereby group members insure and protect each other‟s asset. A 10%

mortality rate can be considered while investing.

Diseases Proper vaccination and an expert local veterinarian or BDSP.

Extreme weather Properly constructed shed will be helpful to address this issue. Households are

trained in providing proper nourishment to animals and ensuring that they have

adequate warmth and care.

9. Marketing Strategy

While this business is clearly profitable in financial terms, the project must support entrepreneurs to evolve a

long-term and sustainable marketing plan. A SWOT (Strength-Weakness-Opportunity-Threat) assessment of

the project is as follows:


Communities‟ previous knowledge andexperience in goat rearing

Milk and meet demand in local and nearbymarkets

Government‟ focus on livestock and dairy

development Enabling environment and atmosphere

Hotels and outlet at Nathiagali Direct supply to locals, hotels and collective

selling on Eid Local demand for milk

Weaknesses Threats

Lack of transportation Lack of in-depth technical knowledge about

goat fattening Initially unavailability of veterinary service

Diseases Harsh weather

Above analysis shows a greater potential in buffalo rearing and milk production business. There is a need to

overcome the weaknesses and increase the strengths, since opportunities and threats are external factors so

they would be considered when finalizing the overall strategy.



49 | P a g e

The marketing mix for livestock and milk production includes the following:

a. Product

There are two potential products in livestock farming i.e. milk and meat. Buffalo milk is in high demand locally

and also in regional markets. Moreover, it is a popular home consumption item within the village. The projectwould therefore focus on farming buffalos. Major products for sale would be milk and calf, ready calf for

sacrifice (e.g. during Eid) or wedding season. In later years, household could also diversify and learn how to add

value in milk and develop different milk products, which could then be sold in nearest and local markets as

well.

Production would be in small units, which would then be consolidated; initially within the village, and later

across the village. This would allow for economies of scale, in terms of buying (input supplies) and selling. To

ensure that product itself is of good quality and the mortality rate is reduced, the project would support

experimentation in creating a breed that is viable for the region, i.e. a cross between local Achai, Azakheli and

Neeli Ravi. This cross breed could also become a popular product from the region and could find a niche in

the current buffalo market.

In each village, a Business Development Service Provider (BDSP) would be created through appropriate

training and business inputs, so that quality of the product can be ensured. The support services would include

provision of technical training, supply of inputs such as livestock, nutritious feed and veterinary services in each

village. The BDSP could also serve as a consolidator who could sell calf or milk to other markets.

b. Place

Goats would be reared in villages of the Galiyat-Abbottabad and primary markets for selling milk and calf are

the Abbottabad and Rawalpindi. The produce can also be sold to locals on Eid-ul-Azha or other occasions such

as weddings etc. A special shop can be created in the Nathiagali to showcase these animals for sale. There are

different models which can be adopted for this shop e.g. seasonal, weekly etc.

c. Price

The government of Pakistan is regulating the livestock sector, thus prices are stable. The price of buffalo would

depend on age and size, it cost from 50,000 to 90,000. A one year old calf would sell for Rs. 80,00-10,000,

where as a fully-grown animal can be sold for approximately Rs.80,000-90,000. Price of one kg milk is Rs.35-40

in villages while it can be sold to nearest markets and Abbottabad for Rs.40-50 per kg.

Beef is a popular meat in the Pakistani market, where one kilogram of the meat can cost approximately Rs.240.

Prices are high because national demand is not being satisfied by local production, as a large part of local

produce is being exported to Middle Eastern markets.



50 | P a g e

d. Process

Milk

Calf/Meat

Here are two channels: one for milk production and other for calf selling. There are five different players

involved in the both processes. Input supplier provides the buffalos, calf, medicine, feed and fodder to the

farmer. Farmer supplies milk or calf to milkman or livestock market from where wholesaler/retailers (butcher

or milk sellers) would buy milk or calf. A detailed analysis of livestock value chain has been given in market

research section.

e. Promotion

Farmers from this region should participate in Livestock Shows (Mewashi Melas). This would provide them

with an attractive market to sell their products and also allow them to find attractive markets and promote a

new breed. The new breed should be displayed in these shows.



51 | P a g e

Feasibility and Marketing Strategy:

Poultry Farming

1. Introduction

Poultry is a product of livestock sub-sector. There are three types of animals in poultry shed i.e. breeder, layer

and broiler. The broiler chicken is primary source of protein for people of the Abbottabad and adjoining

regions. During the snowfall season, temperatures can fall below zero in the villages under research.

Particularly in these harsh conditions, eggs and chicken meat are in high demand. Broiler meat is cheapest

source of animal protein available in the country and is primary poultry product of the Hazara division. Broiler

bird has a very short life cycle which increases its attractiveness from a business perspective. On average a bird

matures in approximately 35-40 days.

This industry is very organized and there is complete distribution channel of farm inputs. There are a number

of national and local companies producing feed, chicks and medicines. Sales representatives from these

companies market products and also sell directly to producers. Poultry feed, chicks and other inputs for

production are also available from the Abbottabad market. Poultry feed mills are major player in poultry

industry, which produce a specific formula for feed. This feed consists of rich protein elements like grains,

gluten, blood meal, and fishmeal and soybean meal. Cost of feed is primary cost for chicken farmers. Day old

chicks are another major input which can be bought directly from hatcheries. The Hazara Agricultural

Research Station and the Abbottabad Veterinary Research center provide technical assistance to poultry

farmers.

Contract farming is a common practice in the Pakistani Poultry industry. Poultry dealers in contract farming

finance poultry farmers. They provide day old chicks at market rates and do not charge any interest. However

feed and medicine are given at very high interest rates. At maturity birds are sold by the dealer and farmer is

given profit after deducting all investment and finance cost. Fluctuating poultry rates along with high finance

cost prevailing in the Pakistani financial market have reduced attractiveness of contract farming.

Considering high demand of poultry in the regional markets and availability of support services and raw

material, poultry farming has been selected as a potential business for this region. The business is

recommended for valley villages, which have relatively less land availability and accessibility constraint as

compared to hillside villages. Considering available land and human resources, a flock size of 1500 birds is

recommended. Contract farming is not recommended due to high interest rates prevailing in markets.

2. Target Market

Poultry farms target major markets of the Abbottabad and Rawalpindi. Broiler birds are sold to the wholesaler

markets in urban areas. Broiler birds can also be sold directly to the shopkeepers in urban markets and local

markets, but there is no butcher shop in the ten target villages.



52 | P a g e



Climate Ok Poultry can survive in all areas of Hazara

Feed Ok Feed is easily available in neighboring markets

Water availability Ok Existing water supply system


4. Required Resources

Inputs required for Poultry farming include chicks, feed and veterinary medicine and following is the detail for

each resource:

Chicks Chicks can be easily bought from hatcheries located in the Abbottabad and adjoining areas.

Price of chicks varies on daily basis.

Feed Feed for poultry is made in feed mills which are located in the Hazara division. Broilers are

usually fed with the following two types of ration:

Broiler starter: It is fed to broiler birds up to f ive weeks of age.

Broiler finisher: It is fed to broiler of more than five weeks of age and continued till the

age of marketing. Feeding three or four times each day will stimulate feed intake and

prevents wastage. The formula for two feeds has been annexed.

Human

Resource

Semi skilled labor is required to run a farm. A single person can manage a 1500 bird farm.

Medicines Vaccination can be provided to bird by injections, eye drops and water. Average cost of

vaccination per bird PKR 5-6.

Shed Chicks should be kept in a clean, dry and well-ventilated room. Broiler house should have

proper ventilation as this supplies fresh air to birds and carries off moisture. Entire building

including litter and all equipment should be fumigated. To sanitize broiler house from germs

and insects, it is fumigated with Formaldehyde Gas, which is produced by putting Formalin

on Potassium Permanganate. Rooms should be vacant and sealed for 30 minutes after

fumigation so that gas infiltrates in every corner of the room. Cost of fumigation has been

taken as Rs 1,000 per flock. Moreover straws, rice husk and sawdust must be used to cover

floor completely. Initially, for the first fifteen days, light intensity should be 40-60 watts per

200 sq. ft of space and this can be replaced by 15 watts bulb in the beginning of third week.

Space required by chicken has been calculated on an average of 1ft

2.

Size: 20ft x 75ft= 1500

Construction Cost: The villages under review have issues of inaccessibility; therefore

construction costs are relatively high. Construction cost for the shed has been assumed at

233 /ft2

Feed tray

and

Drinker

One pan drinker would be sufficient to feed 50 birds and a tube feeder would be sufficient

for 100 birds. There a total of 30 feeders and 10 drinkers, needed to feed 1500 birds.

5. Cost Estimation

Description Units Rate Amount



53 | P a g e

Price of day old chicks varies daily according to market demand. Cost of transportation is embeddedin price

Recurring cost are estimated on basis of each flock (estimated maturity time is 40 days)

Calculation of Recurring Cost and Depreciation for the year:

Description Flocks Cost per flock Annual Variable

Cost

Broiler 6 2,60,500 1,563,000

Description Period Cost Depreciation/year

Machines 4 12,860 3,215.00

Building 10 350,000 35,000.00

Total 38,215.00

Capital Cost:

Shed – Building 1 350,000 350,000.00

Heating drum 1 2,000 2,000.00

Small drinkers (water drinker) 30 125 3,750.00

Feeder (tube) 15 70 1,050.00

Thermometer 1 60 60.00

Bucket-large 2 300 600.00

Water tank 1 3,400 3,400.00

Pipe 200 10 2,000.00


Recurring Cost per flock:

Day old chick* 1,500 47 70,500.00

Feed 4,800 kg 35 168,000.00Labor 1 12000 12,000.00

Shelter bed Per flock 500 500.00

Electricity Per flock 2000 1,000.00

Vaccination/med/vet 1500 5 7,500.00

Fumigation Per flock 1000 1,000.00

Total Recurring Cost 2,60,500

Total Cost of Project 6,23,360



54 | P a g e

6. Estimated sales

Yearly sales are estimated for 6 flocks per year. There will be a lag time of two weeks for fumigation and

cleaning of the farm. Mortality rate for the flock has been estimate at 8% and poultry is sold approximately

PKR 5 less than market rate to retailer 19. Moreover the average weight of each chicken is assumed at 1.6 kg.

Using these estimates, sales from a single flock is as follow:

Production per flock: 1500 x 92% = 1380

Rate PKR/ kg alive chicken: 13020

Weight: 1380 x 1.6= 2208

Sales: 2208 x 130 = 287,040

Description Flocks Sales per flock Annual Sales

Broiler 6 2,54,500 1,722,240

7. Estimated profit

Total sales 1,722,240

Total recurring cost (1,563,000)

Depreciation (38,215)

Profit 121,025

Note: Entrepreneurs will get Rs.193,025 from this business in a year (Rs. 72,000 as labor and Rs. as profit

121,025). Following are two other analyses on return:

1.

Return of sales: total profit/total sales x 100 = 7%2. Return on investment: total profit/total investment x 100 = 19%

8. Risk assessment & mitigation

Risks Risk mitigation strategy

MortalityMortality rate has been assumed at 8% and vaccination would be given

to keep it at that level.

Diseases Proper vaccination and local veterinarian or BDSP

Extreme weather Proper shed with local mechanism

19The retailer will collect birds from the farm

20Rate has been given for 9-03-2011



55 | P a g e

9. Marketing strategy





Great demand of poultry in local and nearbymarkets

Backend services are easily available

Investors are available for contract farming of poultry

Sector is already very developed in terms of support services

Enabling environment and atmosphere

High demand for broiler meat Lower prices as compared to direct substitutes

(mutton, beef)

Weaknesses Threats

Lack of Transportation

Market is saturated in terms of production Poultry is an unregulated sector Short life cycles of broiler increase chances of

loss

Diseases such as new castle can eradicate entire

flocks Price fluctuations due to non-regulation can

caused huge losses Price fluctuations in feed cost can reduce profit

margins

The analysis shows that any potential poultry business can take advantage of backend poultry services available

in the region. However lack of government regulations in this sector can be a threat. The sector has seen

instability due to this factor in the past.

Marketing mix for poultry farming includes the following:

a. Product

Primary product of poultry farming is broiler. The product here would not be chicken meat rather the broiler

itself. Meat of chicken is in high demand throughout the region including the ten target villages under review.

Two most attractive features of this product are its relatively low price and health benefits. Due to relatively

low cholesterol as compared to beef and mutton, it is more suitable for patients with heart problems. Life

cycle of broiler is very small therefore unlike livestock poultry farmers cannot keep their produce over long

periods of time.

Risk of this sector can be reduced by diversifying into other poultry products such as layer and breeders. Layer

farming is aimed at producing eggs and breeder farming is producing broiler and layer chicks. Diversifying with

breeder farming would further bring down input cost of the farm. Moreover chicks and eggs can be exported

to the Manshera and Abbottabad farms.

In each village, a Business Development Service Provider (BDSP) would be created through appropriate

training and business inputs, so that quality of the „product‟ can be ensured. The support services would

include provision of technical training, supply of inputs such as chicks, nutritious feed and veterinary services in

each village. BDSP could also serve as a consolidator who could sell broilers to other major markets.



56 | P a g e

b. Place

Broilers would be farmed in the villages of Galiyat-Abbottabad and primary targeted markets for selling broiler

should be Abbottabad and Rawalpindi. Produce can also be sold to the locals especially on occasions such as

weddings etc. Farmers can also sell directly to shops in the Nathiagali.

c. Price

Poultry sector is an unregulated sector. This is why prices in this market are highly unstable. There is lack of

affective government action to regulate supply and demand. Meat of broiler is expensive as compared to

breeders and layers. On average broiler meat is available at prices of 220-250 PKR per kg. In past, prices have

seen high volatility and have varied from PKR 100 to 270 per kg. Primary factor affecting broiler price is the

level of production. Diseases such as bird flu have also negatively affected broiler price in the past.

d. Process

There are five different players involved in the process. The input suppliers provide chicks, medicine and feed

to farmer. Farmer supplies poultry to wholesaler. Wholesaler provides broilers to butcher. Some poultry

farms directly provide to butcher shops as well. Value chain of contract farming would be the same; however

contractor would be the only link between farmer and other players. A detailed value chain for this sub sector

has been given on page # 33.

e. Promotion

Poultry famers should focus on poultry butcher shops and increase direct supply. This would minimize profits

reaped by the poultry middle man i.e. wholesaler.



57 | P a g e

Annex 1:

Broiler Starter & Finisher diet

Ingredients Starter diet(% required)

Finisher diet(% required)

Maize 44.25 44.10

Rice polish 10.00 20.00

Groundnut cake 15.00 11.00

Sunflower cake 15.00 11.00

Fish meal 6.00 5.30

Meat meal 6.00 5.50

Blood meal 0.25 0.2

Animal fat 2.00 1.25

Bone meal 0.75 0.6

Limestone 0.5 0.7

Salt 0.25 0.25

Mineral and vitamin mixture 0.1 0.1

Total 100.00 100.00



58 | P a g e

Women Entrepreneurship Development

Bead work and crochet

Embroidery

Goat fattening

Tailoring

Candle making



59 | P a g e

Feasibility and marketing strategy for:

Bead and crochet work

1. Introduction

Bead and crochet work is very popular as embroidery in lower, middle and high-income segments of the

Pakistan. Both works are very much applicable for different type of garments, shoes, home accessories, and

decoration pieces etc. Women in all target villages are traditionally involved in embroidery work that is labor

intensive. Due to lack of exposure and skills they are not able to add any value in existing practices. Bead and

crochet work are less labor intensive and add value to different products, following is the product range of

both styles:

Bead Work

1 Jewelry 6 Suits 11 Wall hanging 16 Pattiyan

2 Pouches 7 Shawls 12 Decoration pieces 17 Frames

3 Mobile covers 8 Shoes 13 Book marks 18 Vehicle decorations

4 Purse 9 Key rings 14 Gallay 19 Dresses

5 Lasses 10 Safety pins 15 Bangles 20 Caps

Crochet work

1 Bed sheet set 6 Shirts (Kameez) 11 Table covers 16 Purse

2 Cushions 7 Shawl 12 Table mats 17 Mobile cover

3 Sofa back 8 Scarf 13 Caps 18 Pouches

4 Gallay 9 Sweaters 14 Flowers 19 Frames

5 Lasses 10 Baby sets 15 Bags 20 Pattiyan

According to the center assessment, approximately 50% local females reported traditional skills of

embroidery,, however only 30% villages are involved in this business. Thus level of expertise can be below

market standards and further training is required to polish their skills. Moreover there is high social

acceptability as male individuals suggested during the FGDs that embroidery and similar businesses should beintroduced in their area. On other hand females showed interest in starting an embroidery business.

This feasibility focuses on six crochet products and six bead products. The business will be run by a female

entrepreneur who will engage four other female workers. Business cycle would continue by ten months due to

harsh weather in the region.

2. Target market

According to the survey, buyers for bead and crochet products are in the Nathiagali, Abbottabad and

Rawalpindi markets and there is also a local demand for such products. This is because embroidered female ‟

dresses are part of the Pakistani culture. Boutiques in the Rawalpindi, Abbottabad and Nathiagali sell theseproducts at high prices. Most of products are in common use from dressing to decoration. Sungi in the



60 | P a g e

Abbotabad and Behbud Association in Islamabad are also promoting such businesses and are potential buyers

for these products.

3. Technical feasibility

Technical aspects Status Reasons

Skills Ok For both bead and crochet work, technical skills will be required

because these works are very much different from typical

embroidery. So each woman will receive technical and skill

training from local BDSP.

Technology Ok There is no complicated technology or machinery involved in

both businesses.

Environment/health Ok This business is environment/health friendly and also socially

acceptable.


4. Required resources

Inputs required for this business include procurement of tools, raw material, packing, work space etc. An

assessment of resources is as follows:

Raw material

Beads, threads, needles, crochet are key materials for this business. In market research

it is identified that bigger markets such as the Abbottabad and Rawalpindi provides all

raw materials required for both bead and crochet works. The Moti Bazaar Rawalpindi is

relatively less expensive as compare to the Abbottabad. Collective/bulk buying can makeit more feasible.

Human

Resource

As per the assessment, approximately 50% local females reported skills of embroidery,

but not at enterprise/entrepreneurship?? Level. Most of the women have leftover time

from their household chores and also expressed their willingness to be involved in

business activities. However it would require extra labor for fast production,

there/where a woman can engage 4-5 female workers. It is proposed that village women

who will set up this business come together as a group, to do the following:

Get technical training

Buy inputs together


Sell together

While to be independent, each woman would be a part of the group, so as to benefit

from economies of scale. In 2nd or 3rd year of business, these women would be

encouraged to form an association that would assist other women to start such a

businesses and link up with similar associations in other villages.

Packing

Material

Packing material is easily available from the Abbottabad and Rawalpindi markets.

Eventually project outlet will provide this material.

Work PlaceThis business does not require any specific formal space/place. It is a home-based

business that can be done easi ly in a room, courtyard or commonplace.

5. Cost estimation



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Raw Material Cost21:

Recurring cost bead work 23,675. 00

Recurring cost crochet work 151,150.00

Labor cost22:

Labor cost bead work 250,000.00

Labor cost crochet work 282,500.00

Other cost:

Electricity 1 200 10 2,000.00


Communication 1 200 10 2,000.00

Packing Material 1 1000 10 10,000.00

Promotion – cards etc 1 1000 1 1,000.00Total Cost of Project 732,325.00

6. 7. Estimated income

It is estimated that household would be able to generate income during entire year by manufacturing, selling

and repairing different products23. But sales are calculated for 10 months keeping in view harsh weather and

access to market in winters..

# Description Total Amount

1 Bead work 457,500.002 Crochet work 402,000.00


8. Estimated profit

Total income 859,500.00

Total recurring cost 732,325.00

Profit 127,175.00



23,367/month to one entrepreneur, with a profitability analysis as follows:

1. Return on sales: total profit/total sales x 100 = 14.79% 2. Return on investment: total profit/total investment x 100 = 17.36%



21

Estimated Raw Material Cost is attached as Annex-0122Estimated Labor Cost is attached as Annex-02

23A product wise estimate of income is given as Annex-03



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Quality control Local BDSPs can provide their services to control and maintain the quality

CompetitorsLow price Chinese products can give a hard competition but quality

management, strong marketing, orders placement system can tackle this risk

Extreme weather Keeping in view the same risk business cycle is considered for 10 months






Suppliers of raw material are available in theAbbottabad and Rawalpindi markets

Tools are available Strong historical background of Jisti and other

embroidery NGOs are working on same sector from long

time NGOs focus on home-based workers

Outlet at the Nathiagali Technical up gradation

Networking & linkages with differentplayers/stakeholders

Weaknesses Threats

Lack of technical skills High cost of production due to high rate of raw

material No proper designing facilities available Unawareness of any quality control and

standards Constraint of technology Identification of quality raw material

Import of low price articles from the China andIndia

Instable political set up of the country Harsh Weather

The above analysis shows a greater potential in this business. There is a need to overcome weaknesses and

increase the strengths, since opportunities and threats are external factors so they would be considered when




63 | P a g e

Marketing mix for bead and crochet work business includes the following:

a. Product

There are different potential products in bead and crochet work, this project will focus on the following:

Bead work

1 Qameez & Dopatta 2 Jewelry set, bangles 3 Key chain

4 Decoration pieces (Khussa) 5 Jarsi/sweters on bead work 6 Van staring

Crochet work

1 Lassees 2 Baby Set 3 Cushion & sofa back

4 Bed sheet set 5 Qameez (shirt) 6 Table mate

Products are selected on the basis of market research conducted in the Nathiagali, Abbottabad and Rawalpindi.

These products are considered as routine items. Key chains and other vehicle decorative items are on high

demand by drivers and people involved in transport business i.e. Suzuki vans in the Abbottabad and Haripur

use this material. Beads jewelry and bangles are in fashion and women use them as matching decorative with

their dresses. Crochet products are labor intensive and are thus very expensive in retail market. Considering

market demand, above products is selected, range of the products can be extended eventually to include other

products.

In each village, a Business Development Service Provider (BDSP) would be developed through appropriate

training and business inputs, so that quality of product can be ensured. Support services would include

provision of technical training, supply of inputs and linkages building etc.

b. Place

This business does not require any specific formal space/place. It is a home-based business that can be done

easily in a room, courtyard or commonplace.

c. Price

Prices of different products are determined on basis of survey conducted in the Nathiagali, Abbottabad and

Rawalpindi. Following is the price schedule for all products. In first year, it is assumed that prices will remain

stable:

# Description Rate/item

Bead work

1 Qameez & Dopatta 1,000

2 Jewelry set and bangles 100

3 Key chain 50

4 Decoration pieces (Khussa) 70

5 Jarsi/sweters on Bead work 50

6 Van staring 300

7 Van front back decoration 300



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# Description Rate/item

Crochet work

1 Lessees 12

2 Baby set 500

3 Cushion & sofa back 1,000

4 Bed sheet set 4,500

5 Qameez (shirt) 1,500

6 Table mate 1,000

d. Process

There are five different players involved in the process. The input supplier provides the raw materials to the

producer. The producer supplies the products to the wholesaler or retailer. Or the wholesaler supplies the

products to retailers. These retailers are located in Abbottabad, Nathiagali and Rawalpindi market. The

manufacturer can bypass the wholesaler and provide directly to the retailer in order to increase their profit

margin.

.

e. Promotion

Nathiagali outlet will play an important role in promotion of bead and crochet products. In 2nd year,producers association can brand different products. Entrepreneurs can directly promote products using

catalogue and visiting cards.



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Annex-01:

Estimated recurring cost


Recurring cost bead work:

Needles (packets) 5 20 1 100.00

Cutter 5 60 1 300.00

Frame 5 35 1 175.00

Mate (Chttai) 1 800 1 800.00

Scissor 5 30 1 150.00

Design book 1 200 1 200.00

Neel 1 35 10 350.00

Safeda 1 20 10 200.00

Kerosene oil 1 20 10 200.00

Beads 100 gm 500 10 5,000.00

Wire 30 15 10 4,500.00

Thread 1 box 40 10 400.00

Ear ring hooks 2 packet 15 10 300.00

Key chain rings 100 10 10 10,000.00

Bangles 1 set 100 10 1,000.00

Total recurring cost bead work 23,675.00

Recurring cost crochet work

Crochet hook 5 40 1 200.00

Scissor 5 30 1 150.00

Mate (Chttai) 1 800 1 800.00

Thread (three plallai) 30 kg 500 10 15,0000.00151,150.00



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Annex-02:

Estimated cabor

# Description Qty/month Labor/item Labor/month Months Total

Labor

Bead work

1 Qameez & Dopatta 10 400 4,000 10 40,000.00

2 Jewelry set+ bangles 25 50 1,250 10 12,500.00

3 Key chain 100 15 1,500 10 15,000.00

4 Decoration pieces (Khussa) 100 20 2,000 10 20,000.00

5 Jarsi/sweters on Bead work 125 40 5,000 10 50,000.00

6 Van staring 25 250 6,250 10 62,500.00

7 Van front back decoration 25 200 5,000 10 50,000.00

Labor bead work 250,000.00

Crochet work

1 Lessees 100 meter 10 1,000 10 10,000.00

2 Baby set 15 set 350 5,250 10 52,500.00

3 Cushion & sofa back 5 set 800 4,000 10 40,000.00

4 Bed sheet set 2 set 3,000 6,000 10 60,000.00

5 Qameez (shirt) 5 1,000 5,000 10 50,000.00

6 Table mate 10 set 700 7,000 10 70,000.00

Labor crochet work 282,500.00



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Annex-03:

Estimated income

# Description Qty/month Rate/item Sales/mont

h

Months Total Amount

Bead work

1 Qameez & Dopatta 10 1,000 10,000 10 100,000.00

2 Jewelry set+ bangles 25 100 2,500 10 25,000.00

3 Key chain 100 50 5,000 10 50,000.00

4 Decoration pieces

(Khussa)

100 70 7,000 10 70,000.00

5 Jarsi/sweters on Bead

work

125 50 62,50 10 62,500.00

6 Van staring 25 300 7,500 10 75,000.00

7 Van front back

decoration

25 300 7,500 10 75,000.00

Income bead work 457,500.00

Crochet work

1 Lessees 100 meter 12 1,200 10 12,000.00

2 Baby set 15 set 500 7,500 10 75,000.00

3 Cushion & sofa back 5 set 1,000 5,000 10 50,000.00

4 Bed sheet set 2 set 4,500 9,000 10 90,000.00

5 Qameez (shirt) 5 1,500 7,500 10 75,000.00

6 Table mate 10 set 1,000 10,000 10 100,000.00

Income crochet work 402,000.00



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Feasibility and marketing strategy for:

Hand embroidery

1. Introduction

Embroidery has a lot of potential in local markets because there are relatively less numbers of factories in the

region. Demand for embroidery is also increasing. Industrial embroidery machines (multi head machines) of

different makes & origins (Japanese, Chinese and Korean) are used by factories to create embroidered

products. However capital expenditure on these machines is large. These machines are usually employed by

large and medium sized factors for mass production of embroidered products.

Trend embroidery on garments of all sorts is on a rise since last few years. Initially, embroidery work was used

to be done on export garments as per foreign customer's requirements. However, with passage of time, trend

has changed and local market of ladies suits has also emerged as a main customer of embroidery work.

Moreover, cotton fabric of ladies suits, which is exported to Middle East market, is embroidered before being

exported. Apart from these, embroidery work is done on bed sheets, table cloths, sofa covers and badges etc.

Following is a list of products which can be made with hand embroidery.

1 Round bag 6 Shawl 11 Bangles 16 Door bell

2 Shoulder bag 7 Cluch bag 12 Shirt 17 Passport size purse

3 Straight handle bag 8 Lehnga 13 Mobile cover 18 Pattian

4 Abaya 9 Purse 14 Glasses cover 19 Bracelet

5 Wall hanger 10 2 Piece suit 15 Make up mirror 20 Envelope

As per the center assessment, approximately 50% local females reported skills of embroidery, however only30% villages have any embroidery business. Thus, level of expertise can be below market standards and further

training is required to polish their skills. Moreover there is high social acceptability for the same business. Male

individuals suggested during the FGDs that embroidery or similar businesses should be introduced in their

area. On other, hand females showed interest in embroidery.

This feasibility focuses on six embroidered products. This business will run by a female entrepreneur who will

engage four more women as producer. Ten months business cycle is considered/recommended keeping in

view harsh weather.

2. Target Market

Local demand for embroidery can be assessed by population size because approximately every female uses

embroidered products. The ten targeted villages of this research have a substantial average population of 2590

residents. Moreover, average distance of each village from its primary market Abbottabad is 29.2 km and 90%

face issues of seasonal inaccessibility. Skill of embroidery was reported by approximately 50.8 % female and

approximately everyone identified it as a potential business. Target market for embroidered products would

primarily be the local villagers.

Majority of women in the area expressed an interest in setting up businesses of embroidered products. Main

demand is for warm clothes, especially when it is the seasons of weddings and festivals demand for formal

clothing goes high. Apart from garments, there is also considerable demand for products like bed sheets and

home accessories; bags; pouches; mobile phone covers etc, which is currently being filled by products from the



69 | P a g e

China. However, due to presence of a large tourist industry in the Nathiagali and Abbottabad, there is a great

potential market for local embroidered goods and handicrafts.

According to the survey, buyers of embroidery products are in the Nathiagali, Abbottabad and Rawalpindi

markets. There is also a local demand for such products but size of local markets is relatively small.

Boutiques in the Rawalpindi, Abbottabad and Nathiagali sell these products at high prices. Sungi Development

Foundation in the Abbottabad and Behbud Association in Islamabad are also promoting such businesses and

are also potential buyers of these products. This feasibility focuses on six embroidered products. This business

will run by a female entrepreneur who will engage four other women as producer. Ten months business cycle

is feasible keeping in view harsh weather.



Skills

Ok For embroidery work specific skills will be required to produce

small products. These are very much different from typicalembroidery. So each woman will receive a technical and skill

training from local BDSP.

TechnologyOk There is no complicated technology or machinery involved in

this business.

Environment/healthOk This business is environment/health friendly and also highly

acceptable by the community.



Closest markets for raw materials are located in the Abbottabad, specifically in the Main Bazar. Survey team

found that that there are no authentic wholesalers in the area, as vendors themselves procure material from

the Rawalpindi (Narankari Bazar), Faisalabad, Karachi, Multan or Lahore. However, they do sell in bulk and in

packets of either five or twelve suits. While a few revealed that they do give material on credit, it is generally

given to those customers with whom they have an old/reliable association. Inputs required for this business

include procurement of tools, raw material, producers, packing, work space etc. An assessment of the

resources is as follows:

Raw material

Threads, needles, tracers, frames, cloth etc are key materials for this business. Market

research identified that bigger markets such as Abbottabad and Rawalpindi provides allraw materials required for embroidery works. The Moti Bazaar Rawalpindi is relatively

less expensive as compare to the Abbottabad. Buying in bulk can make it more feasible.

Local shop and the Nathiagali outlet can be a big source of raw material supply.

Human

resource

As per the assessment, approximately 50% of local females reported skills of

embroidery, but not at enterprise level, most women leftover time from house chores

and thus expressed their willingness for the business activity. However, it requires labor

work for fast production so a woman can engage 4-5 producers. It is proposed that all

women in the village who set up this business come together as a group needs to;


Buy inputs together



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Sell together

While independent, each of the women would be a part of the group, so as to benefit

from economies of scale. In 2nd or 3rd year of business, these women would be

encouraged to form an association which would assist other women to start such

business and link them up with a similar associations in other villages.

Packing

material

Packing material is easily available from the Abbottabad and Rawalpindi markets.

Eventually project outlet will provide this material.

Work placeThis business does not require any specific formal space/place. It is a home-based

business that can be done easily in a room, courtyard or commonplace.

5. Cost estimation

Description Units Rate Months AmountRaw material cost:

Needles (packets) 5 20 1 100.00

Frame 5 35 1 175.00

Mat (Chttai) 1 800 1 800.00

Design book 1 200 1 200.00

Neel 1 35 10 350.00

Safeda 1 20 10 200.00

Kerosene oil 1 20 10 200.00

Thread 50 10 10 5,000.00

Cloth cotton – suits 5 500 10 25,000.00

Cloth georgette – suits 5 400 10 20,000.00Cloth sheets 5 300 10 15,000.00

Cloth 5-cushions 15 meter 100 10 15,000.00

Cloth 5-sofa back 7 meter 100 10 7,000.00

Cloth 5-trolley set 10 meter 100 10 10,000.00

Total raw material 99,025.00

Labor cost:

Cotton suits 5 400/suit 10 20,000.00

Georgette suits 5 400/suit 10 20,000.00

Chadar/sheets 5 200/sheet 10 10,000.00

Cushions 5 set 400/set 10 20,000.00

Sofa back 5 set 400/set 10 20,000.00

Trolley set 5 set 400/set 10 20,000.00

Total labor cost 110,000.00

Other cost:

Electricity 1 200 10 2,000.00

Transportation 1 1,000 10 10,000.00

Communication 1 200 10 2,000.00

Packing material 1 500 10 5,000.00

Promotion or visiting cards 1 800 1 800.00

Total other Cost 19,800.00

Total cost of project 228,825.00



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6. Estimated income

It is estimated that household would be able to generate income entire year by manufacturing, selling and

repairing different products. But sale is calculated for 10 months keeping in view harsh weather and access to

market in same season.

Products Qty Rate Months Total Income

Cotton suits 5 1,500/suit 10 75,000.00

Georgette suits 5 1,500/suit 10 75,000.00

Chadar/Sheets 5 800/sheet 10 40,000.00

Cushions 5 set 1,000/set 10 50,000.00

Sofa back 5 set 1,000/set 10 50,000.00

Trolley set 5 set 1,000/set 10 50,000.00

Total labor cost 340,000.00

7. Estimated profit



Profit 111,175.00



13,317/month to one entrepreneur, with a profitability analysis as follows:

a. Return on sales: total profit/total sales x 100 = 32.69% b. Return on investment: total profit/total investment x 100 = 48.58%




CompetitorsLow price Chinese products can give a hard competition but quality

management, strong marketing, orders placement system can tackle this risk

Extreme weather Keeping in view the same risk, business cycle is considered for 10 months



72 | P a g e


While this business is clearly profitable in financial terms, the Project must support entrepreneurs to evolve a




Suppliers of raw material are available Tools are available Strong historical background of Jisti and other

embroidery NGOs are working on same sector from a long

time

NGOs focus on home-based workers

Outlet at the Nathiagali Technical up gradation Networking & linkages with different

players/stakeholders

Weaknesses Threats

Lack of technical skills High cost of production due to high rate of raw

material No proper designing facilities are available Unawareness of any quality control and

standards Constraint of technology Identification of quality raw material

Import of low price articles from the China andIndia

Instable political set up of the country. Harsh weather

Above analysis shows a greater potential in this business. There is a need to overcome weaknesses and

increase strengths, since opportunities and threats are external factors so they would be considered when


Marketing mix for embroidery business includes the following:

a. Product

There are different potential products in embroidery work. This project will focus on the following products:

1 Cotton suits 2 Georgette suits 3 Chadar/sheets

4 Cushions 5 Sofa back 6 Trolley set

Products are selected on the basis of market research conducted in the Nathiagali, Abbottabad, Islamabad and

Rawalpindi. These products are considered as routine items. In each village, a Business Development Service

Provider (BDSP) would be „created, through appropriate training and business inputs, so that the quality of

product can be ensured. Support services would include provision of technical training, supply of inputs and

linkages building etc.

b. Place

This business does not require any specific formal space/place. It is a home-based business that can be done

easily in a room, courtyard or commonplace. The embroidery products would be created by female villagers in

villages of the Galiyat-Abbottabad. Embroidery shop would collaborate with local tailor and provide services

for female clothes. Primary market for other products such as handbags, mobile covers etc, would be the

tourist destinations of the Nathiagali and Abbottabad. Initially products would be supplied to other shops;

eventually a showroom can potentially be setup in Nathiagali. .

c. Price



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Prices of different products are determined on the basis of survey conducted in the Nathiagali, Abbottabad,

Islamabad and Rawalpindi. Following is the price schedule for all products. During the first year, it is assumed

that prices will remain stable:

Products RateCotton suits 1,500/suit

Georgette suits 1,500/suit

Chadar/sheets 800/sheet

Cushions 1,000/set

Sofa Back 1,000/set

Trolley set 1,000/set

d. Process

There are five different players involved in the process. The input supplier provides the raw materials to the

producer. The producer supplies the products to the wholesaler or retailer. Or the wholesaler supplies the

products to retailers. These retailers are located in Abbottabad, Nathiagali and Rawalpindi market. The

manufacturer can bypass the wholesaler and provide directly to the retailer in order to increase their profit

margin.

e. Promotion

The business should focus on improving supply side of business. Samples of completed products should be

showcased to shops in the Nathiagali and Abbottabad. During 2nd year, producers association can brand

different products. Entrepreneurs can also directly promote products using catalogues and visiting cards.



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Goat Fattening and Rearing

1. Introduction

Businesses associated with livestock, in particular goat fattening, breeding, trading of animals, milk products,

and poultry farming emerged as high potential in all 10 of the villages visited during this study. Milk and meat

are a substantial part of diet in this region, and practically all households are traditionally engaged in keeping

small animals for their own consumption. However, currently, this project‟s target group is not undertaking

livestock as an „enterprise‟ or „business‟. In terms of goat fattening and rearing, breed that is currently

cultivated is called „Barbari‟, which is a local non-descriptive breed with a fairly low reproduction capacity.

According to livestock experts in the Abbottabad and Mansehra, two other breeds i.e. Beetal and Khagani

should be introduced in the area, and cross breeding with Barbari should be encouraged for a sturdier animal

with a high average reproductive rate. According to expert opinion, Kaghani can survive in the valley of Hazara

districts and surrounding areas of KPK. These goats are large in size with white, gray, brown or black body

coat. Their meat conformation is considered to be medium to good. Kaghani goats yield a good crop of longhair (per head/year 2 kg), with an under coat of cashmere wool used for expensive pashmina fabrics.

This feasibility focuses on a 15-month cycle of buying, fattening, rearing, and trading of Khagani goats, where

female entrepreneur would begin with a unit of 12 female goats, where local Business Development Service

Provider (BDSP) would facilitate breeding of these goats as a paid service.

2. Target market

According to the survey, goat meat is in high demand amongst the middle-income households in villages,

currently available at Rs. 425-450 per kg. Goat milk is also popularly consumed and hence in significant

demand. Goats are also in constant demand in the neighboring markets of the Abbottabad and Nathiagali, dueto tourism and hotel business in the area. Just prior to Eid-ul-Azha, there is a significant demand for goats in

the Rawalpindi market as well. The goat fatting and rearing business goes hand in hand. The goats rearing yields

the offspring which are sold after fattening. The milk produced can also be sold as a side product.

In the 10 villages visited during this study, it is clear that most targeted households meet their own

requirements for meat and milk. There is insufficient surplus of goats or goat milk to allow for assertive

marketing of product. A few interviewees did indicate that they, or people known to them, purchase goat kids

from the Haripur mandi and then sell the fattened goat in that same mandi after 9 to 10 months.



Climate Ok Barbari and Kaghani can survive in all areas of Hazara

Grazing/vegetation Ok Grass, trees and dry fodder are available in the area, as is feed in

the markets of the Abbottabad

Water availability Ok The amount needed is available locally





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Inputs required for this business include procurement of kids/goats, fodder/feed, veterinary medicine, shed,

etc. An assessment of resources is as follows:

Kid/goat

Kids/goats are available from the livestock market/mandi in the Mansehra, Peshawar and

Rawalpindi. Over a 2-3 year time period, it would be possible for the project to support alocal BDSP who would initiate a small market/mandi for supply of kids/goats within each

village, thus acting as a consolidator.

Fodder and

feed

Locally grown trees, dry fodder and corn constitute major source of food for goats. Goats

are easy to feed on vegetable peels and leftover food. The project can contribute to

develop more nutritious feed for goats by working with local BDSPs, who can introduce a

local version of the „Khal‟ available in bigger markets such as the Abbottabad.

Human

resource

Advantage of rearing/fattening goats is; this does not demand a full time involvement and

hence women can be engaged other activities while benefitting from this activity. However,

women associated with goat rearing and fattening must PERCEIVE it as a business. It is

proposed that all women in the village who set up this business come together as a „group‟,

to do the following: :


Buy inputs together


Sell together

However a single women can also run this enterprise.

While independent, each of the women would be a part of the group, so as to benefit from

economies of scale. In 2nd or 3rd year of business, these women would be encouraged to

form an association that would assist other women to start such a business and link up

with similar associations in other villages.

Medicines

A goat would need three types of vaccines i.e. FMD, ETV, CCPP and de-worming at leasttwice in a year. While such medicines are available in the Abbotabad market (e.g. Meezan

Veterinary Services near Mezaeel Chowk), it would be critical to create a local service that

is both affordable and accessible by the women. Through appropriate training and support,

a local Business Development Service Provider (a male or female) would be trained as a

veterinary, and given support to establish a medicine and input supply shop. The basic

veterinary training would be for duration of 1 month, followed by another 2 months

advanced training. .

Shed/chappar A normal locally made shed is sufficient for animals especially in winter season.

Bucket and

fodder tray

A bucket and fodder tray is needed to provide goats with water and fodder, easily available

in the local market, or bought from the Abbottabad market.

5. Cost estimation


Capital cost:

Goats 12 12,000 0 144,000.00

Bucket-large 1 500 0 500.00

Fodder tray-wooden 2 1,500 0 3,000.00

Total capital cost 147,500.00Recurring cost:



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Feed – Khal 3 bag 1,200 12 43,200.00

Labor – one person 4 hours/day 40/hour 12 57,600.00


Vaccination/med/vet 12 1000 1 12,000.00

Depreciation:

Bucket (1 years life) 1 500 1 500.00

Fodder tray (4 years life) 2 31 12 744.00



6. Estimated income

It is estimated that entrepreneur would be able to generate an income from the 6 th month onward, initiallyfrom milk while in 13th month 6 cubs will be sold.

Month Description Units Rate Days/Month Total amount

6 Milk 18 kg 30/kg 30 16,200.00

7 Milk 18 kg 30/kg 30 16,200.00

8 Milk 18 kg 30/kg 30 16,200.00

9 Milk 18 kg 30/kg 30 16,200.00

10 Milk 18 kg 30/kg 30 16,200.00

11 Milk 18 kg 30/kg 30 16,200.00

12 Milk 18 kg 30/kg 30 16,200.00

13 Milk 18 kg 30/kg 30 16,200.00

Kids/goats 18 7,000 126,000.00

255,600.00

7. Estimated profit



Profit 147,500.00

Note: It is estimated that a 12-goat unit would generate, over a period of 13 months, a total income of Rs.194,400, i.e. Rs.57,600 as labor and Rs.136,800 as profit. This works out to an average income of Rs.

14,953/month, with a profitability analysis as follows:

a. Return on sales: total profit/total sales x 100 = 53.57% b. Return on investment: total profit/total investment x 100 = 51.37%



77 | P a g e



Mortality

A strong veterinary service is a must for the area. The project could explore

possibility of introducing insurance coverage for the animals, or having a systemwhereby the group members insure and protect each other‟s asset

Diseases Proper vaccination and an expert local veterinarian or BDSP

Extreme weather Women are trained in providing proper nourishment to the animals and

ensuring that they have adequate warmth and care




the Project is as follows:


Women‟s previous knowledge and experiencein goat rearing

Great demand of meat/goats in local and nearbymarkets

Government‟s focus on livestock and dairy

Enabling environment and atmosphere

Outlet at the Nathiagali Hotels in the Nathiagali Direct supply to hotels and collective selling on

Eid High local demand for meat

Weaknesses Threats

Lack of transportation Lack of in-depth technical knowledge about

goat fattening Initially unavailability of veterinary service

Diseases Harsh weather

The above analysis shows a greater potential in goat fattening and breeding business. There is a need to

overcome weaknesses and increase strengths, since opportunities and threats are external factors so they

would be considered when finalizing the overall strategy.

Marketing mix for livestock-goat fattening and breeding includes the following:

a. Product

There are two potential products in goat farming i.e. milk and meat. Goat milk is not in high demand

externally. However, it is a popular home consumption item within the village. The project would therefore

focus on farming goats. The major products for sale would be the kids, or a ready goat for sacrifice (e.g. during

Eid). In later years, women could also diversify and learn how to cook meat for long-term storage, which could

then be sold in cold climatic areas as a product itself.

Production (of goats) would be in small units, which would then be consolidated to create a mass, initially

within the village and later across the village. This would allow for economies of scale, in terms of buying (input

supplies) and selling. To ensure that product itself is of good quality and mortality rate is reduced, the project

would support experimentation in creating a breed that is viable for the region, i.e. a cross between Beetal,

China Burbery and Kaghani. This cross breed could also become a popular product from the region, and could

find a niche in the current goat market.



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In each village, a Business Development Service Provider (BDSP) would be „created‟, thro ugh appropriate

training and business inputs, so that quality of the „product‟ can be ensured. Support services would include

provision of technical training, supply of inputs such as livestock, nutritious feed and veterinary services in each

village. The BDSP could also serve as a consolidator who could sell kids or goats to other markets.

b.

Place

Goats would be reared in the villages of Galiyat-Abbottabad and primary markets for selling goats are the

Abbottabad and Rawalpindi. The produce can also be sold to locals on Eid-ul-Azha or other occasions such as

weddings etc. A special „shop‟ can be created in the Nathiagali to showcase these animals for sale. There are

different models which can be adopted for this shop e.g. seasonal, weekly etc.

c. Price

The government of Pakistan is regulating the livestock sector, thus prices are stable. Mutton is most expensive

meat in the Pakistani market, where one kilo of goat meat can cost approximately PKR 425-450. Prices are

high because national demand is not being satisfied by local production as a large part of local produce is being

exported to Middle Eastern markets. Price of goat would depend on the season and size of goat. A cub would

sell for PKR 500-7000, where as a fully-grown animal can be sold for approximately PKR 14000-15000.

d. Process

There are five different players involved in the process. Input supplier provides cubs, medicine and fodder to

farmer. Farmer supplies goats to the Livestock market from where butcher would buy goats for the meat

shop. A detailed analysis of livestock value chain has been given on page..

e. Promotion

Farmers from this region should participate in livestock shows (Mewashi Melas). This would provide them with

an attractive market to sell their products, and also allow them to find attractive markets and promote a new

breed. New breed (Beetal Cross Kaghani) should be displayed in these shows.



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Feasibility and marketing strategy:

Tailoring

1. Introduction

Demand for services such as tailor can be assessed by population size because every individual uses these

services. The ten targeted villages of this research have a substantial average population of 2590 residents.

Moreover the average distance of each village from its primary market Abbottabad is 29.2 km and 90% face

issues of seasonal inaccessibility. Considering distance from primary market, seasonal lack of access, population

and lack of present availability, there is high consumer demand in this sub sector. Approximately 50.8 % female

reported skill of tailoring and approximately everyone identified it as a potential business. Identification of

tailoring as potential business shows social acceptability of this business.

2. Target market

Target market of tailoring would be local village female resident. These females currently get their tailoringdone from the Abbottabad. Thus costs are increased due to inclusion of considerable traveling expenses to the

Abbottabad. Once services are being provided locally, costs would come down considerably. This factor

contributes to attractiveness of this target market. Average population of each village is approximately 2,590.

Assuming that approximately 50% are women and that each women orders two clothes per year and that

tailor will cater to 50% of the total target market in the first year. The target market calculation will be as

follow:

2590 x 50% x 50% x 2 = 1,295 suits would be sown in the first year

Volume of business is also assumed keeping in view the seasonal calendar that includes festival, different

seasons, and weddings etc that ultimately affect the tailoring services demand.



Skills Ok Approximately 51% females reported tailoring skills, these

skills can be polished

Human resources Ok Females in this region are unemployed and are also willing to

be engaged in income earning activities

Machinery Ok Machinery is available in neighboring markets

Raw material Ok Raw material of tailoring can be easily provided




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The inputs required, include different type of sewing machines and raw material following is the detail for each

resource:

Machines

and

furniture

Sewing machines: Sewing machine is used to stitch suits. Load shedding is one of theprimary concerns in this region. Therefore machine with dual capability of running on

electricity and also manually should be used. Machine being recommended is the dual

function Indian made machine. Machine has a pre installed motor and function of pico as

well. The machine can be bought easily from the Abbottabad or Rawalpindi markets.

Over-lock machines: An over-lock stitch sews over the edge of one or two pieces of

cloth for edging, hemming or seaming. Usually an over-lock sewing machine will cut the

edges of the cloth as they are fed through (such machines are called „ sergers‟), though

some are made without cutters. Inclusion of automated cutters allows over-lock machines

to create finished seams easily and quickly. Machine is available in the Abbottabad and

Rawalpindi markets.

Iron: Clothes are ironed for effective sewing and also when given back to the customer.

Furniture: Two chairs and three tables would be required. As there are two machines,

one table would be required for each machine. The third table would be used for ironing

and marking clothes for cutting.

Raw

material

Raw materials for tailoring include thread, cones, buttons/zip, bukram and needles. These

raw materials would be easily available from the Abbottabad and Rawalpindi markets.

Humanresource

Initially a single person would run shop but as the business grows up, more apprentices canbe hired. Tailor would own the business therefore she would be self-employed.

LocationA single room would be required to setup the workshop. This room could be in the house

the tailor is currently living in.

5. Cost estimation

The capital cost has been estimated for the business as shown below. The variable cost has been calculated on

basis of raw material needed for one suit. Bulk raw material can be provided for an entire year on this

estimate. Tailor would be self-employed, however estimate salary of 6,000 has been charged to the business.

Description Units Per Unit Cost Total

Capital cost:

Sewing machine 1 8,000 8,000.00

Over-lock machine 1 30,000 30,000.00

Iron 1 3,000 3,000.00

Chair 2 1,500 3,000.00

Table 3 4000 12,000.00

Stool 2 300 600.00



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Description Units Per Unit Cost Total

Measurement tape 2 15 30.00

Chalk 2 30 60.00

Pico cones 2 40 80.00


Variable cost per suit:

Thread cones 1295 4 5,180.00

Buttons/zip 1295 10 12,950.00

Needles 48 2.5 1,200.00

Bukram 1295 5 6475.00

Total variable cost per suit 25,808.00

Other Costs

Labor (12 months) 1 72,000 72,000.00

Electricity (12 months) 1 24,000 24.000.00

Depreciation:

Machines (4-year) 10,250 10,250.00

Furniture (3-year) 5,200 5,200.00

Total other costs 111,450.00


6. Estimated sales

The accumulated income has been calculated for an entire year.

Description Units Rate Months Total amount

Suit 1295 150 12 194,250.00

Duppatta 1295 10 12 12,950.00

Total sales 207,200.00

7. Estimated profit

Total sales 207,200.00

Variable and other costs 137,258.00

Profit 69,942.00

Note: A tailor will get Rs. 141,942 from this business in a year (Rs. 72,000 labor and Rs. 69,942as profit).

Following are two other analyses on return:

a. Return of sales: total profit/total sales x 100 = 33.75%b. Return on Investment: total profit/total investment x 100 = 36%



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Low quality of tailoring Females with high skill level should be selected moreover, vocational

training should be imparted to polish skills






Great demand of tailoring in local and nearby

markets Raw materials are easily available in nearby

markets Sector is already very developed in terms of

support services

Tailoring skill is common among localfemales

Most villages have accessibility issues, thusvillagers would rely on local tailor

Weaknesses Threats

The quality of local tailoring would be lower ascompared to the Abbottabad

Raw materials would be transported fromAbbottabad

Once a certain skills level is achieved, tailorswould move to urban cities for better business

The analysis shows that any potential tailoring business can take advantage of existing human resources in the

region. Main concern however, is development of tailoring skills. Vocational training would be required to

bring the skills level to market demand.

Marketing mix for tailoring includes the following:

a. Product/service

Primary product of this business is tailoring services for the local communities for female suits. . The tailor

however would have to improve the scope of their shop by diversifying the product. The tailor can also

include pillow covers and bed sheets in their products. There would be a high demand for this product as well

as everyone uses bed sheets and pillow covers. The tailor can also invest in cloth and raw material. This would

enable the tailor to provide sell cloth for the suits it makes. The tailor can further diversify and prepare

readymade suits if there is demand in their target market. This would be a higher value product and would

have a higher profit margin.

b. Place

Tailoring shop can be made inside house. Tailor can allocate a room for the business. This room should have a

direct access. In the targeted region, everyone owns their own house therefore location would not be an

issue. However these mountain villages are dispersed over a wide area with some houses located relatively far



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from the main village. Preference should be given to villagers located near or in the center of the village when

selecting a tailor.

c. Price

The price of stitching a single suit in the city is approximately PKR 200-250. In addition to these charges of stitching the tailor can charge addition for any value added work on the suit. This charge would vary depending

on the type of value addition.

d. Process

There are three different players involved in the process. The input suppliers provide raw material used insewing. As this shop is for the local villagers, it would supply directly to consumer. As a service, consumer

would also be an input supplier as it would provide cloth. A comprehensive value chain of this sub sector is

explained in market research chapter.

e. Promotion

Tailor can expand its services to the Abbottabad and adjoining markets. The village tailor can enter into a

commission agreement with city tailor. Under this agreement the Abbottabad tailor shop would channel

orders towards village tailor and get commission on sales. Village tailor can also become an outsource facility

for city tailor and thus get paid by city tailor shop for the services it renders.



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Feasibility and Marketing Strategy

Candle making

1. Introduction

Candle is a solid block of fuel (commonly wax) and an embedded wick, which is lit to provide light, andsometimes heat. Most candles are made from paraffin. Candles can also be made from beeswax, soy, otherplant waxes and tallow (a by-product of beef-fat rendering). Gel candles are made from a mixture of paraffinand plastic. In Pakistan, the Iranian Wax is the most recommended type of wax for candles. Candle makingprocess is very simple and can be practiced by individuals at household level.

The research showed that females are greatly interested in becoming involved in small enterprises which canbe managed on a household level. Candle making is a business which can be managed by the local females intheir own kitchen. Locals of the targeted villages have issues of inaccessibility and transport. Candle making canbe a potential business in this region, because it doesn‟t require bulky raw material or very high technicalexpertise. Moreover human resources are available at household level and the business is also flexible and canbe carried out along with household chores.

2. Target market

There is demand for candles both in the local villages and in markets of the Abbottabad, Nathiagali andRawalpindi. This demand would greatly increase as summer approaches, because load shedding hours increaseduring the summer season.

3. Materials Required

Wax and

wick

Recommended wax for this venture is the Iranian wax, which is available at PKR 120 per kg.

The Wick (sutar) for candle making is available at PKR 120 per kg. Both item are easily

available in the Abbottabad and Rawalpindi markets.

Stove and

cylinder

The wax must be melted on a stove before it can be transferred to moulds. This process

cannot be done on wooden fire as wax is blackened by smoke. Both items can be

purchased from the Abbottabad and Nathiagali markets.

MouldsWax moulds come in many sizes. Two sizes have been recommended. The Size 1 is for

candles, which sell for PKR 5 per piece. Size 2 is for making candles which sell at PKR 10

per piece. Moulds are easily available in the Abbottabad and Rawalpindi markets.

Human

resource

Female human resources are available in the region. Candle making skills can be imparted in

short training as it is a simple process. Women can easily do this business along with other

household activities.

Packing

material

Plastics sheets and boxes would be required to pack candles. This material is also available

in neighboring markets.

Cup, BrushA standard size cup would be required to transfer wax to moulds. Brush is used to oil the

mould with cooking oil.

4. Cost estimation


Capital cost:

Moulds size 1 2 3000 - 6,000.00

Moulds size 2 1 4,500 - 4,500.00

Cooking pot (Karahi) 1 250 - 250.00

Oil brush 1 20 - 20.00Stapler 1 200 - 200.00

http://en.wikipedia.org/wiki/Fuel

http://en.wikipedia.org/wiki/Wax

http://en.wikipedia.org/wiki/Candle_wick

http://en.wikipedia.org/wiki/Light













http://en.wikipedia.org/wiki/Light

http://en.wikipedia.org/wiki/Candle_wick

http://en.wikipedia.org/wiki/Wax

http://en.wikipedia.org/wiki/Fuel



85 | P a g e


Stove 1 3,000 - 3,000.00

Cleaning tool –

khurcah 1 20 - 20.00

Scissors 1 150 - 150.00

Knife 1 150 - 150.00Mug 1 70 - 70.00


Recurring cost:

Gas cylinder 2 1,500 12 36,000.00

Wick (Sutar No. 60) 0.5 120 12 720.00

Wax 450 120 12 647,740.80

Cooking oil 0.5 170 12 1,020.00

Labor 1 6,000 12 72,000.00

Plastic wrap 6 160 12 11,520.00

Stapler pins 2 10 12 240.00

Boxes 1620 2 12 38,880.00Total recurring cost 808,120.80

Other costs

Yearly depreciation24 4,786.66


5. Estimated sales

Sales have been calculated on the assumption that a single candle making cycle takes approximately 20 min. It

has been assumed that a worker will work for approximately 6 hours in a day. Therefore on this assumption

the daily production level will be as follow:

Size 1: 2 x 18 = 36 dozen

Size 2: 1 x 18 = 18 dozen

Monthly sales

Sales of size 1: 36 x 40 x 30 = 43,200.00

Sales of size 2: 18 x 70 x 30 = 37,800.00

Monthly sales = 8, 1000

Total yearly sales = 81,000 x 12 = PKR 972,000.00

24 The depreciation has been calculated on straight line basis using an estimate life of three years for the equipment. The schedule has

been annexed.



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6. Estimated profit

Total income 9,72,000.00

Total variable cost 8,08,120.80

Depreciation 4,786.66

Profit 1,59,093.00

Note: Businesswomen would earn a total of 2,31,093 (PKR 72, 000 as salary and PKR 1,59,093 as profit).

Following are two financial analysis:

a. Return on sales: total profit/total sales x 100 = 16.36%b. Return on investment: total profit/total investment x 100 = 19.34%



Extreme weather Mobility of workers would be restricted in snowfall season, thus raw material

would be stored before snowfall season starts, usually in December

Demand fluctuation Demand for candles would fluctuate according to electricity supply


Competitors Low price Chinese products can give a hard competition but quality

management, strong marketing, orders placement system can tackle this risk.


While this business is clearly profitable in financial terms, the Project must support the entrepreneurs to

evolve a long-term and sustainable marketing plan. A SWOT (Strength-Weakness-Opportunity-Threat)

assessment of the Project is as follows:


Human resources for candle making areavailable locally

Females have shown interest in starting theirown business

Candle making process is very simple and can

be carried out on a household level Raw material are available in nearby markets of

the Abbottabad

The load shedding crisis in the country hasgreatly increased demand for candles

The summer seasons seas a higher demand forcandles as load shedding is increased to 8-12hours a day

Local demand of candles due to load shedding

Weaknesses Threats

Lack of skilled labor Lack of Transportation Inaccessibility to the region in winter season

The business is directly linked to load shedding,if the power crisis is resolved the demand willfall



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Above analysis shows a greater potential in candle making business. There is a need to overcome the

weaknesses and increase the strengths, since opportunities and threats are external factors so they would be

considered when finalizing the overall strategy.

Marketing mix for candle making includes the following:

a. Product

Candles are available in two different forms. The simple white candle is the most common candle found in the

Pakistan. Aim of this product is to provide light during load shedding hours. These white candles can be found

in many different sizes and price ranges. Another use for candles is as a decorative item. Different colors and

scents are added to the wax to increase their aesthetic beauty. This value addition can increase the price of a

single candle many folds. However, demand of decorative candles is low as compared to white candles.

Therefore currently the business would focus only on white candles. In the long run, business can diversify by

introducing decorative candles. These candles can be sold to tourist markets of the Nathiagali.

b. Place

The business would be introduced in the villages of Abbottabad. Accessibility issues with these regions would

not affect this product as compared to other bulky products such as milk, wheat etc. Candle making process

can be easily carried out in the kitchen of any household as it does not require any space.

c. Price

There are two different types of candles recommended for candle makers. The Size 1 sells for 40 per dozen

whereas size 2 would sell for 70 per dozen.

d. Process

There are five different players involved in the process. The input supplier provides wax along with other

inputs to the candle maker. Candle maker supplies the finished product to the wholesaler. Candle maker

would also supply directly to the local retail shop for distribution.

e. Promotion

Candle maker should show samples of their product to the wholesaler and retails shops in the Abbottabad and

Nathiagali. Moreover the locals should also be shown a sample of the product. Introductory prices can be

introduced as a promotional tool.



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Annex 1:

Depreciation Schedule

Depreciation Value Period Per year

Equipment 14360 3 4786.667



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4.3 Operational Manual for an Outlet

It is proposed that the project establish and strengthen a MULTIPURPOSE outlet as a formal input supplier,

consolidator, bulk collector, and attractor of external buyers for local products. This support is essential, given

the following:

Some of the selected villages in which the project aims to work in, are remote or inaccessible in certainmonths of the year. These villages would thereby require facilitation for effective backward and forward

linkages.

In order to be competitive in open market, where possible, the entrepreneurs in these villages should

engage in bulk buying and selling.

There has to be a mechanism for engaging in „market intelligence‟ so that the villages remain linked to the

mainstream economy.

The rationale for the outlet and suggestions for its establishment and eventual sustainability are given below:

Rationale for establishment of outlet:

The suggested outlet would have the following objectives:

To act as a central point where external buyers can access villageproducts

To facilitate bulk collection and sale of village products

To act as a raw material access point for village entrepreneurs

To act as Tehsil based information hub and resource center as well as aconduit for need-based technical training

It is envisioned that following categories of stakeholders will benefit from the outlet as described below

Category of beneficiary Intended benefit from outlet

1. Buyers of the products/produce from these

10 villages including:

a. Tourists/individual customersb. Local hotelsc. Local householdsd. Shops & other buyers from larger cities

e.g. the Abbottabad, Haripur, Murree

Access to a range of products from 10 villages aswell as large number of entrepreneurs whoseefforts can be channelized towards productionof specific products

2. Village Producers/entrepreneurs and BusinessDevelopment Service Providers (e.g. vocationaltraining centers)

Access to latest market intelligence andinformation

Access to better quality, low priced raw material Access to other entrepreneurs/BDSPs for

collaborative ventures.

3. Project staff and stakeholders Utilization of central hub to disseminate

information to villagers and to obtaininformation from villages.

a. Description of Outlet



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The Outlet would be centrally based in the Nathiagali, close to local transport systems so as to be easily

accessible by locals. The Outlet will have three distinct sub-units as follows:

Raw material Shop Product OutletInformation Booth &

Resource Hub

Provision of inputs applicable toeach business for e.g.a. Handicrafts (thread, needle,

patterns, beads, packing andpackaging material)

b. Livestock (feed, medicine)c. Farming (seeds, fertilizer,

pest control)d. Wood, glue, tools and

equipment for carpentrybusiness

Consolidation and sale of thefollowing products:a. Fresh-farm produceb. Processed foodsc. Handicraftsd. Wood items and accessoriese. Poultry, livestock and dairy

products

Facilitator in terms of:a. Access to market informationb. Information on Product

Diversification and designc. Directories and market

Linkagesd. Access to business

Development serviceproviders

b.

Mechanism for establishment

This Outlet would serve several purposes, e.g. as a shop in market, as a supply or finished product collective

for village entrepreneurs, and as a information hub. But in order to ensure long-term sustainability, the Outlet

should be able to cover costs, and make a profit that could be invested in its expansion and growth. To ensure

transparency and good governance of this public good, it would be critical to effectively orient Project

stakeholders about the outlet and ensure a wider ownership of this entity from the beginning. Following steps

are envisioned for establishment of this outlet:

i. Orientation to villagers

The target communities, including CBO members, potential entrepreneurs, and existing business owners

would be oriented to the outlet, including its purpose, benefits, structure, ownership, and core operations.

Brochures and handouts would be passed out that would highlight immediate and long-term benefits of this

entity and potential for the community to assume collective ownership of the outlet by becoming members of

the caretaker committee.

ii. Formation of caretaker committee

The CBOs and entrepreneur groups in the communities would be asked to nominate one man and one

woman as village representatives on the outlet caretaker committee. The following criterion is suggested for

community members:

Registered as projectbeneficiaries

Member of any interestgroup

Time commitment forcommittee functions

Demonstratedentrepreneurialcompetencies

The Outlet caretaker committee would comprise of 20 members (2 persons from each village). Once

established, the committee‟s capacities will be built through training and exposure, so that they can better

understand their role, rationale and intended benefits of the outlet and how to make strategic management

decisions to run the center. It is recommended that whole committee meet once in a month (or in two

months) whereas an elected outlet core committee comprising of 5 members, appointed on a rotational basis,

will be responsible for day-to-day operations and outlet‟ management. A technical advisor will monitor,

mentor and handhold the committee for one year.

iii. Human resource allocation



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The outlet core committee will take strategic decisions with regard to staffing, management and other HR

allocations. This process will be supported and supervised by the technical expert. A monthly salary and per

product commission would be given to the salesperson/s, preferably a male and female. Initially this cost will be

supported by the project, but in the next two phases the project should be able to support it on a declining

basis. Sales and management team would be trained in effective selling skills, stock management and accountingsystem.

iv. Place, furniture and fixtures

A centrally located, close to transport services place will be rented for this outlet in the Nathiagali, which will

have three distinct divisions as follows:

Raw material shop Products outletInformation Booth &

Resource Hub

This Outlet would be designed with as a self-service center, and would have appropriate racks and shelves thatwould make display and product handling easy and transparent. Some specific equipment and furniture andfixtures needed for setting up the outlet include: racks, shelves, desk, pricing and tagging machine, fridge andfreezer and counter. A computer with printer would also be needed for teller.

v. Computerized accounting and stock management system

Point of sale (POS), a computerized accounting and stock management software, would be required for the

outlet. Training will be required for the core committee members, so that on a rotational basis they would be

able to supervise sales and stocks. This computerized software will be helpful to manage the stocking system

and assist in tracking the sales. However, a manual bookkeeping system would also be introduced, including

the following25:

Receipt Order book Cash book

Debtor record Creditor recordCash flow and Profit & Loss

System

25Please see Annex 08 for a suggested Bookkeeping System for Outlet



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vi. Communication system

Keeping in view the multiple stakeholders that this outlet would be linked to, a strong and reliable

communication system will be required. Some suggestions are as follows:

Stakeholders Medium of communication

Project beneficiaries Face-t0-face

Project team Quarterly reports

Associations Monthly meeting

Core committee Monthly meeting

Market stakeholders Need based

BDSPs Face-to-face

vii. Operational strategy

Visibility:

Outlet will require a unique name for its own visibility and credibility – with local, external, national and

eventually international markets, including individual buyers and sellers. In Phase II and III of the project, the

outlet would consider branding its more popular products and services. It would use attractive packing and

packaging strategy for all farm and non-farm products, aimed at enhancing its visibility among all stakeholders.

Word of mouth will also play important role in this regard.

Ability:

Through a comprehensive training process, human resource that would be associated with the outlet, also as

committee members would be trained in effective salesmanship, marketing, bookkeeping, ordering, stock management and customer service. This would facilitate other individuals to consider investing in similar

outlets, thus benefitting the villages in the long run.

Connectivity:

Main focus of the Outlet will be connectivity with different stakeholders of value chains. It ‟s linkages with local

and neighboring market venders and buyers will be helpful to increase business volume. It will also remain in

continuous communication with beneficiaries and interest groups and their associations. It will share day-by-

day prices of products that will help producers or growers to make business decisions.

Mobility:

Due to geographical hindrances it is difficult for small entrepreneurs to sell its products in nearby markets, so

this outlet will help them to resolve this issue. It will leverage local transport system to transport product to

and from villages and experiment with innovative ways of product delivery. It will also help beneficiaries to do

lot of collective actions i.e. marketing, buying and selling.



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5. Lessons learnt and recommendations

The research process elicited following issues in the target areas that hinder economic development process inthe villages, and which have implications for the both enterprise development projects:

Lack of motivation in community to start a business, the current mindset being geared to find jobs inother cities and abroad. This indicates need for a proper mobilization and motivation process to engagelocal community

Most of the prevailing businesses as farming, livestock rearing and other services are at subsistence level.People lack business knowledge and skills so before helping them to initiate a business, comprehensivetraining on business development will be necessary

Technical skills play a key role in any business and it is observed that community lacks technical skills i.e.for embroidery, poultry, dairy, beed work, wooden crafts etc.

Hilly areas restrict mobility of the locals, which eventually creates major hurdles in business initiation andoperation which be considered before any intervention.

Harsh weather is one of the major problems affecting whole business cycle, so multiple businesses arenecessary.

NGOs do not work for ever, rather adopt a strategy, like in case of WV, to transform

communities and systems by working as catalyst and phase out of the area after transferring

knowledge, skills, resources etc.Thus will be a need to develop an exit strategy that can contribute tothe whole enterprise development process in absence of external support.

Keeping in view these issues some key PRINCIPLES are recommended for the project

implementation:

Community should be motivated and ‘readied’ for business, more in some areas, e.g. NumliMera, than the others. In absence of this mobilization for enterprise development, eventual projectresults are expected to be limited. Some of the villages have very limited exposure to businessconcepts, and some villages have limited credibility within the development sector and local

government. These aspects will have to be taken into account when designing project interventions.

To be competitive in the market, the 10 villages will eventually be encouraged to bulk produce, form an association and engage in joint purchase of input supplies, skills access, and

marketing. Hence some products are common to all villages, e.g. embroidered products, poultry,livestock, milk, goats, wooden crafts, light furniture and candles etc.

The Project will explore how to develop a unique niche in market, for each of their product. The wooden crafts from the 10 villages can be technically improved and then branded to create aname in the market. The women could be trained to develop 2-3 food items, e.g. dried chicken meat,with a complete recipe of many ways, in which it can be cooked, processing of apples in apple jam andpickles made from apples, etc.

Where no, or low skills exist, the project will invest in new skills that can show quick results ,e.g. in those areas where there is limited embroidery skills, the project will train women in other skillssuch as candle making and can also train them on screen printing, block printing, home basedvegetable garden, etc.

All project associated households will be encouraged to learn multiple skills, for several reasons:it is a harsh environment, and households can benefit from a single crop per season. With multipleincome earning options, people can minimize risks and move towards sufficiency.

The project will engage, as volunteers or project associates, those village youth who are

educated, but are living in other cities. This resource will be constantly tapped to provide supportto the project‟ beneficiaries.

The Project will build its exit into its entry , and ensure that all the key project inputs can continueto be replicated and passed on to others at a fraction of the initial cost. For example, expert BDSPs



1

(Business Development Service Providers) would be developed for various businesses, e.g. potatogrowing, bee farming, goat fattening, etc., who would be encouraged to train others for a small fee.Hence skills would continue to be passed on amongst these villages, as well as to other neighboringvillages.

It is further suggested that the project be designed and implemented in three PHASES, where an overview of

scope of work (SoW) and activities for each phase is as follows:

Phase-1: Phase-2: Phase-3:

Anchoring (5-months)

Key inputs to mobilize targetcommunities for enterprise

development

Nurturing (1 year 5 months) Maintaining quality of the

interventions, strengthening localcapacities

Institutionalizing (6 months)

Developing local institutions formicro entrepreneurship

development

1. World Vision International(WVI) staff orientation toeffectively managing micro

enterprise developmentprojects

2. Orienting the community foreconomic development

3. Mobilizing and selectingproject beneficiaries(WED/HED/BDSPs)

4. Developing databases andestablishing a monitoring anddocumentation system

5. Technical assessment of proposed business categories

6. Capacity development of „STARs‟ or enterpriseactivists/BDSPs

7. Capacity building of skilltrainers

1. Conduct of enterprisedevelopment training bySTARs, supervised by

enterprise specialists andexperts

2. Conduct of skill trainings bySTARs or BDSPs, supervisedby technical training experts

3. Exposure to other practicesand linkages with a range of stakeholders

4. Formation and functioning of savings and credit groups

5. Establishment of avocational/skills training center

6. Establishment of a distributionand sales outlet

7. Formation of associations

8. Participation in fairs, melas,exhibitions, WED/HED showand tell

1. Establishing andstrengthening vocationaltraining centers as an exit

strategy2. Strengthening associations of

interest groups across thevillages (forming producerorganizations – POs)

3. Developing, strengtheningand branding a BDSP forum

A detailed project implementation plan (PIP) is as follows:

Phase 01: Anchoring (5-months)

This will be a critical building block stage of the project, where the key inputs will be to ready the communityand its resources for enterprise development. Key activities proposed in this phase are as follows:

Activity 01: Orientation of World Vision staff to effectively manage micro entrepreneurship developmentprojects

In order to manage an effective microenterprise development project, key project staff should be oriented tothe value chain approach to economic development, and how to design, implement and monitor a self-sustaining enterprise development project. Project success is often comprised because those managingprojects are themselves not clear about enterprise concepts. This orientation would revolve around thefollowing:

Basic concepts of enterprise development

Designing enterprise development for sustainability and replication

Managing project implementation for results Effective monitoring, evaluation and documentation



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Activity 02: Orienting the community for economic development

The community‟s understanding and buy-in of the benefits and long-term vision of the Project is critical for itssuccess. Given that many of the villages are not socially mobilized, and there are limited functional COs in theareas, this step will require significant investment of time. A technique may have a longer term sustainability is

to launch an „Energy-Experience‟ model, i.e. identify a 5-6 male and female youth and an equal number of maleand female senior and more influential people within the community, and give them a basic training inorganizing a 3-4 hour community meeting of relevant individuals within the community. The project team, withtechnical support, would design an interactive and experiential 3-4 hour duration orientation package, andimplement it in those communities that organize this meeting. This orientation would be first step towardsencouraging the community to select the appropriate people who will participate in this project, and to helpthe community understand that this would not be a one-time input, i.e. „being given a fish‟, rather they wouldbe taught „how to catch the fish‟. The initial study results, the three phases of the project and the potentialsub-sectors per village would be shared with the community. The community members would be asked toidentify and nominate beneficiary/client for WED and HED.

Activity 03: Mobilizing and selecting project beneficiaries (WED/HED/BDSPs)

Activity 02 above is expected to result in finding interested candidates for the project. Since the project hasalready identified households who would participate in HED, this process would be geared more towardsidentifying candidates for WED and to find those who would later serve as community leaders for sparking andsupporting enterprise development in the area, either as Enterprise Activists or BDSPs. All interestedcandidates would be screened to ensure their potential for enterprise development, in terms of their existingand potential skills, commitment and entrepreneurial competencies. When the WED candidates are identified,they would be simultaneously clustered in similar business interest groups, e.g. embroidery and handicraft,farming (crops, vegetables, fruits), livestock, poultry and other services. Households selected for HED wouldbe encouraged to engage in multiple businesses, where both male and female members of the householdactively engage in the enterprise development process.

Activity 04: Developing databases and establishing a monitoring and documentation system

The project would develop a baseline for each participating member and household in the community. It wouldalso identify those individuals and households whose progress would be more closely traced and documentedthroughout the Project. Strategies would be finalized for the following:

Communication Documentation Monitoring Reporting

Activity 05: Technical assessment of proposed business categories

The Center assessment and market survey have made it possible to identify the potential areas of businesswhich will be possible and viable in the selected villages. At this point, it may be necessary to bring in skillsexperts, i.e. poultry expert from Abbottabad and Rawalpindi, or potato experts from the area, to identify how

to do innovation in these products, i.e. improve the product, reduce the cost, and create a niche in themarket. There are a total of 15 major business categories proposed for this Project. A team of technicalexperts would be brought in to guide the project in terms of the kinds of technical inputs required to enhancemicro-businesses in the area. These individuals would have the opportunity to meet some of the interestgroup members for an initial dialogue. Through the next activity, the project beneficiaries themselves wouldundertake a more detailed feasibility assessment of each business category.Activity 06: Capacity development of „STARs‟ or enterprise activists/BDSPs

From each of the interest groups formed in the community, individuals would be selected to become apotential BDSP or STAR or enterprise activist. Assuming that from each village a total of 5-6 STARs (male andfemale) are selected, 60 community members would be registered for the 10 villages. These individuals‟capacity would be developed as follows:

Basic Training in enterprise development: This 5-day intensive training would develop theparticipants‟ basic understanding of enterprise or business, and provide them the tools and capacity to



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carefully assess the business potential of their community. After the training, each STARS would be

expected to return to their areas to assess their areas and mobilize the members of their interest group

to ready himself or herself for business.

Training STARS as BDSP as enterprise trainers and mentors: The STARS would receive a 10-day

residential training where they would understand the value chain approach to economic development,

learn how to develop a feasibility and business plan using concepts of costing, marketing, cash flow

management, etc., identify and link with the critical forward-backward linkages for their selected business.

During these 10-days, the STARS would develop feasibility for their selected business. They would also

learn how to train, guide, support, and mentor other entrepreneurs in their community. Upon return to

their areas, the STARS would finalize, in association with other members of their interest group, a

business plan. They would be guided and mentored in this process by enterprise experts.

Supporting STARS to ADOPT entrepreneurs: As a laboratory scenario, each of the STAR wouldadopt an agreed number of entrepreneurs for the next one year of the project so that they can activelypractice their skills as enterprise developer, and further refine their own ability to identify businessopportunities, mobilize resources including raw material, skills trainers, market linkages, and counsel andmentor entrepreneurs. The STARS would learn how to manage the stages of a business cycle for a rangeof products within their communities, i.e. opportunity identification, resource mobilization, production,distribution and sales. In this first 6 months of the project, the STARS would also be encouraged to think about forming a BDSP or enterprise activist forum. They would be given an opportunity to visit suchForums in the neighboring areas, i.e. Haripur and Abbottabad. Once the STARS begin to showcompetence, the project would route most interventions and activities through them. However, to ensurethat these better skilled individuals do not hijack the project resources, and that there is no exploitation,nepotism or marginalization, the project team would also hold short training and activities with theentrepreneurs, and encourage them to think about forming producer associations (in the second year of the project).

Activity 07: Capacity building of skill trainers

Customized skills training curriculum would be developed for those business categories, which have beenshortlisted for the 10 villages. It would be critical that the developed material is effectively visualized andequally comfortable for semi-literate participants. Entrepreneurs, or even STARS, would be selected tobecome master trainers for the following selected technical skills:

Agro Non-Agro

Fruit processing

Fruit nursery management

Livestock management

Backyard and commercial poultry

Bee keeping and honey Production

Fruit growing and processing

Potato growing and Post-harvest handling

Crop management

Stitching and embroidery


Designing and making wood crafts

Hair dressing and styling

Tailoring

Screen printing

Block printing

Painting

Phase 02: Nurturing (1-Year 5-Months)

In this phase, the entrepreneurs, the BDSPs, and the skilled trainers would be extensively supported so thatthey can demonstrate success, and can contribute to an exit strategy. The project would guide and mentor allprocesses, and ensure the enhancement of visibility, ability, mobility and connectivity of all projectstakeholders, including the STARS/BDSPs, entrepreneurs, distribution and sales outlet, etc. Some of the keyactivities in phase 02 of the project will include the following:

Activity 01: Enterprise development training by STARs, supervised by enterprise specialists and

experts



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Using the module given to them during the Train the Trainer workshops, the STARs would conduct enterprisedevelopment training for selected village entrepreneurs at community level. These training would besupervised and monitored by project staff and enterprise experts. This training would enable beneficiaries toundertake market survey and finalize a viable and profitable business opportunities (within the selected sub-sectors). The business interest groups would also finalize their own business plans. Based on the targets of theproject, a total of 160 women would be trained under WED and 200 members of 40 household under HED.

Activity 02: Conduct of skill trainings by STARs or BDSPs, supervised by technical training

experts

Using the skills training modules developed within the project, the STARs or other trained BDSPs wouldprovide technical/skill trainings for selected entrepreneurs. This training would develop the entrepreneur‟sability to enhance the quantity and quality of their produce. The STARS would be closely supervised andmonitored during this training, to ensure that they improve and grow as technical trainers. Again a total of 160women would be trained under WED and 200 members of 40 household under HED.

Activity 03: Exposure to other practices and linkages with a range of stakeholders

The STARs would have an opportunity to be exposed to a range of stakeholders who can assist them in their

work, both as a skills and business trainer, and as an entrepreneur. This could include stakeholders within thevalue chain, i.e. wholesalers, retailers, exporters, customers, and to those who provide support services, i.e.packing and packaging experts, distributors, input suppliers, etc. They would also be exposed to successfulentrepreneurs, who are engaged in similar and different businesses in the Nathiagali and beyond.

Activity 04: Formation and functioning of savings and credit groups

The interest groups would be given an orientation to the „why and how‟ of forming savings and credit groups.They would also receive an orientation on financial literacy and the concepts of Bachat Committees (or VCs),ATM card, and the opening up of bank accounts. A special session would be designed and implemented on„why women should save‟.

Activity 05: Establishment of a vocational/skills training center

The project would announce its interest in setting up at least one vocational training center per village. Thosewomen associated with the project would be encouraged to set-up a sustainable vocational training center asan „entrepreneur‟, through which they could train other women in their village, and neighboring areas, in bothskills and business. Vocational training center would not be limited to stitching and sewing, but would focus onmore practical and applicable skills, such as bee keeping, goat fattening, block printing, screen printing, kitchengardening, etc. The local community would be encouraged to pay a fee for these courses, so that these centerscould be viable over a period of time. These vocational training centers could provide a range of skills,including:

Agro Non-agro

Fruit processing

Fruit nursery management

Livestock management

Backyard and commercial poultry

Bee keeping and honey Production


Potato growing and Post-harvest handling

Crop management

Stitching and embroidery


Designing and making wood crafts

Hair dressing and styling

Tailoring

Screen printing

Block printing

Painting

A local vocational training center could undertake constant need assessment, and refine and upgrade coursesaccordingly. The project could support such centers through provision or linkage with equipment, machinery,tools and techniques. The vocational/skills training center could also extend other services, such as:



Selling raw materialFinished product

shop

Common storagefacility (particularly

for agriculturalproducts)

Commonproduction or post

harvest facility(grinding, packing,packaging, sortingand grading, etc)

Linkage withbuyers, includingDistribution and

Sales Outlet at theTehsil level

Activity 06: Establishment of a distribution and sales outlet

The project would assist the establishment of a distribution and sales outlet at the Tehsil level. This entitywould assist all the BDSPs and entrepreneur to access raw material, and to sell their finished products. TheBDSPs and entrepreneurs would be oriented to usefulness of this outlet, and the village based vocationaltraining centers would be directly connected to it. More details on this outlet are given in part III of thisreport.

Activity 07: Formation of associations

Through orientations and short sessions, interest groups across the villages would be encouraged to consider

forming into associations or producer groups. Those interested would be supported to meet each other,establish an identity, and undertake joint activities such as buying together, selling together, and identifyingcommon issues to be discussed and solved together. These Associations would be taken on exposure visit toother similar formations, and to the distribution and sales outlet established by the project.

Activity 08: Participation in fairs, melas, exhibitions, WED/HED show and tell

The STARs would actively connect their entrepreneurs to ongoing fairs and exhibitions where there would bean opportunity for them to display and sell their products i.e. embellished garments, handicrafts, fresh farmproduce etc. At the end of phase 02 of the project, the village BDSPs would organize a show & tell event at acentral location, e.g. the Nathiagali or Abbottabad, where they would articulate their progress and issues.

Phase 03: Institutionalizing (6-Months)

In this phase, the project would aim to strengthen the local institutions created during first two phases of theproject, i.e. the vocational/skills training centers, the STARS or BDSP forums, the distribution and sales Outlet,and the individual BDSPs (e.g. the veterinary, the bee keeping trainer, etc). This would include the following:

1 2 3

Registration of the forum,vocational training centers,

associations, etc

Visibility of the institutions bylinking them with other similar

organizations, and the local

Building ability of members toeffectively manage these

institutions, and introducingsystems for transparency and good