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Tequila Bamboo Cooperative Project

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Alexey Kovalyov

on 1 December 2010

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Transcript of Tequila Bamboo Cooperative Project

Introduction The San Miguel Hills in Estremadura Province are one of the most backward areas of the country
The population of the village about 500 people
The major resources of income are agriculture, hunting and manufacturing of simple handicrafts for sale
Men are expected to make about 30 to 40 baskets per year
Price -- 3 ps
GVT implement new program of recovering San Miguel village
Main purpose to build and adjust manufacture of the handicrafts, so that people will have their work places and official salary

Logical Framework Goals
To improve incomes, standard of living, to provide the basis for a more diversified economy
Family incomes increased; more people become employed MOV
“Project objectives” information
Out-migration will decrease
To reach a planned sales volume by producing bamboo baskets and chairs
The amount of baskets and chairs produced:
2500 baskets in 1999;
6250 baskets in 2000;
8750 baskets in 2001;
6250 baskets in 2002.
250 chairs in 2000;
750 chairs in 2001;
1250 chairs in 2002 (onwards).
Project’s Schedule B “bamboo input and cost model”
The first year will be devoted to production of baskets, from 2000 onwards, an increasing proportion of the output will be chairs.
1. A carpentry workshop with needed equipment
2. Well trained members
3. Getting receipts from selling chairs and bamboo baskets to National Handicraft Corporation
4. Increase in the production of chairs from 2000 to 2002 onwards.
One carpentry workshop is constructed, that is equipped with one band saw, four electric drills and one step down transformer. 2. Members will be trained by a chair department manager.
3. Receipts from sales in total: 20000 in 1999; 60000 in 2000; 100000 in 2001 and 100000 in 2002 (onwards)
“Project components” information;
Project’s Schedule D “Estimated receipts from sales”
1. Time is needed for members training.
2. Equipment’s estimated working life is 20 years
1. The construction of carpentry workshop
2. Installation of new equipment
3.1. Hiring of a Cooperative manager
3.2. Recruitment and training of members
4. Selling of production to the National Handicraft Corporation
1. Construction of carpentry workshop with concrete plinth and brick in 1999.
2. An electrically powered band saw, four electric drills and a step down transformer are installed in 2000.
3. Cooperative manager will be employed in 1999. He will be responsible for recruitment and training of members, organizing production and keeping accounts.
4. The corporation pays 8 Ps per one basket and 40 Ps per one chair.
“Project components” information.

The workshop will be constructed in 1999, but equipment will be installed only in 2000 (workers will have to work without equipment in the 1st year)
TEQUILA BAMBOO COOPERATIVE PROJECT CASH FLOW ANALYSIS WATCH XCELL FILE... CONCLUSION & RECOMMENDATIONS According to the project it is visible by our calculations that this project should not be undertaken
The implementing of this project can not solve the problem with the standard of life Recommendations:
1. Reanalyze the project
2. Increase investments
3. Upgrade communications
4. Use the work force in another directions. THANK U FOR YOUR ATTENTION!
Full transcript