Marungu Plantation Limited is a Tanzanian-based company, located in Tanga District, whose mission is to provide high quality sisal fibre, high valued fibre products like composite, ethanol, inulin and other industrial chemicals that can be extracted from sisal leaves, Biogas that will generate electricity and organic manure for consumption in both near and remote regions of the United Republic of Tanzania. Additionally the company will be exporting value added products made of sisal fibre. Marungu Plantation Limited is the sisal grower and exporter of sisal fibre. The idea behind the business is to provide premium fibre grades for local and export. In addition to fibre, the company plans to produce and market organic manure that will be used extensively in sisal and other crops such as maize, fruits and vegetable. The management team of the plantation is led by Mr. Rashid Msechu as a Plantation Manager, who has extensive knowledge of the industry. The company expects to employ 40 employees on a permanent basis during the first three years and about 120 part-time employees when the estate starts production from year four.
Marungu Plantation Ltd primary objective is to produce the premium grades of sisal fibre in every month per year. Our financial projections show that the company should be profitable within 48 months or year 4. Marungu will have succeeded in its overall goal, which is to transform the sisal industry from its current marginal state into a high tech that will have the potential to transform the rural economy of a significant part of Tanzania. By leading this transformation, Marungu will position itself to profit handsomely from it while also enabling its Tanzanian local farmers, workers and business partners to do the same
In the meantime, the company would like to explore the possibilities of inulin, ethano and composite production. Marungu Plantation Limited believes this to be a high revenue venture. The company also believes that if these high valued products production is successful then it could become the number one endeavour in Tanzania sisal industry. Currently the industry is producing mainly long fibre with all the necessary capital equipment. Starting this line of products would allow Marungu Plantation Limited to begin production and to capitalize on this higher margin product. What makes this most attractive is the three ventures have significant joint cost potential, allowing for a reduction in marginal costs for all products and creation of real economies of scale that would provide Marungu Plantation Limited with a competitive advantage
The Tanzania Sisal industry has experienced increasing demand for the sisal fibre and fibre products in the world for over a decade, and the future trend is still promising. The world has increased awareness and preferences towards naturally and ecologically accepted products. The world demand has now reached to a tune of 11 million tons of sisal fibre per year but the supply side has always been short by very far. The world is now producing a total of 300,000 tones of sisal fibre per year. Apart from the traditional uses, sisal fibre has been increasingly used for various new applications such as making composite for construction and car industries, metal polishing as well as for handicraft industry. Consequently, there has been a huge demand of sisal in our major markets in Saudi Arabia, China, Germany, Spain, India, UK and Nigeria. This makes for an excellent environment for the industry participant such as Marungu Plantation Limited that is willing to compete in a niche market and be fir