In the business world, overcoming complex challenges and offering innovative solutions are key to success. Today, we present a case study of a feasibility analysis for industries that involved a strategic collaboration between Grupo V&F, SEBRAE, Braskem, and the Brazilian Apple Producers Association (ABPM).
This project not only strengthened the agribusiness sector but also provided valuable insights into the importance of a well-structured industrial project feasibility study.
The apple market faces major logistical challenges. In Brazil, producers use boxes known as plastic bins for agribusiness to transport and store the fruit. These boxes must support large weights and are essential for the efficient operation of agro-industries and their packing houses.
Initially, the boxes were made from hardwood, but due to their low durability and maintenance needs, they were replaced with pine and eucalyptus wood. However, these alternatives also proved fragile, with a lifespan of 5 to 7 years, far shorter than the hardwood boxes, which could last over 20 years.
The scarcity of materials and the low durability of these boxes called for sustainable harvest solutions and a more durable, resistant alternative.
The main issue lay in the wooden boxes, which no longer provided the necessary strength. This compromised storage and transportation, leading to breakages and significant financial losses for producers.
Faced with this situation, ABPM facilitated a connection with Braskem, a global leader in plastics, to seek **innovative solutions for agribusiness**. The project proposed replacing the wooden boxes with **plastic bins**, a solution already widely used in Argentina and Chile.
However, the central question remained: would it be feasible to establish an industry in Brazil to produce these boxes at an affordable cost?
Grupo V&F, with its extensive experience in agribusiness innovation consulting and solution development, was called upon by ABPM to conduct a feasibility study for industrial projects. The project involved a deep analysis of the sector’s operations, expectation gathering, and technical assessments, including visits to factories in Chile that already used plastic bins.
Our project framework covered everything from market diagnostics for apples to the financial-economic analysis. The study revealed that, despite the demand from apple producers, the production of these boxes would not be fully absorbed by the sector.
To mitigate the risk, we expanded the scope of the study, evaluating demand in other fruit sectors like coconut and strawberry, and conducted technical visits to other countries.
Through a comprehensive market analysis, we identified that the use of a specialized injection molding machine capable of producing plastic bins on a large scale would be crucial to the project’s success. However, these machines were not available in Brazil, and the required investment was high — around 15 million dollars.
Additionally, we explored alternative financial solutions such as leasing, already practiced in Chile, allowing producers to acquire the bins gradually. We also engaged BNDES as a strategic partner to make financing possible.
Despite the challenges, this case brought important lessons. The feasibility study demonstrated that the most obvious solution is not always the most economically viable, but a well-executed process is essential to minimize risks.
Grupo V&F reinforced its commitment to finding sustainable harvesting solutions and analyzing multiple scenarios, ensuring that the client is prepared for any eventuality.
As Abraham Lincoln once said: “If I had six hours to chop down a tree, I’d spend the first four sharpening the ax.” This is the essence of a well-done study: preparing the ground for assertive decision-making.
The project has opened doors for new developments, and Grupo V&F continues to seek innovative solutions, always focused on modernization in the apple production chain, feasibility, and delivering value.