Telaga Air Briefing

8/2/2019 Telaga Air Briefing

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PROPOSED DEVELOPMENT AT TELAGAAIR AQUACULTURE SITE


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ABOUT SEA PARTY INTERNATIONAL

Taiwan-based private limitedcompany- established 10th July 2008

Led by Dr Ray Lin

Experiences in

i) live and frozen fish products delivery

ii) transportation

iii) air flown business

2009, signed agreement with Tanjung Manis Food & Industrial ParkSdn Bhd pioneer investor initiate & execute TMHH program


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JOINT VENTURE ORGANISATION CHARTSea Party

International

Tanjung Manis Food & Industrial

Park

Tanjung Manis Taiwan Food Park

Sea Party

Microbes

Sea Party

Aquaculture

Sea Party

Technology

Sea Party

Industry

Sea Party

Biotech

Industry

Sea Party

Technology

R&D Centre


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SEA PARTYS AIM

Become the pioneer in INTEGRATED BIOTECH AQUA

BASED INDUSTRIES produce high value and high quality

fish and shrimps to cater for the Muslim Market as part of

TMHH program.


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CURRENT ACTIVITIES

At present, Sea Party has been rearing tilapia breeders at Tanjung Manis, supply

fries, feeds and provide consultation to our respective vendors.

Feeding session at Tanjung

Manis

Harvesting session at Tanjung

Manis


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CURRENT ACTIVITIES

Sea Partys Tilapia fish Sea Partys White Shrimps

Release of Prawn Fries into Haji

Husseins ponds (Sea Partys vendor)

Aquaculture

expert,

vendor,engineer


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WORLDWIDE AQUACULTURE TILAPIA SALES

For year 2000 =US $ 1,744,045,000(FAO FishStat 2007)

2005 sales = US $ 2,457,312,000(FAO FishStat 2007)

2010 sales > US $ 5,000,000,000

7


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FUTURE GLOBAL TILAPIA PRODUCTION

USlargest importer of tilapia production


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SEA PARTY SOCIO ECONOMY VENDOR PROGRAM

In order to produce high value and high quality fish and shrimps, SeaParty establishes Socio Economy Vendor Program for ourrespective vendors/ entrepreneurs in which Sea Party :-

provide consultation and technical services on polyculture system(co-rear fish & prawns)

supply fries, feeds and all necessary fish farming gears

commit to buy back all aquatic products with terms and conditions tobe laid

Propose to have our vendors/ entrepreneurs to start theiraquaculture business venture besides manpower and entrepreneurtrainings


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VENDOR PROGRAMCommercial Premier Vendors (self funding)

entrepreneurs that have existing commercial aquaculture business andhave the intention to expand their production

Entrepreneurship Vendors (under loan scheme)

the unemployed graduates registered under the State Govt CBGProgram

Unemployed Graduates from Agriculture Institute

NGO Agencies e.g Koperasi, Unions and Organizations includingmembers

Prospective public members

CSR Vendor Program (under smart partnership with relevant GovtAgencies)

Members under SFO program

Prospective Hard Core Poor

With available redundant ponds at Telaga Air, and under full technicalguidance, this Social Economy Program can create better spin off

economy impact to the stat.

PROPOSED VENDOR PROGRAM SITE


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PROPOSED VENDOR PROGRAM SITE(TELAGA AIR AQUACULTURE SITE)

425 hectares of usable land - 57 Lots many abandoned ponds


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BUSINESS PROPOSAL

Sea Party hereby proposes to LCDA for the re-establishment of its abandoned Telaga Air Aquaculture

Site

venture into Sea Partys poly culture system under SeaParty Social Economy Program

By forming a Management Company (MC) under the

Profit Sharing method

MC LCDA, SFO & SPT

Role of MC manage the entire operation of the businesswithin the concession area leased from the land owner(LCDA)


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ROLES OF MC

provide adequate expertise and extend its technology to

the local entrepreneurs train and select entrepreneurs to participate as vendors of

the company,

Responsible to collect yearly rental of operational fish

ponds from vendors Sourcing of inputs (eg. fish fries, prawn fries and feeds)

Sales of outputs into the domestic or export markets

To ensure that the whole concession area is fully utilized

and operational.

To ensure the transfer of technology is well executed to thelocal vendors and the technical teams.


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RESPONSIBILITIES OF EACH PARTYLCDA

Provide land and basic infrastructures (roads, power supply and fresh water) to

make the site operational for aquaculture business investment. Advise on land matters, provide administrative support and coordinate with any

state GLCs and authorities concerned.

SEA PARTY

Provide technical services, trainings, supply of quality feeds required and all

necessary farming gears and equipments for the production. Responsible to purchase and market all productions.

To ensure that the whole area/ponds are fully occupied to generate income.

AND responsible to take charge of the overall Companys business operations

SFO

Assist in coordinating with relevant agencies on grants and fundings for theparticipating entrepreneurs if necessary

Recruit and select potential vendors /entrepreneurs from its community

To work together in all fields including creating programs for its prospectivemembers


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PROJECT IMPLEMENTATION

5 YEAR DEVELOPMENT PHASES

2011 2011 2012 2013 2014 2015

PRE

INCORPORATION

MOBILIZATION PHASE

I

PHASE II PHASE III PHASE IV

Business

Proposal

Presentation

Agreement

JVCSPT, SFO,LCDA

JVCSurvey Land

Vendor Program

Entrepreneurship

Program

Investors

50 ponds 100

ponds

150

ponds

200

Ponds

Year 2012 2013 2014 2015 Total

Estimated number of

vendors

6 13 19 25 63

Estimated number of

workers

36 78 114 150 378


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PROPOSED ORGANISATION CHART

Board of Directors

General Manager

Quality Control &

Supervisions

Administration

& FinanceSales & logistics

Support


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FINANCIAL FORECAST ASSUMPTIONS

Assumption

1 Total number of ponds (5 years) 500

2 Number of Fishes Per Ponds 12,000

3 Number of Prawns Per Ponds 600,000

4 Survival Rate Fish 85%

5 Survival Rate Prawn 65%

6 Growing Period 8 Months

7 Fish FCR 1.80

8 Cost of Fish Fry 0.3 RM/Per Fry

9 Cost of Prawn Fry 0.012 RM/Per Fry

10 Cost of Fish Feed 2.2 RM/Per KG

11 Cost of Prawn Feed 3.9 RM/Per KG

12 Cost of Fish (350g) 4.00 RM/Per KG



15 Cost of Prawn (14g) 10.50 RM/Per KG



18 Sales of Fish Fry 0.40 RM/Per Fry

19 Sales of Prawn Fry 0.014 RM/Per Fry

20 Sales of Fish Feed 2.70 RM/Per KG

21 Sales of Prawn Feed 4.50 RM/Per KG

22 Sales of Fish (350g) 6.00 RM/Per KG



25 Sales of Prawn (14g) 13.50 RM/Per KG




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5-YEAR FINANCIAL FORECASTProjected Profit & Loss 2011 2012 2013 2014 2015 2016

Revenue - fry 0 823,200 2,546,400 5,349,600 9,052,800 9,720,000

Revenue - feed 0 1,630,141 6,785,065 15,478,463 27,696,644 35,302,593

Revenue - fish 0 1,562,640 7,537,800 17,790,840 32,456,400 43,586,640

Revenue - prawn 0 4,550,520 19,393,530 42,795,675 76,490,310 95,991,480

Total Revenue 0 8,566,501 36,262,795 81,414,578 145,696,154 184,600,713

Cost & ExpensesCost of Fry 0 676,800 2,088,000 4,384,800 7,416,000 7,948,800

Feeding Cost 0 1,355,983 5,611,732 12,785,961 22,859,956 29,072,516

Cost of Fish 0 1,150,560 5,573,280 13,180,440 24,059,760 32,370,720

Cost of prawn 0 3,363,360 14,297,790 31,540,275 56,353,830 70,658,640

Salaries of Man Power (CPI = 3% ) 0 856,672 1,617,100 2,422,449 3,274,777 3,373,498

Utility - Water & Electricity 0 141,876 626,508 1,414,629 2,545,506 3,270,492

Processing fee 0 851,254 3,759,049 8,487,774 15,273,035 19,622,952Transporting 0 236,460 1,044,180 2,357,715 4,242,510 5,450,820

Depreciation 0 180,000 260,004 393,336 553,332 713,328

Repair & Maintenance 0 94,584 417,672 943,086 1,697,004 2,180,328

Miscellaneous Expense 0 960,000 1,920,000 2,880,000 3,840,000 3,840,000

Total Cost & Expenses 0 9,867,549 37,215,315 80,790,465 142,115,711 178,502,094

Earning Before Interest, Tax 0 (1,301,048) (952,520) 624,113 3,580,444 6,098,619


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ROI ANALYSIS

Cash Flow from Investment Activities 2011 2012 2013 2014 2015 2016

Office Building & Staff Quarter 0 1,200,000 2,000,000 2,400,000 2,400,000 0

Consultation Fee 900,000 0 0 0 0 0

Capital 0 0 0 0 0 0Equipment 0 0 0 0 0 0

Subtotal 900,000 1,200,000 2,000,000 2,400,000 2,400,000 0

Cash Flow from Operational Activities

Earning Before Interest, Tax 0 (1,301,048) (952,520) 624,113 3,580,444 6,098,619

Depreciation 0 180,000 260,004 393,336 553,332 713,328

Subtotal 0 (1,121,048) (692,516) 1,017,449 4,133,776 6,811,947

ROI=(Subtotal NPV/ Total Investment) 23%

BENEFITS OF SOCIO ECONOMY


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BENEFITS OF SOCIO ECONOMYVENDOR PROGRAM

Assist the State government in reducing unemployment rate - (create

job opportunities , train and develop skilled aquacultureentrepreneurs)

Upgrade the communitys standard of living

Localized polyculture system creating sustainable aquacultureindustryenhance the States aquaculture industry

Improve the States economy with high quality aquatic products andhigh technology downstream food processing (eg. Fish fillets)

Implement eco-friendly aquaculture system (eg. Biowastemanagement)


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ACKNOWLEDGEMENTS

Documents

Telaga Air Briefing