Detailed Project Report
Strawberry Farming
—
Prepared on: 13 November 2026 · Prepared with Building Business DPR (buildingbusiness.in)
01 Project at a glance
- Total project cost
- ₹1.62 L
- Term loan from bank
- ₹1.46 L
- Promoter’s contribution
- ₹0.16 L
- Sales · Year 3
- ₹0.00 L
- Profit after tax · Year 3
- ₹-3.21 L
- Average DSCR
- -10.06
- Break-even (% of capacity used)
- —
02 Promoter and unit
| Promoter name | — |
|---|---|
| Business / firm name | — |
| Legal form | Proprietorship |
| Address of the unit | — |
| Applicant category | General · Rural |
03 The project
One acre of strawberry raised from runner plants on drip irrigation and mulch, sold fresh to nearby city markets.
| Main product or service | Strawberry Farming |
|---|---|
| Installed capacity per year (at 100%) | 10,000 units |
04 Market
- Village-level trade agents
- Commission agents at the fruit mandi
- Ice-cream makers and fruit processors
- Good fruit in perforated cardboard cartons with paper cuttings; lower grades in baskets
- Pre-cooled fruit sent in refrigerated vans to distant markets
- Truck transport from the farm to the market
05 Plant and machinery
| Item | Qty | ₹ | Total ₹ |
|---|---|---|---|
| Tube-well with submersible pump | 1 | 50,000 | 50,000 |
| Drip irrigation with fertigation system | 1 | 40,000 | 40,000 |
| Farm equipment and implements | 1 | 5,000 | 5,000 |
| Store and pump house (100 sq ft at ₹200 a sq ft) | 1 | 20,000 | 20,000 |
| Labour shed (100 sq ft at ₹100 a sq ft) | 1 | 10,000 | 10,000 |
| Barbed-wire fencing and gates (846 running ft at ₹35) | 1 | 29,600 | 29,600 |
| Total | 1,54,600 |
Pre-filled from: National Horticulture Board model bankable project — Strawberry. Prices in older reports will have gone up — enter today’s quotations.
06 Raw materials
- Strawberry runner plants — 25,000 plants at ₹8 a plant = ₹2,00,000
- Fertilisers and pesticides — ₹11,000 at planting
- Mulching material — ₹12,400 an acre
07 Cost of project
| ₹ in lakh | |
|---|---|
| Plant and machinery | 1.55 |
| Contingency | 0.08 |
| Total fixed capital | 1.62 |
| Working capital margin | 0.00 |
| Total project cost | 1.62 |
08 Means of finance
| ₹ in lakh | % | |
|---|---|---|
| Promoter’s contribution | 0.16 | 10.0 |
| Term loan from bank | 1.46 | 90.0 |
| Total | 1.62 | 100.0 |
| Working capital loan (outside project cost) | 0.00 |
09 Key assumptions
| Selling price | ₹0 per units |
|---|---|
| Raw material & packing cost | ₹0 per units |
| Capacity used each year | 60% · 70% · 80% · 80% · 80% · 80% · 80% |
| Term loan interest rate (% a year) | 11% · 84 months (Moratorium 6) |
| Working capital method | Turnover method (RBI) · Working capital interest (% a year) 11% |
| Income tax rate | 25% |
| Yearly price and cost rise | 0% |
10 Production and sales
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Capacity used | 60% | 70% | 80% | 80% | 80% | 80% | 80% |
| Production (units) | 6,000 | 7,000 | 8,000 | 8,000 | 8,000 | 8,000 | 8,000 |
| Sales | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
11 Projected profitability
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Sales | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Raw material and packing | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Power and fuel | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Salaries and wages | 2.88 | 2.88 | 2.88 | 2.88 | 2.88 | 2.88 | 2.88 |
| Rent | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Administration | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Selling and distribution | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Repairs and maintenance | 0.03 | 0.03 | 0.03 | 0.03 | 0.03 | 0.03 | 0.03 |
| Insurance | 0.01 | 0.01 | 0.01 | 0.01 | 0.01 | 0.01 | 0.01 |
| Total cost of operations | 2.92 | 2.92 | 2.92 | 2.92 | 2.92 | 2.92 | 2.92 |
| Operating profit (EBITDA) | -2.92 | -2.92 | -2.92 | -2.92 | -2.92 | -2.92 | -2.92 |
| Depreciation | 0.24 | 0.21 | 0.18 | 0.15 | 0.13 | 0.11 | 0.09 |
| Preliminary expenses written off | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Interest on term loan | 0.16 | 0.14 | 0.11 | 0.09 | 0.06 | 0.04 | 0.01 |
| Interest on working capital | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit before tax | -3.32 | -3.26 | -3.21 | -3.16 | -3.11 | -3.07 | -3.03 |
| Income tax | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit after tax | -3.32 | -3.26 | -3.21 | -3.16 | -3.11 | -3.07 | -3.03 |
12 Cash flow
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Profit after tax | -3.32 | -3.26 | -3.21 | -3.16 | -3.11 | -3.07 | -3.03 |
| Depreciation | 0.24 | 0.21 | 0.18 | 0.15 | 0.13 | 0.11 | 0.09 |
| Cash accruals (PAT + depreciation) | -3.08 | -3.06 | -3.03 | -3.01 | -2.98 | -2.96 | -2.93 |
| Term loan repaid | 0.11 | 0.22 | 0.22 | 0.22 | 0.22 | 0.22 | 0.22 |
| Owner’s drawings | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Surplus after repayment | -3.19 | -3.28 | -3.26 | -3.23 | -3.21 | -3.18 | -3.16 |
| Cash and bank | -3.19 | -6.47 | -9.73 | -12.96 | -16.17 | -19.36 | -22.51 |
13 Projected balance sheet
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Capital (own + subsidy) | 0.16 | 0.16 | 0.16 | 0.16 | 0.16 | 0.16 | 0.16 |
| Reserves and surplus | -3.32 | -6.59 | -9.80 | -12.95 | -16.06 | -19.13 | -22.16 |
| Term loan outstanding | 1.35 | 1.12 | 0.90 | 0.67 | 0.45 | 0.22 | 0.00 |
| Working capital loan | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Total liabilities | -1.81 | -5.30 | -8.73 | -12.12 | -15.45 | -18.74 | -21.99 |
| Net fixed assets | 1.38 | 1.17 | 1.00 | 0.85 | 0.72 | 0.61 | 0.52 |
| Preliminary expenses not written off | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Current assets (stock and debtors) | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Cash and bank | -3.19 | -6.47 | -9.73 | -12.96 | -16.17 | -19.36 | -22.51 |
| Total assets | -1.81 | -5.30 | -8.73 | -12.12 | -15.45 | -18.74 | -21.99 |
14 Ratios and break-even
| Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Debt service coverage ratio (DSCR) | -10.80 | -8.07 | -8.67 | -9.35 | -10.15 | -11.11 | -12.26 |
| Break-even (% of capacity used) | — | — | — | — | — | — | — |
| Cash break-even | — | — | — | — | — | — | — |
| Average DSCR | -10.06 |
|---|---|
| Lowest DSCR | -12.26 |
| Payback period | — |
15 Depreciation
| Year → (₹ in lakh) | 1 | 2 | 3 | 4 | 5 | 6 | 7 |
|---|---|---|---|---|---|---|---|
| Depreciation | 0.24 | 0.21 | 0.18 | 0.15 | 0.13 | 0.11 | 0.09 |
Written-down value method at Income-tax Rules block rates (building 10%, plant & machinery 15%, furniture 10%, computers 40%). Change them if your CA uses other rates.
16 Term loan repayment
| Year | Opening | Interest | Term loan repaid | Closing |
|---|---|---|---|---|
| 1 | 1.46 | 0.16 | 0.11 | 1.35 |
| 2 | 1.35 | 0.14 | 0.22 | 1.12 |
| 3 | 1.12 | 0.11 | 0.22 | 0.90 |
| 4 | 0.90 | 0.09 | 0.22 | 0.67 |
| 5 | 0.67 | 0.06 | 0.22 | 0.45 |
| 6 | 0.45 | 0.04 | 0.22 | 0.22 |
| 7 | 0.22 | 0.01 | 0.22 | 0.00 |
17 Licences and registrations
- No licence is needed to grow the crop on your own farm land
- Land ownership or lease papers for the bank loan and subsidy file
- FSSAI registration if you sell packed produce under your own name
- APEDA registration and a phytosanitary certificate if you export
18 Government schemes that may apply
- NHB Capital Investment Subsidy – Commercial Horticulture & Cold Storage (Scheme 1 and Cold Storage Scheme)
19 Sources
- National Horticulture Board model bankable project — Strawberry — https://nhb.gov.in/model-project-reports/Strawberry.htm
This report is a projection from the figures entered by the promoter. It is not a bank appraisal or a guarantee of a loan or subsidy. Check every figure with current quotations and your chartered accountant before submitting it.