Avocado Business Plan

Below is a complete, professional avocado business plan, written in a format you can use for investors, LGU applications, banks, and agroforestry project proposals.
If you want, I can also integrate this into a PPTX, DOCX, or agroforestry-model diagram.

AVOCADO BUSINESS PLAN

For Standalone Farms or Integrated Agroforestry Models (e.g., Avocado + Agarwood)

1. Executive Summary

Business Name: Crown Avocado Agroventures (or your preferred name)
Location: Philippines (ideal zones: CALABARZON, MIMAROPA, CAR, Bukidnon, SOCCSKSARGEN)
Business Type: Avocado plantation with optional agroforestry integration (avocado + agarwood / timber / fruit trees)
Scale: Small (1–5 ha), Medium (5–20 ha), Large (20+ ha)

The business will establish a high-density commercial avocado farm producing premium-quality fruits for domestic and export markets. The farm uses agroforestry principles, optimizing land use, reducing environmental risk, and increasing profitability by interplanting avocado with agarwood or other high-value tree species.

2. Market Opportunity

Rising Demand

  • Local demand is 2–3× higher than domestic supply.
  • Importation continues from Mexico, Australia, and the U.S.
  • Growing markets: restaurants, online fruit retail, supermarkets, cold-chain networks.
  • Premium varieties (Hass, Zutano, Fuerte) are preferred for export.

Price Range (PH Market)

  • ₱120–₱300/kg (peak season: lower; off-season: premium pricing).
  • Higher prices in Metro Manila, Cebu, Davao, and resort destinations.

Export Demand

High demand in:

  • Singapore
  • Hong Kong
  • Japan
  • UAE / Middle East
    Export-ready Hass fetches USD 3–7/kg.

3. Agroforestry Model: Avocado + Agarwood / High-Value Trees

Why Integrate Avocado with Agarwood?

  • Avocado forms a mid-canopy: 6–12 meters.
  • Agarwood is a smaller understory tree (5–8 m), tolerates partial shade.
  • Avocado matures 3–4 years, while agarwood matures 6–10 years, providing a staggered revenue timeline.

Planting Design Options

Model A — Avocado Main Crop, Agarwood as Intercrop

  • Avocado spacing: 6m × 6m
  • Agarwood spacing: 3m between avocado rows
  • Ratio: 1 avocado : 2 agarwood

Benefits:

  • Early cash flow from avocado
  • Agarwood resin for long-term high-value income
  • Soil organic matter improves under shade
  • Pest pressure reduced due to species diversity

Model B — Mixed High-Value Orchard

  • Avocado + Durian + Agarwood
  • Ideal for 5+ ha farms
  • Creates a diversified long-term revenue system

Model C — Carbon + Fruit Agroforestry

  • Avocado (fast ROI)
  • Agarwood (luxury crop + CITES-compliant sourcing)
  • Native premium species (Narra, Igem, Ipil, bamboo)
  • Eligible for carbon credit generation after year 5–7

4. Production Plan

Varieties

  • Hass – best for export, year-round demand
  • Fuerte – good for table consumption
  • Zutano – hardy, good pollinator
  • Philippine varieties: Pryor, Simmonds, Catalina (high yield)

Nursery & Planting Materials

  • Grafted seedlings: ₱150–₱250 each
  • Tissue-cultured or clonal rootstocks optional for uniformity

Planting Density

  • Standard: 277 trees/ha (6×6 m)
  • High-Density: 400–500 trees/ha (5×5 m with pruning)

Yield Projections

  • Year 3: 5–8 kg/tree
  • Year 4: 15–25 kg/tree
  • Year 5: 30–50 kg/tree
  • Year 6+: 50–80 kg/tree (Hass)

Per Hectare Yield (Year 6 onward):

  • 277 trees × 50 kg average = 13,850 kg
  • At ₱180/kg = ₱2.5M/ha gross income/year

5. Operational Plan

Land Preparation

  • Soil analysis
  • Contour layout for erosion control
  • Organic basal fertilizers (COFI BioGrow™ or compost)

Maintenance

  • Mulching
  • Drip irrigation
  • Regular pruning (2× per year)
  • Organic fertilization + mycorrhizae

Pest and Disease Management

Common issues:

  • Anthracnose
  • Fruit fly
  • Mites

Control:

  • Organic sprays (neem, sulfur, kaolin)
  • Sanitation pruning

Harvesting & Postharvest

  • Mature green stage
  • Sorting, grading, cold storage
  • Vacuum packing for export

6. Organizational Structure

  • Farm Manager
  • Agroforestry Specialist
  • Technicians / Field Staff
  • Sales / Marketing Officer
  • Quality & Postharvest Team

7. Financial Plan

Initial Investment Estimate (per hectare)

ItemCost (PHP)
Land preparation40,000
Seedlings (277 trees)55,000
Fertilizers & soil amendments35,000
Irrigation system60,000
Labor (first year)70,000
Tools & equipment30,000
Contingency (10%)29,000
Total Initial Investment₱319,000/ha

Annual Operating Cost (Year 2 onward)

  • ₱80,000–₱120,000/ha/year

Revenue Projection (per hectare)

YearIncome
Year 1–2No major income
Year 3₱150,000–₱300,000
Year 4₱800,000–₱1.4M
Year 5₱1.4M–₱2M
Year 6+₱2M–₱2.5M/ha/year

8. Risk Management

Weather & Climate Risks

  • Use windbreak trees (e.g., madre de cacao, bamboo)
  • Rain shelters for nursery

Market Risks

  • Contract farming with buyers
  • Export partnerships
  • Branding of premium avocado

Biological Risks

  • Disease-resistant grafted varieties
  • Regular pruning for ventilation

Financial Risks

  • Diversify with agarwood to ensure long-term high-value yield
  • Access carbon financing (future optional)

9. Competitive Advantages

  • Agroforestry gives higher total income per hectare
  • Avocado has strong domestic and export demand
  • The combination with agarwood creates short-, medium-, and long-term revenue
  • Sustainable and ESG-aligned farming model
  • Potential carbon credit income

10. Conclusion

An avocado agroforestry farm is a highly profitable, scalable, and sustainable agribusiness venture. With early yields starting in year 3 and full production by year 6, avocado provides a steady cash flow, while agarwood or premium timber species provide long-term luxury-grade income. This creates a resilient system ideal for investors, cooperatives, private farms, and rural enterprise projects.

If you want, I can also prepare:

✅ PPTX investor pitch deck
✅ Full financial model in Excel
✅ A diagram of the avocado–agarwood agroforestry layout
✅ A complete 20–30 page business plan document (DOCX or PDF)

Just tell me what format you need.