MEAT PROCESSING

Introduction:

• Meat Processing is an enterprise which gives us the ideas and

opportunities to possibly engage. Basically, it requires less
amounts of investment and result into higher-yield. The
availability of the materials needed in making pork tocino can
be found anywhere. The proponent engaging this type of
enterprise because, it is very demand in the market and there
are few suppliers. Hence, it promotes and advocates new
techniques and skills improvement in the field of
entrepreneurship.
• Objectives

• To have an ROI atleast 20%.

• To produce innovative and good quality of pork tocino.
• To develop and enhance the skills and techniques about
managerial activity about marketing product.
• To be a good entrepreneur in the future.
• Market Aspects

• Simple Demand and Supply Analysis

• As the result of the survey and observation in Brgy.
Asinan,Pilar Public Market,they are lacking of supply of tocino
product since there are few suppliers in the area and cannot
sustain mostly of the consumers. This type of business also is
very high-demand in place because of its palatability and it is
the commonly consumers preference.
• Marketing Plan and Strategies

• The finish product (Tocino) will be sold in the Public Market

of Brgy. Asinan, Pilar and the remaining products will be sold
to any of the contact buyers. The marketed products will be
cash basis or either pays it after one week. In every week
there are 24 packs of tocino in 3kgs. Of pork worth of
fourthy-pesos(Ᵽ40.00). Moreover, the given price each packs
will be change depending on the expenses and total cost of
the needed materials if ever.
Technical Aspect
• Technical Information

• The product will be processed at the food laboratory in

Surigao State College of Technology- Mainit Campus. The area
is good enough to perform the skillful process and there is a
fifty-pesos (Ᵽ50.00) for laboratory rent every month. The
project will be started on January 2018 to May 2018. For
every month there is two consecutive days to finish the
processed, Thursday and Friday for every week of the month.
• The materials to be used can be bought at Surigao City while
the needed ingredients to be processed is available in the
locality at Magpayang, Mainit Surigao del Norte. Every
amount that will spend is strictly accounted and recorded as
cost in the terminal report. The proponent is obliged to
include all the receipts to determine the materials that have
been disbursed and the total cost of it. All the operations will
be correctly handled only by the proponent without
expensing money for the labor. During the operation, the
proponent must use complete protective clothing to promote
good sanitation and produce healthy food.
• Before and after used the laboratory, the proponent must be
responsible to her waste materials and it will be thrown in the
proper garbage can. The source of fund intended for the project
is from the parents support worth about two thousand five
hundred pesos(Ᵽ2,500.00).The money lend by the proponent
will be pay at the end of the semester.
•
 Tocino Ingredients
Meat with back fat 4/8 kg.

MSG 3 tablespoon

Mallorca 12 tablespoon

Black pepper 6 tablespoon

Garlic 12 tablespoon

Water 2 cups

Salt 3 teaspoon

Phosphate/accord powder 3 teaspoon

Pineapple juice 12 tablespoon

Sugar 14 tablespoon

Food Coloring

Curing Salt
• Procedures:
• Sliced the meat, black pepper, onion and garlic.
• Add all the ingredients.
• Mix them thoroughly.
• Wrap with longganisa wrapper and sealed.
Calendar of Activity

1st process
 Month Planned Input Quantity Unit Price Total
Activities Required

Calypso 1 packs 49.00 49.00

Cellophane
Purchased raw materials Gloves 1 Pack 25.00 25.00
4th week of
Basin 1 Pc. 82.00 82.00
January
Knife 1 Pc. 35.00 35.00
Measuring cup 1 Set 95.00 95.00

Chopping board 1 Pc. 50.00 50.00

PPE 1 Set 50.00 50.00

Weighing scale 1 Pc. 165.00 165.00

Transportation - - 120.00 120.00

Styro box 1 Pc. 140.00 140.00

Lean meat 3 KG. 180.00 540.00
Sugar 1/4 KG. 10.00 10.00
Purchased ingredients and raw Magic sarap 1 Pack 4.00 4.00
materials
Garlic 1 Bulb 5.00 5.00
Curing Salt 1/4 Kg. 15.00 15.00
Pepper 1 Dozen 5.00 5.00
Food coloring 1 Pc. 2.00 2.00

Mallorka 1 Bottle 25.00 25.00

Pineapple juice 1 Pack 12.00 12.00

Coarse salt 1/2 Kg. 5.00 5.00

Phosphate 1/4 Kg. 40.00 40.00
Ᵽ1,474.00
TOTAL
 Marketing of Product
Total
February Yield Price
In four weeks

Tocino 18 packs in Ᵽ45.00 Ᵽ810.00

12kls. Of
pork
 2nd Process
Month Planned Input Quantity Unit Price Total
Activities Required

1ST Week of Transportation - - 50.00 50.00

February
Laboratory rent 1 Month 50.00 50.00
Purchased Food coloring 1 Pc. 2.00 2.00
Ingredients and Lean meat 3 Kg. 180.00 540.00
raw Materials
Magic sarap 1 Pc. 4.00 4.00
Sugar 1/4 Kg. 10.00 10.00
Garlic 1 Bulb 5.00 5.00
Pepper 1 Pc. 5.00 5.00

Total Ᵽ616.00
 Month Planned Input Quantity Unit Price Total
Activities Required
- - 50.00 50.00
Transportation
Purchased Lean meat 3 Kg. 180.00 540.00
2nd week of ingredients and
February raw materials
Sugar 1/4 Kg. 12.00 12.00
Magic sarap 1 Pack 4.00 4.00
Garlic 1 Bulb 5.00 10.00
Pepper 1 Pc. 5.00 5.00
Food coloring 1 Pc. 2.00 2.00

Total Ᵽ616.00
 Month Planned Input Quantity Unit Price Total
Activities Required
- - 50.00 50.00
Transportation
Purchased Lean meat 3 Kg. 180.00 540.00
3rd week of ingredients and
February raw materials
Sugar 1/4 Kg. 12.00 12.00
Magic sarap 1 Pack 4.00 4.00
Garlic 1 Bulb 5.00 10.00
Pepper 1 Pc. 5.00 5.00
Food coloring 1 Pc. 2.00 2.00

Total Ᵽ616.00
 Month Planned Input Quantity Unit Price Total
Activities Required
- - 50.00 50.00
Transportation
Purchased Lean meat 3 Kg. 180.00 540.00
4th week of ingredients and
February raw materials
Sugar 1/4 Kg. 12.00 12.00
Magic sarap 1 Pack 4.00 4.00
Garlic 1 Bulb 5.00 10.00
Pepper 1 Pc. 5.00 5.00
Food coloring 1 Pc. 2.00 2.00

Total Ᵽ616.00
 Marketing of Product

February in four Yield Price Total

weeks

72 packs in
Tocino 12kls. Of pork Ᵽ45.00 Ᵽ3,240.00
 3rd Process
Month Planned Input Quantity Unit Price Total
Activities Required
Transportation - - 50.00 50.00
Calypso 1 Pack 48.00 48.00
Cellophane
Laboratory rent 1 month 50.00 50.00
1st Purchased Lean meat 3 Kg. 180.00 540.00
Week of March ingredients and raw
materials
Magic sarap 1 Pc. 4.00 4.00
Food coloring 1 Pc. 2.00 2.00
Sugar 1/4 Kg. 10.00 10.00
Garlic 1 Bulb 5.00 5.00
Pepper 1 Pc. 5.00 5.00
Pineapple juice 1 Pack 12.00 12.00
Mallorka 1 Bottle 25.00 25.00
Coarse salt 1/2 Kg. 5.00 5.00
 10

Month Planned Input Quantity Unit Price Total

Activities Required

- - 50.00 50.00
Transportation

Purchased Lean meat 3 Kg. 180.00 540.00

2nd week of
ingredients and raw
March
materials

Sugar 1/4 Kg. 12.00 12.00

Magic sarap 1 Pack 4.00 4.00
Garlic 1 Bulb 5.00 10.00
Pepper 1 Pc. 5.00 5.00
Food coloring 1 Pc. 2.00 2.00

Total Ᵽ616.00
Marketing of Product

Month Planned Input Quantity Unit Price Total

Activities Required
- - 50.00 50.00
Transportation
Purchased Lean meat 3 Kg. 180.00 540.00
3rd week of ingredients and
March raw materials
Sugar 1/4 Kg. 12.00 12.00
Magic sarap 1 Pack 4.00 4.00
Garlic 1 Bulb 5.00 10.00
Pepper 1 Pc. 5.00 5.00
Food coloring 1 Pc. 2.00 2.00

Total Ᵽ616.00
 Month Planned Input Quantity Unit Price Total
Activities Required
- - 50.00 50.00
Transportation
Purchased Lean meat 3 Kg. 180.00 540.00
4th week of ingredients and
March raw materials
Sugar 1/4 Kg. 12.00 12.00
Magic sarap 1 Pack 4.00 4.00
Garlic 1 Bulb 5.00 10.00
Pepper 1 Pc. 5.00 5.00
Food coloring 1 Pc. 2.00 2.00

Total Ᵽ616.00
 Marketing of Product

March in four Yield Price Total

weeks

Tocino 72 packs in Ᵽ45.00 Ᵽ3,240.00

12kls. Of pork
 4th process
Month Planned Input Quantity Unit Price Total
Activities Required
Transportation - - 50.00 50.00

Calypso 1 Pack 48.00 48.00

Cellophane
Laboratory rent 1 month 50.00 50.00
1st
Week of April Purchased ingredients Lean meat 3 Kg. 180.00 540.00
and raw materials

Magic sarap 1 Pc. 4.00 4.00

Food coloring 1 Pc. 2.00 2.00

Sugar 1/4 Kg. 10.00 10.00

Garlic 1 Bulb 5.00 5.00
Pepper 1 Pc. 5.00 5.00
Pineapple juice 1 Pack 12.00 12.00

Mallorka 1 Bottle 25.00 25.00

Coarse salt 1/2 Kg. 5.00 5.00

Total Ᵽ731.00
 Month Planned Input Quantity Unit Price Total
Activities Required
- - 50.00 50.00
Transportation
Purchased Lean meat 3 Kg. 180.00 540.00
2nd week of ingredients and
April raw materials
Sugar 1/4 Kg. 12.00 12.00
Magic sarap 1 Pack 4.00 4.00
Garlic 1 Bulb 5.00 10.00
Pepper 1 Pc. 5.00 5.00
Food coloring 1 Pc. 2.00 2.00

Total Ᵽ616.00
 Month Planned Input Quantity Unit Price Total
Activities Required
- - 50.00 50.00
Transportation
Purchased Lean meat 3 Kg. 180.00 540.00
3rd week of ingredients and
April raw materials
Sugar 1/4 Kg. 12.00 12.00
Magic sarap 1 Pack 4.00 4.00
Garlic 1 Bulb 5.00 10.00
Pepper 1 Pc. 5.00 5.00
Food coloring 1 Pc. 2.00 2.00

Total Ᵽ616.00
 Month Planned Input Quantity Unit Price Total
Activities Required
- - 50.00 50.00
Transportation
Purchased Lean meat 3 Kg. 180.00 540.00
4th week of ingredients and
April raw materials
Sugar 1/4 Kg. 12.00 12.00
Magic sarap 1 Pack 4.00 4.00
Garlic 1 Bulb 5.00 10.00
Pepper 1 Pc. 5.00 5.00
Food coloring 1 Pc. 2.00 2.00

Total Ᵽ616.00
 Marketing of Product

April in four weeks Yield Price Total

Tocino 72 packs in 12kls. Of Ᵽ45.00 Ᵽ3,240.00

pork
 5th process
Month Planned Input Quantity Unit Price Total
Activities Required
Transportation - - 50.00 50.00

Calypso 1 Pack 48.00 48.00

Cellophane
1st Laboratory rent 1 month 50.00 50.00
Week of May
Purchased ingredients Lean meat 3 Kg. 180.00 540.00
and raw materials

Magic sarap 1 Pc. 4.00 4.00

Food coloring 1 Pc. 2.00 2.00

Sugar 1/4 Kg. 10.00 10.00

Garlic 1 Bulb 5.00 5.00
Pepper 1 Pc. 5.00 5.00
Pineapple juice 1 Pack 12.00 12.00

Mallorka 1 Bottle 25.00 25.00

Coarse salt 1/2 Kg. 5.00 5.00

Total Ᵽ731.00
 Month Planned Input Quantity Unit Price Total
Activities Required
- - 50.00 50.00
Transportation
Purchased Lean meat 3 Kg. 180.00 540.00
2nd week of ingredients and
May raw materials
Sugar 1/4 Kg. 12.00 12.00
Magic sarap 1 Pack 4.00 4.00
Garlic 1 Bulb 5.00 10.00
Pepper 1 Pc. 5.00 5.00
Food coloring 1 Pc. 2.00 2.00

Total Ᵽ616.00
 Marketing of Product
May in two Yield Price Total
weeks

Tocino 36 packs in 6kls. Ᵽ45.00 Ᵽ1,620.00

Of pork
 V.Financial Aspect
A.Summary of cost per semester
Cost
Laboratory Rent 200.00
Calypso Cellophane 192.00
Lean meat 8,100.00
Sugar(brown) 150.00
Magic sarap 60.00
Garlic 75.00
Curing salt 15.00
Phosphate 40.00
Pepper 75.00
Mallorca 50.00
Pineapple juice 48.00
Coarse salt 20.00
Food coloring 30.00
Transportation 820.00
Contingency(2%) 197.00
B.ReceiptS
Receipts per cycle for food processing

Particulars Yield Unit Price Total

Tocino 270 packs 45.00/pack Ᵽ12,150.00

 C. Monthly Cash Flow Budget

Particulars January February March April May Balance

A. CASH FLOW
Borrowed Capital Ᵽ2,500.00 -0- -0- -0- -0- Ᵽ2,500.00
Sales Ᵽ810.00 Ᵽ3,240.00 Ᵽ3,240.00 Ᵽ3,240.00 Ᵽ1,620.00 Ᵽ12,150.00
Total cash flow Ᵽ3,310.00 Ᵽ3,240.00 Ᵽ3,240.00 Ᵽ3,240.00 Ᵽ1,620.00 Ᵽ14,650.00
A. Cash Out flow
Knife 35.00 -0- - - - 35.00
Gloves 25.00 -0- - - - 25.00
Basin 82.00 -0- - - - 82.00
Measuring cup 95.00 -0- - - - 95.00
Chopping board 50.00 -0- - - - 50.00
Weighing scale 165.00 -0- - - - 165.00
Styro box 140.00 -0- - - - 140.00
PPE 50.00 -0- - - - 50.00
Laboratory rent - 50.00 50.00 50.00 50.00 200.00
Calypso cellophane 48.00 48.00 48.00 48.00 - 192.00
Lean meat 540.00 2,160.00 2,160.00 2,160.00 1,080.00 8,100.00
Sugar 10.00 40.00 40.00 40.00 20.00 150.00
Magic sarap 4.00 16.00 16.00 16.00 8.00 60.00
Garlic 5.00 20.00 20.00 20.00 10.00 75.00
Curing salt 15.00 - 15.00
Phosphate 40.00 - 40.00
Pepper 5.00 20.00 20.00 20.00 10.00 75.00
Mallorka 25.00 - 25.00 - - 50.00
Pineapple juice 12.00 12.00 12.00 12.00 - 48.00
Coarse salt 10.00 - - - - 10.00
Food coloring 2.00 8.00 8.00 8.00 4.00 30.00
Contingency 196.01 - - - - 196.01
Transportation 120.00 200.00 200.00 200.00 100.00 820.00
Borrowed capital - - - - 2,500.00 Ᵽ2,500.00
Total cash outflow(B) 1,674.01 2,574.00 2,599.00 2,574.00 3,782.00 Ᵽ13,203.00
Cash surplus(A-B) 1,635.99 666.00 641.00 666.00 (2,162.00) Ᵽ1,446.00
Opening balance - 1,635.99 2,301.99 2,942.99 3,608.99 -
Closing balance Ᵽ1,635.99 Ᵽ2,301.99 Ᵽ2,942.99 Ᵽ3,608.99 Ᵽ1,446.99 Ᵽ1,446.00
 D. Gross Margin Budget

LOLOY’s PORK TOCINO PROCESSING

Gross Margin Budget
February to May
Gross Income Ᵽ12,150.00
Sale(270 packs and Ᵽ45.00/packs)
Total gross income (A) Ᵽ12,150.00
Laboratory Rent 200.00
Calypso Cellophane 192.00
Ground pork 8,100.00
Sugar 150.00
Magic sarap 60.00
Garlic 75.00
Curing salt 35.00
Phosphate 40.00
Pepper 75.00
Mallorca 50.00
Pineapple juice 48.00
Coarse salt 15.00
Food coloring 30.00
Transportation 820.00
Contingency 196.01
Total Variable costs 10,001.01
Gross Margin 2,148.99
GM/VC .21
The gross margin per variable cost is
.21 which means that every 1.0
invested in this project there will be
.21 centavos return in the gross
margin.
 E. Break Even and Sensitivity Analysis
Bey= TVC
P
Where: BEY is the break even yield TVC is the total variable cost and P is the
price of the product.
TVC= Ᵽ10,001.01
Total yield= 270 packs
Price= Ᵽ45.00/pack

Solution:
Bey= Ᵽ10,001.01
Ᵽ45.00/PACK
=222 packs of Tocino
BEP= TVC
TY
WHERE: BEP is the breakdown-even price TVC is the total variable cost
TY is the total yield.
BEP= Ᵽ10,001.01
270 Packs
=Ᵽ37.00/pack
• Therefore, the yield should not be less than the BEY which is 222
packs of Tocino and the price should be greater than equal to the
BEP which is Ᵽ37.00/pack in order to avoid losses.
 F. Sensitivity Analysis
Items Normal 10% decrease in 10% increase in 10% Decrease product
product price TVC and 10% increase in
TVC

Total Sales 12,150.00 10,935.00 12,150.00 10,935.00

Total Variable Costs 10,001.01 10,001.01 11,001.11 11,001.11

Gross Margin 2,148.99 933.99 1,148.89 -66.11

GM/VC .21 .09 .10 .00

• So, when the price of the product decreased by
10% holding the total variable costs constant,
the gross margin per variable costs is .21.When
the price of the product is constant and the total
variable cost increased by 10%, the GM/VC is
.10. But when there is a decrease in product
price and there is an increase in TVC. The
GM/TVC is only.00 which means that the
enterprise has little gross margin.
 G. Financial Analysis
• ROI= Gross Margin x 100
• Total Investment
• Total Investment= Borrowed Capital+ Owner’s Equity
• TI= Ᵽ10,001.01= Borrowed capital+ Owners Equity
• TI= Ᵽ10,001.01 GM=Ᵽ2,148.99

ROI= Ᵽ2,148.99 x 100

Ᵽ10,001.01
• ROI= 21%
• The ROI is 21% which means that for every 1.00 invested there is
.21 centavos return.
 VI. Conclusion

•Therefore, I conclude tocino production is

highly demand in the market since it is the
consumer’s preference and because of its
palatability. It is very profitable because the
ROI is about 21% and it will be a successfully
one when you handle it properly and
manage it well.
• REPORTER
• JOSHUA M. COURSINO
• MEJICA, KENT GEBRIEL M.
• JAMERO, MARJHON
• BRECIP, HAROLD
• SERINIO, CARLO
• MIRAL,CEAJAY
• CHRISTY ANN, NALAM