SA Best Peanut Butter Business Plan — Appendix E: Glossary
Glossary of aflatoxin, kernel, private label and financial terms used throughout the SA Best Peanut Butter business plan.
Appendix E: Glossary
Jump to section
- Overview & contents
- i. Important Notice and Basis of Preparation
- 1. Executive Summary
- 2. Aflatoxin: The Question That Defines the Business
- 3. Market, Products and Pricing
- 4. Regulation and Food Safety
- 5. SWOT and Competitive Position
- 6. Operations
- 7. Financial Plan
- 8. Break-Even and Debt Service
- 9. Investment Analysis
- 10. Sensitivity and Scenario Analysis
- 11. Risk Analysis
- 12. Implementation Roadmap
- 13. Key Performance Indicators
- 14. Key Assumptions
- 15. Conclusion and Recommendation
- A. Appendix A: Consolidated Financial Summary
- B. Appendix B: Volume, Kernel and Cost Schedules
- C. Appendix C: Funding, Debt and Working Capital Schedules
- D. Appendix D: Risk Register
- E. Appendix E: Glossary
|
Term |
Meaning |
|---|---|
|
Aflatoxin |
A carcinogenic toxin produced by Aspergillus fungi in warm, humid conditions. The limit for peanut butter under Regulation R.1145 is 10 parts per billion — ten micrograms in a tonne. |
|
Certificate of Acceptability |
The food premises hygiene licence issued under Regulation R638 of 2018 after inspection by an Environmental Health Practitioner. |
|
Commodity grade, sundry and splits |
The cheaper groundnut grades from which most South African peanut butter is made, and the grades most exposed to aflatoxin. Rejected at intake at 11.5% against 3.8% on certified kernels. |
|
Contribution per tonne |
Revenue less kernels, packaging, conversion, trade spend, logistics and additives. R13 515 at Year 1 prices, or 25.2% of revenue. |
|
Effective kernel cost |
Purchase price adjusted for the recipe ratio of 0.905 tonnes of kernel per tonne of product and a 3.8% intake rejection allowance — R26 247 a tonne of finished product at Year 1 prices. |
|
FSSC 22000 |
A HACCP-based food safety management certification scheme. A commercial precondition for retail and private label listing, not merely a legal one. |
|
Intake rejection |
Certified deliveries rejected outright at intake after sampling. A three-point movement is worth R5 344 900 of Year 5 EBITDA. |
|
ITAC |
The International Trade Administration Commission, which raised the general customs duty on peanut butter from 0.99 cents a kilogram to 20% ad valorem with effect from 24 July 2026. |
|
Private label |
Product manufactured to a retailer’s specification and sold under the retailer’s brand. 21% contribution margin against 29% on own-brand jars. |
|
Regulation R.1145 |
The Department of Health regulation governing the tolerance of fungus-produced toxins in foodstuffs, including the 10 parts per billion aflatoxin limit for peanut butter. |
|
Section 20 limitation |
The South African rule capping the set-off of assessed losses at the higher of R1 million or 80% of taxable income in any year. |
|
Traceability |
Lot-level tracking from kernel intake to despatched pallet. What converts a catastrophic recall into a manageable one. |
SA Best Peanut Butter Manufacturing (Pty) Ltd · Business Plan and Investment Proposal · August 2026 · Strictly Confidential