The most frequently asked questions about starting palm oil processing business in Nigeria

Date:2021-05-18/ FAQ/ Chat online/ Technical support

This article covers everything you need to know about starting and running a successful palm oil processing business in Nigeria. Read this article carefully, you will find the answers of these questions, such as: Is it feasible to start palm oil processing business in Nigeria? How to Start Palm Oil Processing Business In Nigeria? What machines are needed in palm oi processing process?

palm oil processing plantLarge scale palm oil processing plant

The first question: Is it feasible to start palm oil processing business in Nigeria?

Answer: As people learn more about the palm oil processing industry in Nigeria, more and more data prove that starting palm oil processing business in Nigeria is a profitable business. The following is the specific content.

1.High Demand for palm oil:

Nigeria presently is the fifth largest producers of oil palm accounting for about 1.5% of global output behind Indonesia, Malaysia, Thailand and Colombia. The continued population growth industrialization and expansion has resulted to increased demand for palm oil (i.e the major product from oil palm). Nigeria domestic supply can only meet about 55% of the total demand. Hence, the deficits are met through importation.

2, Widely application:

Most people know palm oi can be used for cooking, but asides from being used for cooking, palm oil is also increasingly being used in the preparation of other food articles. As a non-food ingredient, the product finds application in the production of cosmetics, toiletries, soaps and detergents.

3. The encouragement policy of the Nigerian Government:

1)Nigeria plans to invest 180 billion naira ($500 million) to increase its palm oil production from around 600,000 tons a year to 5 million tons a year by 2027.

2)The policy, which would double oil palm acreage from 3 million to 6 million hectares, aims to meet all of the country’s domestic palm oil demand by 2027.

3)Nigerian Government encouraged the construction of a palm oil mills in every continent of Nigeria.

4, New technology high oil yield palm oil processing machine has been accepted and recognized by Nigeria local people.

In Nigeria, The most widely used palm oil extraction methods is traditional palm oil manufacturing method, but it can't meet the market demand of palm oil.

[Recommended reading:What types of palm oil extraction methods are still used in Nigeria?]

palm oil processing processTraditional palm oil processing process

The features of traditional palm oil manufacturing method:

1,Low oil production rate, a lot of the oil is still left in the palm cake;

2, Machine simple, manual operation,Serious staff waste;

3, What's more, the locals burn the palm nuts as fuel instead of extracting the palm kernel oil;

The second question:How to start palm oil processing business in Nigeria?

Answer: Knowing that staring palm oil processing business in Nigeria is feasible, the next thing we cared about was this: how to start palm oil processing business in Nigeria? If you want to know the details, read on.

Are you ready to start palm oil processing business? These steps you need to follow:

1, Get adequate capital

Money is your first consideration when you start palm oil processing business in Nigeria. The cost to be factored into your capital should include:

• Land rental cost;

• Purchasing raw materials cost;

• Palm oil processing machine cost

• Hiring employees cost

• Palm oil mill plant maintenance cost

• Storage and transportation cost

2, Prepare a Land

The scale of your palm oil mill plant will determine the size of land to acquire. It could be a few acres of land or hectares of land.

3, Collect enough palm fruits;

Only sufficient palm fruits can guarantee the normal operation of the palm oil mill. So you need to find a stable and reliable palm fruits supplier to provide enough palm fruits for your palm oil production;

palm fruit bunchesPalm fruit bunches

4, Purchasing suitable palm oil processing machine;

The most important part of the cost of starting a palm oil processing business is machinery cost. The prices vary depending on the type of palm oil processing equipment. If you choose to purchase palm oil press machine to meet the production needs, the machinery cost will be lower, is about : $1,200-1,500. But if you want to purchase complete set of palm oil processing machine, the machinery cost will be vary, as for the exact cost of the palm oil processing machine, you need to confirm with equipment supplier.

[Read also: 5tph small scale palm oil processing machine prototype]

palm oil processing machine5tph palm oil processing machine prototype

5, Hire a certain number of workers;

To ensure the normal running of palm oil mill plant, you may need to hire people to assist you in doing the processing.

6, Pay for palm oil mill plant maintenance cost:

When the palm oil processing equipment has been operating for a period of time, we need to overhaul the equipment.

[Recommeded reading: How to start a medium scale palm oil processing plant in Nigeria? ]

The above is the main tasks for the establishment of a palm oil mill plant in Nigeria. In addition, there are other preparatory work to be done, which we have to prepare according to the specific situation.

The third question: What machines are needed in palm oil production process?

Answer: Depending on the production scale of the palm oil processing plant, the equipment used in the palm oil production process will be different. During palm oil processing process, the most widely used machines are screw palm oil press machine, small scale palm oil processing machine and large scale palm oil processing machine. Next, I will introduce you the application scope of different palm oil processing machine.

1)Single screw palm oil press machine is suitable for small-scale home-style workshop production, or a palm oil processing business investor(palm oil producer) who with a small budget.

palm oil press machineSmall scale palm oil press machine

Machine introduction:

Single screw palm oil press machine is the most purchased stand-alone palm oil machine at present. This machine can process palm fruit with capacity 500 kg per hour. And it can be equip with diesel engine and electricity engine.

Equipment price:

The price of this small scale screw palm oil press machine is range from 1200USD to 1500USD. As the number of purchases increases, there will be some discounts. For details, please consult DOING Company.

2) Small scale palm oil processing machine belongs to intermittent production line which suitable small scale palm oil producers.

palm oil processing machine Small scale palm oil processing machine

Equipment introduction:

The whole set small scale palm oil processing machine includes the following equipment, palm fruit sterilizer, palm fruit thresher, palm fruit digester & presser, crude palm oil clarification machine, crude palm oil dryer machine and so on. These devices work together can help customers extract palm oil quickly and efficiently.

Equipment price:

The price of small scale palm oil processing machine is not less than 20000usd. As for the detail price, you'd better consult the palm oil processing machine suppliers.

3) Large scale palm oil processing machine is suitable for the owner of large scale oil palm plantations and large palm oil producers.

palm oil processing machineLarge scale palm oil processing machine

Equipment introduction:

Due to the scale of palm oil mill is large, usually the palm oil processing technology will be more complicated, the corollary equipment is more diverse.

Equipment price:

The palm oil processing machines and their prices often influenced by many factors. So the prices of palm oil processing machines is not fixed. If you really want to know the palm oil processing machines and their price, Henan Glory Company's engineers suggest that you'd better communicate with palm oil processing machine manufacturer. They will supply detailed palm oil processing machine price list and high quality palm oil processing machines to you according to your actual situation.

By reading the above content, i believe you have a deeper understanding of palm oil processing business. If you want to know more about palm oil processing business, you can leave us a message about your requirements. Our project manager will guide you how to set up a successful palm oil mill plant in your country.

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