Investing in groundnut oil, according to findings, is another way to make profit in an era where multiple source of income is critical for survival.
In a chat with LEADERSHIP, Dr Christopher Adetunji disclosed that, investing in groundnut oil business will require such investor into acquisition of certain machines to get the best from this investment.
According to Adetunji, Nigeria is the largest groundnut producer in the African continent, and the fourth producer of the crop in the world. The country produces around 1.5 million metric tons of groundnut annually and derives its oil which is an extremely nutritious product. In Nigeria, one can produce five metric tons of groundnuts per hectare.
“From a ton of groundnuts, one can extract 500 litres of oil. Going into groundnuts oil production business is a profitable one with huge revenue because the market is full of buyers, irrespective of financial status. With eateries and many hospitality outfits springing and spreading everywhere, investor in this business will definitely make money as almost all foods are prepared with use of groundnut oil,” he said.
Further, he said, one can start a groundnut oil production business through setting up depending on one’s investment plan and financial status.
“I will advise would-be investor to avoid cutting corner with his/her plan by going through the due process. The due process is to have proper documentation in getting approval from National Agency for Food and Drug Administration and Control (NAFDAC), then have backing from Corporate Affairs Commission (CAC). Then look for suitable area to site your business operations.”
“Having acquired these, then begin proper business plan with having capable and trustworthy workers that will work with you. Then you need the building of the needed equipment that may need locally built or imported tools that will shipped down to you. Then you need to go for the needed raw materials. You must know which part of the country you must get the raw material. Like most Northern part of Nigeria in states, Adamawa, Bauchi, Borno, Kano, Taraba Kaduna, etc,” he pointed out.
He also disclosed that, “with N5m, one can set up a factory but because of high cost of things in the country nowadays, one should target N10 million or above for groundnut oil production. With the investment, one can realise like N40m after counting and deduction of operating costs.”
