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" Palm Kernel Oil Processing -

Profitable Business in Nigeria

If you are looking for a profitable business

opportunity in Nigeria, then Palm Kernel Oil
Processing Business in Nigeria is a good option to
consider. PPalm kernel oil is a cheap source of oil
used in the production of numerous products such as
soaps, vegetable ghee, margarine, ice cream,
cooking oil, bio-fuel etc..

Start Palm Kernel Oil Mill Business in Nigeria

Additionally, a by-product of palm kernel oil

processing is palm kernel cake, a fiber-rich product
used in the production of livestock feed. For all of its
uses and for its by-product, palm kernel oil has seen
rising demand, which has not yet been matched by
supply. This gap provides an ideal opportunity to
capitalize on for investors looking to enter the
Nigerian market. (Related Equipment: Palm Kernel
Oil Extraction Machine Price in Nigeria >>)

How to Setup A Small Scale

Palm Kernel Oil Mill Plant in
Nigeria?

How to start a palm kernel oil mill business in

Nigeria? Many people may don't know how to start it
and how much it would cost. If you don't have too
much budget and have no experience in palm kernel
oil production, a Small Scale Palm Kernel Oil Mill
Plant would be a BEST choice to enter the palm
kernel oil processing industry in Nigeria. Here, we list
the steps involved in setup a small scale oil
production plant to start a palm kernel oil mill
business in Nigeria.

Small Scale Palm Oil Mill Plant at Low Cost

Related News: Business Visit to Palm Oil &

Palm Kernel Oil Producers in Nigeria

Step 1: Business Plan

A business plan is the first step towards starting any

business. It helps determine the amount of capital
required and how it should be used. In a way, it acts
as a road-map for the business operations. It is also
a key document in helping secure additional capital,
whether through strategic partnership or lending, if
required. (Related Article: Palm Oil Business Plan
>>)

Step 2: Start-up Capital

This is the initial investment required to set up a

palm kernel oil factory. Since palm kernel oil
production is a capital intensive process, you will
need considerable cash upfront. For example, for a 5
tons capacity palm kernel oil mill, you will need an
initial investment of roughly around 20 million Naira
and above. This cost can vary depending on the
location of land chosen, land-size and capacity of
palm kernel production plant decided upon etc.. If
you don't have the necessary funds to start your
business as the sole proprietor, then you can
exercise options such as entering into a partnership
or sourcing capital from the bank of industry or other
lending institutions in Nigeria.

Step 3: Choosing Location & Setting Up

Factory

Finding land is an important step. You will want to

choose a location suited for production purposes yet
not too isolated where distance becomes a
hindrance for operation. Once the land has been
bought, you need to build the factory, which will
house your raw materials and your entire oil
production line.

Step 4: Business Registration

To make your business a legitimate entity in Nigeria,

you will need to register it with the Corporate Affairs
Commission of Nigeria {CAC}. You can register your
business as a limited liability company or you can
simply register a business name.

Step 5: Machine & Equipment

The typical machine and equipment for a small scale

palm kernel oil production plant includes: palm kernel
cracker, palm kernel separator, palm kernel roaster,
palm kernel oil press machine, oil filter, oil refining
machine, oil storage tank, oil dispatch pump and
weighing machine. Roughly 3~10 million Naira can
get you all these machines, locally made, with a
production capacity of 1~30 ton/day. However, if your
budget does not allow this, then you can seek to
reduce costs by negotiating on the cost of machines
and by reducing the production capacity of your
production line. (Related Post: Palm Kernel Oil
Refining Process >>)

Oil Pressing Machine for Small Scale Palm Kernel

Oil Mill Business

Step 6: Power Supply

Your electricity supply will come from PHCN.

However, because the supply can be unreliable, you
will need to invest in a stand-by generator of a
capacity of 50KVA and above to ensure there are no
disruptions in your production line due to power
failures at PHCN.

Step 7: Procurement Of Raw Materials &

Hiring Of Workforce

The main raw material needed is the palm kernel

nut. It is sourced from oil plantations in the south of
Nigeria and found in abundance during the rainy
season, which is from May to September. You will
need to actively carry out recruitment to hire your
workforce which will range from hiring workers for
the production line to hiring management level staff.

Step 8: Begin Production

With the palm kernel oil mill plant established, you

can now start producing palm kernel oil. A typical
palm kernel oil production process involves palm
kernel nut crushing, followed by kernel nut roasting,
expulsion of oil from kernel and collection and
storage of the oil. The extracted oil is in crude form.
It can be stored and sold directly as is or it can be
taken for further refining.

Step 9: Marketing

Being a new business in the market, you will want to

invest heavily into an aggressive marketing strategy
to announce your entry into the market, create brand
awareness and establish a strong consumer base.

Complete Palm Kernel OIl Mill Plant

These are the typical steps involved in starting a

palm kernel oil mill business in Nigeria. We hope
this will give a clearer picture to investors, who are
considering entering Nigeria's palm kernel oil market
, of what to expect if they decide to capitalize on this
opportunity. (Related Post: Cost of Setting up a Palm
Oil Mill in Nigeria >>)

Palm Kernel Oil Milling Process

Palm Kernel Shell Separation: Palm kernel and nut

can be obtained by crushing the kernel. The palm
kernel can always be used as fuel in the boiler room.
Shucking can accelerate the oil yield, accelerate the
quality of crude oil and cake, reduce the wear of
equipment, increase the reasonable production of
palm oil processing equipment.

Palm Nut Crushing: The shelled palm nut is

relatively large. Direct oil pressing will damage the
machine and the oil yield is not high. Usually, we
need to crush the palm nut to meet the requirements
of the palm kernel oil pressing process. The Palm
Kernel Crushing Machine in Nigeria is mainly a tooth
roll crusher.

Palm Nut Steaming and Stir-frying: The purpose

of steaming and stir-frying is to make oil cells
completely destroyed through the action of
temperature and water, so that protein denaturation,
grease aggregation, grease viscosity and surface
tension decrease, the elasticity and plasticity of the
blank is adjusted, and the enzymes are passivated.
The main equipment for steaming and frying is the
steaming wok.

Palm Kernel Oil Pressing: The method of

extracting oil by extruding the oil from the oil with the
help of external mechanical forces. The widely used
oil extraction machine for palm kernel oil extraction is
screw oil press machine.

Palm Oil Clarification/Filter: The impurities in the

oil are separated by clarification and filter to obtain
relatively pure palm kernel crude oil. (Related
Equipment: Oil Filter Press Machine >>)

Palm Kernel Oil Refinery: The palm kernel oil

obtained through the above steps is of high quality
and ready for direct consumption. If you have special
requirements, special USES you can send the crude
palm kernel oil to an oil refining plant for high quality
palm kernel oil.

# What are the main factors that have a

greater impact on palm kernel oil during the
processing of edible oil?

$ During the production and

processing of edible vegetable oil, there
are many factors that affect the quality
of oil.
such as: raw materials, quality
verification in procurement is not in
place, raw material storage conditions
do not meet the requirements, and
quality inspection measures are
insufficient;
In the palm kernel oil production
process, the degree of palm kernel oil
cleaning is not enough, the palm kernel
oil refining plan is not perfect, the
relevant parameters are not accurate,
the determination of key control points
is inaccurate or insufficient, and the
production operation instruction is not
complete;
The layout and facilities of the palm
kernel oil extraction workshop, the
layout of the workshop is not
reasonable, the filling area and other
operation areas are not separated as
required, and the staff is inadequate in
purification;
In terms of corporate management, the
management system is imperfect and
lacks modern management concepts
and measures.
In view of the problems in the above
aspects, the analysis and discussion
were carried out in combination with the
actual production, and solutions were
proposed to ensure the quality of edible
vegetable oil. contact us for more
information.

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