In Nigeria, over 30 million hectares of farmland is under cultivation season to season, but still short of feeding its growing population. Thus, the Nigerian government has paid more attention to the vegetable oil production industry and published many policies to support its development, helping address the country’s dependence on food imports totaling nearly 11 billion dollars annually.
So, it is really a good chance in Nigeria to start vegetable oil business now, not only for businessmen, investors but for those vegetable oil producers who want to expand their small oil mill.
If you have intent to start vegetable oil production business in Nigeria, you can choose the palm oil production industry. We all know, palm oil production industry plays a dominant role in Nigeria. Recent reports show, Nigeria palm fruit production capacity already be the third one in the world. In addition, the Nigerian government announced that Nigeria bans to import crude palm oil from other countries from this year. With its advantaged raw material production capacity and government support, the palm oil production industry certainly will be the most potential one in the Nigeria market.
If you are in the North of Nigeria, maybe palm oil is not the best choice for you. But you can consider groundnut and soybean oil production business. As our Doing Mechanical Equipment Co.,ltd many times research and investigate, we found already many businessmen realized groundnut oil business opportunity. Till now, there have been over 5 large groundnut oil production factories already located in the Northern area, Nigeria.
Of course, if you have a financial problem, it will be a great choice for you to start with a mini oil mill and then expand it step by step instead of starting the whole vegetable oil processing line once. That’s good for you to adjust finance investment and more space to research the market.