Cassava is the main crop in Africa, especially in Nigeria, for Nigeria is the biggest country of cassava plantation. With the government encouragement of agriculture processing, more and more investor choose cassava starch production as their business. Therefore, how to start a good cassava starch production company in Nigeria will be very important for them.
Firstly, and also basically, do a very detailed business plan with cost-profit analysis. Before doing it, investors should learn about the cost of raw material, final cassava starch market price, running cost, labor cost, cassava starch production machine cost etc., which will decide if the investors can start a cassava starch production company or not.
Cost profit analysis
Secondly, fund issue. Funding is a serious problem for Nigerian investors. Investors should prepare enough funds or even cash to start a cassava starch production company in Nigeria. If personal funds are limited, you can choose to apply for bank loans, or partner with other investors, etc.. The funding should cover machine cost, workshop cost, related equipment cost, running cost etc..
Thirdly, ensure enough raw material supply. If you want to start a cassava starch production company in Nigeria successfully, you must solve the raw material supplying issue firstly. Because without raw material, the cassava starch processing machine can not run, not to mention profits. The raw material can be from their own farm. If you do not have a farm, it will be better to sign a contract with the local farmers in advance to ensure a stable raw material supply.
Ensure enough raw material supply
Fourth, find more potential buyers of cassava starch. Starch is widely used in different industries like brewery, ethanol factory, paper making factory, food factory, beverages factory, etc.. Sign the off-take contract with the buyers in advance so as to ensure that there is no marketing problem, thus reducing the risk of investors.
Lastly, choose the best place to set up the cassava starch production company in Nigeria. The place should be convenient for raw material supplying and cassava starch marketing, which will save lots of transport costs.
Choose a land for set up company
All in all, less risk will ensure more profit for investors. It is not complex to get license or register a cassava starch production company in Nigeria because of the good government policy. If you want to start cassava starch business and want to inquiry about turnkey project, please welcome to contact us. Doing Company can provide the best solution according to your requirements.
Jinrui Company is professional starch processing machine and cassava deep processing machine manufacturer, if you want to learn more about our equipment or get equipment prices, welcome to leave us a message.