How To Start Iodized Salt Production In Nigeria 2018.
Iodized Salt Production.
Nigeria has a lot of people with lots of different culture (language and food).
though the language and the food of the people might differs, but one thing in the food is common to them, and that is SALT.
Salt is added to food for test.
Many years ago, Nigeria started a campaign against the consumption of locally made salt that has not been iodized.
Today, I can say the rate of consumption of iodized salt is over 92% of our population.
Iodized salt production business can be initiated as small scale basis with comparatively small startup capital investment.
The manufacturing process is simple, producing iodized salt by iodinating common salt.
IODIZED SALT PRODUCTION MARKET POTENTIAL
Iodized salt is a white crystalline powder salt fortified by Iodine.
Most of the people that consume locally made salt in the country are at risk of iodine deficiency disorder (IDD) because their soil lacks iodine and because they lack access to foods which contain iodine.
IDD can be easily avoided by consuming sufficient amount of salt fortified with Iodine.
Salt fortification is a highly cost-effective method of ensuring that everyone receives a steady and continuous iodine supply.
Iodized salt improves thyroid function, improves brain function, fights against depression, controls weight and many more.
Increasing health awareness and spending capacity of the people are the key factors of the growing market of iodized salt.
IODIZED SALT PRODUCTION BUSINESS REGISTRATION
Since you are going to be operating as a company and your product is an edible product you will need a proper registration from the start.
In starting iodized salt production business, entrepreneurs need to obtain different registrations and licenses from Government Authority in Nigeria.
1. Business registration with CAC
2. Registration with NAFDAC
3. Factory License
4. Food Business Operator License
5. In most of the states, the business doesn’t demand Vat Registration. However, check your state law.
These licenses and registrations must be obtained from the offices of respective authorities in Nigeria.
FINANCE FOR IODIZED SALT PRODUCTION BUSINESS
Total initial investment cost will depend on your desired production output and total project cost.
Broadly, you can categorize the cost in two section. One is fixed capital investment and another one is working capital investment.
The fixed capital investment includes land, building and machinery.
On the other hand, working capital investment includes raw materials, packaging consumables, utilities, human resources etc.
You can apply a loan to any bank and financial institution provided you can accommodate at least 25 – 30% of project cost as collateral security.
IODIZED SALT PRODUCTION MACHINERY & UTILITIES
In starting a medium scale, iodized salt production unit following machinery is required.
1. Silos (stainless steel)
2. Crushers (Roller/ball)
4. Packing Machines
Electricity is the major utility required as it is used as power source for heavy-duty crushing machines installed in the plant.
Water is also required for general purpose in the plant.
IODIZED SALT PRODUCTION PROCESS & RAW MATERIAL
The production programme is prepared based on the selected plant capacity and expected market share to be captured by the unit.
At the initial stage of production, the plant may require some years to penetrate into the market.
Therefore, the plant initially will operate at 75% of its rated annual capacity.
Broadly iodized salt can be produced through the various different process.
Iodising the edible salts with potassium iodide, potassium iodate and calcium iodate, are the most
popular production process.
Potassium iodide is not stable and, therefore, stabilisers (like calcium carbonate) have to be added to reduce the loss of iodine, in the case of using Potassium Iodide.
The iodate, on the other hand, is stable up to 560 Deg C.
Except in extreme conditions, Potassium iodate does not deplete and can sustain even after 300 days in storage as iodised salt.
The Central Salt & Marine Chemical Research Institute (CSMCRI), Bhavnagar found that it is only on heating the iodised salt or boiling the solution, that there is significant depletion.
Potassium iodate has been approved by the Health Ministry for iodinating the salt.
According to a standards, to get 30 ppm of iodine, 50 ppm of potassium iodate needs to be added.
To get the iodised salt, the iodate is dissolved in water or saturated brine.
Then the salt crystals are mixed with the aqueous solution to form iodised salt.
Raw Materials. Specifications
- Salt; Edible grade
- Potassium iodate; Technical grade 40 ppm/25 ppm
Considering the growing demand of the product, iodized salt production business is one of the most profitable investment to venture into.
This is a product that every Nigeria must consume on a daily bases, yet its competition level is very low.
Why You Should Start Iodized salt Production.
- It demand is high
- Competition level is low
- You can buy local salt at cheaper price.
If you really wants to start iodized salt production business, you don’t have to do the production of salt which is the raw materials yourself, local salt are very cheap and affordable.
A unique water resistance package should be what we will looking at.
The package should not expensive.
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