How To Start Palm Oil Business Buying and Selling in Nigeria/Africa.
Palm oil business in Nigeria and it’s profit potential .
Red oil as it is often called is the oil gotten from palm tree fruit. The palm fruit is then processed to give you a thick liquid which is the palm oil.
For the benefit of our understanding let call it “Red Palm Oil”
Palm oil has great health benefit and importance when used to cook than vegetable oil. Palm oil is said to have a high percentage of vitamin E. vitamin E
With the constant use of palm oil, you will be able to overcome illnesses due to low intake of vitamin E.
PROFIT POTENTIALS OF RED PALM OIL BUSINESS
Palm oil one of the must-have product in every home and its price is always inconsiderate (I use to think that way), one minute high the other minute higher.
Palm oil cost N11,500 in the market and the retail buyers buy 25litter around the price rate of N8000 – N8500.
Whole sellers buy at the rate of N5000 – N6000 from local manufactures from far Red Palm Oil Business production states like Ondo state, Edo state, and Ebony state.
Red Palm Oil Business is mainly cheaper to buy around December to April at this time most wholesalers buy in buck (high quantity) and store them in their storehouse since Red Palm Oil is not a perishable product (Red palm oil can last for the year in the storeroom) and sells at the highest around July to September.
What most wholesaler does is to build a big oil well or fabricate a very big tank were they will store oil in the time of plenty and when it’s around July to September when the time for scarcity is near or high the seller will the bring out his Red Palm Oil from his or her storeroom and sell to the retailers in a cheaper price.
The seller at this time might have made 4x his initial investment which he earlier used to buy the Red Palm Oil from different buyers.
If a seller invests N1, 000 000.00 into palm Oil business and waits for the long-term trade which is just 4 months from the buying period, he will be making N4, 000 000.00 pure profit.
If the seller can’t wait to do a long-term trade and he has a lot of buyers and he invested same amount N1, 000 000.00 he will be making over N1, 000 000.00 pure profit.
If you decide to trade all season that will even be better. All you need to do is to find out where palm oil business production processed is done in much quantity and buy at cheap price from there, transport it to the city and sell at a good price, repeat your journey as often as you can and make money all year round.
Before you start a palm oil business, you have to plan all your strategy that you intend to use for the palm oil business.
This can be done very successfully with a business plan.
A BUSINESS PLAN
A business plan will be a good idea before you start any business. In the Red Palm Oil business, it will help you sketch where to get your goods from at a cheaper price. It will also help you estimate the amount to use to transport your goods down to your palm oil business mini hall.
HOW TO TRADE PALM OIL BUSINESS
- Buying palm oil.
- Rent a mini hall at the market.
- Transport your goods.
- Sell your goods.
We advise you sell as a wholesaler, this will help you make money quick and big in your palm oil business. Your goods will only spend a few time with you and it finished meaning your complete profit to your account within that short time frame.
BUY PALM OIL:
There are many places where you can get Palm Oil at a cheap price and high quantity in Nigeria. We advise you go as far as Ondo state, Edo state, and even Ebonyi state. You might need to hire the service of an indigene of the place to show you the Palm Oil producers if you are not familiar with the place. Do this for the whole state, go round the states and source for palm oil from the various local markets and local palm oil processors.
RENT A MINI HALL AT THE MARKET:
This is just a candid advice, people need to know that you are into wholesale of Palm Oil Business. People all over the state and close by states will come to buy from you when they get to know how you sell.
You can’t be able to sell without the 25litter container, buy from the companies that produce the containers and load the Red Palm Oil into every one of them.
TRANSPORT YOUR GOODS:
If you have your own truck or van, that will be fantastic but if not, you’d have to make do with hiring. Buy everything you want to buy, get a truck to transport it to your base and store it in your mini hall.
As you sell to try to save money to buy your business van, it will help you and save you a great deal of money and disappointment.
Imagine you are ready to transport your good from where you bought them and you cannot get mobility or the owner of the van did not service his van and it got broken down on the way. Then your investment will all be at risk. I won’t want to take that risk for too long.
SELL YOUR GOODS
Wait until the price goes up Then you open your shop and sell at a very good price, if it is a long-term trade you prefer.
It is a perfect way to invest the money instead of keeping it to the bank with peanut paid as interest on fix deposit. It is like buying property and reselling at higher prices later.
If you can’t wait for long-term trade you can be making a lot of money in the short term.
WHAT TO KNOW ABOUT PALM OIL BUSINESS
Starting a palm oil business is like trading in the real estate business.
You have to be up till date with information on market value of palm oil business.
You have to know the time of the year you are expected to invest into the palm oil business and also know the time you are expected to open your store and make profit from your palm oil business.
I have seen millions been made from palm oil business, you too can start generating your millions from palm oil business any where in Africa.
Now, that is a brief way to start a Palm Oil Business buying and selling in Nigeria/ Africa and make cool profit within a short span of time.
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