Bread is a staple food that is consumed in large quantities in Nigeria and the world at large. Hardly will you see a home without that doesn’t consume bread. It is a snack that is filling. Bread is produced by mixing flour and other ingredients into a dough for baking. Bread bakery business will always remain evergreen because our population is growing every day. This has presented opportunities for would be investors in the line of bread business.
Lagos State alone is said to consume up to 10 million worth of bread every day. By the time you add other 36 states and FCT then you can imagine what the figure will be. More and more bakeries are opening up with different varieties and flavours. All the bread you see around us are locally produced because bread bakery is easy to set up.
Bread bakery business can be done in a large, medium and small-scale. Whichever one you intend to do just know that there is good profit in bread business. Bread is said to be more consumed than maize, yam, rice etc. This is because it is readily affordable and cheap to purchase.
In this post you will read everything you should know about bread bakery. Ranging from requirement, cost of production, how to bake bread, marketing etc. Bakery business can only produce good profits through turn over.The profit margin for a regular loaf of bread is 20%.
SMALL SCALE BREAD BAKERY BUSINESS
Gone are the days when until you have 10 million Naira or more before you can start bread bakery business. These days everything has been reduced to the level that small-scale investors can be a part of bread bakery business. You will need about #200,000-#400,000 to start small with locally made equipments.
You can purchase a home based oven with #45,000. It will bake 25 loaves of bread. Or an oven of #200,000 which can bake 150 loaves
REQUIREMENT FOR STARTING A BREAD BAKERY BUSINESS
The first thing is to have a simple business plan that can give you a picture of what you are to expect. And also things you may not have thought of in the first place. It should include the number of competitors, the start-up capital and expected profit. The price of the kind of bread you are going to produce and the profit you will make between 1-3 years of starting.
Other requirements are;
: the things to train yourself for are recipe, packaging, flavour, marketing etc. This will give you the needed experience and the boldness to start.
: you will decide on whether to rent a place or build your own
: at the early stage Nafdac shouldn’t be an issue if you don’t have the means of doing that. But you have to do so as you expand in the business. At most, try to register with The Nigeria Bakers Association.
Procurement of bakery equipment.
This is very important, it will determine the keep off and the expected number of bread to bake.
EQUIPMENTS FOR BAKING BREAD ARE:
Oven ( bread oven comes in two methods of heating; upper heating: the heat makes the upper part of the bread to become brownish, the lower heating-it makes the down part of bread brown).
READ ALSO: How To Start Homemade bread bakery
Mixer, Milling or spiral mixer, Dough mould, Dough divider, Fermentation chamber, Weighing scale, tables, pan, printed nylon and means of transportation, these are the needed items.
COST OF BREAD BAKERY EQUIPMENTS
The price below is for locally manufactured equipments as such are subject to changes
- Oven (electric, gas) #200,000-#500,000
- Mixer #150,000-#300,000
- Dough mould #150,000
- Dough divider #20,000-#90,000
- Proofer (fermentation chamber) #120,000
- Pan #15,000 (depending on quality and quantity)
- Slicer #120,000
- Weighing scale #2,500
- Table #5,000
RAW MATERIALS NEEDED FOR 50KG BREAD BAKERY
- Flour 50kg
- Yeast 200g
- Salt 1kg
- Water 18kg
- Butter 4kg
- Preservative 300g
- Milk 300g
These are optional
- Nutmeg 4 nuts
- Egg 2
- Egg yellow 4 tsp
HOW TO BAKE BREAD (WHITE FLOUR)
- Sieve flour and introduce all dry ingredients; flour, sugar, salt, milk, yeast, preservative in a mixer for about 20-30 minutes
- Add nutmeg, baking fat, egg, yellow, butter, water and mix for about 5-10 minutes
- Use rolling stick to mill for about 30-40 minutes or about 15 minutes if you are using machine to form dough.
- Use a dough divider to divide the dough to your desired size
- Transfer dough into pan and cover, keep again to rise for about 30 minutes before baking
- Bake the dough for about 40 minutes.
WHEAT BAKING (FLOUR 10KG)
- Wheat flour 7kg
- White flour 3kg
- Sugar 1kg
- Yeast 0.5g
- Salt 100g
- Butter 500kg
- Preservative 0.5g
- Water 2kg
- Mix wheat flour, white flour, sugar, salt, and yeast, preservative in a bowl or mixer
- Mix butter, calcium in water and pour in the mixed flour
- Mix everything together with machine or hand
- Mill with milling machine or rolling-pin
- Cut dough to desire sizes
- Put it in baking pan
- Bake for 40 minutes.
Bread can be baked 5-8 times in a day. Charcoal is more preferable to electric because of cost, safety and efficiency. Electricity can collapse your bread bakery business because it is very expensive.
Install a smoke detector in case there is a fire outbreak or to detect if bread is burning.
Make sure your bread conforms to Nafdac requirement which, The Nigeria Bakery Association will give to you.
OTHER BREAD BAKERY BUSINESS TO DO
AGENTS TO OTHER BAKERIES
Establish a deal with different bakeries so you can be purchasing loaves of bread from them. You will need mobility, for a start you can higher keke or taxi for the number of hours you will use. If you have the means buy your own or convert your personal care for that.
Have on ground the people you will be supplying bread to. It should include; shops, supermarkets, schools, markets etc. The bakery company can sell for you on credit after establishing trust with them. You pay them the next day after collecting money from the supplies made. This line of business is equally lucrative because you are most likely to make gain equivalent to the bakers.
SELLING OF BAKERY INGREDIENTS
The things to sell are yeast, flour, sugar, fats, salt, egg, fats, improvers, preservatives, eggs, industrial milk etc. Just sell everything required for baking. Package them well and sell at a reduce price. Have a customer friendly attitude so you can attract good patronage.
Start a flour mill company and be producing such flour as; corn flour, cassava, flour, wheat flour, millet etc. The materials for processing can be sourced for locally. Package them well in different bag sizes for sale.
BREAD NYLON BUSINESS
In this area of business you will need a nylon bag in yards, cutting machine and sealing machine. Bakers need nylon to package bread and big bags to pack them although some of those bags are most times branded.
A roll of nylon yard is #7,000, 25kg can produce 25-32 pieces, the more the thickness the higher the price.
- Find out the kind of bread people like eating in your area and how much it is sold. By taking consumers taste, demand and choice into considerations you are bound to penetrate the market.
- Brand your bread
- Produce special delicious and unique bread such as coconut, wheat, chocolate bread.
- Establish your factory where population is high where you can capture both the low and high level earners.
- Do not use bromate or saccharine in your bread production.
- Employ experience bakers to manage the business for you while you supervise, if don’t have the time.
I am still waiting to see a baking company that can compete with Yale bread in terms of coverage. They have a wider coverage and has been in the bread business for long without match..
For a medium size bread bakery business you will need 1,5 million and above, fabricate oven that can take 2 bags of flour, it will produce 200 loaves of bread that you can sell between #300-#350 depending on your locality.
Then for large-scale bread bakery business, you will need from 5 million and above. You should be able to make use of 50 bags.
Bread bakery business is a good business so start yours today.
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