Food storage business will make you a millionaire and also sustain it. We all know that living things cannot do without food as such the business of food will keep thriving day in day out. There are some food produce that are not perishable and can be stored for a long time before usage. While others are perishable but can be preserved for a while before consumption. So if you can preserve these foodstuff very well until scarcity then you will be smiling to the bank.
Commodity storage is universal, apart from Nigeria other countries are doing it. Countries store food commodities in other to regulate prices in times of scarcity. Prices of commodity are influenced by ;
- technology improvement,
- direct Government policies influence
- and environmental factors.
But in Nigeria the Government has little or no interference on commodity prices. Individuals or private bodies run the business as the like.
FACTORS TO CONSIDER BEFORE STARTING STORAGE BUSINESS
- Seed quality
- Good preservation
- Cheap entry price
YAM STORAGE BUSINESS.
The States to purchase yam in large quantities are; Benue, Taraba, Oyo, Kwara, Nassarawa, Anambra etc.
Yam is cheap in Logo, Katsina ala Local Government areas of Taraba State. But the major yam market is Zaki Ibiam yam market of the State the season is September-December while off-season is Febuary/March even up till August. Another market still in Taraba is the Chanchanji yam market I Takum and Dananacha yam market.
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Benue yam is cheaper and they have many variety to pick from. If the seller is the one storing the yams for you, then you will pay for the storage and checking. Work with the indigenes because they know yams that are good for storage (yam that will not spoil quickly). In case you are storing them by yourself you have to be checking the yams from time to time. Remove any one that is spoilt or has started sprouting.
To preserve yam very well keep them in cool airy place where neither sunlight nor rain have access to them. Make sure you don’t store any one that has bruises or cuts on their body. During harvest on season 100 tubers of big yam can cost #20,000 but during off-season the same can be sold for #60,000.
TYPES OF YAM VARIETY
- Paper yam
- Da onitsha etc.
- Identify the variety consumed in your area or location of interest where you want to be selling your yams.
- Don’t store for too long at most 6 months.
- Identify your target market.
- You have to understand the shelf life of yam before buying. Most yams have shelf life of 2-6 months depending on when they were harvested
- Don’t stretch yourself by buying too much just buy as much as you can sell.
- Lastly, don’t take loan for food storage business.
GINGER STORAGE BUSINESS
Ginger is an exportable produce but also highly consumed locally. In the International market the value is high. We have ginger agents who stand as a link between foreign buyers and local sellers. The best place to buy ginger for storage is Kaduna. Because they have the best ginger in Nigeria and maybe in Africa in terms of quality and taste.
The major occupation of the southern Kaduna people is ginger farming. Other places to buy ginger are; Niger and Nassarawa States. Purchase ginger and store in warehouse then employ the services of local women to cut, process and bag them according to exporters specification.
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You can purchase ginger very cheap during the season which is November for #30,000 a ton and sale as high as #60,000 during off-peak.
PALM OIL STORAGE BUSINESS
The best time to start storing red palm oil is January to April from May the price will start going up because of rain. The more we plunge into raining season the higher the cost of purchasing palm oil. But you must be very vigilant to know when to sale your stored oil. Red palm oil can be gotten in a larger quantity in Southern region States such as Akwa Ibom, Cross River, Abia, Imo, Anambra, Delta, Ondo,Ogun etc. To preserve palm oil store them in drums or gallons and place the containers on pelleted woods.
Start selling as soon as the price starts going up if you wait too long you might be shooting yourself on the leg because the price of palm oil is very volatile. During on season, 25 litres may cost #6,000 and sold at #12,000 during off period. Although some States has palm oil market but you can also buy from wholesalers or from millers. Also, you can buy the fruit and pay a fee to palm oil millers to process them for you.
WHY YOU SHOULD START FOOD STORAGE BUSINESS
- It is very profitable you make 100% and above gain. The profit increases as the commodity increases.
- Food storage business is very easy to do. You may not necessarily have to go to farm gate, you can buy from reliable dealers or engage the services of middlemen. In this age of internet marketing, we have online dealers who will drop ship the product to you after making arrangement for delivery and payment terms.
- Anybody can do the business it doesn’t require qualification.
- The product can be sold both locally and international
- You can start with any amount
HOW MUCH IS NEEDED TO START FOOD STORAGE BUSINESS
There is no fixed amount you can start with one bag, one gallon but when we are talking of real-time foodstuff storage investors then from one million Naira an above is ideal. It wouldn’t be a bad thing if you buy a truck loaded of commodity for storage.
You don’t need to worry about where to sell your produce because traders are already on ground waiting for the commodity to purchase.
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