Palm Oil Export Business In Nigeria And All You Need To Know
Palm oil is an edible vegetable oil. It is gotten from the fruit of the oil palms, primarily the African oil palm. Palm oil is a very essential oil in Africa and beyond. No surprise it has been greatly exported. If you are interested in the exporting business of Palm oil here’s all you need to know.
Steps On How To Start Exporting Palm Oil Business In Nigeria
Knowledge Of The International Market: Exportation of palm oil is a whole different ball game. It is a lot different from selling in the local market. You need a solid knowledge of importation, licensing, sourcing of products (palm oil plants / seeds), international marketing and the likes in order for you to excel in this field.
An excellent way to go about the business is by meeting individuals who are very familiar with Palm oil and exportation, there by enlightening yourself more about the business and possible hiccups on the way.
Sourcing of Raw Material (palm Kennel Seeds): After educating yourself about the international market the next thing is to source for the raw material or palm oil produce you would like to export. The channel for sourcing the palm oil would be evaluated in this stage. Here, you will decide if you want to buy in large quantities already processed Palm oil produce then repackage them exportation or you want to start from scratch and produce Palm oil from Palm seeds then package them for exportation.
In Nigeria Here Is A List Of States That Produce Palm Oil
Akwa-Ibom (the largest producers)
Cross River State.
Documentations: The next step to take is to get your documents in check. When moving goods in and out of a country some documents like company registration, quality assurance, commercial documents, traffic concession, shipping documents etc. are very important.
Registration Processing: In the bead of documentations, your company name needs to be registered before goods can be exported out of the country and into another country. Your company can be registered as a one man business (sole proprietor) under the corporate affairs commission (CAC).
Below Are The Requirements That Must Be Put In Place Before Business Registrations
Number Of Members: The Company must have at least 2 members but not more than 50 members.
Age Restriction: At least 2 members of your company must be above the age of 18.
Mental Stability: Members of your company must be mentally sound. Unless this might render you bankrupt or flagged by CAMA.
Share Capital: The minimum rate for share capital is N10,000.
Essential Documents: Memorandum and Article of Association, Receipt of stamp duties, Registered address of your business, statement of compliance by legal practitioners, personal information of members of the directives.
Registrations take a scheduled number of 3-6 weeks.
The Nigerian Export Promotion Council: After meeting the requirements of CAC, the next registration is the Nigerian Export Promotion Council. They are charged with the responsibility of providing information for exporters and rules guiding exportation practices.
Make Sure That You Have Quality Documentation: To gain trust in the ever so competitive consumer market, there needs to be a large expanse of transparency. Proper labelling, proper packages, quality assurance certification and quality products, NAFDAC number, production and expiration dates, address of the packaging or producing company.
Shipping Documents: still on the long run, shipping is one of the most important aspects of an exportation business. This determines how the commodities will move out of the production (exporting) country and into the importing country. It is advisable to contact a good and reliable shipping company to handle the affairs of transporting the palm oils. Shipping documentations includes custom duties, export agencies etc.
Target Audience: In conclusion, the buyers of the goods being exported are the focus of the producers or exporters. Who are your target audience? That and more need to be figured out in this stage. E-marketing is available for you to reach a large amount of buyers in a matter of minutes.
There Are A Few Countries Who Have A Huge Demand Traffic Of Palm Oil
India (9536K Tonnes)
China (5909K Tonnes)
Bangladesh (2816K Tonnes)
Pakistan (2519K Tonnes)
Netherlands (2483K Tonnes)
Italy (1641K Tonnes)
Germany (1338K Tonnes)