Do you want to start a rice mill business in Nigeria?
This article will show you how to start a rice mill business in your preferred location.
Rice is the most important staple food crop in the world. It provides food for 65% of the population in Nigeria. The crop occupies about 37 % of the total cropped area and 44% (2001-02 position ) of the total production of food grains in Nigeria. Ebonyi state is the leading producer of rice in the country. It accounts for 16.39% of the total production, rice in its raw form cannot be consumed by human beings. It needs to be suitably processed for obtaining rice. The Rice milling is the process that helps in removal of hulls and bran’s from paddy grains to produce polished rice. If you live in a highly paddy producing area, you can establish a rice mill plant of your own.
The improved rice mills have a better husk and rice bran aspiration system. The same prevents mixing of finely broken with rice bran. Therefore, the quality of rice bran obtained is better. Rice mill plant is the techno-commercially profitable business.
RICE MILL BUSINESS MARKET POTENTIAL
Rice Mill Plant Rice is an essential food for the population of Nigeria. Nigeria is a large market with a widening middle-income group and an increasing number of double-income households. It holds great potential for the packaged rice segment. The bye-product of such Mills, Rice bran, could find great demand as raw material among solvent Extraction Plants. Rice mill plant is the largest agro-processing industry of the country. Establishing rice mill plant is a profitable business in Nigeria.
RICE MILL BUSINESS REGISTRATION
In starting the business, you will need to obtain several different license from Govt. authority.
- Register your business with CAC.
- Obtain Factory License.
- Apply for ‘consent to establish’ and ‘consent to operate’ from Pollution Control Board
- Apply for a license according to the Rice-Milling Industry
- Obtain VAT registration
RICE MILL BUSINESS MACHINERY
Required Machines are:
- Raw paddy cleaner cum aspirator consisting of large aspiration of desired suction width. It must be fitted with double fans with necessary damper controls.
- One rubber roll paddy sheller
- Paddy Separator to separate unshelled paddy from deshelled paddy.
- Blowers, husk and barn aspirators for aspiration of light particles. It also separates husks from dehusked kernels and bran from milled rice.
- Cone type paddy polishers
- Rice grader/ aspirator for purification and grading of polished rice grains
- Bucket elevators for bulk transport and conveyance
RICE MILL BUSINESS UNIT ESTABLISHMENT
First, you must figure out the requirement of the area. It broadly depends on two aspects. Whether the unit will be using a parboiling unit for pre-treatment of paddy before the commencement of milling operation or it will be directly milling raw paddy. Generally, 1.00 to 1.50 acre of land is required for establishing an improved rice milling unit having an installed processing capacity of 2 MT/ hr.
The total power requirement will to the tune of 75 KW. The essential power requirement of the unit is about 90 HP and accordingly suitable standby generator provision is made. Water is required for parboiling and domestic consumption purpose. You must ensure suitable arrangements for continuous water supply of desired quality and quantity.
You must build several constructions for different unit activity. Such as raw paddy go down, cleaning unit, drier and necessary supporting structures such as boiler/blower system etc., milling section, finished product stores, machine rooms etc. You must maintain Quality Control and Standards as per AGMARK specification.
RICE MILL BUSINESS MANUFACTURING PROCESS
Rice milling unit operation includes several steps. Those are:
Pre-Cleaning: Removing all impurities and unfilled grains from paddy
De-stoning: Separating small stones from paddy
Parboiling: It helps to improve the nutritional quality by gelatinization of starch inside the rice grain. It improves the milling recovery percent during dehulling and polishing / whitening operation
Husking: Removing husk from paddy
Husk Aspiration: Separating the husk from brown rice/ unhusked paddy
Paddy Separation: Separating the unhusked paddy from brown rice
Whitening: Removing all or part of the bran layer and germ of brown rice
Polishing: Improving the appearance of milled rice by removing the remaining bran particles and by polishing the exterior of the milled kernel
Length Grading: Separating small and large broken from head rice
Blending: Mixing head rice with predetermined amount of broken, as required by the customer
Weighing and bagging: This is the last step in rice mill plant operation. Preparing the milled rice for transport to the customer
COST OF SETTING UP A RICE MILL IN NIGERIA
We always get questions like How much does it cost to set up a rice mill in Nigeria, and after much research we came to conclude that to setup a rice mill plant you will need to budget a start up capital of $15,000 to $35,000 depending on how big you want to go and the rice mill machines needed. If you want to secure this capital and need help with writing a business plan and a funding proposal click here to contact us now.
If you need any help starting this business we can help increase your chances of success even before you start, we will assist you regarding this business.
We will conduct feasibility study highlighting every important detail you need to know about this business; and present it to you in a comprehensible format at a negligible cost. CLICK HERE TO SEND US A MESSAGE.
Whether you’re starting a new business, repositioning your existing business, or targeting outside investors, getting a clearly detailed business plan can make the journey to your business goal easier, faster, and less costly. CLICK HERE TO GET A RICE MILL BUSINESS PLAN
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