See How To Start Charcoal Export In Nigeria Below…
1). Charcoal Production:
Production of charcoal been a delicate process, requires specific individuals who are skilled in the craft, and are willing to get their hands dirty. The production is a highly labour-intensive process. Trees have to be fell, chopped, and burnt at high temperatures. Since most exporters can’t get involved with this stressful process, they leave the whole work-flow to the charcoal producers, who in turn sell to them in large quantities but, at low prices.
2). Charcoal Export & Distribution:
This is the most popular business opportunity exploited in the charcoal industry in Nigeria, and around the world. With tens of thousands of metric tons of charcoal exported yearly from Nigeria, the revenues generated makes the sector lucrative. Here, the sales could be done by local traders in the market, or by large players exporting the charcoal products outside the country.
Before charcoal can be exported, certain standards must be met. For example, the moisture content, the fix carbon, the ash contents, and several others need to be right, based on the buyer’s specifications. An inspection by the buyer’s agents or the buyer themselves, could lead to a rejection of the full shipment if they don’t meet the required standards.
The charcoal prepared for export must also be packaged to the buyer’s taste. They could be packaged in small sizes to enable local buyers purchase easily for their needs, or they could be packaged in bulk, weighing different sizes; anywhere from 5kg and above, and then placed in containers ready for shipment by a shipping company, and delivered to the buyer anywhere in the world.
Starting out in your distribution and export of charcoal products could cost you between 300,000 ($1000) t0 1,000,000 ($3334) Naira. With a signed order for shipment by a buyer, the supplier could approach the Nigeria’s Bank Of Industry (BOI) for a loan to easily fulfill the order. It’s a lot easier to get loans and grants in Nigeria when there’s an existing request or customer base for your charcoal products than when you’re just starting out and seeking random capital.
3). Charcoal Appliances:
Charcoal appliances could be charcoal stoves and other devices that make the charcoal production and usage process easier. An example is a Ghanaian company called Toyola Energy. They manufacture charcoal stoves and sell them for about $8 a stove. These energy-efficient stoves make charcoal usage easier for the locals who live in communities and base their cooking energy source majorly on charcoal.