Start Selling Charcoal Locally With N20,000

It's no gainsaying that business opportunity exist in buying and selling of Charcoal in Nigeria as the prices of kerosene and cooking gas get fluctuating every now and then... 

Charcoal business is a business that  has been in existence since the day of our forefathers. Charcoal is usually produced by the heating of tropical hardwood  in the absence of oxygen. This produces soft, brittle, lightweight, dark gray and porous material called charcoal.

This is one of the oldest man made fuels and has been prepared under the ground for thousands of years. Charcoal is still a major source of energy throughout the world.Those who are into charcoal business go to the rural areas to buy and sell to people in their area for profit particularly urban areas.

As a newbie  in the business, you need to acquire some background skills and understanding in Identifying  the types of charcoal that exists and its characteristics in quality. The production process of charcoal differs  to one another in quality, appearance and usage. The charcoal type  ranges  from Hardwood, Briquettes, Shisha and BBQ, whereby the result after usage denotes different satisfactory reaction. 

Why Do People Demand More  For Charcoal? 

As the price fluctuation for kerosene and cooking gas lingering, certain groups of people have been changing to the use of charcoal, creating an increase in the demand of charcoal at this period. And one can always make good money selling it to the buyers who are in need of  charcoal as alternative source of generating energy.

Taking for example, 1kg of cooking gas is now sold between N800-N900, 1litre of Kerosene now sold between N600-N700, considering these two prices from the perspective  of the down-trodden, the quantity it will buy cannot be sustained more than two  days, whereas if such amount is expended on charcoal it will go a long way in usage. 

Local Uses Of Charcoal

- For cooking by the restaurant owners.

- Used by the Bar owners for grilling their barbeque.

- For roasting of Yam, Suya, and plantain.

-For frying of akara balls (bean cake), potatoes, plantain, yam, etc.

- It's also use for heating and casting of bronze and other metals.

- Fashion designers also use charcoal in ironing their clients cloth at the absence of electricity.

 Starting The Business As A Retailer With The Sum Of N20, 000

As a retailer you can buy a bag of Charcoal between N2000 - N4000,but it depends on the market  you approach whether it's a rural or an urban areas, nevertheless with your starting capital you can still purchase about 3 to 4 bags transportation fare inclusive and start repacking it in a smaller bit for the final consumers usage.

Here is the magic: Do your market survey very well and if you are choosing an area to sell your charcoal make sure it's a middle-income or low income areas in order to have higher sales and maximize your profit as well. 

Where Do You Source For Charcoal To Buy?

Charcoal can be sourced all over Nigeria. However, the major charcoal depots are found in Oyo, Iseyin, Saki, Igbo-ora, Ogbomoso, Osun, Ondo, Jebba, Omu Aran and Kabba. Charcoal  is found in abundance also in Minna, Jos, Kaduna and Talking about the areas where charcoal is sold at cheaper rate, go to Oyo, Kwara and Benin at least for some discount in prices.

Advantage Of Venturing Into This Charcoal Business

-It doesn't spoil.

-It can stand the test of time.

-It is as important as kerosene, gas and other cooking agents in the rural areas. 

Our next area of coverage will be on Traditional Production Process of Charcoal, whereby you will be thought on how to start charcoal production factory yourself and start selling it to people in your area. Making you a pure profit without  hustling again before you get it

Thanks for reading,hope it's helpful...