How To start a Peanut Butter Manufacturing Business in Nigeria without stress.
According to a report published by the global audit and market research firm, Nigeria’s Peanut Butter is a fast growing business and investors are looking for Peanut Butter producer to promote..
First, we need to know the source of peanut butter which is Peanut, or groundnut (Arachis hypogaea), is a species in the legume or “bean” family (Fabaceae). The peanut was probably first cultivated in the valleys of Peru.
It is an annual herbaceous plant growing 30 to 50 cm (1.0 to 1.6 ft) tall. The leaves are opposite, pinnate with four leaflets (two opposite pairs; no terminal leaflet), each leaflet 1 to 7 cm (⅜ to 2¾ in) long and 1 to 3 cm (⅜ to 1 inch) broad. The flowers are a typical pea flower in shape, 2 to 4 cm (0.8 to 1.6 in) (¾ to 1½ in) across, yellow with reddish veining.
Hypogaea means “under the earth”, after pollination, the flower stalk elongates causing it to bend until the ovary touches the ground. Continued stalk growth then pushes the ovary underground where the mature fruit develops into a legume pod, the peanut – a classical example of geocarpy. Pods are 3 to 7 cm (1.2 to 2.8 in) long, containing 1 to 4 seeds.
Groundnuts also have a variety of industrial end uses. Paint, varnish, lubricating oil, leather dressings, furniture polish, insecticides, and nitroglycerin are made from groundnut oil.
Soap is made from saponified oil, and many cosmetics contain groundnut oil and its derivatives. The protein portion of the oil is used in the manufacturing of some textile fibers. Groundnut shells are used in the manufacture of plastic, wallboard, abrasives, fuel, cellulose (used in rayon and paper) and mucilage (glue).
Groundnuts are also used for food and as an ingredient in confectionery products. After the extraction of oil, the residual cake is processed largely for animal feed, but is also used for human consumption.
Nigeria currently produces about two million (2,000,000) MT representing five percent (5%) of world production and in the period between 1956 and 1967, groundnuts including its cake and oil, accounted for about seventy percent (70%) of Nigeria’s total export earnings and created the legendary groundnut pyramids which dotted the landscape of Kano.
Some of the other states where groundnut is produced in Nigeria include Kwara, Kaduna, Sokoto, Bauchi, Katsina, Zamfara, Nassarawa and most of the northern states.
Groundnut is the 13th most important food crop of the world. It is the world’s 4th most important source of edible oil and 3rd most important source of vegetable protein. Groundnut seeds contain high quality edible oil (50%), easily digestible protein (25%) and carbohydrate (20%).
One of the products that can be produced from groundnuts is groundnut paste. Groundnut paste is a smooth paste made from dry-roasted peanuts, sometimes with added salt or sugar. It is a popular food in Australia, parts of Asia, parts of Europe and North America.
The U.S. and China are the world’s leading exporters of Groundnut Paste. It is most commonly served as a sandwich spread and has been traditionally paired with jelly or jam. In South Eastern Nigeria Groundnut Paste is usually served along with garden egg.
Peanut Butter has a lot of Benefits to human being such as, protecting the heart, keep healthy skin, maintain hair health, strengthen the bones and prevent birth defects.
There is enormous increase in the demand of Groundnut paste in both Nigeria market and internationally.
The production plant comprises of a Groundnut Roaster, Processing Tank, Miller (Colloid Oil Mill), Motorized Mixer, Packaging Machine (Auto), Accessories, Generator, Project Vehicle, Wood Pallets and Weighing Machine.
The production capacity of the proposed plant is one (1) ton per day and would operate a single shift of eight (8) hours each at seventy-five percent (75%) of installed capacity for three hundred (300) working day.
How Peanut Butter is Manufactured
To make your everyday peanut butter, peanuts are harvested, shelled, roasted, blanched, and grinded up into a delicious creamy paste. Until about the 1920’s, peanut butter production was entirely manual.
Today, mechanized cultivation and harvesting has vastly improved the efficiency of the production process. About 250,000 jars are produced daily, at the largest peanut butter plant.
This article is going to describe in detail, the manufacturing process of peanut butter. Raw Materials After production, about 90% of peanut butter consists of peanuts that have been carefully selected by the farmer, roasted, blanched, and ground.
Furthermore, each500 gram jar of peanut butter could contain about 1100 nuts. Other ingredients such as salt (1.5%), hydrogenated vegetable oil (0.125 %),dextrose(2%), and corn syrup (2%) are added to the product to improve smoothness, spread ability, and flavor.
The Manufacturing Process Planting and Harvesting of peanuts
are planted in April or May and harvested in September. The peanut grows as a plant that blooms yellow flowers. The flower petals wilt after a period of time and signal the underground growth of the nuts.
During harvesting, peanuts are removed from vines by portable mechanical pickers and are delivered to warehouses for cleaning. During the cleaning process, blowers remove dust, sand, vines, stems, leaves, and empty shells.
Shelling is the process of removing the outer covering of the nuts. During this procedure, peanuts are passed between a series of rollers that crack them. The cracked peanuts are then repeatedly passed through. The yellow flowers bloom, then shrink and the peanuts begin to grow at the roots in the soil. 2-Peanuts in their shell sand after the shelling process.
Screens, blowers, magnets there, they are shaken, gently tumbled, and air blown, until all the shells and rocks are removed. After shelling, the peanuts are graded for size, color, defects, and broken skins.
The peanuts with defects are discarded while the healthy ones are packaged and ready for processing.
Dry Roasting is a process by which heat is applied to dry foodstuffs without the use of oil or water as a carrier. During roasting, the peanuts travel through a hot air roaster, in a continuous rocking motion. This motion allows the nuts to roast evenly. A photometer indicates when the cooking is complete and after this process, the color of the peanuts change from white to light brown.
Cooling process have to be rapidly cooled to stop the cooking process. This helps them to retain moisture and oil, preventing them from drying out. For cooling to occur, the hot peanuts are passed directly from the roaster to a perforated metal cylinder, where a 3-Dry roasting of peanuts. Peanut’s color change from white to light brown after roasting. Some of the skin of the nuts also peels off.
Large volume of air is pulled through by suction fans. The peanuts are brought to a temperature of 30degrees Celsius.
Blanching removes the remaining outer skins of the peanuts that still remain after roasting by rubbing them through rubber belts. In this process, the kernels are also split in two, and the hearts of the peanuts are removed because they have a bitter taste to them. Finally, the blanched nuts are mechanically screened and inspected on a conveyor belt to remove scorched or rotten nuts.
After blanching, a grinder grinds the peanuts into a paste while incorporating other ingredients. Peanut butter is usually made by two grinding operations. The first reduces the nuts to a medium grind, and the second to a fine, smooth texture using very high-speed Comminutors.
This machine’s combination action of shearing and grinding, transforms the hard peanuts into a smooth paste. As peanuts are being fed into the grinder, about 2% salt, hydrogenated vegetable oil, dextrose, and corn syrup are added to the mixture. The peanuts are being inspected by the workers, who remove the defected nuts The peanuts are reduced to a medium grind first, then into a fine, smooth texture.
Hydrogenated vegetable oil
acts as a stabilizer, which prevents the oil from collecting at the top of the peanut butter jar. Grinding causes the temperature of the peanut butter to go up to 60 degrees Celsius. For this reason, the paste would have to be cooled to 38 degrees Celsius after mixing. Throughout the grinding process, peanuts are kept under constant pressure to prevent the formation of air bubbles, which could cause oxidation.
Reducing oxidation increases the shelf life of the peanut butter because a lower oxygen content makes it more difficult for bacteria to thrive and cause spoilage. Furthermore, after grinding, the peanut butter is considered de-aerated, stabilized, and ready for packaging.
During packaging, the newly formed peanut butter is delivered into jars in a continuous stream under even pressure. Once again, to prevent oxidation, manufacturers use vacuum packing when the peanut butter jars are being sealed.
After it is put into final containers, the peanut butter is allowed to remain undisturbed until it is completely crystallized. Jars are then labeled, placed in cartons, and stored until they are ready to be shipped out to wholesale institutions or customers like you. The process of making peanut butter is a long, but easy step-by-step process. First, the peanuts are planted and harvested. Then, they are shelled and dry roasted. Next, they go through a cooling and blanching process which gets the nuts ready for grinding. Lastly, the peanuts are grinded and packaged into jars. The packaging of peanut butter.
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Uses of this Business Plan (PDF and Word)
This business plan can be used for many purposes including:
• Raising capital from investors/friends/relatives
• Applying for a bank loan
• Start-up guide to launch your business
• As a business proposal
• Assessing profitability of the business
• Finding a business partner
• Assessing the initial start-up costs so that you know how much to save
• Manual for current business owners to help in business and strategy formulation
Contents of this Business Plan (PDF and Word)
This business plan include:
• Marketing Strategy
• Financial Statements (monthly cash flow projections, income statements, cash flow statements, balance sheets, break even analysis, payback period analysis, start-up costs, financial graphs, revenue and expenses, Bank Loan Amortization)
• Industry Analysis
• Market Analysis
• Risk Analysis
• SWOT & PEST Analysis
• Operational Requirements
• Operational Strategy
• Why some people in this business fail, so that you can avoid their mistakes
• Ways to raise capital to start your business