Peanut Making Business :Planning to start a peanut making business but don’t have enough information to develop this concept?
No need to worry at all.
I am here to help you with the detailed knowledge required to establish this business venture and handle all the activities.
Roasted peanuts are one of the ideal snacks for the big gatherings and events.
In fact, it can be used for adding some flavour to the baked recipes also.
It is very easy and simple to roast peanuts and convert this task into a big profit earning business.
You can start this nut roasting business at small scale in minimum investment and later expand it to the large scale as per your requirement.
1. Peanut Making Business :MARKET
When you are preparing for a peanut roasted business.
The first thing over which you should concentrate is the market for your product.
In order to earn a profit and have a good sale, a good market is always important.
Roasted peanuts are widely accepted as an evening snack because of its crunchy taste and nutty flavour.
It has a good nutritional value also.
This means there is a huge demand of roasted peanuts all over the world as people mainly teenagers like to have cracking peanuts while watching movie, TV or at get-together.
The market is mainly dominated by the small and unorganized sectors.
You can easily sell you peanuts through supermarkets, hotels, restaurants, grocery stores etc.
In fact, people won’t get this type of peanuts everywhere.
So, there is a potential market for the roasted peanuts due to wide acceptance and poor availability of the roasted peanuts.
Read also: How to Start Groundnut Business in Nigeria.
2. Peanut Making Business :LOCATION OF THE SELLING POINT
If you want to sell the roasted peanuts directly to the customer.
Then you should choose the place having the maximum traffic like local market.
You may have to give higher rent for occupying such place but ultimately.
In the end, you can more profit also.
Otherwise, you may choose to sell it through shops, hotels, and clubs.
Then you can also start the business from your home at the beginning.
3. Peanut Making Business :RAW MATERIALS
The main raw material of your business will be peanuts.
The accessibility and bill which you pay for buying the raw peanuts will be determined on the basis of the weather conditions.
For example, during the drought period, the availability of nuts will be less and rate will be more.
I advise you to purchase the raw and fresh peanuts directly from the farmers.
Always try to collect it regularly from a few farmers who will supply you quality peanuts at a decent price.
The size as well as nature of this roasted peanut business do not need any registration.
And can be set-up as a solitary property owner or in partnership.
But for obtaining the permit you have to contact the nearby authority of your state in order to fetch the license for running the business.
First of all, you should be aware of the steps of producing roasted peanuts before indulging into this business.
So, following are the few steps involved during peanuts roasting and packing.
STEP 1: DECORATING
The first step is off i.e. elimination of external crust or de-shelling.
You can do this either by using your hand or can also do mechanically by utilizing peanut skin stripper.
A peanut skin stripper can be hand operated or electrically powered.
There are extensive varieties of decorators that are available in the market.
STEP 2: WASHING AND GRADING OF SHELLED PEANUTS
Now next step is to remove the shells, dust, and unnecessary substances by using the hands.
Thereafter, peanuts are sorted depending on the color, size, spots and broken skins.
STEP 3: ROASTING
The next step is the roasting of peanuts which can be done through a manual peanut roaster.
You must cautiously turn the peanuts uninterruptedly with a spoon or wooden server.
The temperature of the oven must be between 150° C to 180°C.
The peanuts must be evenly cooked without blackening, begriming and burning.
The slower and longer the roasting process goes on, the more will be the flavor of the product.
STEP 4: HULLING
Hulling is a procedure in which the red skins of the nuts are removed with the help of rubbing.
It is also known as de-husking.
It is very difficult to do de-husking as the skin of the nuts has to be removed when they are hot.
If the nuts cool down, then the skin will get loose and you cannot remove them.
STEP 5: SALTING
When you sprinkle salt over the roasted nuts then they do not get stick with each other.
You can either soak the nuts in the salt water or can sprinkle the salty water over the peanuts.
After this, you again have to roast the nuts to get rid of the moisture.
STEP 6: PACKAGING AS WELL AS SEALING
The last step is to pack the nuts in the airtight plastic pouches or containers.
The sealing must be done accurately so that the nuts do not come in the contact of air.
6. Peanut Making Business: START-UP MACHINERY
Since you are going to set up a small-scale peanut roasting business, your initial production capacity should be moderate.
So it is needless to spend huge amount on purchasing large industrial machinery like electrically operated roaster, size grader, mixer machine, grinding machine etc.
If your pocket permits, then you may buy a manual peanut roaster, cooling trays and a bag sealer.
Otherwise you should start your production from home with a wok, wooden ladle and spoons.
7. Peanut Making Business: START-UP COST
The start-up cost will primarily depend upon the cost of machinery, raw material, and licensing.
There are certain operational costs involved with this business.
You need to pay a few of them once at the initial stage when you are setting up the business.
Say the cost of water and electricity services.
The others you have to pay on monthly or yearly basis.
In order to sell your end product, you need to spend a part of your initial investment on advertising.
However, if you want to start the peanut roasting business from home without any helping hand.
Then you can eliminate the cost of commercial business place rental and expenses of the supporting staff.
Peanut business potentials
The peanut business offers various potentials across different sectors:
8. Food Industry:
Peanuts are widely used in the food industry to produce peanut butter, peanut oil, roasted peanuts, peanut snacks, and various confectionery items. There is a growing demand for healthier snack options, which can drive the market for peanut-based products.
9. Health and Nutrition:
Peanuts are rich in protein, fibre, vitamins, and minerals, making them a popular choice for health-conscious consumers. With the increasing focus on plant-based protein sources and the rising demand for nutritious foods, there is a significant opportunity for products like peanut butter, peanut flour, and peanut-based protein supplements.
10. International Trade:
Peanuts are traded globally, and countries like the United States, China, India, and Argentina are major producers and exporters. International trade presents opportunities for farmers, processors, and exporters to tap into various markets and expand their business.
11. Animal Feed Industry:
Peanut meal, a by-product of peanut oil extraction, is used as a high-protein feed ingredient for livestock and poultry. With the growth of the livestock industry, there is a steady demand for nutritious animal feed, presenting opportunities for peanut processors.
12. Cosmetics and Personal Care Products:
Peanut oil is used in cosmetics, skincare products, and hair care products due to its moisturizing properties. The demand for natural and organic ingredients in cosmetics presents opportunities for peanut oil suppliers.
13. Biofuel Production:
Peanut oil can be used as a feedstock for biodiesel production. As the world seeks alternative energy sources to reduce dependence on fossil fuels, there is potential for the peanut industry to contribute to the production of renewable energy.
14. Research and Development:
There is ongoing research into developing new peanut varieties with improved traits such as disease resistance, higher yield, and better nutritional content. Investing in research and development can lead to the creation of innovative products and techniques that enhance the competitiveness of the peanut industry.
15. Sustainability Initiatives:
Sustainable farming practices, such as crop rotation, soil conservation, and water management, are becoming increasingly important in agriculture. Embracing sustainable practices not only benefits the environment but also enhances the reputation and marketability of peanut products.
16. Peanut business potentials:
Overall, the peanut business has diverse potentials ranging from food and nutrition to industrial applications, international trade, and sustainability initiatives. However, like any business, success in the peanut industry requires careful planning, market analysis, and adherence to quality standards and regulations.
Lastly, being a small-scale production business.
You need not to invest huge capital; you can start this business with your personal savings.
But most importantly, you need to go through a proper planning phase after completing a feasibility study and then start producing roasted peanuts commercially.
It would help you in running your peanut roasting business successfully and making profit.
Lastly, one thing more, it is also very significant that you should use good quality of peanuts to avoid any type of health issues which can arise from poor quality peanuts as well as poor storing conditions.