Before Setting Up Oil Mill Plant What Should You Consider

What should you consider before start setting up an oil mill plant? In this text we take peanut oil mill plant as an example. We summarize three tips you should notice before starting an oil mill plant....

Do you want to invest in cooking oil production market? Do you want to have your own OIL MILL PLANT? What should you consider before start setting up an oil mill plant? In this text we take peanut oil mill plant as an example. We summarize three tips you should notice before starting an oil mill plant.
1.Is a steady supply of peanut available to you? Do the people around you grow peanut? If there is already an existing market for peanut, is there an excess supply that you can buy for the mill? Would you buy them from another city, or state? Or will you start your own farm? For bigger companies, contract growing is an option. You provide the capital for people to grow the crop with an agreement that they sell it to you.

2.Is there a local market for peanut oil? As a small oil mill, you have to depend a lot on your neighbours for patronage. It is impossible for you to compete with grocery store brands. Your appeal should be in being their “friendly neighbourhood edible oil supplier.”

3.Would you have the capital to rent/buy a modest land for the oil mill plant? As well as machines to extract the oil and a few months worth of working capital? Are there willing investors on your idea? Do you know of state and national agencies that provide financial loans, grants or assistance to your kind of project?
Consider the three above questions and then decide whether you are fit for starting a peanut oil mill plant. If the three questions answers are yes, then you can continue to the next step.

Any problem during you starting your oil mill plant, please feel free to contact us. As a professional and popular OIL MILL MACHINERY MANUFACTURER in China, we have rich experience for that.