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HOW TO INITIATE A STORAGE BUSINESS IN NIGERIA
Engaging in farm produce storage business is an economical means of potentially earning substantial profits within a year. The process involves acquiring farm produce during periods of surplus and waiting for a scarcity to arise, subsequently selling the produce at a profit. Certain agricultural goods appreciate in value over time due to market shortages and increased consumer demand. While food is typically abundant during harvest, it quickly diminishes in availability. Some farmers lack the means to preserve their crops, while others are compelled to sell their produce immediately due to pressing financial needs. This situation presents an attractive opportunity for agricultural investors. Farm produce storage business can be exceptionally lucrative, with the potential for returns on investment exceeding 100%.
Over the past five years, farm produce prices have consistently risen, often appreciating between 50% and 100% from local farm gate prices to both local and international markets. This trend offers a promising opportunity for potential investors in the agricultural value chain, which includes seed companies, farmers, middlemen (market traders), processors, distributors, retailers, and consumers. While all segments of this chain can yield profits, market traders, distributors, and processors tend to make the highest margins, with market traders having significant influence over pricing.
Surprisingly, those involved in farm produce storage business often end up earning more profits than actual farmers. This venture proves to be a more attractive option than traditional bank investments, as banks rarely offer returns of 50% within six months.

BUYING AND SELLING AGRICULTURAL PRODUCE IN NIGERIA
Agricultural storage business entails purchasing commodities at lower prices, either directly from farmers or wholesalers, storing them, and selling when the market experiences scarcity or a significant price increase. Most farm produce is abundant during harvest and becomes scarce within a few weeks.

TYPES OF FARM PRODUCE FOR STORAGE
There are numerous farm produce items suitable for storage, including melon, soybeans, sorghum, beans, maize, millet, ogbono, bambara nut (okpa), sesame seeds, groundnut, palm oil, cashew, ginger, dry pepper, and shear nut. These can be categorized as follows:
1. Mainly for Export: Sesame, ginger, cashew.
2. Feed Mill Sector: Soybeans, maize, sorghum, guinea corn, millet.
3. Commodity for Retailers/Consumers: Beans, melon, pepper.

BEST TIME FOR PURCHASING FARM PRODUCE (ENTRY POINT)
• November to December: Bambara nuts (okpa), beans, sesame, sorghum, soybeans.
• October to December: Pepper.
• September to November: Maize.
• August to September: Melon.

BEAN STORAGE BUSINESS
Cowpea, also known as beans, comes in various varieties with differing protein content and pricing. The type and quality of the seeds, as well as market demand, influence the price. Nigeria primarily produces white and brown beans, with white beans mostly grown in the northern regions. Effective preservation is essential in bean storage to prevent a drop in value. During the harvest season, a bag of beans can be purchased for N20,000 and sold for over N40,000 during off-season. Proper storage methods include sealing beans in drums kept in a garage or under a well-ventilated area. Some investors use chemicals with expiration dates, waiting for the chemicals to expire before selling the beans.

WHERE TO BUY BEANS
Brown beans are readily available in Adamawa (Mubi) and Taraba. Beans can also be purchased from Kaduna, Nasarawa, Niger, Yobe, Bauchi, and Kano States. However, the use of chemicals in preservation has raised concerns about potential health risks from residual chemicals in the produce.

MAIZE STORAGE BUSINESS
Maize is another profitable farm produce suitable for storage and later sale. Maize can be processed into various products such as pap, agidi, corn flour, and more. Proper drying is crucial to prevent mold growth and maintain quality. Maize that is not adequately dried can turn black due to the activity of Aspergillus fungus, which produces a harmful liver carcinogen.

SESAME SEEDS STORAGE
Sesame seeds, known as Beni seeds, are globally used for pastries, bread, and hamburger toppings. Sesame oil, rich in antioxidants, is used in cooking and massage therapy and is highly valued in the pharmaceutical industry. While less common in local markets due to its status as a major export commodity, sesame seeds can be purchased for as low as N18,000 and sold for as high as N70,000. Purchasing prices are often set by sesame seed agro commodity agents, with availability in the North Central states.

MELON STORAGE BUSINESS
Melon storage is another lucrative venture, with commercial production in Nassarawa and Niger States. Properly dried melon can last until the next planting season while maintaining its shelf life. A bag of melon purchased for N30,000 during abundance can be sold for as much as N60,000 or more during scarcity.


TIPS FOR SUCCESS
It's crucial to understand when to store specific farm produce, typically during the surplus when supply exceeds demand. Equally important is knowing when to sell your stored goods, ideally within four to six months from the harvest date to maximize profits. Waiting too long to sell can result in missed opportunities, as demand may decrease. Avoid being overly greedy, as market dynamics can change unexpectedly.

WHO SHOULD CONSIDER FARM PRODUCE STORAGE BUSINESS
Anyone with an interest in farm produce storage business can successfully engage in it, provided they have the necessary capital. This business does not require constant attention; instead, you buy in bulk during surplus periods and sell during scarcity. Individuals living abroad seeking profitable investments can also benefit from this business, as they can determine when to sell their stored goods. Retirees looking to remain active and financially stable can consider this venture as an alternative to idle retirement.

PROFIT POTENTIAL IN FARM PRODUCE STORAGE BUSINESS
Farm produce storage business is highly profitable. For example, purchasing a bag of farm produce for N30,000 and selling it for N60,000 could result in a profit of N30,000 per bag. Even after accounting for expenses such as transportation, warehousing, security, and miscellaneous costs, substantial profits can be realized. Profits increase with the quantity of produce purchased. Retailing these goods can yield even higher returns.

HOW TO PROPERLY STORE FARM PRODUCES
Store farm produces in airtight containers like drums and jerricans with secure lids, ensuring they are kept in well-ventilated areas or rooms. Preventing oxygen exposure is crucial for safe storage.
CONCLUSION
Farm produce storage business is an encouraged practice, as it prevents food waste and ensures consistent food availability throughout the year. Given Nigeria's growing population, storing produce for the future is essential, making farm produce storage a valuable and encouraged business opportunity. Buyers do not necessarily need to travel to the states for purchases; reliable agricultural commodity agents can facilitate the process."

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