Nigeria's struggle for economic development, unemployment and various failures is partly due to its slow development and diversified economy. Because the public sector has failed to do so, local entrepreneurs have a responsibility to create wealth that can support economic growth.
One of the ways Nigerian entrepreneurs can achieve this goal is to invest in industries with larger markets but lower local production costs. An example of such an industry is the production of tissue paper.
In 2004, tissue paper was included in the list of prohibited articles to support local production and supply. It worked to some extent, but several tissue paper producers in the country are unable to keep up with growing local demand.
There is a huge gap between supply and demand for tissue paper, which is a huge business opportunity. In Nigeria, monthly consumption exceeds 1 billion units, but productivity is less than 150 million. Before you can take advantage of everything that this joint venture provides, it is essential that you know the right steps to start a tissue manufacturing business in Nigeria.
What is tissue production?
The tissue paper company produces, packs and distributes various forms of soft paper and toilet paper. It is a long-term profitable investment that requires a lot of start-up capital to produce. The cost of setting up an SME can be up to 2 million to 7 million N2. Large textile companies have started producing about 15 to 20 million nair.
Tissue paper is also called a roll of toilet paper, toilet paper and tissue paper.
The raw materials for the production of toilet paper are various amounts of pulp from white wood or recycled paper, which are processed into soft, bulky and disposable absorbent paper. The production process includes manual or automatic machines.
Business opportunities in the global textile industry
Some lucrative tissue paper opportunities in Nigeria and other parts of the world include:
1). Toilet paper company:
Toilet paper manufacturers have the largest consumers of toilet paper in Nigeria and most of the world. It is a sanitary product found in many homes, offices and public bathrooms. Consumption increases by 10% to 12% each year, which contributes to the GDP of most tissue exporting countries.
The annual recovery provides excellent business opportunities for potential African entrepreneurs. In any case, building a successful tissue paper factory requires information, sufficient funding and some technical training.
2). Napkin production:
These tissue papers have one to four woven layers (layers) of various patterns, sizes, colors and textures. The raw materials used in the production are chemical pulp or recycled pulp, at the choice of the manufacturer.
In recent years, the production of textile napkins has achieved significant growth in the market with higher profit margins. This is because they are a cheaper and less demanding form of napkins. Napkins are used to clean the mouth and fingers during and after a meal. They can be folded and bent into various decorative shapes.
The catering industry, specifically catering, restaurants, hotels, eateries and fast food bars, has created a huge market for this product. The event organizers also purchased different types of napkins and used them to improve the aesthetics of the tableware.
3). Manufacture of paper towels:
A paper towel is an alternative disposable kitchen paper towel. Unlike cloth towels, you don't have to wash them often, which makes choices easier and more hygienic. Due to the light structure of woven fibers, paper towels absorb liquid better than toilet paper. Its uses include cleaning, brushing, wiping and drying various surfaces.
The textile factory produces napkins, consists of or becomes rolls and is sold to wholesalers and retailers. These towels have the second largest group of consumers in the production of tissue paper. The tissue market is divided into domestic and public purchasers.
Home buyers are consumers who buy products directly from retailers and use them in their homes or personal premises. Commercial consumers buy in large quantities from factories, wholesalers or department stores. Paper towels purchased for commercial purposes can be found in public bathrooms, hotels, restaurants and kitchens.
Paper towels are made from 100% recycled fiber or chemical pulp. Some manufacturers combine pulp and fiber raw materials in their production. The result is a pile of more durable and stronger tissues. They usually weigh 20 - 24 g / m2 and are usually bilayer.
4). Production of packaging textiles:
Another profitable tissue paper product is wrapping paper. These are light translucent papers weighing 17 to 40 grams. There are different types of packaged towels. Soft, shiny, hard and rough. Some are a combination of texture and appearance. An example is the soft, shiny fabric that is in the bag.
Packaging towels have personalized colors, logos and the trademark of the company that purchased them. Such fabrics are usually mass-produced and delivered to companies that pack the goods by damping or packaging. The packaging material is placed in a pocket / shoe and is wrapped around delicate objects or objects to prevent damage. The garment line also uses these fabrics to protect garments from wrinkles and to ensure their safety.
5). Company for special wrapping paper:
Due to increased demand, the custom packaging market is expanding. Individualized companies can make significant profits from the production of personalized packaging towels. Their customer bases include boutique owners, fashion companies, retail stores and pet consumers.
Durable customized handkerchiefs are printed with soy ink on non-acid handkerchiefs.
6). Company for the production of face towels:
The surface fabric is a super soft, absorbent and disposable alternative to fabric handkerchiefs. Various paper towels are used to clean the face, wipe your hands and nose. Although they are mainly products for personal use, you can also find facial textiles in offices and beauty salons. The company's market is large; online stores, supermarkets, department stores and pharmacies.
The tissue paper is made of thin paper 14-18 g / m² (low basis weight). Due to the high quality requirements, the base fabric is made of pure chemical pulp. In some cases, it is possible to add recycled fibers to increase strength.
The surface texture is divided into two to three layers and is slightly calendered to achieve a light and smooth surface. Some manufacturers add perfumes, creams, emollients and liquid herbs to give them a certain texture or scent. The surface textile can also be used in various boxes or handbags. Part of the openings of these boxes or handbags can be used as dispensers.
7). Production of wet / baby towels:
Textile factories make huge profits by mass production and distribution of wet wipes for wholesale and retail. Wet wipes are small wet wipes used for cleaning surfaces and personal hygiene. It is also packed in a small cardboard box or plastic container with dosing holes on the top or side.
Today, parents use it to secure the child's back or the baby during changing. Experts recommend using wet wipes for other child care activities, such as cleaning vomit and wiping hands or dirty surfaces. Special baby wipes are equipped with mild or alcoholic cleaners.
Other types of special wet wipes include industrial wipes, cleaning wipes and medical wipes.
Types of companies for the production of fabrics
Types of tissue paper companies in Nigeria include:
1). Large / medium paper production:
For starters, this type of business is an extension of your business. In the production of large / medium textiles, tissue paper is produced independently and the only attribute is the machine. However, these machines can be operated automatically or manually and have foreign or local varieties.
In general, there are opportunities to quickly reap the benefits of large markets and expand production. You are also free to check the quality, brand and profitability of the product.
3). Small range:
Small tissue manufacturers are not directly involved in the production process. They buy giant rolls from large tissue paper companies, cut them to common sizes with automatic machines, pack them, label them and sell textiles.
This type of tissue paper company is cheaper but demanding. The first problem is the inability to control quality and profit. Small producers are often frustrated by sharing profits with large companies when dealing with giant cylinders that do not work well.
How to start a textile business in Nigeria: a detailed guide
The following are the steps to start a textile business in Nigeria:
1). Select thin paper:
The first step in starting a business is to determine what type of tissue paper you produce. If you are a small or medium-sized business, choose the option that matches your available capital. Mass production of tissue paper may decide to produce more than one type of tissue paper without causing financial difficulties.
2). Education and experience:
Effective management of the tissue production process requires technical knowledge and practical experience. It would be very useful to gain some training or practical experience in handling production equipment, raw materials and production processes.
3). Make sure you have a good place:
The best way to get a good location is to build a factory in the city's shopping center. Energy-efficient shopping malls will increase productivity, increase traffic and increase profits.
The interior of the factory should be large enough to store products / machines and to accommodate employees.
4). Do a market research:
If you want to successfully start a toilet paper business, you must first organize a detailed market research. Lack of information and knowledge will only lead to business problems or failures. Aspects that require attention include engine costs, technical operations, start-up / working capital, production processes, capital, registration requirements, and required engine costs.
5). Raising capital:
The capital required for a tissue paper business depends on the size and type of business you decide to start. Market research allows you to understand how much money your business needs to succeed and what needs to be implemented. At this point, it is essential to ensure that your business is underfunded. Your working capital should cover all financial aspects of your business from production to distribution.
If you decide to start small, you can choose personal property or savings, while large companies may require a large amount of loans or investments. Commercial or cooperative banks can provide good business plans and mortgages on loans.
6). Purchase of production equipment:
Buying production equipment not only costs a lot of money, but also requires careful consideration. This is because the success of your business depends on buying durable and high-quality equipment.
The right set of machines and tools will increase productivity. It can also reduce the workload of employees and increase their efficiency. Poor quality machines will certainly require frequent maintenance, which will reduce the quality of the product.
In addition, the extent of tissue production equipment required determines the extent. Large-scale production requires large-scale automated machines, while small fabric companies require less equipment and capital.
Some equipment and materials for making tissue paper include:
Recycled fiber or pulp
Paper folding machine
Fast toilet paper machine.
Industrial roller cutting machine
Huge drum machine for recycling pulp and waste paper
Core making machine
The process of making tissue paper undoubtedly requires more people. Thanks to the recruitment of qualified staff, work is easier and more cost-effective. During the training, unskilled workers can handle other tasks, such as lifting heavy loads, transport, packaging and boxing.
A good business strategy basically describes a feasible and effective way to support business development. Without it, the speed at which a company develops its customer base will be slow and unstable. Currently, hiring a sales specialist will be the best decision for a new entrepreneur.
On the other hand, using platforms such as social / print media, online websites and blogs can increase the visibility of your products. Discounts and rebates are also an effective means of attracting customers.
Challenges of textile production in Nigeria
Some potential entrepreneurs are being asked to find money to buy high-quality automated machines.
Lack of continuous and stable electricity to run the engine and reduce additional costs by buying diesel every day.
Tissue paper small and medium-sized companies struggle with quality control because there are no local machines available.
Many red bands and agreements are slowing down the process of registering Nigerian companies.
The textiles produced by local textile machines are insufficient and of low quality.
Obtaining unsecured loans from commercial banks is usually problematic for start-ups.
at the end
Nigeria's textile production requires more investment and factories need to meet growing demand. This neglected sector has the potential to improve the economy by providing jobs, supporting domestic production and creating wealth for African entrepreneurs.
Anyone looking for a long-term profit can consider making toilet paper. With enough funds, knowledge and patience, you can use its extensive domestic and foreign market to develop a successful business.
Content created and supplied by: BusinessBoy (via Opera News )