How To Start A Lucrative Egg Supply Business In Nigeria: The Complete Guide

The poultry business is an immensely profitable one for any entrepreneur to venture into in Nigeria. But while growing chickens can be a lucrative investment, venturing into the supply and distribution of eggs to buyers with shops and more is a lucrative segment of the poultry business for anyone to start up a profitable enterprise in.

Eggs are largely consumed by a wide range of people and organisations in Nigeria ranging from hotels, restaurants, events, families, and individuals. It is even more interesting to know that in the production of most baked snacks, eggs are used in the manufacturing process, and as such, their demand and usage in Nigeria remains astronomical.

With a vast market and a great potential to build a million-dollar venture out of the egg distribution business in Nigeria, venturing into egg production and distribution is a great move to make.

What Is The Egg Distribution Business About?

The egg distribution business in Nigeria is about the supply of eggs from poultry farms to businesses on a daily, weekly, and monthly recurring basis. It is usually supplied in hundreds, and more commonly thousands, but all ultimately depending on the size, demand, and financial capability of the client.

Business Opportunities In The Egg Distribution Business Around The World

1). Common Supplies:

Eggs could be supplied to homes, supermarkets, restaurants, and bakeries on a daily, monthly and weekly basis, providing the business handling the supply a recurring stream of income since its major use at its supply points is for the preparation of cooked meals and pastries.

2). Industrial supply:

Eggs are used in some industrial practices for the production of glue and some other materials. As such, these industries need a constant recurring supply of large egg volumes from various suppliers.

3). Cosmetics:

Eggs are used by some cosmetic companies for manufacturing hair and skin care products.

4). Fitness:

Most gyms encourage their members to consume a lot of eggs on a daily, weekly, and monthly basis to boost their protein intake, and in the process, gain considerable muscle mass. You could reach out to gyms to build a supply link between your organisation and their clients.

Facts And Benefits Of The Egg Distribution Business

• Easy to startup and operate
• It can be a low-cost business idea
• The egg supply business does not require advanced tooling or special skills
• Eggs are a great source of protein
• Eggs have a wide variety
• It can create a weekly recurring income stream
• The colour of the shell depends on the breed of the hen that laid it.
• The colour of the yolk depends on the hen’s diet.
• The age of a hen affects the size of an egg.
• For the best hard boiled eggs, use eggs that are at least 10 days old.

How To Start An Egg Distribution Business: Step By Step Guide

1). Identify A Reliable Farm That Produces Large Egg Volumes:

The first step to starting an egg distribution business in Nigeria or Africa is to locate a farm you can constantly get a large volume supply of eggs from. While one farm may appear to be good enough, it’s key you have two to three poultry farms you purchase eggs from at very affordable and reasonable prices, so that you can never default on a supply to your end clients.

2). Raise Adequate Startup Capital:

After taking care of your supply point, the next step is to raise adequate startup capital to run your business so that once you reach out to prospective clients to supply them eggs, you’d be able to handle the supplies on time every time.

3). Reach Out To Several Prospective Customers:

The next step is to build your supply chain by reaching out to prospective clients who have a high chance of making a weekly recurrent purchase from your organisation. These can be restaurants, hotels, boarding schools, and much more.

When they buy from you on a recurring basis, you’d know you have a steady weekly income and would easily grow your business from there.

4). Setup A Storage Facility And Acquire The Required Equipment:

Once you’ve established a strong supply chain and may be ready to start the egg distribution business, you’d need to set up the required infrastructure you need to make your business a successful one by renting a space to act as a storage facility and by either purchasing a delivery van or finding one you can lease at a very affordable cost.

The amount of money you spend on equipment and transportation can greatly affect your profit margins negatively or positively. So paying extra attention to this is key to success.

Challenges Of The Egg Distribution Business

1. Lack of experience.
2. Pests like rodents
3. Low and unstable investment in poultry research.
4. Financial challenges.
5. Marketing challenges.
6. Poorly managed supply chain.

Conclusion

The egg distribution business in Nigeria can be a Lucrative and profitable venture, due partly to its vast market demands and largely on your own ability to build a wide supply chain network. If you’re looking for a part agribusiness to venture into, the egg supply business in Nigeria is another option to explore.

What are your thoughts on how to start the egg distribution business in Nigeria? Let me know by leaving a comment below.